This is the announcement you need to plan for Christmas right now. No more waiting around. I know it’s only January, but by preparing for Christmas from today, you can spread the cost of the festive season throughout your 12 months. Here is how to plan for Christmas right now and lessen that financial pressure and overall stress that so often appears in those last few weeks before Christmas Day itself.
How Much Did You Spend Last Christmas?
The first thing you need to do is look at how much you have spent for previous Christmases. There is not a lot we can plan in this world. Events of the last few months have shown us that. But we can plan for Christmas! It comes around every year. We know exactly what it will arrive and by equipping yourself with some basic knowledge you can conquer it easily. Maybe average out the last few years of how much you’ve spent, or simply look at the statements for the most recent Christmas. This is how much you’ve spent, but did you overspend or under spend? Figure out how much you want to budget yourself for Christmas. This includes food, presents, family activities. This is your target amount to save for the season.
A Dedicated Christmas Savings Account
Now you have that figure, you need to set up a separate Christmas savings account. This can simply be a savings account attached to your current account. Many of these you can set up in a few minutes via your banking app. You’ll be able to give it a festive name and know exactly how much you can put into it. Divide the amount you want to budget for Christmas by 48. This gives you 11 months to save, so you have what you need a few weeks before Christmas.
If it’s £500 you need, that’s £10.42 a week. Maybe do it monthly instead? Which would be £45.45 every month for 11 installments. Set up automatic transfers from your current account to your dedicated Christmas savings account. You’ll likely not even notice this money trickling out each week. You’ll then come to the end of November or beginning of December knowing the money is there, ready and waiting. No more fretting about where to get money for presents! Plan for Christmas now and you have what you need when Christmas comes!
Gifts On Offer
Put your plan for Christmas in place now will let you save up throughout the year. This means that you can dip into it should you see gifts on offer throughout the year, If you know exactly what your loved one will want, why wait until December to buy it? If you see it for 50% off, get it! Having some money in a dedicated savings account means you can pay for it with that money. Simply transfer the amount back from your savings to your current account. You’ll be able to make your money go further by buying things at good prices, rather than waiting until everyone is searching for things closer to Christmas.
Take a look at these Christmas gift ideas for kids.
Cut Back
Remember not to do tit-for-tat gifting and if you don’t want to exchange gifts this year, have the conversation with someone. You’ll be surprised how many times people feel the same and would rather save the money. Who really needs another gift set of toiletries they won’t even used? Maybe suggest just buying for the kids this year, rather than exchanging unwanted presents or swapping twenty pound notes? Cut back on the food you overbuy, the decorations you don’t need and unnecessary trips out. Time together and a Christmas movie is awesome! Maybe consider making your presents this year? It’s amazing how much a personalised and hand made gift can mean!
A little bit preparation and a plan for Christmas will help you enjoy it more. It will remove some festive stress, allow you to organise things easier and then relax yourself into the season. If you need to travel for Christmas, you can sort stuff out well in advance, as well as making sure you get your Christmas cakes made ahead of time. You might even have a stash of Christmas wrapping paper that you can get in order. Get yourself to a family carol service, embrace the freebies of the season and wander through the fairy lights with a flask of hot chocolate. Plan, prepare and watch the pennies and pounds for Christmas.
Check out these top tips for small businesses at Christmas.
