4 Budget Tweaks You Need To Make Now for Holiday Shopping
Written by
Chris Adam
Edited by
Jenna Klaverweiden
Commitment to Our Readers
GOBankingRates' editorial team is committed to bringing you unbiased reviews and information. We use data-driven methodologies to evaluate financial products and services - our reviews and ratings are not influenced by advertisers. You can read more about our editorial guidelines and our products and services review methodology.
20 Years
Helping You Live Richer
Reviewed
by Experts
Trusted by
Millions of Readers
If you’re like many shoppers, you plan to spend nearly $900 to celebrate the holiday season this year. Consumers are looking to spend $890.49 per person on average on gifts, food and other seasonal items, according the National Retail Federation. It’s the second-highest amount in the survey’s 23-year history.
Now is a good time to start planning your budget for your holiday shopping. “Don’t wait until December to start thinking about holiday shopping — start now and make it easier on yourself when December rolls around,” said Annie Cole, Ed.D., money coach and founder of Money Essentials for Women. “Even the smallest budgeting shifts can make a huge difference in helping you save up for holiday shopping.”
Here are four budget tweaks to make before you starting your holiday shopping this year.
Plan Your Meals
Cole said one tweak to make is to plan your meals ahead of time each week and buy only the groceries you need.
“Set aside the extra cash you would have spent on groceries into a savings account for holiday shopping,” she said. “While you’re at it, put that cash into a high-yield savings account to earn interest while it sits there.”
Reevaluate Your Discretionary Spending Now
Before the holiday rush, review last month’s expenses to identify areas to trim, like unused subscriptions, delivery fees or impulse buys.
“Redirect those savings into a dedicated holiday fund,” said Christopher Stroup, founder and president of Silicon Beach Financial. “Small, intentional adjustments now help you stay festive without dipping into savings or racking up high-interest debt.”
Set Up a Per-Person Spending Limit
Taylor Kovar, founder and CEO of 11 Financial, said if you tend to overspend on gifts, try setting dollar limits per person instead of just a total number. This can make spending decisions easier when you’re shopping.
Automate Short-Term Savings for Gifts
If your budget already doesn’t include an automatic contribution to savings, make that tweak now. Stroup said to set up a temporary automatic transfer to a “holiday fund” account each week.
“Even modest deposits like $50 or $100 add up quickly,” Stroup said. “Automation removes emotion and helps you stay disciplined, freeing your mind to focus on celebrating, not stressing about January’s credit card bill.”
More From GOBankingRates
