Last Updated: Tuesday 27th October, 2009
Most of us are strapped for cash right now, but that doesn't mean we have to enjoy Christmas any less. Some forward planning, even in the latest stages of the festive season, can ensure that you save some cash and have a very merry Yuletide. Here are 5 easy tips on how to be merry about your money this Christmas:
- Agree on how much to spend
If you set an agreed spending limit with your friends and family both parties will save plenty of cash and you will buy gifts which require a little more thought. Even £5 can be enough to get someone you love an item, which reflects their personality. For example, a grandmother who loves tea could receive some special tea and biscuits or a nice mug, and a teenage niece could enjoy a collection of colourful nail polishes or a poster of her favourite band. By agreeing to spend a set amount, you also ensure that you don't feel guilty for buying a less impressive present than more wealthy family members buy.
- Only spend what you can afford to
It sounds obvious, but these days with most of us having a credit card or overdraft, we're used to spending more money than we can afford to. Studies have shown that for many people January is the most financially difficult month due to over-spending at Christmas. Create a comfortable budget now and you won't struggle to make repayments (or make ends meet) in the frosty New Year.
- Buy gifts in bulk
Buying gifts in bulk can save you money just like buying household essentials. You can get 3 for 2 offers from many high street shops including Boots and House of Frasier. Supermarkets often offer similar deals on stocking fillers such as chocolate coins and selection boxes too. Everyone loves to receive chocolate at Christmas so why not buy a little chocolate stocking filler for the people who matter most? If you save money on the other gifts and buy chocolates in bulk, it could be easy and inexpensive.
- Use loyalty points and discount vouchers
You collect loyalty points all year and Christmas is a great time to cash them. Supermarkets stock more than groceries over the Christmas period so you could use supermarket loyalty points for real Christmas presents. Boots loyalty point cards can come in handy and some other store cards have loyalty point systems associated with them, which you can take advantage of.
- Buy over a longer period
No one really enjoys braving the cold on a weekday evening to do all their Christmas shopping in one go on the crowded high street. Spend a few weeks or failing that, days before Christmas just buying a few gifts at a time and store them somewhere safe and dry. If you can buy them over the course of the year, that's even better. This same principle applies to the Christmas grocery bounty too, there's no reason why you can't buy sherry at the end of summer and other less perishable items over autumn in preparation for the Christmas period. Squirrel away the gifts and you'll also be squirreling away some cash too.
