Six Ways to Avoid Overspending at Christmas

Christmas can be an expensive time of year, with the average family not paying off their seasonal debt until April.

But there are many ways to manage your festive finances and keep them under control – starting with working out a careful budget to calculate exactly what you can, and cannot, afford. It’s a simple step – in fact, it forms the basis of most of our branch-based customer meetings – but the importance of it can’t be stressed enough.

#1 Make a list and stick to it

Don’t plan the “perfect Christmas” and then work out how to pay for it. Instead, work out what you can afford and then ask yourself what is the best Christmas I can have with the money I have and work from there. It’s just one day. Ask yourself, is it worth spending so much that will have to pay it off for months to follow? Is it worth it?

#2 Try to keep present buying to a minimum

When we’re spending an average of almost £500 on loved ones this Christmas, a family Secret Santa is a brilliant way to keep the expense to a minimum whilst having lots of festive fun.

Remember – most of us want fun, not expensive gifts.

#3 Give personal gift cheques

Presents don’t have to mean mega money. One easy idea to avoid over budgeting is to give personal gift cheques. Download them here and sign yourself up to babysit, cook a meal or walk the dog for a week. It could be anything. Whatever you decide to give, it’s a wonderfully personal gift.

#4 Make the most of them being little and save on the splurge

Little ones really don’t understand or value the cost of presents. They don’t care if it costs £5 or £500. As the saying goes, they often prefer the box to the present. But rest assured, as they get older, their expectations will rise. So, you’re better off saving the cash while you can.

#5 Shop around for the tastiest deals

Shop around and take advantage of supermarket offers and ‘price wars’ in the run-up to Christmas. There are some real savings to be had.

And be a yellow sticker hunter. Supermarkets often make final reductions on food that’s about to go out of date just before they close. By nipping in just before it closes, you could bag yourself a bargain. Discounts range from a few pence to more than 90%. Just check what can and can’t be frozen and again plan for when you need it.

#6 The best things in life are free

Christmas family fun doesn’t have to be costly. Whether that’s driving around in the dark to look at the most lavish local lights and illuminations or just digging in to watch a Christmas movie together, you don’t have to splash a great deal of cash to put a smile on everyone’s faces. The true meaning of Christmas is about spending special time with loved ones.