Money-Saving Strategies for the Holidays

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Now that holiday shopping is in full swing, I thought I'd share this article by Heather Landy. When you shop, do you look for items on sale? Is money no object? Do you overspend or stay within a budget? What money-saving strategies do you have to share? It’s easy to get caught up in the joy of holiday season, but it's also easy to find yourself financially overextended when the bills roll in. Before you head out to the malls or log on to the Internet, consider some of these money-saving strategies: *Review your bills from last year to give you an idea of how much you actually spent. *Prepare a budget. Don't forget hidden holiday expenses such as postage, cards, wrapping paper, extra groceries, gas for added travel, decorations, charitable donations and party clothes. And don't forget interest on credit cards. *Make a list of who'll be getting gifts and how much you want to spend. Then stick to it. *Record all expenditures and keep all receipts. *Pay with cash to avoid overspending and adding to your credit balance. *If you must use a credit card, use only one — the one with the lowest rate. *Avoid taking out cash advances on your credit cards. They carry a hefty fee and higher interest rates. *Do your homework before buying big-ticket items. Find out what features are offered on different models and competing brands. *Don't overlook the post-holiday sales. Save room in your budget for great deals on gifts for next year and on holiday supplies and decorations. *Once you pay this year's holiday bills, start a holiday savings fund for next year. It's easier to save a little each month than to face one big bill in January.