Christmas shopping- Tips To Make It A Success- Part I

In the current bleak economic scenario Christmas shopping can bring in lot of stress both mentally and financially. There is stress of buying expensive gifts for everyone, stress of last minute shopping, stress of long lines at shopping centres, stress of family get together and many more. The biggest worry that haunts many families is the worry of impending huge credit card bills. Below are few practical tips that will keep you smiling even after the festive season.

First of all budget for Christmas

Christmas for many families’ results in huge credit card bills that takes months to clear. These families are typically those who don’t budget and plan for Christmas. If you plan ahead half of your problem will be solved.

Ideally we suggest that one should start planning for Christmas as early as the beginning of the year. However as the saying goes better late than never, there is still time for late comers. The first step in planning would be to work out a rough budget of what you expect your Christmas expenses would be. If you are doing it early in the year we suggest that every month siphon off a portion of your income to meet the Christmas expenses. This way you will not have bear the burden at the end of the year. While budgeting for Christmas remember to account for expenses like the food bills and overseas telephone charges.

For those who have just started planning for Christmas calculate how much income you have between now and Christmas. Every week just take a certain percentage of your income to cover the expected Christmas cost. By doing so you are effectively building a pool of funds for your Christmas shopping. If you are one of those who cannot keep the hands off these funds or cannot resist the temptation of using this money for some other purpose then consider opening say a Christmas club account where you park the funds.

Even after doing this if you find that you are nowhere close to your expected expenses then we suggest that have a look again at your estimated expense.

Buying gifts

True Christmas is all about gifting. However given the current economic scenario this can be a big burden on your wallet particularly if you have a large circle of friends and family. Please remember that Christmas is not a gifting competition wherein you have to win by giving the most expensive gifts. To give or not to give is one big question that will pop up in your head. This Christmas we suggest that restrict gifting to only close friends and relatives. For others just send a Christmas card. In fact given the current economic situation that is what probably many will do. Why don’t you be the first to start the trend.

Also this Christmas why not try something innovative. Like for instance in your group decide to buy gifts only for the children. Or maybe have a Kris Kringle, where everyone draws a name out of a hat and buys a present only for that person. It will be different and definitely be fun. Make some homemade gifts like cookies or a showpiece. Your time spent and thoughtfulness in making these gifts will definitely be appreciated and it will also not be a big burden on your wallet.

If you still have to buy gifts then we suggest that keep an upper limit on the cost of gifts. Categorize your family and friends into different brackets and keep an upper limit for all them.