Budgeting for your December festivities now
We’re half way through the year already (can you believe it) and as much as we hate admitting it – talk of the festive season and Christmas holidays is starting to come up. And with this comes the reality of saving up for the extra expenses that come with the entertainment, presents and vacation costs linked to these holidays. What normally happens is we put off any attempt at saving until closer to the festive season, and then find we haven’t given ourselves enough time to save so we are flat broke come the start of the New Year.
So how about this year starting to save for your festive season EARLY! That way you’ll have enough planning and time to afford the December holiday luxuries without the stress of putting yourself into debt for the months of January and February.
Local Radio DJ and TV presenter, Kriya Gangiah is becoming a seasoned pro on how to budget and plan for the December festive period, and here are just 4 easy tips of how you can do it too.
1. Budgeting means planning ahead
Preparation is the key to budgeting and it can actually make your budget work for you, rather than against you. With an idea of how much you spent the previous year, it’s crucial to start planning for this year as early as possible. This is especially true when it comes to planning a holiday over the December period. Because this is peak season, most places will get booked up fairly quickly and the more affordable and value for money spots generally are the first to go! So be the early bird that gets the worm and start making tentative bookings now that you can also look to pay off over an extended period of time and help put less pressure on your bank balance.
2. Put away money from now
Having just crossed the halfway mark of the year, part of your planning should include putting away money each month on your savings account to get you through the ‘silly season’. Even if it’s a small amount – a few hundred rand here and there – every bit will count in the end!
3. Don’t Go It Alone
Another handy insight is to try share costs with other people. Invite some friends and/or family members to join you on your trip and divide all the expenses equally amongst yourselves. Not only will this ultimately leave you paying less for your holiday, but you’ll also probably double the fun spending quality time with those closest to you.
4. Gifts
When buying gifts, keep to your spending limits with the “envelope strategy”. Decide with your partner and family members how much you will spend on specific budget items (like gifts and entertainment). Draw that money in cash and put the exact amount into sealed envelopes. This should go a long way to ensuring you stick to the budget. When you go shopping for presents, go with nothing more than the envelopes and start even looking for those special ‘sale’ items now to get more bang for your buck.