Money Saving Tips for the Holidays

holidaysavingtipsDecember has arrived, and with it come an host of opportunities to overspend. With an array of seasonal activities — from entertaining and decorating to shopping and gift-giving — budgets can easily be cast aside, and debt can quickly mount. Avoid starting the New Year with a stack of unwanted bills, and follow these simple money-saving tips for the holidays.

Gifts

Traditionally, gifts account for a sizable portion of holiday expenditures. To avoid financial surprises, set a total budget for your holiday gift spending. Then, make a list of everyone you plan to purchase a present for, and determine a spending limit for each individual. If you tend to have a tough time staying within your spending limit, carry cash rather than credit cards. This way, you’ll have no option other than to buy exactly what you can afford. If buying gifts isn’t financially feasible, give something without a price tag, and gift your time. Turn your hobbies and skills into handmade gifts or valuable services. Or, if you have friends or loved ones with young children, volunteer yourself as a babysitter. In doing so, you’ll provide a much needed night out, a gift that all parents can appreciate.

Cash In

Have you ever received a gift card you know you’ll never use? Don’t cast it aside; sell it! Try using sites such as Craigslist, eBay or Plastic Jungle, and put whatever money you earn toward your holiday budget.

Online Deals

Although some gifts require in-person purchase, most can be bought online. Internet shopping is a great way to find deals and save money. Subscribe to email alerts on sites of interest, and you’ll receive instant notification of special sales. Similarly, a lot of companies offer free shipping with orders exceeding a certain amount. Take advantage of this offer on sites with multiple departments, which can accommodate a wide variety of gift recipients. Also, don’t miss out on Free Shipping Day, December 16, 2011: a one-day free shipping event that guarantees delivery before or by Christmas Eve.

Entertainment

The holidays lend themselves to tons of free and low-cost events, a fact that will allow you to enjoy yourself without spending a lot of money. For instance, take a walk around your neighborhood and appreciate the assortment of Christmas decorations, attend a local tree-lighting ceremony or go to your town’s annual holiday parade. To enjoy cost-free merrymaking and refreshments, join your co-workers for the company sponsored holiday party. If you have many holiday gatherings to attend, purchase a discounted case of wine, and thank each host with a bottle.

Holiday Paraphernalia

The cost of holiday cards, wrapping paper and decorations often stacks up to unanticipated levels. To save money on greeting cards, recycle old cards by cutting them in half, keeping the front image and using it as a post card. You can involve the whole family and make your own greeting cards with some markers, construction paper and a little creativity. Avoid purchasing pricey wrapping paper by buying it during the off-season, and in bulk. You also can find simple butcher-block paper to use for wrapping gifts.

When it comes to decorating, there are a number of ways to be frugally festive. Start by bringing the outdoors inside, with sprigs of holly, pine cones and tree boughs. For a unique twist, purchase gold or silver spray paint, and add a dash of glamour to your otherwise natural decor theme. Also, rather than spending money on a new Christmas tree every year, invest in a quality artificial alternative that will last for many years and result in a substantial annual savings.