Ten Tips: Keeping Away with Spending Spree Every Holiday Season

Gilbert M. Forbes

 Keeping away with spending spree every Christmas season is challenging budget and financial wise individuals once more.  Stores are really keeping up with the time when bonuses are released to all salaried workers and employees both government and private- making their displays more mouth watering and extremely tempting than ever.

Photo courtesy of google search images.

Shelves are updated with new and trendy items particularly tech and gizmo stores. These stores have even partnered with credit card companies to allure customers of buying their new models of cell phones, computers, high resolution and dynamic LCD and LED television sets, etc.  One wouldn't be exempted of thinking of buying one of these to replace their ancient gadgetries for those who have long settled to surplus items like me.

To others who are riding with the craze of always embracing whatever is new on a yearly basis will certainly not be left behind starting from their trendy cell-phones or wardrobes.  But to those who are already awaken and have already decided to prepare for a financially independent life, how could they escape the temptations?  Here are the tips.

1. Pay your debts.  If you have a debt, think of paying it first.  If you can pay it in full, better.  It will free you from a lot worries and stress in the future.  It is very liberating for an active income earner to be debt free.  If you are highly indebted, this is the opportune time to reduce it considerably and start to get out of it as fast as you can.
2. Get enough protection.  Consider getting enough protection by buying an insurance equivalent to a ten-year total expenditure.  In case something happens, your family shall no longer worry of your financial obligations.  This is the beauty of insuring yourself.  There are lots in the market tailored fit to your needs.  Caution however must be applied in selecting one. 
3. Save it all!  If you have no debt, start save and start increasing your passive income as fast as you can.  Having all your bonus and 13th month pay as a saving will be a great start.  Financial experts are saying that bonuses and other financial rewards salaried workers receive every Christmas season are not categorized as active income.   As such, they are suggesting that it should not be spent and should go directly as savings.  But since we just learned it, we could settle saving at least 20- 50% of it.
4. Budget and stick to it.  Budget with the family members so that they will not only get acquainted with the beauty and art of budgeting but be informed and consulted as well with your financial plans and status.  In this way, they will no longer be expecting so much from you.  Budget is the lists of things to buy for a given time or season like Christmas.  List down only things that are really needed.  Review the budget two to three times for the last minute changes.  There is no more rewarding for any individual if he/she is always successful in sticking with her monthly budget. It is a part of self-restrained and discipline- a key to simple living and financially rewarding future.
5. Write.  Prepare a list of things to buy and start bargain hunting as early as possible and avoid the rush.  List only the things you really need.  Compare the price from store to store so that you can have the best buy and save a lot.
6. Prioritize.  When buying a gadget or something consider its immediate use.  For example, if you will just use a cell phone to call and text, the cheapest quality cell phone in the market will do.  But if your job requires high connectivity, an android phone versus an Iphone or blackberry would be a lot cheaper.  Are there no other alternatives but to have this gadget?  Is it part of our priority?
7. Avoid temptation.  Do not be tempted nor influenced by peers most importantly by personal ego.  When temptation is sinking in, ask only yourself with these questions:  Do I or we really need it? If we need it, can we still post phone having it?  If not, in what degree will it benefit us the most considering our financial standing?
8. Think of the end in mind.  Always think of the end in mind as the best selling author of 7 Habits of Highly Effective people, Stephen Covey says.  When you think of the end in mind, you are thinking of the future that you want for your self and your family.
9. Read and Learn.  Buy your self an easy to understand book on personal finance. There are best sellers available in the market in accordance with your location and nationality.  Nothing can surpass the motivation and inspiration that will be provided by reading and being knowledgeable.  It is so far the best investment that you will make other than ordinary material things.  It will help you grow.
10. Act now.  The earlier, the best.  There is no other time but to do it right away.  Every minute and single days lost can no longer be replaced nor recovered.  The element of time is of primordial importance to a financially rewarding life.

We all intend to have a happy, wonderful, fantastic life.  So why should we let ourselves complicate things when we can simplify it.