How to prepare for the chaos of the silly season
Save That Money
We will start with the obvious, you need to save up money. During the holiday break, you may not be working. If you are away from work and spending up a storm, you will need to have funds put aside to allow you to overindulge, splash out and treat yourself, like every kiwi does during the holiday.
Saving money doesn’t have to be complicated. You just need to identify what are your wants and what are your needs. You can reduce your spending by going for alternative brands when buying products/foods. Making small sacrifices here and there that adds up at the end of the year. Changes like, limit your shops to once a week or open your curtains during the day and shutting them at night to keep the heat in and reduce heating costs. We recommend reading these blogs to get some tips to help you cut costs:
Get your Christmas sorted
Avoid the typical holiday stress of searching for Christmas presents or Christmas salads at the minute by getting in early. The same goes for holiday plans and accommodation, get in quick and get those early bird rates, don’t wait until the last minute and be the one who misses out. Its economics 101 here where we see a shift in the demand curve which causes prices to increase. The only thing that we can be sure about is the fact there will always be those people doing last minute Christmas shopping on Christmas Eve. Don’t fall into that grouping and instead enjoy a nice day at home with your feet up, as you can sit there grinning at the presents under the tree.
This is going back to our saving tip, but getting a free NZCU South Christmas Saver account could be the answer to your Christmas finance woes. You can put a little aside each pay for the whole year and give yourself a pleasant surprise when November 20th comes along. A Christmas saver is untouchable until the 20th November – 31st January, meaning you will be able to guarantee yourself a nice amount of savings for the holiday period. You can apply for your own Christmas Saver here.
Consolidate your finances
If you often find yourself struggling around Christmas time and all your bills are getting on top of you, it may be best to consider getting a debt consolidation loan so you can take control of your finances. A debt consolidation loan works by combining your existing loans and debt, into one loan with one fixed re-payment amount. Take existing credit card debts, utility bills, high-interest purchase hires and other debts, and roll them all together to save financial stress and reduce interest costs. You can then use the much-needed breathing space that a debt consolidation loan creates on your finances, to better secure yourself in other ways; start your savings, tackle the source of your debt problems and develop new financial goals. A debt consolidation loan before the silly season could help take some of the stress off of you and your finances and reduce the chaos that is coming your way. You can read more on debt consolidation here.
Have a budget
Successful budgeting can be difficult to achieve when you don’t have a plan in place. Our best advice is to create structure and consistency in your finances so that you can better prepare what position you will be in financially whenever extra costs have to be incurred. A good structure to apply is the 50/30/20 rule with your income, simply the whole process and divide your spending into bills/spending/savings. You can read up more on this rule in our “Saving – how much is enough?” blog.
Last but not least, have some fun. The holidays are a stressful time for many, and you don’t want to have to go through a long year of working hard, just to burn yourself out. Incorporate what we said into your life and prepare yourself for the chaos that is to come. Heck, if you take on all these tips, you might prevent any of this chaos from occurring in the first place. Plan ahead so you can put your feet up. Because like a moth to a lamp, stress attracts more stress. Prepare for the holidays now and have a great one this year.