5 Simple Ways to Have a Debt-Free Christmas

Christine | Admire Simple
by Christine | Admire Simple

Hi friends! Christmas is right around the corner. Have you done your Christmas shopping yet?

It can be an expensive time of year and I heard a lot about how much money people spent each year on Christmas to make things happen.

Money is tight this year for many of us. And it’s easy to go into debt if you don’t have any savings or budget.

Nobody wants to get financial stress and go deep into debt over the holidays. Today, I wanted to share 5 simple ways to have a debt-free Christmas.

Are you looking for ways to love and enjoy this festive season more without money stress? Here are the things you can do to simplify the holidays and have a debt-free Christmas.

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How to Have a Debt-Free Christmas

1. Create a holiday budget and stick to it.

Avoid overspending by creating a budget and sticking to it. Budgeting is vital because it can help you manage your money effectively and keep you out of debt.

How much is your Christmas fund? Figure out how much money you can spend on the holidays. Then, make a list of things you want to spend money on. e.g. gifts, gift cards, decorations, party expenses, travel, etc.

Balance your fund with your expenses. If the expenses exceed the money you have in your hand, cut the items out to the essentials.

If you don’t set a budget, you can easily overspend during the holidays and go into debt. It is important to set a budget and keep track of expenses.

List out the things you want to purchase on your spreadsheet. Or signup to grab your free printable Christmas Planner. The 15-page printable planner pages include a gift list, online shopping tracker, grocery list, Christmas menu, Christmas checklist, etc. Use this planner to help organize and stay on budget during the holidays.

If you want to avoid overspending this year, keep a budget. In this way, you know where your money is going, and it also helps you stop making impulse purchases too.

Related Minimalist Christmas posts:

5 Ways to Simplify Christmas

2. Find the best deals online.

You now have your Christmas budget and a shopping list, go shop online. Most retailers have online stores and they offer the best sales online.

Though you can find sales at any time of year, there are always the best early Black Friday online deals. You can save money on your Christmas shopping by comparing prices to get the best deals online.

Related Minimalist Money Tips:

16 Ways to Save Money with a Minimalist Mindset

10 Things I Don’t Buy Anymore

3. Use cash back credit cards.

I like to save as much money as possible. Using a cashback credit card is one of the ways to save money on holiday shopping.

I use my cashback credit card to save money and earn cash back dollars on every purchase. And I usually save the cash back dollars to pay down the credit card bill.

Avoid overspending by sticking to your budget when you’re using your credit card. Keep in mind to pay off the balance in full each month.

4. DIY Christmas gifts.

DIY Christmas gifts are one of the great ideas if you’re trying to save money during the holidays. They are fun to give and with lots of love.

Here are so many creative and thoughtful DIY gift ideas that I can’t wait to try.

I also like to have homemade baked goods for my friends. It’s easy and inexpensive to make that everybody loves.

5. Host a potluck party.

Hosting a Christmas party doesn’t have to be expensive.

If you love entertaining but are on the budget this year, consider hosting a potluck and inviting each family or group to bring a dish, sides, desserts, or drinks to the party. This way, it helps to cut the cost of food expenses, save your time and energy.

When we throw a potluck party, we make two main dishes and ask guests to bring their favorite holiday dishes for everyone to share.

Don’t put too much pressure on yourself. Hosting a potluck party can save you a few hundred dollars and spend less time in the kitchen which makes it less stressful for you.

Final Thoughts

Christmas is a time for joy, family and giving. It is also a time that can be expensive, especially if you do not plan ahead.

The best way to do this is by setting aside some money each month so that when the holidays come, there won’t be any financial stress.

Money is tight for many of us this year. But there is no need to go into debt just to have a good time with your loved ones.

Set a budget and stick to it. Keep things simple if you’re on a budget. It’s tempting to buy lots of gifts and decorations, but this can add up quickly. Instead, homemade thoughtful gifts are less expensive.

When you keep things simple, even if you’re on a tight budget, your holidays can still be joyful and magical.

Christmas is not about creating debts, it is about celebrating the birth of Christ, spending time with your loved ones, and creating memories.

Follow the above tips for saving money during the holidays and have a debt-free Christmas. Be sure to grab the Free Printable Christmas Planner to help organize the holiday budget that keeps you from overspending.

Christine | Admire Simple
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