Can you afford Christmas 2017?

When it comes to Christmas, everyone wants to make it special. Those glossy magazine articles and fancy TV adverts make it seem a dream that is easy to achieve with a little money spent. Whether you tend to splash out on gifts, Christmas decorations or the Christmas meal itself, it really is important to monitor your spending so that you don’t find yourself in financial turmoil by the time the festive period is over. There’s nothing less Christmassy than a high pile of debt – so manage it carefully.

Here’s a few tips to consider:

Plan early

Although it can be tricky to start thinking about Christmas before the end of school term, prepping early can make a real difference to your Christmas spending. Not only can you start to spread the cost over a wider period but you can avoid the possibility of panic buying in December, when the shops are packed and the prices have hiked.

Borrowing money – the rules

No one says you can’t get a loan to help cover the cost of having a good time at Christmas. Perhaps you want the extra money to treat your family to a holiday over New Year, or maybe you have guests visiting this year and you want to spend a little extra. Make sure you are in a strong financial position to apply for a loan – can you afford the repayments? Payday loan provider Wonga SA talk about how it is wise to check out your credit report before applying for a loan. This can stand you in good stead and allows you to see how trustworthy you appear to loan providers, i.e. how likely it will be that they will lend you the money. Then, if you do get the loan, plan your repayments. They suggest that you should not buy anything unless you’re sure you can pay it off. Don’t impulse buy – this can put you in a sticky financial situation later on.

Lower expectations – it’s just one day

The build up to Christmas can put the pressure on, and make you feel that you need to spend money that you don’t have. If you don’t want to apply for a loan or if you have been rejected for a loan, then set your expectations to a reasonable level. Hand-make gifts instead of buying expensive items for family (check out some tips on this great blog post, here), buy unbranded food instead of the ‘best’ version, and recycle old Christmas decorations instead of buying new.

None of this should affect your pure enjoyment of Christmas. Family members should not be disappointed, and in actual fact should sympathise and understand your position (and you never know, maybe this will make them re-think their own priorities art Christmas time!)