Enjoying Black Friday While Maintaining A Budget.
Getting caught up in the holiday spirit of shopping during Black Friday and the rest holiday season can be a huge drain on your savings or income. Creating more bills by spending money that you do not have, building up credit cards and different lines of credit. The best way to avoid the pitfalls of overspending during the holidays is to set up a budget and a plan so you will not start the new year with huge amount of debt. Here are a few tips to help you get through this season.
Tip 1. Set a spending amount before the holiday shopping season begins.
Before you start out shopping on the morning after Thanksgiving, establish the total amount of money that you want to spend on all expenses for the holidays. When thinking about expenses you should consider everything which includes travel, parties, food, and any other expenses that you think could pop up besides simply gifts.
A good rule of thumb is to not spend more than 1%-2% of your income. Hopefully you have a savings account set up just for the holidays or have other resources without using credit cards or taking out loans in amounts that you cannot pay back without incurring interest on the money you are borrowing.
Tip 2. Make a list of who you plan on buying a gift for and how much you plan on spending on each gift.
One of the easiest ways of breaking your budget is by spending too much money on someone on your list or by having to run out and purchase a gift on someone who you forgot about when you thought you were done shopping. A great suggestion is to make a list of everyone who you plan on buying a gift for this season and decide an amount that you will not spend more than for each gift.
If you don’t have a planned budget for who gets a gift and the amount, it can be easy to overspend. By sticking to your list it will help you stay within your plan and make sure you don’t miss anyone that you will be rushing to shop for at the last minute.
Tip 3. Don’t destroy your budget by overindulging on your significant other.
This tip is not always an easy one to follow. Many people blow their budget by purchasing huge gifts for their mate. One of the easiest ways to make sure you both stay within your budget is to agree ahead of time what you plan on spending on each other. Another idea is buy a gift that the two of you can use together such as a cruise, a television, or something else that is for the two of you.. That way you are purchasing something that the two of you can use and enjoy together.