4 Practical Tips to Avoid Holes (or More Holes) in your Pocket this Holiday Season

Is it just me or what…Christmas is coming faster this year than the previous years. I picked up a Choco Truffle Espresso from Starbucks a couple of days ago and noticed that the store is already decorated with Christmas decors. It is quite exciting to say the least…I love seeing the red and green garlands, Christmas trees, ornaments, wreaths, and bright shining lights. christmastree

Christmas is definitely my favorite holiday and the best one in my opinion.Of course, this occasion involves lots and lots of shopping for the celebration and gift giving. If one is not careful about it, he can surely get sucked into more debts as most average American family would use credit cards to make purchases.

Here are 4 useful and practical tips to avoid holes in your pocket this holiday season.

1. Set Your Budget
Budgeting is a form of discipline. If you are making X amount of money and you want to spend X amount for gifts, then stick with it. By doing so, you are beginning a journey to developing a controlled-spending habit.

2. Make a List This may sound cliché to you but by making a list of the people that you want to give gifts to and the amount that you can afford to spend for each person, based on the budget that you set, you will spare yourself from making a lot of unnecessary buys.

3. Get Low-Cost, High-Perceived Gifts It isn’t necessary to buy expensive gifts, especially if you really cannot afford them. Always be on the look out for items on sale but perceived to be of high value. Be creative and be wise in your gift selection. Do not buy an expensive item that is beyond your means and beyond your budget just because you wanted to impress the person. Keep in mind also that you don’t always have to buy a gift for every single family member. For families with kids, a Walmart gift card can go a long way. If you don’t like the idea, you can buy a gift for the couple then smaller gifts for the children.

4. Be Practical Do not get an Ipod for your nephew if the money is not there or a brand new car for your spouse if you are barely able to make payments to your own. Sure we do want to please our love ones and make them happy but remember when you get in debt (or more debt), you are not the only one that gets affected – your love ones as well. Do them a favor, spare them the heartache sooner than later.

Enjoy the holiday season!