How to Navigate Holiday Spending Guilt-Free
The holiday season is a wonderful time of the year, but we can be realistic about its challenges too. For many, the holidays take a toll on our energy, our waistbands, and certainly our wallets.
Holiday spending is part of the annual tradition, but that doesn’t mean that guilt should be. Let’s explore some habits and tips available to help you to navigate the holidays with a sense of financial stability and leave the guilt out in the snow.
Another approach is to pay off your smallest balances first, building momentum towards larger repayments. This tactic can ease your post-spending stress, and help you stay above water by checking balances off the list. True to the holidays, this strategy is known as the “snowball method.”
When necessary expenses do arise, consider the tools at your disposal that can help lighten your burden. Have you accrued credit card points from your holiday spending? If so, consider putting those points towards post-holiday costs.
Point Breeze offers personal loans with as low as 8.95% APR. Apply online or in person at your local Point Breeze branch.
2. Holiday Club Savings
A Holiday Club Savings account is a fun and effective way to shore up your funds for the season and reduce the stress of post-holiday bills. Accounts can be opened at any point in the year, with automatic annual renewal. Funds are distributed in mid-October, just in time to budget for a new holiday season.
Holiday spending is part of the annual tradition, but that doesn’t mean that guilt should be. Let’s explore some habits and tips available to help you to navigate the holidays with a sense of financial stability and leave the guilt out in the snow.
The Basics
Budgeting and Recovery
Track your holiday expenses this season and assess them against what you budgeted for. This should give you a sense of how much you’ve deviated from your financial capacity. Point Breeze mobile banking neatly lists out your expenses, helping shoppers make spending decisions accordingly. Consult this list (or your own tracking) and see where your account stands.Strategic Repayment
When time comes to repay outstanding balances, be strategic. Have you made purchases on a higher interest credit card? Tackle those payments first and save on interest fees down the road. From there, move down to other cards with more favorable rates, if applicable.Another approach is to pay off your smallest balances first, building momentum towards larger repayments. This tactic can ease your post-spending stress, and help you stay above water by checking balances off the list. True to the holidays, this strategy is known as the “snowball method.”
Shopping Smart
If holiday spending has you in financial recovery mode, stick to necessary expenses to the best of your ability in January. By avoiding impulse purchases and other discretionary spending, you can begin restoring your savings and get back on track in the new year.When necessary expenses do arise, consider the tools at your disposal that can help lighten your burden. Have you accrued credit card points from your holiday spending? If so, consider putting those points towards post-holiday costs.
Explore exchanges
While every gift is appreciated, not everyone hits the mark. That’s why many stores offer generous return policies, extending the window of time in which purchase can be exchanged. Take advantage of this holiday flexibility, where you may be refunded some money to repurpose as needed. These periods exist for a reason, no need to feel guilty!Keep an abundance mindset
Remember that by the time the holidays begin, the money you have spent is behind you. Approach the season with an abundance mindset, rather than one of scarcity. Gifts are meant to be enjoyed. Make peace with the gifting spirit of the season, and you’ll more fully enjoy spending this special time with the people you love.Point Breeze Picks
1. Favorable Holiday Loan RatesPoint Breeze offers personal loans with as low as 8.95% APR. Apply online or in person at your local Point Breeze branch.
2. Holiday Club Savings
A Holiday Club Savings account is a fun and effective way to shore up your funds for the season and reduce the stress of post-holiday bills. Accounts can be opened at any point in the year, with automatic annual renewal. Funds are distributed in mid-October, just in time to budget for a new holiday season.
Point Breeze Credit Union is a full-service financial institution with locations throughout Maryland.