Holiday shopping on a budget
It’s supposed to be the most wonderful time of the year, but with the many challenges brought on by COVID-19, it’s important to plan ahead for the holidays this year. Americans typically spend more than $1,000 during the winter holidays1, according to the National Retail Federation, and much of it is financed with credit cards.
Follow these tips to get through the season debt-free.
Make a budget…and stick to it
Just because the average consumer shells out more than $1,000 doesn’t mean you have to. Look through your finances to decide how much you can comfortably spend this year, then assign dollar amounts to each spending category such as gifts, parties, and holiday dinners. Paying in cash will help you avoid overspending. Plus, it’ll ensure you won’t be paying off holiday gifts in July.
Make your list and check it twice (or more)
Before you begin shopping, online or in person, write down all the people you’re shopping for and your price limits. Remember to include teachers, babysitters, and building maintenance workers, or anyone else who you might want to acknowledge. With a list in hand, you’ll be less susceptible to make impulse purchases.
Do it yourself
Skip the crowds by making gifts. A jar of pickles, a knitted hat, or a handcrafted pair of earrings are sure to delight as much as something purchased from a store.
Keep it in perspective
The holidays are stressful. Don’t add to the frenzy with overspending. Staying on budget will let you focus on the things that matter—your family and loved ones.
Fulton Bank, N.A. Member FDIC.
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