How to have a guilt-free Christmas Shopping

I believe everyone now is already in the Christmas shopping mood. It is proven by how many people were spotted at Orchard Road, Singapore last weekend. It’s just mad. I know shopping might be fun (especially for most women out there), and this festive season will give more valid reasons to spend more. Some of the reasons that are probably on top of your head right now:

1. It’s a once a year thing, must buy presents for my loved ones
2. Good bargain, discount everywhere. If not now, then I’ll miss the good deal
3. It’s ok to spend a bit more this month, anyway I’ll get my bonus soon.

Are those valid reasons? Well, could be. But while you are doing all those shopping and hunting for good bargains, let’s not forget that whatever money that you spent is your hard-earned money. Why have fun spending money at Christmas and realized in New Year that you are in debt and worried for not having enough money?

I believe the most important thing in managing our finances is to simply do a proper planning. Most people overspend because they never do any planning. They buy things at the spur of the moment. Today, I would like to challenge you to do this very simple exercise. It will be fun, and yet it will also help you to have more control over your money during this period of time.

Step 1: Decide how much budget you want to set aside (Theoretically, budgeting will take much more comprehensive steps, I’ll share it in my other posts next time. For this post, I’ll just simplify it). Whatever amount of budget that you decide, make sure that the amount is not more than what you have. Do NOT use credit card to pay, unless you have the money to pay it back at the end of the month.

Step 2: Write down on a piece of paper the list of people whom you want to buy Christmas gifts for.

Step 3: Write down how much money you want to spend on each person.

Step 4: Do a reality check! If the total list is more than your allocated budget, then you have 2 choices: a. Eliminate some of the names on your list b. Reduce the amount that you want to spend on each person

Step 5: Once you have your final list, write down a couple of gift ideas for each person This is the fun part, because now you can explore and search for the best deal in town to make sure that you give the best gift and yet is still within your budget.

Step 6: Now that you have your list completed, the most difficult part is when you go out and make that purchase. Surely you’ll be tempted to buy more stuff. You must stick with your list and do not give in to impulse purchases.      

If you can follow all the 6 simple steps above, I’m sure you can still do all your Christmas shopping without feeling guilty. On the other hand, if you don’t really have any budget to be spent, don’t force yourself. You can give something that is handmade or you can simply give the gift of time, e.g. spend a day with your loved ones. These gifts are often more meaningful than material goods.

Don’t forget the real meaning of Christmas. It isn't about the gifts but the spirit of togetherness. And that's something money can't buy.  

Related posts:

1. Making friends with your money
2. Thank you All, My Early Christmas Gift to all of you =)
3. 10 tips on how to save more money
4. Merry Riana's Fun Account