During the holidays, our financial situation often becomes more stressful than it should be. It’s no wonder, what with all the traditions, gift giving, and the fact that it’s the end of the year.
This is truly the most challenging quarter of the year when it comes to not overspending.
That’s why it’s important to have a firm grip on your finances year-round. By planning ahead, it’s a lot easier to manage our money this time of year. That’s why we’ve got three tips to make things easier. Perhaps you could even make these your New Year’s resolutions.
1. Create an annual budget.
Each year, try to plan an annual budget that covers every month of the year. Be sure to allow for that extra spending around the holidays.
You can do your budget on paper, in a spreadsheet, or use an app to help you get organized. First, include all guaranteed monthly income and an estimate of all the bills you’ll need to pay. Then you can start allocating allowances for necessities and more.