If you are struggling financially or if you don’t have enough money this month to buy all of the things on your gift list and wish list, you might be tempted to get out the plastic and charge. But there are several good reasons not to give in to temptation here.
When you charge money, you are making a promise to pay it in the future. That seems obvious, but the convenience of a charge card makes it easy to forget. Before you know it, you can be in a serious amount of debt that all comes due. If you are already struggling in December, how much worse will things be in January when there are even more bills to pay?
When you don’t carry a balance on your credit card you are better prepared for emergencies. Should a real emergency arrive, such as a furnace that needs to be replaced or unexpected medical expenses, you may have an avenue to help get those paid. Of course a better idea is to have a savings cushion, if possible.
Sure, that all sounds reasonable, but what are you going to do about Christmas? You still want to provide gifts, food and the trimmings. The key here is to get creative. I know some families that put off gift exchanges until after Christmas to take advantage of the deep discounts and sales. You could also make some great homemade gifts or experience gifts.
Concentrate on giving your kids just a few special gifts instead of tons of stocking stuffers and other little items that aren’t as appreciated. A good rule of thumb is one gift they really want, one give they really need and one educational gift.
As for decorations and food, keep things simple. Read about decorations from times past and emulate those. String popcorn or cranberries, make a paper chain, go out in the woods and find nature items such as pine cones, or craft your own ornaments from whatever you have on hand. Hand crafted place settings are especially charming and no one will know that you are on a budget.