AVOID A HOLIDAY (SPENDING) HANGOVER
 
By: Julie Weidenfeld, CCWS, CPT
 
How you spend your time in life matters more than how you spend your money - Spend both wisely
 
Though 2020 has been a rather unusual year, Holiday season is still happening. It may be celebrated differently than in years past, but if this year has taught us anything, it’s that we have become adept at adapting. We may not be traveling to visit family and friends this season, or gathering for large feasts, but finding opportunities to celebrate each other will still be a welcome reprieve from the consuming chaos. 
 
It also may present the chance to rethink how you spend. By understanding where your dollars go each month, you are gaining greater control over your money and the ability to develop a sound spending plan going forward. According to a small study conducted by CreditKarma.com, a consumer credit reporting company, 54% of Americans are feeling more stressed than last year over holiday spending. With many furloughed or out of jobs, along with political uncertainty, this increase is not surprising. But, as Brandon Copeland, New England Patriots linebacker and personal finance expert, says “pressure creates diamonds”; in other words, use this pressure as a chance to gain greater control of your finances. Learn from past behaviors in order to do better in the future.
 
So how do you navigate the holidays successfully from a financial perspective? Here are a few tips to incorporate to help ward off the post-holiday financial hangover.
 
1) Create spending mantras before you begin shopping: IS THIS ITEM ON THE LIST? DOES IT STAY WITHIN MY BUDGET? CAN THEY/I USE THIS? CAN I FIND IT CHEAPER ELSEWHERE? Use these, or your own, mantras before checking out. Alternatively, take advantage of the myriad meditation apps available to stay mindful during this high-pressure time of year
 
2) Create a specific and clear plan for each category of holiday shopping. Such categories can include gift and gift related items, holiday decor, grocery and food products, travel expenses, clothing and accessories Assign guidelines for each category such as dollar amount, time horizon, price comparison, recipient lists, shipping costs. There are apps available to help with budgeting all of this, such as Christmas Gift List Tracker (which has a countdown to holiday feature), Santa’s Bag, and Gifster-all free!
 
3) Do your homework. Once you’ve got your plan, you should have enough time to comparison shop. Not all sales are created equal. Retailers are in business to make profits, so it only behooves you to ensure you are actually getting the deal promised you. Use the online shopping opportunity to visit various websites before making any final purchases. Remember, Rome wasn’t built in a day; saving money isn’t a one-and-done experience either
 
4) Collaborate with family and friends for gift assignments. For example, arrange with family members to assign a gift recipient per member with a specific dollar amount, rather than buying haphazardly for multiple relatives. Check out Elfster.com and its app to help organize this
 
5) Set up gift-giving expectations ahead of time. Friends and family should appreciate that everyone is feeling the pressure of these unusual times as relates to the holiday season. Be proactive, and communicate your gift giving plan ahead of time. This way you can alleviate some of the shopping pressure and stress. Tap into your creative side and consider hand-made gifts as part of this year’s gift bag
 
6) Limit OR eliminate the use of credit cards, especially those with high annual percentage rates (APR). While shopping may take place online more than in stores this year (51% of people surveyed admit having anxiety around in-store buying due to COVID-19 according to a Deloitte. survey), stick to using one (low-interest rate) or a limited/low credit card
 
7) Avoid the POS & Bundle enticements. Point of sale items are popping up everywhere during the holidays and can be tempting- revisit your mantras and lists before indulging. Stores are also notorious for bundling items together to make you think you’re getting a better deal; in reality, they are getting more revenue while you are most likely paying full price for all the items
 
8) Gamify your spending. Challenge yourself to strictly adhere to lists and spend less than you have budgeted. The long-term rewards will feel great
 
Remember what the holiday season is truly about-family and friends and peace and joy. By creating a successful plan ahead of time, and staying disciplined, you will set yourself for a truly successful, joyful and plentiful holiday.
 
Julie Weidenfeld is a certified corporate wellness specialist with a degree in Finance and 20 years in investments and financial management. For additional financial wellness workshops feel free to contact her via email at julie@peakhealth360.com or visit www.peakhealth360.com
 
 

Numbers may seem black and white, but your financial management doesn't have to be. Understanding how to look at your financial situation from multiple angles will go a long way in helping to achieve financial goals and save more for your future, and the future of your family. Money is, after all, a mere tool, just like a hammer. In order to drive a nail into a wall, a hammer would be the tool of choice. The same holds true when needing to buy items and services. The hammer is a no-brainer, but money doesn't always seem to be so easy to fathom, especially when not much is available to spend. What's important is the mindset behind the money. How do you view spending, savings, budgets, future, etc. Start with this question: Do you want your money to outlive you? Do you stress over money often? Does the topic of money create friction around you? If you answered yes to any or all of these questions, it's time to talk it out...and then take MASSIVE ACTION. Your goals are achievable with the right mindset and a detailed, fine-tuned plan. Whether for corporate wellness programming or individual needs, we have training and workshops to address the daunting yet approachable issues around money.