Managing Your Finances During the Festive Season

Managing Your Finances During the Festive Season

Written by
Lewis Orr

Managing Finances in the Holidays

So, you’ve left your shopping to the last minute and are tempted to grab the closest items to avoid the Christmas crowds. But hang on a second, it's three times the amount that you wanted to spend! Your family, partner and friends all expect gifts this Christmas and managing your money won’t be as easy at this point. Don't panic, we can help. Three tips follow.

1.    Give time, not stuff

Sometimes volunteering your time to a charitable cause alongside a friend or cooking your spouse dinner is more valuable than a $100 gift voucher that is often destined for the bottom of a draw (never to be seen again). Treat your time as money. See where it takes you.


2.    Set a price limit for gifts

48% of Aussies will cut costs this Christmas season by setting a price limit with family and friends[1]. This way, you can ensure the equal distribution of your love. And you can ensure the exchange is not one-sided. Many workplaces and families also conduct a “Secret Santa” system to economise. If you’re unsure of how this works, read the rules.


3.    BUDGET

The transfer of money is more and more invisible. We move from cold cash to digital devices. As easier as it now is to track our money, the easier it is to forget it. Plastic cards replace coins. Traditional budgeting is worth a look. An app recording your accounts in the background is not the same as managing them. For a week, try recording what you spend. Every dollar counts at this time of year and best not left to impulse. Consider Christmas for example. If you record what you wish to buy for each person, along its price, adding it all up could save your bank account.

[1] https://www.finder.com.au/australias-christmas-spending-statistics

[1] https://www.finder.com.au/australias-christmas-spending-statistics