budgeting

5 Ways to Cut Holiday Spending While in Debt

The most wonderful time of the year can quickly become the most stressful time when you’re in debt. The holiday season often leads to a multitude of spending – whether it’s on gifts, dinner preparations, holiday decorations, etc. If you are dealing with overwhelming debt this holiday season, here are five tips for cutting spendings this holiday season.

#1: Put Together a Creative Gift Exchange

Spending on gifts for family and friends can pile up quickly — especially if you have a large family. Creating a fun gift exchange can help you cut down on spending this holiday season. Secret santa is a fun and cost-effective way to cut down on spending. You and your family members can agree on a spending limit to make expenses manageable. Spending even $150 on one family member for secret santa will be less expensive than $50 on five family members.

#2: Create a Holiday Spend Plan

Even if you and your family agree to a secret santa-type gift exchange, you most likely will still purchase gifts for friends or coworkers. For such reasons, it is beneficial to create a holiday spending plan or budget that will allow you to keep track of your spending. You should identify how much you can spend and make sure that you don’t go over your limit.

#3: Make Sacrifices

It’s easy to get carried away with holiday decorations, new Christmas lights, and stocking fillers, but making sacrifices on nonessentials will make it easier to enjoy the season as you’re trying to keep up with payments.

#4: Focus on Experiences

Instead of focusing on gifts and Christmas decorations, you can organize cost-free experiences to make this year memorable without it taking a toll on your wallet. You can take your kids on a night car trip to see Christmas lights, spend time with loved ones, or partake in hand-crafted decor.

#5: Give the Gift of Time

If you don’t have any cash flow for the holidays at all, you can give the gift of time. Spend time with your loved ones by having movie nights, cook dinner, or even offer to do something kind for a loved one. Family members will appreciate your time, possibly more than a tangible gift.

Debt relief can be achieved. Contact our Irvine bankruptcy attorneys today at (949) 570-5025 to learn more about your debt relief options!

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