Setting a Budget for Christmas Shopping

Setting a Budget for Christmas Shopping

Setting a Budget for Christmas Shopping

Setting a Budget for Christmas Shopping

It is never too early to start thinking about setting a budget for Christmas shopping. As much as we would like to be able to purchase anything we want for our friends and relatives, it is an unfortunate reality, that many of us have to budget carefully to be able to purchase Christmas gifts for all of our friends and relatives during the holiday season. With this in mind it is very important to set a budget for Christmas shopping and to try to really stick to that budget.

Some people take an interesting approach to setting a budget for Christmas shopping by waiting until they are ready to start shopping to set the actual budget. These individuals usually do this because they are saving specifically for the purpose of Christmas shopping. Whether they open up a bank account specifically for Christmas shopping, set aside money for this purpose in an envelop each week or plan on using a percentage of their income from the month of November for Christmas shopping it is important to set a budget and determine a plan for purchasing all of your Christmas gifts without exceeding this budget.

Children's Drawing Necklace - Kid's Art Necklace - Personalized Handwriting Necklace - One-of-a-kind Wearable Art - Child Artwork - Mom Gift

Personalized Your Children’s Drawing Necklace – Kid’s Art Necklace

Personalized Photo Puzzle in a variety of piece counts. Measures approximately 16x20 when complete. Extra Large Personalized Puzzle.

Personalized Photo Puzzle in a variety of piece counts

Other people take a different approach to setting a budget for Christmas shopping by shopping throughout the year and incorporating their spending for Christmas presents into their monthly budgets. These individuals may allot a portion of their monthly income to gift giving and either purchase the gifts on a monthly basis or simply set aside the money for a Christmas shopping spree at a later date. Those who spread out the Christmas shopping by doing a little bit of shopping each month not only keep their budget in control but also eliminate a great deal of the stress which often accompanies last minute Christmas shopping.

Still others take a more interesting approach to setting a budget for Christmas shopping. Those who typically receive a financial bonus at work around Christmas time may base their budget on the amount of money they are awarded in this bonus. This strategy may work out well for some as it does not allow them to alter their normal monthly spending strategy because these bonuses are typically not considered in the regular monthly budgeting. However, unless these bonuses are guaranteed annually, there is some risk involved in this strategy. Often annual bonuses are awarded based on criteria such as the company’s earnings and the individual employee’s contributions to the success of the company. The company may not enjoy financial success or the contributions of the employee may not be highly valued and therefore there may be either no bonus or a bonus much lower than expected. When this happens, those who count on bonuses for Christmas shopping may find themselves in a difficult situation.

Kindle Case Book Cover by KleverCase - FREE UK & US Shipping

Kindle Case Book Cover by KleverCase

Sizes 28/29, 30/31 ready to ship. Children socks, soft, warm, hand knitted pink socks with silk/mohair.

Children socks, soft, warm, hand knitted pink socks with silk/mohair.

Budgeting for Christmas shopping is particularly important for those who plan to use credit cards to make their purchases. In the case of credit card purchases it might be worthwhile to spread the Christmas shopping out over the entire year and repay the debts associated with the shopping monthly. This will help to prevent carrying a balance and being charged interest on the balance each month. However, if it is necessary to do all of the Christmas shopping at one time, it is wise to save up during the year for these purchases. Before you begin shopping, evaluate the amount of money you have saved and set a budget for your Christmas shopping. This way even though you are using a credit card and will receive a large bill the following month, you should have enough money to repay the bill in its entirety and avoid paying interest on the debt.

Even those with the best of intentions may find themselves going over their budget when Christmas shopping. When this happens it is important to keep things in perspective and avoid going too far over budget. You may spend too much on one or two people on your Christmas list but you can recover from this by purchasing less expensive gifts than planned for a few other people to compensate.

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s