Buying Holiday Gifts Without Overspending

According to recent report from ABC News, “The average American will spend $700 on holiday gifts and goodies this year, totaling more than $465 billion, the National Retail Federation estimates.”

The second statistic may sound exorbitant, but if there’s a spirit closely aligned with the holiday spirit, it’s the spirit of extravagant spending. The point is to have a celebratory good time — and millions do — but not everyone is fiscally responsible about how they do it.

Saving and Spending Wisely

In this post, we focus on ways to pay for holiday gifts without creating financial stress that dampens the spirit of celebration and gift giving. First, we present our own favorite holiday saving tips for buying gifts. We also would like to ask for you to present your own holiday saving ideas in the comments section of this blog post. 

And here’s the good news.  When you offer your cost savings tips, you automatically will be entered for a chance to win a $100 VISA gift card! So, let’s start off by listing four money saving tips you’ll find helpful as you approach this coming holiday season.

  1. Open a Holiday Savings Account

Some people put extra money in a general savings account and intend to set the funds aside for holiday spending, but the money is often gone when they need it, having been sucked up by everyday expenses such as car repairs, emergency purchases, and medical bills. This is why it’s a good idea to open a holiday savings account for gift purchases — the earlier, the better. 

  1. Shop for Products / Services Online

Shopping online instead of in-store helps you save money in two corollary ways: You have a greater selection — and thus a wider range of prices — to choose from. As a bonus, some sellers pay for shipping on orders totaling a certain amount. If you’d like to gift the same item to multiple people, you could also save by purchasing the item wholesale.       

  1. Shop Out of Season for Great Deals

Some people take advance holiday shopping to the extreme, beginning shopping for next year’s gifts soon after this year’s holidays end. It requires dedication, but it’s nevertheless a good strategy. Out of season items are often discounted 50% or more less than the original price simply to help them sell, so the next season’s fashions can replace them on the rack. 

  1. Free Web-Based Budget Application 

It’s always a good idea to have access to a financial budgeting application when saving for gifts, such as the new budgeting tool you can download for free from our website. For example, this budgeting tool makes it easy to plan monthly expenses and get a better idea of where your money goes. Throughout the year, the app can help you reach your holiday savings goals.  

Share Your Helpful Cost Saving Tips!

You’ve heard some of our own cost savings tips for holiday gifts, now we’d enjoy hearing some of yours. It’s easy; just enter your tips in the comments section below, and automatically enter to win a $100 VISA gift card. And remember, check out our online budget tool that will put you in a better position for spending on holiday gifts in the future!  

To inquire about the American Eagle Credit Union VISA gift card, new budgeting tool, or other products and services, please call us today at (800) 325-9905, our use the contact form on our website.

Thank you for your thoughts and comments on this blog topic. We welcome hearing from you. For your security, please do not to request transactions to your account in your comments. Additionally, do not include confidential information in your comments as this communication is not a secure channel for transmission.