Holiday budgeting tips

Howdy, hope you’ve been holding up well…Myself I have been great. We have reached that time of the year where the environment is filled with joy and happiness from friend and family. We all love the festivities and the good vibes it brings… the down part is if one is not careful, they can quickly end up broke.

To save you from this, here are a few tips on how to budget this festive season and only spend on what you can afford

1.Stick to your holiday budgeting

Same way you usually have a budget that you work with in other spheres of your life, you should have a budget for the festivities. Figure out how much you want to spend and how much you can afford before you begin shopping. Don’t forget to factor in home décor as they tend to be very pricy around the festivities.

A good plan shouldn’t take away from the holiday shopping experience, which many people understandably enjoy. Instead, it will keep you focused on the presents you want to give and make you think twice before going off budget.

2. Set a budget for each person

Set a budget for each person you’re buying gifts for and don’t go over. Gift-giving is about the thought and sentiment, not the price, so resist the urge to escalate beyond your budget. Perhaps ask family members to agree on a spending limit for holiday gifts. Or use a Secret Santa or a similar type of exchange to reduce the number of gifts each individual has to buy while ensuring fairness around the number of presents each person receives.

3. Shop around and look for deals

Although you shouldn’t set your holiday budget expecting to find big discounts for the items on your list, deals and items on sale can save you some money. You can research online for prices, and consider online retailers that might have better prices and/or offer free shipping. And if some item is continually coming up more expensive than you thought it would be, consider if your friend or family member would be just as happy with a different, more reasonably priced present.

4 Consider homemade gifts

If your holiday budget turns out to be tighter than expected, consider alternative types of gifts that are easier on your budget and often more meaningful than something from the store.

The possibilities for homemade gifts are unlimited! Make a Christmas ornament or decoration, bake a tin of cookies, or even offer to take your friend out for dinner after the holidays. In many ways, these gifts are more appreciated and memorable than a store-bought present. Remember, for many people, the holiday experience with loved ones is what makes this time of year great—not necessarily the presents they receive.

In conclusion, always remember there is life post the festive season. It is pointless having an epic holiday season only for you to suffer come January. It makes sense balancing things out. Ensure you budget well for the festivities and put money aside for January, that way you are guaranteed of comfort post the holiday season. With that, have a Merry Christmas and happy new year

Regards,

Seline Awuor

Do you Really Understand Credit Cards?

Talk about credit cards? Certainly!

A credit card is a financial instrument that allows you to borrow money from a lender in order to make purchases or withdraw cash. When you use a credit card, you are essentially borrowing money from the credit card issuer up to a certain limit, and agreeing to pay back the borrowed amount plus interest.

Credit cards can be a convenient way to make purchases and access cash. It is important to use them responsibly in order to avoid debt and maintain a good credit score especially during this inflation period. To use a credit card, you will need to apply for one & be approved by the issuer like I&M Bank. You will be given a credit limit, which is the maximum amount that you can borrow at any given time.

You can make purchases or withdraw cash up to this limit. Each month, you will receive a statement detailing your purchases and any fees or interest charges that have been applied to your account. You will then have the option to pay off the entire balance, or just a portion of it. If you only pay a portion of your balance, the unpaid amount will accrue interest, which can be expensive over time.

Also read on possible ways of Managing Credit.

There are many different types of credit cards available, each with its own features and benefits. Some credit cards offer rewards programs, such as cash back or points for every dollar you spend. Others may have lower interest rates or offer introductory promotions such as no interest for a certain period of time.

It is important to compare credit cards and choose one that best meets your needs and financial situation. It is also important to use credit cards responsibly in order to avoid debt and maintain a good credit score. This means, only using your credit card for purchases that you can afford to pay off in full each month and not exceed your credit limit. If you use credit cards responsibly, they can be a very useful financial tool.

Also read 5 things to look at when choosing your potential Business banking partner.

By Omido Joshua