How to be financially prepared this Christmas
With Christmas less than two months to go until Christmas, here are 5 tips to help plan ahead and be financially prepared this Christmas.
Think back to last Christmas and consider where the extra expenses came from. Was it petrol for the drive to the holiday destination? Gifts for new children in the extended family? Wine for gatherings? And don’t forget the taxi fares for the journeys home from nights out.
However you look at it, Christmas is a pricey time of year. If the expense causes stress then the holiday period can be ruined. Here are some tips to prepare for, and enjoy Christmas!
1. Figure out a budget
What exactly are you going to spend on gifts, food, accommodation, drink, fuel, cabs etc.? Be realistic and even pessimistic. If you over-prepare then you’ll end up with a surplus, which is a great result.
2. Christmas saver
Consider opening a new account which you can put a weekly amount into over the next month in order to cover most of your Christmas expenses. Even better, if you have a mortgage account, consider putting the extra money into the redraw section - that way you could save some mortgage interest during the final quarter of the year.
Figure out what you are happy to spend on each person and ensure you stick to it. Give yourself time to think about gifts, working out exactly what each person will receive, to keep your shopping trips short and avoid extra purchases. And negotiate with family members to stick below a certain amount, or to do Secret Santa, in order to keep costs down.
4. Credit card spending
From now until Christmas, make additional weekly payments onto your credit card so you’re not caught out, as many people are, with an unmanageable credit card debt once you roll into January.
5. New year goal
Figure out what you wish for in the New Year and start taking steps towards that goal right now. Whether it is a fitness goal, a new skill, a bucket list item or something as simple as a reunion with an old friend, make sure a small part of the Christmas period is about you by planning for and achieving something special.
Wouldn't it be nice to have financial peace of mind?
Jumpstart your financial planning with a free initial consultation with a Verve Group Wealth Adviser. Book an appointment online or give Verve Group a call on 08 8120 4877 to secure a time.
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