Ways to Recover from Your Holiday Shopping
To splurge is to celebrate the holidays well, some might say. In fact, over $1 trillion was estimated for holiday spending in 2016, but many who spend in excess during the holidays often feel a little buyer’s remorse afterward. If this is you, feel better knowing that you’re not alone this year.
Tally Your Totals
If part of your anxiety stems from not being sure how much you actually spent this holiday season, the first thing to do is tally your totals. Exactly how much did you spend during the holidays? Sometimes, you’ll find you spent less than you expected, and other times you’ll wish you’d spent much, much less. You’ll never know until you tally your purchases.
Limit Your Immediate Expenses
Adjusting after a holiday spending spree can be tough, especially if you stepped outside of your financial comfort zone. For now, limit immediate spending and understand that unnecessary impulse purchases can wait. That’s likely what got you here in the first place.
Spend Those Gift Cards
Often a last-minute holiday gift, now’s the time to spend the money you have on those gift cards gathering dust in your drawer. This can also be a great way to avoid spending money eating out or going to the movies.
Prioritize Debt Repayment
Chances are you didn’t pay in cash for all your big-ticket items this holiday season, which means your credit cards saw some action. In order to feel better about your excess spending and also repay outstanding holiday debt, prioritize credit cards with the highest interest rates first.
If you plan on taking several months to pay off those holiday credit charges, shop around for a credit card with lower rates and no transfer fees. Transferring your balance to a lower rate credit card can really make a difference.
Plan for Next Year
The easiest way to avoid the holiday shopping hangover next year is to start planning and saving now. You know what you spent this year, so use that as a benchmark for next year’s spending and try saving as much as you spend on holidays. Before you know it, you’ll have a nice nest egg set aside to use for next year’s holiday shopping.