How to Survive Christmas – on Budget

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I know what you’re thinking, it’s October, why are we talking about Christmas? Well, if you want to survive Christmas on budget you have to plan your holiday spending in advance.

The holidays have a fun way of sneaking up on you. So to feel like you’re not overspending, think about your plans and be prepared in advance. Let’s be honest, Christmas can be fucking expensive. Let’s not start the New Year with a massive credit card bill.

Let’s learn how to celebrate the Christmas season while on a budget!

Instead of 12 Days of Christmas I present to you my 12 Budget Tips for Christmas! Here are my 12 biggest budget tips when it comes to spending the holidays by budget.

Table of Contents

Christmas Budget Tip #1: Remember the Essence of the Holiday Season.

Make the holidays about spending time together rather than giving gifts.

Nowadays it seems like the entire holiday season is centered around spending money and giving each other gifts rather than spending quality time with the ones you love.

Additionally, how often has it happened you receive something you don’t like and it just becomes clutter sitting in your home?

This budget tip is probably the most important one on the list. Don’t forget the essence of the holiday season. The holidays are a great time to come together with your family and friends and create memories. Not about what present you’re going to give someone.

There can be so much stress surrounding finding the best present but more often than not, everyone just remembers hanging out together and having an amazing dinner, rather than the gifts that were received.

Christmas Budget Tip #2: Create a Wants List for Yourself.

This budget tip is related to what you, yourself want to receive for Christmas. This can help you be more selective about what you purchase for yourself throughout the year and actually know what to ask for when the holidays roll around.

Create a wants list for yourself. If you’ve read my how to save money on any purchase post you know about the 48 hour rule.

The 48 hour rule suggests you leave something in your cart for 48 hours before actually making the purchase. If you come back after 48 hours and still want to purchase that item, then go right ahead. I bring this up because a wants list is an extension of the 48 hour rule.

Everytime you want to purchase something for yourself, instead, write it in your wants list. Then at the end of the year, when everyone is asking what you want for Christmas you can refer to your wants list and give them a good answer.

I like having a wants list because you see how your wants change overtime. If you write something down in June, you might not want it anymore by December. However, if you still want it, you now don’t have to pay for it yourself! You can get an amazing holiday gift you’ve been wanting for a while!

Christmas Budget Tip #3: Plan Ahead and Take Advantage of Sales.

Similar to the budget tip above, however instead of for yourself, create a list of what you want to get other people. However, this list is ongoing, meaning you start your list on 12/26 for the next holiday season.

Starting this list so early on benefits you in two different ways.

One, you’re not going to take the time to write down a gift idea if you don’t genuinely believe that person would thoroughly enjoy your present. Having this list will help you make more meaningful purchases that your gift receivers will actually enjoy, rather than your gift becoming clutter that is sitting in their closet.

Two, if you have a general idea of what you want to purchase, you have plenty of time to wait and find sales surrounding that item. If the item is related to winter, maybe it will be on sale in the summertime! Maybe you can find a deal on Black Friday?

You will no longer be making purchases in December when everything is at its peak pricing point.

Christmas Budget Tip #4-5: Learn How to Go to the Mall.

Don’t go to the mall unless you’ve done both of these things!!

Christmas Budget Tip #4: Don’t go to the mall without a list.

One, have a list. I know this is the third item that requires a list, but it is sooo important!! Never go to the mall without a plan of what you’re looking for! If you don’t have a list you’ll be tempted to buy random things you see, instead of what you actually need.

Go to the mall with intention. You’re looking for a specific item, stick to that item and that item only! Don’t get tempted by the other random stuff the mall has advertised.

Christmas Budget Tip #5: Limit the amount of time you can go shopping.

Two, limit the amount of time you’re there. I like making sure to schedule an event right after shopping to make sure I don’t stick around and do unnecessary browsing once I’ve found what I’m looking for.

Limiting the amount of time you’re at the mall will also make sure you’re truly only there for what you intended to buy. Basically we’re just trying to create the best environment for you to get in and out as fast as possible. The longer you’re there, the more temptation, the more you’re likely to buy something you don’t need (or want).

Christmas Budget Tip #6-7: Try Out a Different Type of Gift Exchange.

Talk to your family or your friend group and see if they’d be open to changing up your gift exchange tradition.

Christmas Budget Tip #6: Secret Santa Gift Exchange.

Instead of getting every single person in your family a gift, try doing Secret Santa! What is Secret Santa?

Secret Santa is when you throw everyone’s name into a hat and you only purchase an item for the person whose name you got. You are their “Secret Santa”!

There are websites like Sneaky Santa that do this process for you. They will essentially just email you the person you’re shopping for.

Starting a family Secret Santa is a fantastic way to make everyone feel included without a major price tag involved. Additionally, it can be super fun to watch everyone open their present and guess who gifted it to them!

You can even set parameters. In my family we set a maximum price point to make sure everyone’s gift value ends up being about the same. This eliminates any stress or hard feelings. You no longer have to feel bad about what you spend, because you know everyone else is spending about the same.

Christmas Budget Tip #7: White Elephant Gift Exchange.

Alternatively, you can also opt for doing a White Elephant gift exchange. White Elephant is a really fun gift exchange game, everyone brings a wrapped present and receives a number upon arrival to the party. Then, in numerical order, based on the number you received at random, you take turns grabbing a present from the present pile.

On someone’s turn they open their present, the next person can either steal the present from someone before them or open a new one wrapped gift. This process continues until every gift has a new owner!

Christmas Budget Tip #8: You Don’t Need More Holiday Decor.

It seems like everyone goes crazy buying more holiday decor every holiday season. But, you don’t need more holiday decor!

Only buy holiday decor you truly love and then use it every single year. You can even wait until the holidays are over and buy high quality decor that will last while it’s on sale.

Christmas decor doesn’t really change year over year, so you really don’t need to be buying more. Unless you’re trashing your old stuff (which also isn’t great) all you’re doing is filling up a bigger and bigger box that just sits in your garage for 11 months.

Christmas Budget Tip #9: Add Christmas to Your Sinking Fund.

If you’ve read my 4 savings account types everyone should have post, you know exactly what I’m talking about!

What is a sinking fund? A sinking fund is a savings account you make for big expenses you know are coming. How does this relate to Christmas? Well every month you transfer a specific dollar amount into a separate account, so when you start spending money, you already have it saved!

I personally transfer 50 dollars every single month, specifically for purchasing gifts. The theory behind this is that you’re prepared for these larger expenses and they no longer feel like an out of pocket burden.

The screenshot above is from my personal budget! So yes, these are my ACTUAL sinking fund categories that I use. Also, if you want this budget template for google sheets, you can snag a copy for yourself! Check out my Ultimate Wealth Planner! SHAMELESS PLUG! My resource library also has a free basic version, click here to join.

Christmas Budget Tip #10: Gift Your Time, Not Your Money.

When I was a kid, I loved playing with a cardboard box. Making a fort and crawling around was genuinely one of the most exciting things I could do. I bring this up because there’s a misconception that gift price has any relevance to the quality of the gift.

If you’re giving gifts to kids, why not spend the afternoon playing with them one on one instead? Adults are exactly the same. Your friends are your friends because they enjoy spending time with you, so why not do more of that?

Sit down with your friends and agree to put more of an effort into seeing each other and hanging out, rather than giving each other random gifts.

Additionally, something I heard and loved from the Millennial Minimalists podcast, the two hosts Lauren and Kelly, gave each other a list. A list of 10 things they appreciated about the other person. Not only was this free, but it allowed them to appreciate each other’s friendship and spend more time together.

Christmas Budget Tip #11: Have a Cookie Swap Party!

This seems crazy specific, you can come up with whatever party you want but I thought I’d throw a fun example your way!

Instead of exchanging gifts, get together with your friends and have a cookie swap party! Everyone can bring a different delicious treat they’ve made and take home some of everyone else’s.

This is a great way to get together with your friends and celebrate the holiday season for a really low price. You not only get to see all your friends, you get to enjoy some delicious holiday treats and take some home with you!

Christmas Budget Tip #12: Recognize You’re Allowed to Say No.

If you don’t want to participate in a gift exchange, you don’t have to! It is 100% ok to say no.

You should never feel forced or pressured into participating in holiday activities. Regardless of the reason, you are fully entitled to say no and sit it out.

If your friends are doing a secret santa, you can still go to the party and celebrate with them, even if you don’t participate. Don’t forget to be kind to yourself during the holidays and recognize what you want as well.

Final Thoughts

You would think holidays wouldn’t be as stressful. Instead of focusing on the festivities and seeing all the people you love, we often feel overwhelmed by our to-do list and the amount of money we have to spend in preparation.

Hopefully these 12 budget tips can help you better manage holiday stress. We can survive Christmas!

Moreover, we can, not just survive Christmas but thrive this holiday season! Learn to celebrate the Christmas season while on a budget!

To get a budget template for google sheets check out my spreadsheet and printable shop, The Budget Empire! You can also find some FREE goodies in my resource library by signing up to my email list!