Ways to save money at Christmas time seems like a topic appropriate to Ebenezer Scrooge and other such jolly folks (don’t you love the name ‘Scrooge’?) On the one hand, the economy in a tailspin, uncertainty is rampant and frankly, it’s only going to get worse. On the other hand, it’s our biggest holiday of the year and we want to have a wonderful time, and especially give our kids a glowing, wonderful Christmas. How do we accomplish both goals? In the spirit of Tiny Tim, here are a few money tips that might help.
1. Take a cold, hard look at your gift list. Are there folks on there that are only a holiday-tradition-in-the-worst-sense-of-the-word? Meaning, you’ve been exchanging gifts for a long, long time but you’re not sure why anymore? They might be relieved to end the tradition, too.
2. One of the best ways to save money is to make a Christmas budget – and then stick to it, no matter what. Yeah, I know. That requires a lot of discipline. But if you’ve budgeted $25 for your niece – and then see a necklace you KNOW she’d adore, and after all it’s only $39.95 and it is on sale …
3. It’s easier to follow these savings tips if you use cash or a debit card, rather than a credit card. After all, a bill that won’t come due for months and months seems a bit easier than cash now. But with a credit card, you might end up spending that $25 now – and $39.95 in the long run.
4. Yes, you’re terribly busy and don’t have time to shop – but do it anyway. Have you ever seen the WalMart parking lot on Christmas eve? It’s enough to make Wonder Woman feel faint. When you’re desperate you grab any old gift and pay way too much. Not always, but why subject yourself to that stress?
5. Time for a real toughie … what about those Christmas cards? Do you truly need to send out 4,261 cards? Want to know how to save money in a big way? Cut back on your list. The cards are expensive, the prep time is lengthy and the postage bill is huge.
6. More advice that seems Scroogie on the surface, but actually makes sense: watch the budget on wrapping paper, bows, gift tags, etc. That beautiful, glittery stuff can really add up, but if you’ve ever seen kids descend on their loot with the enthusiasm of Huns at a massacre, you can see that it’s not quite as important as we always thought it was.
7. And what about some ‘homemade’ gifts? I remember an ornament swap with about 50 close friends and I took an ornament that I had made, rather than purchased. The most fought-over, sought-after ornament at the party was … mine! If you can’t make something practical, then food is always a welcome gift.
8. And now for the toughest ‘how to save money’ tip of all: don’t buy anything for yourself! It’s tempting, and I usually do it myself, rationalizing that I’ll never find such a bountiful ‘whatever’ again in my long and wicked life. But we’re going to be receiving presents at Christmas, as well as giving them, so do we really need that whatchamacallit? Really?
We all want to have a merry Christmas, and that extends to the months after the gala holiday – if we’re not buried under crushing debt. These helpful savings tips are ways to save money and still have a wonderful time.
Taira67 says
So true especially about the gift wrap. Buy it at the dollar store! People care about the gift – the only one who pays attention to the quality of the wrapping paper is Martha Stewart, and she’s probably not on your Christmas list.
Jim says
One great way to save money and you will thank yourself for it is not to use credit cards or consumer credit to purchase your gifts. Make a budget and use discipline to stick to it. Yes you will have to work harder to find gifts to fit the budget but they are out there.
pennyh says
Another great way to save money and send a gift they will talk about for years is to create a personalized fabric postcard.
These are tiny little fabric quilts that can be made from bits and pieces of fabric, yarn, buttons or any number of other items that are special to you and your friend or family member.
You can make them using a quilt block pattern, or create one free-form.
They can be made in just a few minutes, or you can take hours and create a masterpiece.
If you don’t have any fabric around, check out a local thrift shop. Sometimes they have fabric yardage; if not, you probably can find a shirt or dress that you can use.
Have fun with it – a fabric postcard delivered by the postal carrier is sure to be the talk of the town for years. And they will certainly understand and appreciate the effort you made to make their Christmas something to remember.
Tom says
Hi Sydney, you make some very good points in this article and I think these are great things to be mindful of during the holiday season, especially in these trying times. I really liked your first point about trimming down the Christmas list from the get-go. Many times people exchange gifts out of a tradition or a sense of obligation, and it might just be better to nip it in the bud.
As a personal example, a few years ago my brother and I talked with our cousins and we all decided it would be better not to exchange gifts at Christmas. Not only were we all poor, fresh out of college and trying to make it, but it was always the biggest pain shopping for each other (especially our girl cousin, we honestly had no clue). We were just all together for Thanksgiving and worked it out so that we could focus that money and energy on other aspects of our lives. Nobody’s feelings were hurt and we still have a great time together during the holidays, it just relieves that extra pressure that isn’t really necessary to begin with.
I think having an open and honest conversation really helps with this kind of stuff. Like you mentioned, the other person is probably thinking the same thing.
Jeff R. says
I completely agree on the budget thing. We’ve been putting together a budget for the last three years, and we always force ourselves to come in under. It’s helped a lot, and we know how much we’re spending in the long run. You really have to avoid those “impulse buys”.
We’ve also dropped “professional” Christmas cards and started taking our own pictures and using Walgreens to print them out. It’s a lot cheaper that way.
Lady63 says
Thanks for these tips Sydney. These will help me on my goal to save more rather than spend more this holiday season.
ebenezerheng says
This is especially important and I like the way that we can still bless people with gifts during this diffcult time with a different way to wrapping and gift giving. A very good article on how to find innovative ways despite this difficult time…
Dennis Hester says
I have found a big savings in opting to send FREE e-cards and my children’s Christmas artwork instead of exspensive Christmas cards.
Tanya says
Your point about cutting down the Christmas list is very sensible since exchanging gifts with people when you are not financially able to do so is foolish and can wreck anyone’s budget. Why not limit your list to children and adults who you really want to exchange items with and agree on a maximum purchase amount prior to the holidays? I also send the free cards that charities send me at the holiday season as those cards are often more tasteful than the over priced boxed ones in stores.
jc says
Very good list. I think people need to be reminded of our sloughtful ways, which cost money. Christmas comes once a year so buying the previous year’s after ornaments and stuff is another good way of cutting costs. This year, instead of giving gifts to co-workers that cost money, my wife is making cookies for everyone. The cost is minimal and it goes along way.
jay says
I convinced my wife not to buy more ornaments and other decorations this year. That was a money saver! We have enough decorations already. My view is they are only out for about 4 weeks a year and in the closet the other 48 weeks. We don’t have a lot of visitors and even when we do, they don’t really look at the ornaments much anyway.
daniel says
i really beleive on these saving tips . after all we usally only waste money on unnessary things on the holidays and christmas being one of the biggest most expensive holidays . thanks these tips really are true and help alot if you stick to them hey and maybe you wont lose your house after christmas jk lol