How Can I Start Planning for Next Year to Avoid Holiday Stress?

Holiday spending should be part of your annual budget. Adherence to your budget year-round, especially during the holidays, helps reduce financial stress.

Planning now for next year’s festivities helps avoid holiday stress. Taking small steps now enables you to approach the holiday season with excitement and joy rather than financial worry. The following tips can help.

Reflect on This Year’s Spending

Consider what did and didn’t work with your current holiday budget. Perhaps you overspent in some areas and incurred unnecessary expenses in others. Use your experience to develop a realistic holiday budget for next year.

Set Expectations Early

Let family and friends know whether you plan to scale back on holiday spending during the next season. Setting expectations early helps you avoid overspending and encourages others to follow your example.

Create a Gift List Early

Begin developing a list of gift recipients and spending limits as soon as possible. Narrowing down who to buy for and how much to spend prevents last-minute, expensive presents.

Plan for Experiences  

Find experiences you can share with loved ones rather than giving tangible presents. Shared experiences, such as ice skating, an at-home hot chocolate bar, or a potluck dinner, create meaningful memories at a lower cost.

Start a Holiday Savings Fund

Set up a savings account solely for holiday spending. Contribute a set monthly amount to reach your spending goal. Use these funds for holiday decorations, gifts, travel, food, and related expenses. 

Shop Throughout the Year

Look for sales and discounts on presents throughout the year. Spreading out your spending helps you secure the best deals and control your holiday spending. Then, you won’t feel pressured to buy last-minute gifts that often cost more.

*This information is for educational purposes only.