Managing Your Finances During the Festive Season

Merry Christmas to everyone! As the festive season is upon us, one of the most common occurrences of this period is people getting tempted to splurge on different items all in the name of celebration. They prioritize their wants, leading them to go overboard with their spending, which can later go on to affect their finances and their experience in the first months of the coming year. This isn't a good state to be in, and being someone who has had such experience before, I've laid down principles to help me keep my finances in check so as to avoid financial hangover, and in this article I'll tell you all about them.

Being the first season, we've lost a lot of things that come to our mind that we'd like to do, from partying to gifting, visiting places, eating, and the likes, and if we give in to all of these desires, it might go on to take a toll on our finances and leave behind a lasting dent on how we'll begin the new year. Personally, I delve into several things to help me avoid going overboard with my spending, and one of them is implementing a cash-only policy.

I've come to notice through the years that my spending usually occurs via bank transfer or card pay, and because of that I decided to work on a strict cash-only policy that helps me stay in check and not be moved to the point where I'll need to transfer in a bid to purchase something this season.

The dangers of overspending are not palatable to us at all, and that's why I'm trying to avoid it this season, so I won't be starting the new year toughly, nor do I want to undergo financial stress or debt, and that's why the following tips have been a lifesaver when it comes to spending for me this season.

So firstly, I set a budget for how much I want to spend this festive season, which is the budget that will aid me in working strictly with that amount and cutting my coat according to my size. Secondly, I prioritize my needs over my wants; this is highly essential because in this season, you'll definitely see several things you want but don't need, and if you don't prioritize needs over wants, you'll end up overspending or buying what you don't need and be with no money to buy what you truly need.

Also, like I stated earlier, I have a principle of a cash-only policy, which means I've withdrawn all I'll be needing when going out, and I know deviating from it will mean I can't get some of the things planned for, so in a nutshell it helps me avoid impulse buying, because I'll have to take my time in thinking over things before concluding if it's worth buying or not, and I'll only go for it if it's necessary.

So basically what matters is planning ahead of the festive season on what we want to do and how we want to do it, then trying as much as possible to stick to those plans, if possible buying items such as food and gifts earlier too, because last-minute buys are usually even more expensive, and it's during such moments you'll be attracted to things you want but don't really need, so stick to your plan and act on it fast.

This has been a helping principle I live by, and that's been helping greatly, and I know the tips will help you as well, so make sure you enjoy yourself, as we know the festive season is a season of joy, love, and giving, but do so while being mindful of your spending so it won't affect your finances. What matters is the shared moment and experience we've had with friends and family, not the price tag of the place or gift we give out; the heart behind it is what matters.

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All photos are mine, the last image was designed by me on canva.

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