Holidays In July: Start Your Planning

It’s never too early to start preparing your finances for the holiday season. Avoid overspending and acquiring debt with these planning tips.

Does the Texas summer heat have you thinking about the cooler winter months? While you’re searching for ways to beat the sweltering temperatures, it’s also the perfect time to start planning and prepping for the holidays.

The holidays often involve a whirlwind of activities – from traveling to hosting parties, buying gifts and decorations, and, of course, indulging in lots of delicious food. However, all these festive activities can add up quickly and leave your bank account feeling the pinch as you usher in the New Year. To help you avoid a hefty post-holiday credit card bill, here are some helpful tips to keep your finances in check while still enjoying the holiday season.

Start Planning

Create A Holiday Budget

Make a list of anticipated holiday events, parties, and gifts to help project and manage expenses effectively for the months to come. If you plan to host, think about who’ll be attending and estimate costs for food, drinks, decorations, and any special activity or entertainment you’ll need for it to be successful.

Begin Saving

Now that you have a clear picture of your holiday expenses, it’s time to start saving. Setting aside money regularly, whether weekly or monthly, can ease the financial burden. Although December may seem far off, holiday shopping can begin as early as October!

Here’s how you can plan to save:

• Set a savings goal. Calculate the total amount you need and divide that amount by the number of weeks or months left until you need to start spending.
• Automate your savings. Set up automatic transfers from your checking account to a dedicated holiday savings account.
• Cut back on non-esstentials. Identify areas where you can reduce spending and redirect those funds into your holiday savings.
• Take advantage of sales and discounts. This helps you maximize your dollars.

Keep Gifts Simple

When it comes to your loved ones, it’s easy to find more and more stuff to gift them – especially if there’s a sale. It can seem like love can only be measured by the amount of gifts you give and receive, but it’s really about the quality time and experiences you create. Keep your gift strategy simple and consider shopping based on something they want, need, wear, and read.

Decorations

With so many holiday décor options, it’s hard not to fill every space of your home. Instead of trying to fill every blank space all at once, consider a slow build up. Budget for a few new decorations this year, and budget to buy a little more next year. This allows you to prioritize spending on quality decorations that last while leaving room for your collection to grow in the future, should you want to.

Don’t Go Overboard

It’s tempting to think that starting your holiday planning in July gives you more time to save, which might lead you to believe you can spend more. However, the goal of early planning is to help you control your spending and avoid debt, not to indulge because of the extra time.

Here are some ways you can keep your holiday spending in check:

• Set clear spending limits
• Focus on meaningful experiences
• Avoid impulse purchases
• DIY gifts and decorations

Summary

By planning early and keeping your focus on what truly matters, you can ensure a holiday season that’s joyful and memorable without the financial strain. Remember, the true essence of the holidays lies in the love, laughter, and shared memories with those who matter most.