The holidays are just around the corner, which means that many people are gearing up to get their holiday shopping done. From purchasing food for holiday dinners to buying everyone special a holiday gift, the spending during the holidays can easily get out of control which can:
- Intensify people’s financial problems if they are already struggling with debt
- Get people started off on the wrong foot for the New Year when it comes time to deal with the impacts of holiday spending.
To avoid such disasters and ensure that you have a wonderful holiday and New Year, in this three-part blog series, we will point out some common holiday spending mistakes you can easily avoid with a little planning and knowledge. If substantial debt – not holiday spending mistakes – is your real concern, however, don’t hesitate to contact Denver Bankruptcy Lawyer Jon B. Clarke. He is ready to help you identify your best options for resolving your serious debt issues.
Holiday Spending Mistakes: Here’s What You Should Avoid Doing This Year…
Mistake 1 – Not starting with a budget before you start shopping.
Holiday spending mistakes can put people in debt or intensify the severity of their financial crisis. Here are some ways to avoid common holiday spending mistakes.
As you get ready to start your holiday spending, one of the smartest things you can do is to set a budget for yourself so that you do not end up overspending. Putting a realistic holiday shopping budget together may be easier than you think, and you can do this by:
- Listing all of the holiday purchases you need to make (including food, gifts, etc.)
- Setting a reasonable maximum amount to spend for each item (or set of items).
Here, as you budget for gift-giving, it can be helpful to consider:
- Getting others to pitch in for some gifts if there is something more expensive you would like to get for someone.
- Gift giving alternatives, like Secret Santa or white elephant exchanges, to cut down on the number of overall gifts you (and others) need to purchase this year.
Mistake 2 – Purchasing gifts with recurring payment obligations.
Giving the latest technological gadget or gizmo may be a perfect gift for someone you love this year, but be careful because some of these electronic devices can come with service plans that will create an ongoing financial burden for you in the New Year (and maybe beyond). Items like cellphones, tablets or other devices can end up costing you way more than just the sticker price, and even if you end up getting a good deal on these items, don’t forget to think about their future costs.
Failing to consider recurring payment obligations for the gifts you give can put you in a lot of financial trouble in the near future, especially if you aren’t expecting them as part of your regular cycle of bills.
We will continue highlighting some holiday spending mistakes to avoid in the second and third parts of this blog series that will be posted soon – make sure you look for them!
Colorado Bankruptcy Lawyers at the Law Office of Jon B. Clarke, P.C.
Are you overwhelmed by seemingly insurmountable debt? If so, it’s time to contact the trusted Colorado debt relief and bankruptcy lawyers at the Law Office of Jon B. Clarke, P.C.
You can call us at (866) 916-3950 or email us using the contact form on this page.
From our offices based in Denver, we provide people throughout Colorado with the highest quality debt relief legal services.
