The holidays are packed full of money-spending opportunities. There are birthday and Christmas gifts to buy, holiday travel or vacations to book, or just additional family members to cater for at home. In all the excitement and festivities, it can be difficult to keep track of your spending or stick to a budget. For many South Africans, the end of year holiday season is the time that they succumb to debt and overspending.
Don’t let debt ruin your holiday
While it can be difficult not to overspend in the holidays, avoiding it can mean a more stress-free season and year ahead. There are some easy ways to stay above the high levels of expenditure this holiday season. Firstly, drawing up a budget for holiday spending is essential. Think carefully about what your family needs to spend money on, starting with the regular monthly expenses and then adding in holiday expenses. Sticking to a budget is easier if you have one drawn up in clear terms and allotted sections. The second step is saving: if you haven’t already started putting funds aside for the holidays, it is never too soon to start saving. Any extra monies from previous months can be put aside to add to your holiday spending amount. Another aspect of saving is smart spending. When you book your holiday accommodation, for example, first price-check different options and opt for the most affordable. There’s no need to pay for five-star prices when three-star will ensure you don’t go over budget. The same applies to all your holiday spending, whether it is gifts, travel, or just groceries.
Have enough left for the upcoming year
Upon receiving that thirteenth cheque, a trap many fall into is to spend it all without putting some aside for savings. It’s important to plan for the future, even if it is just one month at a time. When spending money this holiday season, make sure your budget allows for enough money left over for the next month. To avoid falling into debt, practice responsible spending this holiday, and enjoy a more stress-free and relaxed season. Contact One Debt for more tips and advice on how to spend your money wisely.