Have you ever had a stressful Christmas financially? Yes, you had a great time, but in hindsight, you spent too much money and felt that financial hang-over in the months that followed.
Besides the beginning of spring, did you know that March represents another turning point?
March is the first month that many people get back in the green with their credit cards. Yes, it takes a month or two for some households to pay off the additional purchases from Christmas.
So, if that’s you, you are not alone.
And you just might love today’s Money Tip:
Start saving for Christmas now. Yes, in spring.
Imagine what it would feel like to go through Christmas buying the gifts, food and family experiences you wanted without the financial stress?
Imagine how much more you would enjoy the holidays. You wouldn’t have to worry in January when credit card bills came. You’d already have the money saved, and therefore would avoid those high interest charges.
Save in 3 Simple Steps:
- Decide how much you will spend at Christmas.
- Divide that amount by 10. (or the # of months left in the year)
- Each month from now until Christmas, put that in a savings account.
For example, if you typically spend $1000 at Christmas, put $100 away each month from March to December. If you spend $2000, put $200 away.
Not sure how much you spend?
Review your bank and credit card statements to find out. This can help you decide whether the amount is within your means, or whether you’ve been over-extending yourself and then feeling the pinch.
3 Thoughts Around Conscious Spending & Saving
1. If you feel you don’t have that kind of money to save every month, consider that you may not have that kind of money to spend at Christmas either.
2. In our instant gratification society, saving has become a lost art.
We buy first and then figure out how we’ll pay for it later. That’s a dangerous path, especially if other unexpected expenses or life changes occur. With the exception of perhaps homes and cars, what if you got into the habit of saving for things you wanted in advance? This would teach you patience, priorities and perseverance.
Yes, there may be times when you borrow to invest in things like education or a business opportunity that will generate a return in the future. This return is great enough to pay off the borrowed funds and more. But Christmas spending isn’t the same thing.
3. If you discover that the amount you spend on Christmas is excessive or beyond your means, ask yourself why. In coaching women around gift-giving, I’ve noticed that many can feel they need to shower others with gifts to express love and to feel loved and valued themselves. This need can run deep and reflect your sense of worth in the world. So gift yourself lots of compassion as you look at this for yourself.
What if you were enough without spending a dime?
What if Christmas could be redefined around quality family time and gifts that didn’t break the bank?
Children could also benefit from learning to save and not getting everything they wanted right away. That’s a valuable life lesson right there.
So, gift yourself this simple savings plan. It will empower you the whole year through.
Love & abundance,
Paula
