Start the annual binge with a realistic view of how much you have to spend. Review your income and set expenses. What’s left over is what you can spend. (This is the time of year when too many people remember that they vowed last year to start a savings account especially for the holidays. Too late now.)
Work from a list, Write down every person to whom you want to give a Christmas remembrance. Even co-workers, the teachers and the neighbors. Remember to expect the extra expenses in foods, decorations and charitable donations you give at this time of year. If there are parties and special events that might dip into your budget, add them. If your plans include travel, that’s a big one. Start with that and build around it.
Go through the list and realistically determine how much you can spend for everyone on it. Homemade is good. Simple is easy. Trying to impress the recipient usually gets you into trouble budget-wise. This is a time when the old saying that “It’s the thought that counts” becomes operational.
Stick to the plan. It doesn’t take much of a hard left turn to put you off-track. Calendar your shopping, trying to categorize into foods and gifts. Don’t try to cram too much into a single shopping trip. When you get tired, you’ll be tempted to “buy anything” just to get the task behind you. Don’t weaken.
Keep track as you go through the process. Make adjustments if necessary, with your eye on the bottom line at all times. Keep your list up-to-date, crossing off the items as you purchase them. Once you have crossed them off, forget them. Second thoughts can be costly.
If you can wake up on Jan. 1 free of worry and ready to begin a new year with a clean slate, you’ll be glad you took the trouble to make your holidays debt-free.