Holiday Shopping on a Budget: Buying Gifts Without Financial Backlash

Whether you're a single mom, a family on a tight income, or the rising gas prices have cut into your finances, every family can use a budget to assist in their holiday spending. It's quite easy to dip into your savings or take out your credit card at every turn, expecting to pay it all back later. These tips will help you get through the holiday season with a budget that you stick to - without any financial backlash.

Look at Last Year's Purchases
Take inventory of last year's purchases to give you a good budget for this year. Don't forget to include wrapping paper, holiday cards, and any shipping costs if you plan to send gifts to relatives out of your area.

Make Changes
Now that you have a starting point, add and remove any necessary people (births, dissolved friendships, etc). See if there are any areas in which you can pare down the cost. Perhaps you can combine shipping to send to multiple families in the same city. Maybe you overspent on your children last year and can reign in the budget this year.

Write a Shopping List for This Year
You've established a new budget, so now it's time to allocate those funds accordingly. Your best best is to distribute the money on paper and then shop for gifts based on those funds. If you find yourself at a loss of ideas, try to be creative. Perhaps you can make a bunch of cookies for your child's teachers instead of buying gifts this year. Maybe you can create a scrapbook album for your mother instead of buying her a new sweater or jewelry.

Look Elsewhere
If you find that you need to go beyond your budget when it comes to shopping, look for other ways to cut back. Besides gift giving, many families travel for the holidays, attend holiday parties, and decorate their home. These expenses can quickly add up. Instead invite family members to visit you, or look for inexpensive ways to dress up your living room.

Shop Away
Keep track of any sales, but stick to your budget. Many people shop the day after Thanksgiving, but don't fall into the trap of buying items just because they are a "deal". Go with your shopping list in hand, and only purchase within your holiday budget. If you enjoy shopping online you should comparison shop, browse online auctions, and find the best purchase price. This option is great if you plan on shipping presents, as the company will ship it (often at a lower cost) than you would.