How to Create a Christmas Budget

Christmas is the happiest time of year. It’s also the most expensive. It’s not just the presents that break the bank. Food, drinks, parties, dresses, visiting relatives all cost money. The sooner you start saving, the less you’ll have to panic about your finances in December.

Calculate your Christmas budget today. Write down every expense you can think of, including gifts and travel costs. Don’t forget about small things like wrapping paper. Small things can add up to large debt.

Once you know how much money you’ll need, it’s time to start saving. Here are eight tips that will help you maximize your Christmas budget:

1. Start saving today. Set aside a little every week between now and Christmas. It’s much less painful than trying to come up with the whole amount on December 24th.

2. Start your Christmas shopping now. The more time you have, the more you can shop around and look for sales, discounts and other great deals.

3. Get crafty. You can make many of the things you would normally buy for a fraction of the price. Your friends will appreciate handmade cards and gifts. Make your wrapping paper from colorful magazines. String together some popcorn and cranberries to make beautiful, rustic tree decorations.

4. If you’re not going to see some of your friends until after Christmas, wait for the January sales to buy their presents.

5. Don’t use a money jar. Open a savings account for your Christmas savings so the money accrues interest. You’ll be less tempted to dip into the fund early.

6. Take advantage of complimentary gift-wrapping services offered by some stores. It’ll save you time and money.

7. Use a comparison site to compare prices before you commit to buying anything. That way you’ll know you’re getting the best deal for your money.

8. Buy in bulk. You can save up to 30% on food and drink if you buy in catering-size. If you don’t have a large family, join up with friends and relatives and share the savings.