Christmas on a budget: How to survive the holidays with cash to spare

Material world
"Unfortunately, in our society gifts are now equated with love," says Al Antle, executive director of Credit and Debt Solutions in St. John's, Nfld. Mixed in with that is a desire to keep up with the Joneses, reward yourself (and your family) and affirm your status. Commercials and retailers only reinforce that heady cocktail. "But the holidays aren't about the size or number of presents under the tree," says Antle.

If you're getting caught up in the material world, try sitting down with your immediate family (partner and kids) and talking about what you'd like to get out of the holidays. The answers will help determine how you spend your budget. Perhaps the kids would be happier with one or two special gifts, for example, and spending the balance of the budget on a few special family outings.

Additionally, you can contact family and friends and let them know that you are planning to purchase small gifts to keep within your budget and ask them to please do the same for you. Antle has 15 siblings, and to control costs in his large family each person plays Secret Santa for one other person, not the entire group. You can also consider making a small donation, either in cash or items you no longer use, to a charity, which allows you to give and receive.

Last-minute shopping
It's Christmas Eve. You've got less than 24 hours to finish your shopping. You race to the mall, grab the first items you see and spend way more than you planned. Sound familiar? Try shopping off-season. "We've not paid full price for wrapping, bows, Christmas decorations or cards in years because we buy them in January,” says Antle. With time on your side, you can also look for the perfect gift, comparison-shop to find the best price or wait for the sales.

If you're not certain what to get a friend, look to her interests and hobbies for ideas. Admittedly, it's tough to get into the holiday spirit in July, but by holding off on wrapping gifts until Dec. 15, Antle says you can still capture the season's excitement. Now, getting caught up in the season and buying again is also a risk, so keep a list of everyone you've shopped for and what you've purchased to remind yourself that you've already taken care of that person's gift. If you're a last-minute type, shopping ahead won't work for you. In this case, Antle believes gift cards are the way to go as the selection of merchandise will be limited.

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