Before you bring up the Christmas decorations and head out to the stores to knock out your list, take the time to look at your finances to make sure you’re shopping responsibly this holiday season.
This year could look different than years previous, so knowing where you stand now can save you some financial heartache later. Ideally, your holiday expenses have accounted for since the beginning of the year. However, for most people, holiday spending isn’t about what you’ve planned for, but what circumstances will allow.
1. Review Your Current Budget and Spending
Instead of starting with your friends and family’s wish list items to create your budget, you need to identify how much money is available for spending.
Start by revisiting your most up to date budget to understand what you’re currently spending, what spending can get cut, and what money is left over.
Highlands Community Bank’s online banking platform should make it easy for you to pull your bank statements to make sure no detail is left out. Leverage at least the last three months to get a clear picture of your current finances.
2. Prioritize Your Spending
Depending on how your current financial standing, you may need to make some adjustments to your spending to make room for gift purchases. It’s going to be a busy season, can you cut back on your television streaming services? For every few dollars you save on a subscription, you can spend a few more dollars on gifts.
In addition, Remind yourself what matters this season. After a difficult year, maybe the greatest gift is simply being happy and healthy together. Not all gifts come in the form of storebought items.
3. Leverage Your Savings
If you signed up for Highlands Community Bank’s Christmas Club Savings, you may have more peace of mind this year when it’s finally time to go out and start making purchases. If you have a general personal savings account, consider how much you’d like to withdraw for your holiday spending and do your best to stick to it!
Whatever your holiday season looks like this year, Highlands Community Bank is here to help you make it special.