The holiday season is here: the temperatures are cooling, the lights and wreaths are going up, and the store shelves are stocked and ready for holiday buyers. Instead of last-minute rushing through the aisles, prepare your checklist – and your wallet – with these tips and tricks from our friends at Regions Bank. This is a busy time of year for the bank as it helps people build budgets and plan not only for the holidays but also for the year to come.
These insights from Regions are just a few of the bank’s free pieces of advice. Read on to see where you can find a lot more. And here’s to sharing your holiday cheer with everyone on your list … without breaking the bank!
Prep Like a Pro
Last-minute gifts and gatherings can be stressful not only on you, but also your wallet. Referring to a pre-established budget is a great way to keep your spending in check. Set a holiday spending limit of no more than 1.5 percent of your annual income. This budget should include gifts and all the seasonal extras, including turkey dinners, decorations, postage and shipping, party apparel, and charitable donations.
Avoid dipping into emergency funds or going into credit card debt for the holidays. It can be helpful to make a gift recipient list with a spending cap for each person. Additionally, consider opening a separate account dedicated to your holiday needs. You can transfer money from your primary checking account on a weekly, bi-weekly, or monthly basis.
Money Management Tips for a few Weeks Before the Big Day
With your budget in place and your list in hand, you’re ready to make like Santa (minus the helpful elves and traffic-dodging sleigh). Now it’s time to create your shopping strategy:
- Before you spend a single cent, take inventory of what you already have on hand, including stockpiled gift bags and wrapping paper, as well as any gifts you may have bought ahead of time throughout the year – and don’t leave home without your list and spending limits. Consider bringing your spending limit in cash to avoid overspending.
Keep an eye out for sales and coupons, and take advantage of free shipping and searchable discount promo codes for online purchases. You can find coupons and promo codes online using sites like coupons.com.
Buy only must-have, high-demand toys at this time, as many drop in price in December. Do your research before you hit the stores if you’re looking for Black Friday deals. A bad product is a bad buy, so avoid simply opting for the option with the deepest discount.
How to Save Money in December
Now is the time to cash in on last-minute holiday deals. Purchase toys during the first two weeks of December. According to Dealnews.com, the season’s hottest toys typically drop in price during this period — as long as the stores still have some in stock.
With the New Year approaching, now is the time to gather unused clothing and household goods, along with surplus holiday decorations, and donate them to charity. Come tax time, you can take a deduction for items donated by the end of the year. The IRS requires you to calculate the fair market value of donated items (Goodwill’s Value Guide) and obtain a receipt for all donations.
Even after the gifts have been unwrapped, there are still good ways to save for next year. If you depleted your inventory of wrapping paper, tinsel, and curly ribbon, hit the clearance sales for discounts of up to 70 percent. Just be sure to stash it where you’ll be able to find it when the holidays roll around again next year.
For more budgeting and saving tips for the holiday season, visit the Regions Bank’s FREE Next Step Holiday Resource Center. You don’t have to be a Regions customer to benefit. These tools are available to anyone at Regions.com/NextStepHoliday.
