How you spend your money in December have an impact on your finances in January. Will
you start the year anxious about the large debt you have incurred, or will you be pleased
and stress-free knowing that you haven’t overspent? Think twice about over spending your
hard-earned money during this holiday season.

Tis the season to… exercise restraint

Most people tend to go overboard over the December holidays. What with Christmas and
year-end bonuses, many spend lavishly during this time, without a thought for the
consequences which will hit hardest in the new year. Enjoying the holiday season without a
carefully prepared plan is likely to lead you into the over-indebted trap, with damaging
consequences come January.

Tips to help

 Create a budget – and stick to it, no matter what. Decide how much money will be
available for extras such as entertainment and treats, and don’t be swayed into
spending more than your budget allows.
 Put your credit and store cards away – as tempting as it may be to spend money
something you want, instead of need, using your credit and store cards just means a
larger amount of money that you will have to pay back. Plus interest.
 Make good use of your year-end bonus – why not use a percentage of it to settle
small debts. This will also improve your cash flow. And come January, you’ll have
peace of mind knowing that these debts are paid.
 Consider a homemade or alternative Christmas – try something different this
Christmas. Instead of paying large sums of money on gifts that can quickly lose their
appeal, consider homemade gifts like those that can be made (with love) in the
kitchen. If Aunt Jane loves fudge, she will really appreciate a box of the homemade
variety much more than the same bath products she gets year after year.

Use a small percentage of your bonus to treat yourself, after all, it is a bonus for your hard
work throughout the year. Then put the rest away as savings. This will certainly help keep
January stress-free.

Need advice on spending less this December? Speak to One Debt today.