How to save money now for Christmas spending

With Halloween over it’s the time turn our thoughts to Christmas and the expense of it all. Sure Christmas is still more than eight weeks off but many of us have yet to give any real thought to how to save money now so we won’t have to experience a drain on our finances.

Now is the time to create a spending plan and start saving money. Today, I’m going to show you how to save $400 by Christmas. Granted saving $400 before Christmas may not go very far in covering your total expenses but it’s a good place to start.

For instance, if we began today (November 1st) and ended on December 20th, we have 50 days in which to save, and would still have some shopping time left before Christmas. (I based my calculations on a rough eight week plan of 50 days x $8 a day = $400.) This whole exercise may even inspire you to start saving earlier next year.

The first step is to take a good hard look at just where your money goes. Write down every expenditure no matter how small.

It’s the small items that usually get us. How many times have you gone into a dollar store only to find yourself walking out with bags of merchandise and $20 less in your pocketbook? But it’s only a dollar you lament. Now turn it around and say, It’s only a chocolate bar or pack of gum, I don’t really need it.

What we’re talking about here is saving roughly $50 a week. (Now if you ran the full eight weeks and saved $8 a day, you would have saved exactly $56 a week and a total of $448 over the long term.) For those with an already tight budget it may be a bit of struggle but I’m sure you would agree it is worth the effort not to end up with an empty pocketbook come January.

Pay yourself first. Put the money in a safe place where you can’t get to it in a weak moment. If a payroll savings plan is an option go for it. Another good alternative is to deposit your cash weekly in an inconvenient bank – preferably one across town and one that isn’t accessible with your ATM card.

Success comes from trimming away the excess and learning to manage on less. Take a look at where your money is going to find items like that morning coffee or mid-afternoon snack from the convenience store around the corner.

Make temptation your enemy. Steer clear of the mall. If you need to shop for groceries or other necessities, make a list and stick to it. Carry only as much cash as you need. Leave debit and credit cards at home.

Also give some thought to how you can invest time instead of money.

*Take your lunch to work more days than not. Add a little variety by teaming up with a co-worker and taking turns at making double the lunch.

*Instead of ordering pizza, make your own.

*Cut back on convenience foods by making easy stews and casseroles with lots leftover for another meal or lunch the next day.

Keep luxuries to a minimum. The idea here isn’t giving up everything you enjoy, its just finding new ways to lower costs.

*Instead of grabbing your daily coffee and muffin on the way to work make your own.

Whip up a couple of batches of muffins, individually wrap and freeze. Tote your coffee in a travel mug or better still, pour a whole thermos and save more by not donating to the office coffee pot throughout the day.

*If short on time and restaurant food seems like the best option go the take-out route. By doing so and providing your own drinks and dessert you may cut your cost in half.

Give bartering a try. Everyone has a talent. Discuss the idea with a friend and see what develops. Maybe she can hem up those slacks you would normally commission out and you could take her family’s photo for their annual Christmas card.

And finally, break or at the very least, alter one regular habit. For instance if your habit is to drive to the convenience store whenever you’re out of bread and it results in you picking up a little something extra on impulse like say, a chocolate bar or bag of chips. Think twice. Also think about the extra gas it burned. Next time, plan ahead by buying enough at the grocery store to last you between trips, say no to impulse buys and if you must go to the corner store, walk instead of firing up the engine.

Before long you should be able to see just how manageable it is to find the $8 a day it takes to reach your $400 goal.