Balance your holiday budget

The holiday season can be one of the most expensive times of the year, so it’s important to budget and stick to it.

Here are some simple tips to help you enjoy the festivities and avoid the holiday debt hangover.

Make a list and check it twice

Before you compile your budget, spend some time thinking about your upcoming expenses.

With groceries, gifts, travel and entertainment to factor in, it’s easy to go overboard. You may want to consider creating one list for non-negotiables, and another for nice-to-haves.

And, if you’re a contract or seasonal worker, make sure you have enough cash to cover your usual living expenses and loan repayments throughout the holiday period.

Be a savvy shopper

Another way to avoid overspending is to shop with a plan and research seasonal deals and discounts.

Online shopping allows you to compare prices from the comfort of your own home, and with many retailers offering Click & Collect options, you can bypass delivery delays.

Practicing mindfulness can also help you prevent feelings of anxiety and overwhelm, which can sometimes lead to impulse buys.

Only buy what you can afford

While it can be tempting to turn to credit to cover the extra expenses, it’s better to only buy what you can afford.

High-interest credit cards and buy now, pay later schemes can be difficult to repay and can have a lasting impact on any future loan applications.

If you’re already managing multiple repayments, debt consolidation could help ease the pressure.

For more information on effective money management, talk to your local Liberty Adviser today.