3 tips to help you manage your debt this holiday season
It’s that magical time of the year again, where many of us look forward to celebrating the holiday season. However, there is no denying that it can be expensive. If you don’t plan your spendings properly, you may end up in more debt after the festivities end. Here are 3 tips from our experts to help you manage your debt this holiday season.
CREATE A HOLIDAY BUDGET
We understand that this time of the year makes it tempting to splurge. That’s why we recommend you to create a holiday budget. Create a list of all the spending you plan to do – this includes both large costs and the little things. From airfare and accommodation to candy canes and Christmas baubles, you should be aware of the total expected amount of spending versus the total amount of money you have to spend.
DON’T FORGET TAX RETURNS AND HOLIDAY BONUSES
In addition to our first tip, account for other income such as your tax return and holiday bonus. Take advantage of this extra income by planning it into your holiday budget, if you choose to use it as spending money. Otherwise, you can put it towards your savings for next year’s holiday season. These two sums of money can also make a significant difference in paying off your existing debt. If you plan wisely, you can use it to help meet your debt management goals.
THINK OUTSIDE THE BOX
If you are struggling to buy the most popular toys for your kids or the latest iPhone for your spouse, consider adding a personal touch to your holiday gifts by making it yourself. Otherwise, many popular gifts go on sale after Christmas Day, so you can potentially buy the gifts at a fraction of the normal price.
If you would like to learn more about your options to deal with unmanageable debt, contact our friendly and professional debt advisors at Debt Free Australia for a FREE debt assessment. Call us on our 24/7 debt advice line on 1800 676 598.