IN A WEEK’S TIME, the littlest of us around Ireland will be getting ready for Santa’s pending arrival, making sure there are milk and cookies for him, carrots for Rudolph and that our stockings are neatly within filling distance.
And the rest of us? Well, a few of us might be stressing about making sure our favourite little people have the best day that they possibly can.
And when money is an issue, that can be very difficult.
That’s why we asked Belinda McGreal, a Money Advice Co-ordinator at MABS for the inside track on how to get through Christmas without overspending.
The most important thing to keep in mind this Christmas? Not to lose the run of ourselves in the eleventh hour, says Belinda:
People forget that it is just one day – and that the shops are only closed for one or two days. Don’t panic, avoid getting swept up in the excess and overspending that is common at this time of the year. January will follow December so try to take a common sense approach.
Easier said than done maybe, but consider this:
Be realistic – how much more do you actually need in the house? There tends to be a lot of waste around this time, particularly in relation to grocery shopping.
If money is tight, take a moment to assess your finances before shopping, says Belinda:
Make a list and check it twice! Who do you need to buy gifts for? Set a limit based on what you can afford and how much disposable income you have. This should be done by analysing your income and expenditure.
And above all, make sure you will have enough money to cover your utility bills:
Make sure bills are paid first – it’s very important. We would tell people to make sure to have their priorities taken care of. It’s only a couple of days, so don’t put yourself in a situation where you’re going to miss important payment deadlines in January.
Here’s a marketing trick that you might not be aware of, and it can end up costing you:
Go to shops that are as cheap as possible. Items with the biggest profit margins are always stocked at eye-level so look higher and lower. There are often the same products at a lower price.
And the golden rule of supposedly ‘great offers’? It’s not a bargain if you wouldn’t buy them otherwise:
If you didn’t want them or hadn’t planned buying them – it’s not a saving. Make sure you only buy things that you need and not just buying because it’s a third of the price. Don’t get swept away in the power of advertising.
Avoiding overspending is sometimes a matter of being in the right frame of mind when shopping, says Belinda:
Never shop on an empty stomach or when you’re tired. You’ll spend more, may be tempted to buy things that your loved ones don’t even want and be tempted to spend time in stores that are more expensive.
No matter how late you are, the sooner you do your shopping the better:
The later you leave it, the less time you have to compare prices and shop around, and by then the selection could be diminished and you could be faced with what’s left.
For time-strapped parents, it can be difficult to get time away from the kids to shop but it really is a must if you’re able to, highlights Belinda:
You should definitely leave the children behind if at all possible. This is to avoid impulse buying – you may be struggling to keep them happy and you will be distracted, won’t have time to consider what you’re buying or stick to a list as rigidly.
One of the biggest things that allows us to overspend is our movement towards less cash and more card-based spending, says Belinda, who has the follow suggestion:
When you go Christmas shopping, take cash if you can, though obviously do be security conscious. With cash you can see when you have reached or are nearly at the end of your budget limit.
If you are particularly cash-strapped this year and simply cannot avoid borrowing, be very careful, warns Belinda:
If your only option is to borrow, don’t borrow more than you need, which can be tempting. Avoid unlicensed money lending, they can look attractive but they are a very expensive option and should be avoided at all costs.
If it is your only option, get a bit of advice first so you can pick the right option for your needs, says Belinda:
Do contact MABS if you need a loan to pay off Christmas debts in January. They can help you determine what options are available for you – things like the cost of credit, the term of credit and most importantly, whether you can you afford it.
Does your Christmas list just seem completely overwhelming? Well, there are a few lower cost options, says Belinda:
Secret Santas can be a fantastic idea, everyone gets something and each person just has to buy one present. Loved ones don’t need expensive gifts – rather than getting stressed, go to them and explain your budget. Generally, people don’t expect you to go outside that.
Alternatively, if you have a talent or particularly useful skill, you won’t need to set foot into a shop or put your hand in your pocket at all:
You can give potted plants or homemade decorations. Children can do beautiful things in school and these can mean an awful lot more to family members. There are choices out there, it doesn’t always have to be a traditional gift – you can give a cooked ham for Christmas, homemade brown bread or something that you’re good at.
Feeling financially overstretched this Christmas? MABS can help you to get back in control for the new year. If you find yourself in difficulty, call the MABS Helpline on 0761 07 2000 or contact your local MABS office here – they can help you tackle debt, make budgets and assist you if you are under strain.
To embed this post, copy the code below on your site
have your say