Holiday Spending Tips from a Financial Advisor

Holiday spending can quickly drain your wallet, but with a little planning, you can keep your finances in check. Use these festive saving tips to stay on track. With plenty of free options available, sticking to a budget doesn’t have to dampen the joy of the season.

Smart Ways to Save on Gifts

Use Rewards and Points. Stretch your holiday budget by tapping into credit card points, frequent flyer miles, or unused gift cards. For example, upgrade your parents' flight seats using miles—though taxes and fees may still apply.

Skip Store-Bought Wrapping. Don’t waste money on gift wrap that will just get thrown away. Many stores offer free wrapping or gift boxes.

Alternatively, get creative: use children’s art, comic strips, newspaper sections, or even packing paper decorated with stamps. Save gift bags, ribbons, and tissue paper from gifts you receive to reuse next year.

Take Advantage of Free Shipping. When you send gifts, choose stores that offer free shipping. You can also wait for Free Shipping Day in mid-December. Keep an eye out for additional holiday promotions, too.

Plan Shipping Early. To avoid high rush shipping costs, check the delivery deadlines of postal services. These deadlines are usually posted online. This way, your gifts can arrive on time without extra fees.

Consider Regifting. Generic items like unused gift cards make great candidates for regifting. Make sure to take out any personal notes or signs that show it wasn’t meant for the recipient. Also, don’t give partially used gift cards!

Look for Bonus Gifts. Some stores offer freebies, such as cosmetic bags or full-size products, with certain purchases. Use these extras as thoughtful gifts or add-ons to another present.

Shop with Cashback. If you’re spending, make it work for you. Use cashback credit cards or shop through cashback websites—but pay your balance in full to avoid interest and fees.

Cut Costs on Holiday Cards. Greeting cards can quickly eat into your holiday budget. Try taking your own holiday photo or find photographers who sell individual images instead of full sessions. You could also send digital greetings or hand-deliver cards to people you’ll see in person.

Save on Holiday Fun

Enjoy Free Community Events. Celebrate the season with loved ones without splurging on expensive tickets. Look at local news sites, social media, and community boards for free events. You can find tree or menorah lightings, holiday parades, caroling, and concerts from schools or churches.

Many events give out small treats like chocolate coins, candy canes, or dreidels. These can also be used as decorations or gift toppers.

Use Library and Membership Perks. If you have a library card or memberships at cultural institutions like museums or botanical gardens, explore their holiday offerings. Many of these places offer free passes or discounts for events like light shows or seasonal exhibits. Sometimes, they even include free parking!

Make Memories by Volunteering

Create lasting family memories by giving back during the holidays. Decorate trees or hang ornaments at a nursing home, or volunteer at a food pantry.

For example, Feeding America, Kentucky’s Heartland, holds a “Holiday Saturday of Service” in mid-December. During this event, volunteers pack food for seniors and kids. They enjoy festive music, a holiday sweater contest, and tasty bakery treats.

You can also gather friends for a feel-good activity by responding to letters addressed to Santa. Through USPS Operation Santa’s “Adopt as a Team” option, groups can come together to fulfill children's gift requests, turning generosity into a fun, meaningful event.

Save on Travel

Find Free Lodging Options. Holiday travel can strain your budget, but there are ways to avoid accommodation costs. Consider swapping homes with friends or family, offering to pet sit, or taking on a house-sitting gig. These alternatives not only save money but also give you a comfortable place to stay during your trip.

Save on Holiday Décor

Display Holiday Cards. Instead of tucking away the thoughtful cards you receive, use them as festive decorations. Hang them along banisters, doorways, or arrange them on walls to add a personal, seasonal touch throughout your home.

Bring Nature Indoors. Beautiful décor might be just a walk away. Gather pinecones, evergreen branches, or berries from your yard or local park. Place them in bowls or vases for simple, natural centerpieces.

Repurpose Leftover Decorations. Extra ornaments, tinsel, or bows that didn’t make it onto the tree can still shine. Fill jars, vases, or decorative bowls with these items to add color and sparkle to shelves, counters, or tables.

Showcase Kids’ Artwork. Paper snowflakes, snowman drawings, or holiday crafts from children make playful, charming décor. If you don’t have kids, ask nieces, nephews, or neighbors for their creations. These sweet touches also make great gifts for mail carriers or delivery drivers.

Score Free Décor After the Holidays. From December 26 to early January, many people offload unwanted decorations. Browse online marketplaces and message boards for discounted or free holiday items.

Collect Curbside Finds. Look for discarded holiday decorations, like lights and ornaments, on curbs or in shared areas of apartment buildings. You might even come across a fully decorated tree, perfect for next year’s festivities.

Save on Partying

Borrow, Don’t Rent. If you’re hosting and need extra tables, chairs, or serving ware, ask friends or family to lend what they have. Coordinate with those hosting on different days and swap party supplies—you borrow theirs, and they can borrow yours when they need them.

Rework the Same Outfit. With multiple holiday parties to attend, your wardrobe budget can take a hit. Instead of buying new clothes, wear the same outfit to different events but switch up the accessories.

Add a blazer or jacket for a formal event, then dress it down with sneakers for a casual gathering. You’ll create new looks without anyone realizing you’re repeating outfits.

Bottom Line

With a little creativity and planning, you can enjoy the holiday season without breaking the bank. You can celebrate in many ways without overspending. Consider thoughtful gifts, affordable travel, festive decorations, and free community events.

Focus on what truly matters. Spend time with loved ones. Create meaningful experiences. Give back to others. This way, you can enjoy the season and create joyful and memorable moments without the stress of overspending.

Sources:
https://www.fidelity.com/learning-center/smart-money/holiday-budgeting