With the holiday season approaching, financial advisor Nora Yousif advises getting a head start on your shopping to avoid debt and stick to your budget. Here’s how to plan effectively:
Budget Planning: Determine how much you’ll spend on each person and total that amount. Divide the total by the number of months left until the holidays to set aside a manageable amount each month.
Address Inflation and Debt: Nearly a third of shoppers are altering their habits due to inflation, and 27% are considering credit or buy-now-pay-later options. If you have existing credit card debt, consider transferring balances to a 0% interest credit card to avoid high interest rates.
Shopping Strategy:
- Start Early: Many people begin shopping by Halloween, and retailers often offer early discounts.
- Track Prices: Use price-tracking tools to get the best deals.
- Timing: October is ideal for electronics discounts, Black Friday for clothing, and December for toys.
Personal Touch: Consider homemade gifts like baked goods or crafts, which can be more affordable and meaningful.
Set Spending Limits: Capping spending per person and setting expectations can help manage your budget.
Prioritize Purchases: Buy popular items early to avoid last-minute rushes and potential stock shortages.
By planning ahead and following these tips, you can navigate the holiday shopping season more efficiently and economically.