Now that we're nearing the half way mark to Christmas..

[O RLY]

I need to start saving for expenses (Travel + Gifts) Who's with me and who else will start saving soon?

Figuring $1500 for gifts and $2000 for Travel and just general holiday expenses.

 

[honeybunches]

I've been thinking about starting a Christmas account at the bank. The holidays seem to sneak up on me every year, and I tend to overspend when I get jolly!

 

[Gr8t Fan]

Last year and this year we'll travel to WDW for Christmas. In years past, we have asked our family members not to get gifts for our kids and our pleas have fallen on deaf ears. Last year we announced early on that we would be out of town for the holiday and that finally put an end to the gifts. We've already announced the same for this year and hope to continue the tradition for many years to come. Being out of town also cuts down on the presents that "Santa" brings as well and we don't have to deal with the clutter later on.

 

[Narnia_girl]

I started using YNAB a few months ago and now use it to set aside Christmas money every month. My husband has been at his job so long he gets five weeks of vacation. Generally he uses three of those throughout the year and after Jan. 1 we sell back two weeks and that pays for Christmas.

 

[TravelMommy]

I am so glad you posted this OP, my goal is to be a bit more organized with my budget/spending and not talk myself into those last minute, "just have to get them" items, lol. I really want to have a more streamlined budget. Thanks for giving a great reminder!

 

[worm761]

I am currently saving for/making the money for our trip to Disney this fall. We are going the last bit of September/first bit of October. Once we are back anything that I didn't spend at Disney will go back into savings for Christmas/future travel. Then my Perk and Swagbucks will pay for Christmas.

 

[pjlla]

I finally got SMART this year and started a Christmas envelope in February. My goal is $1500 by December 1 and it seems like I will make it barring any unforeseen emergencies. For years my DH got his annual cash bonus the first week of December and that was ALWAYS the Christmas money. But a few years ago they changed the bonus and it caught me by surprise (two years in a row.... guess I forgot the second year). Of course, it is a scramble at that point to pay for Christmas with no more paychecks between T.giving and Christmas (DH gets paid once a month, I work per diem). And, of course, now we an add a tuition payment usually due (or overdue) around that time as well!

I smile every time I put a dollar (or $100) in my Christmas envelope (and in my summer vacation envelope and in my emergency envelope and in my new car envelope.... you get the picture!)................P

 

[barkley]

a few years ago I went ahead and opened an additional savings account at my credit union-I decided that rather than just earmarking it for christmas I also budget in all the extra groceries we buy for thanksgiving and the inevitable holiday potlucks. I have an amount auto transfer from checking each month so I don't even have to think about it. I also try to make a habit of only using the credit card that's also with my credit union for the purchases related to thanksgiving and christmas-so I can just do a payment directly from my "holiday" account to the card (helps with not pulling out more money than I really need at a given time).

 

[pryncess527]

Ever since we started using YNAB, we've budgeted 1/12th of our holiday expenses every year, so we are already halfway to our goal! I don't even notice anymore, it's delightful.

 

[Minnesota!]

I figure out what I will need, and then divide by my 26 yearly paychecks and transfer it to a Christmas savings account each paycheck. Never miss it. I am on track.

 

[MomToOne]

Like many others, I budget for Christmas throughout the year. I don't set aside a particular $ amount each month or paycheck or anything, I just know that a chunk of change will be spent on it throughout the year, and I subtract that amount from what my savings are for the year. Not exactly how others do it, but it works.

I've actually already spent the biggest chunk of my budget for this year - I typically buy plane tickets for Xmas a day or two after the booking window opens in January. While not smart most times of the year, I find I usually get the cheapest rates on Christmas tickets this way. One year it backfired on me when they dropped ticket prices closer to Christmas, but all other years it's been a good move.

In addition to gifts and plane tickets, I also budget for: stocking stuffers (I spend a fortune on those - they need to be budgeted for! LOL), Christmas tree/other decorations, Christmas activities (we like to go see a Christmas movie in theaters, etc.), other expenses related to travel (car rental, parking, cat boarding, checked baggage, outrageously priced airport meals), Christmas cards and postage, new Christmas outfit for DD and extra "tips" for the gardener and my hair stylist.

I admit I already have a few gifts bought: a camera and some wireless headphones for DD (got both as great deals), and a book for a family friend. While I used to buy like crazy throughout the year, I found that I ALSO went crazy closer to Christmas on those last minute wants that DD came up with, or all the great deals that come out. So I've learned to limit my buying for DD (the bulk of my gifting) until closer to the holiday. Gifts for people like my mother, siblings or friends I will pick up throughout the year as I see something that catches my fancy, if it really seems perfect for them. Otherwise I wait until closer to the holiday too.

 

[pigletto]

I actually just started thinking about this today. I haven't saved a thing for Christmas yet. We are paid biweekly but we run our household on a monthly budget, so it works out that twice a year there are two months with "extra" paychecks. The bulk of those go to vacation savings and Christmas savings. We use YNAB and I will contribute a set amount into Christmas savings from now until December and take the other half from those "extra" paychecks. I was shocked when I realized we were halfway to Christmas already!
I still have the Santa's bag app on my phone with last years totals. I am budgeting the same amount (around $2000) for this year too. That is all gifts and stocking stuffers as well as decorating. Holiday meals/baking come out of the grocery budget.

 

[seb65]

A long time ago, I started a three gift Santa "rule" (like the three wise men). After my kids ignored gifts, I decided it was best with "less is more". With money being tight, and expenses getting high, I asked my siblings to drop the gift giving between ourselves. Instead, all the adults do a $25 Yankee Swap. So, Christmas is a lot less expensive now! I also asked friends if we could just get together over the holiday vs. buying gifts, so we do that instead.
I don't save for Christmas for the kids, but r ather shop throughout the year. After getting deals on Zulilly and the American Girl Jill's Steals and Deals, my daughter is actually done, and I am delighted that I have paid cash. For the other two, I have an idea for their three gifts and will watch for deals (actually already got them wireless headphones, again with cash and a deal).
The only other expense will be teacher's gifts, but I usually order online t hrough Bath and Body on Black Friday.

 

[gracie1]

I've been keeping a list of Christmas gifts and will probably start shopping soon. Last year I waited until December and it was horrible. I like to have everything and be done before Halloween!!

 

[dreamin_disney]

Glad you posted. I usually have a Christmas account and the 52 week saver. This year I'm only having $27 deposited into my 53 week challenge account so I wont make the goal. I guess this week I'll deposit $50 x2 a month In my Christmas account so I will get a $500 check Nov 1st. We've cut back a lot on Christmas. I'll probably do some baking to add to the gifts

 

[kaddjr]

We have a "gift" account and each payday a certain amount is direct deposited into it. Plus, in either October or November, we have an extra check that we can also put toward Christmas if we choose.

Our kids are older (19 & 16) and it was getting harder every year to figure out what to buy for them. So now I give them a budget of xxx amount. They can either take it all in cash or spend it all on their wants. But once it's gone, it's gone. They start shopping around black Friday and make a game out of getting the most for their money. They do have to wait until Christmas to actually receive the gifts. And I make up stockings for them with things they don't know about. This teaches them how to work with a budget and I don't have to stress or make returns. DH and I usually pick out one or two big ticket items for our gifts. Everyone else gets gift cards.

 

[wolf29]

I might be in the minority, but I will not spend anywhere close to $1500 on gifts. Since I work in tourism, I'll be working right through the Holidays so definitely no $2000 for travel.

 

[MomToOne]

I might be in the minority, but I will not spend anywhere close to $1500 on gifts. Since I work in tourism, I'll be working right through the Holidays so definitely no $2000 for travel.

So much depends on individual circumstances, doesn't it? I don't spend $1500 on gifts, but I have just one kid to play Santa for and I keep things on the smaller side for everyone else I buy for (which is still a limited list). How my parents did it with 5 kids I'll never know! Travel, on the other hand, I easily spend $2000. We live cross-country from my family - my mother has Alzheimer's, and we don't know how much longer she will be with us, so we make every effort to get there for Christmas (which has always been a big family time for us). And there's no way around it - plane tickets at that time of year are EXPENSIVE. But they are worth it to me, considering our specific situation.

 

[NY Pirate Princess]

I'd like to say $1500-$2000 is ridiculous, but when I start adding up just the gifts for the 3 people I buy for in my immediate family plus the little things here and there (pirate swap at work, teachers, secretary), wrapping paper, new strings of lights, etc I realize just how accurate these numbers are. I'd also like to say that I budget for christmas since it is the same day every year, but I DO NOT. The only thing I do consistently is draw out the husbands portion of dependent care he gets from employer in December to help cover costs ($700)

Since my mom has retired this year and we are now aggressively saving for retirement (and college too) I am rethinking the way we do gifts. More thought and less spending will be the goal. Thank you for this perfectly timed kick in the pants!!!!

 

[wenrob]

DH gets what's called a safety bonus each year around February. It's a decent amount (though gets lower and lower as the higher ups come up with more and more creative ways not to pay the full amount) so I tuck it away to distribute throughout the year. Since the two of us don't exchange gifts we each pick something we've had our eye on for our birthday/Valentine/Anniversery/Christmas gift. The rest is saved for vacation, kids birthdays and Christmas. I am a bulldog with that money and it doesn't get spent for anything else unless it's a true emergency. The company has changed hands and we're not sure if those bonuses will continue so I have been aggressively saving any OT that comes his way. (which fortunately is there for the taking)

A long time ago we all decided to stop exchanging gifts among extended family, it just got to be too much. After one ridiculous Christmas where supposed adults couldn't act like adults and it got to the point where I was doing all the cooking, cleaning and prep by myself (as well as paying for it all) we put an end to extended family holidays as well. Our best decision to date. We now have "the best Christmas ever" every year. So not a whole lot extra coming out for holiday meals, no travel expenses and we only buy for our kids and the great grandmas.

eta: I also keep an ear out for wants, deals for those and buy early. Come early October my closet looks like an Amazon Warehouse. My twins bday is Nov 30th so it's like I'm shopping Xs 4, lol.