Small Tips to Save Big this Christmas

By Laura Price, Investment Advisor

It may seem early to start planning for the holidays, but now is the perfect time to draw up a shopping list and budget. Gift-giving and family gatherings can become expensive in a hurry. Here are a few tips for reducing the financial burden this season brings:

Make a gift list. Start by listing all the family members and friends you wish to give something to. Then assign a specific dollar amount to each person and do not exceed that amount. Neglecting to create a gift budget is recipe for disaster.

Take an inventory of your skills and talents. Instead of purchasing gifts for everyone on your list, perhaps homemade gifts (a growing trend!) would be appropriate. What are your gifts? Sewing? Woodworking? Scrapbooking? Baking? Photography? Put those talents to use to please the folks on your list who appreciate sentiment or practicality.

Gift exchanges. With family and friend holiday gatherings, it makes the best sense financially for each person to draw one name and set a price limit. That way, you’re only buying one $50 gift for Grandma instead of buying $20 gifts for ten people. You save money and Grandma gets a better gift.

Keep an eye on the ads. Clip out coupons and take advantage of Black Friday sales. Don’t want to fight the crowds? Most sales apply to online shopping as well.

Shop early. Stores LOVE last-minute shoppers. When you’re down to the wire and desperate to find a gift, you will almost always pay more. Take your time and start shopping early.

Search the Internet. The Internet has an abundance of resources for ideas on cheap holiday parties, homemade gifts, coupons, and other ways to make the holidays less expensive. It pays to do your research!

Start planning for next year. When this holiday season is over, immediately start saving for next year. Also review this year’s budget to see how you made out. What adjustments will need to be made next year? Some folks even set up a separate savings account for gifts, allocating a certain amount from each paycheck to avoid shelling out extra from their year-end paychecks.

Curing a debt hangover

Today, we found this helpful story on Yahoo! about how to cure a debt hangover. During the holidays, many folks buy more than they can afford, caught up in the lure of deals and wanting to make someone else's holiday special. Here's a guide to handling the debt.

The best thing you can do NOW to prevent next year's debt hangover? Start saving through a Christmas Club. If your bank still offers it, go ahead and join if this is a perpetual problem for you. If your bank doesn't offer it - and many don't - just put away money in savings every week for the next holiday splurge. The key to responsible spending is saving and budgeting.

http://finance.yahoo.com/banking-budgeting/article/104239/The-Cure-for-Your-Debt-Hangover?mod=oneclick

New laptop in your future? Here's a guide

Many folks turn to computers this time of year as a great present. And it is. But one note: those popular netbooks that you see floating around yes, are sleek and small, but they'll be limiting if you try to get by with just that. Instead, think about a more lasting purchase: a full-size laptop.

Here's a good, short guide to Windows laptops we ran across on Yahoo! Finance. Remember, your best purchase isn't always the cheapest option. It's the option that will last the longest and give you the best value.

http://customsites.yahoo.com/financiallyfit/finance/article-108342-3446-3-4-loaded-laptops-for-600-each-html?ywaad=ad0035

It's the most expensive time of the year

We've already warned you of the dangers of being one of those parents who just HAS to have the most in-demand toy of the Christmas season for your child. It's silly, and most of the time, by January 1, your kid has forgotten completely about whatever must-have you've procured. People pay way too much for these items and even get into violent fights over the toys. Definitely not worth it.

If you'd like to have a fun look through must-have toys of Christmases past, here's an interesting story from Esquire.

http://bit.ly/6L8Hn8