The winter season – and its annual holidays – brings joy, presents, and time with friends and family members. But it also puts a little extra strain on your wallet. Colder temperatures, holiday shopping, and home maintenance can all require a little extra from your day-to-day budget. But with the right planning for how to save money during the holidays, you can keep your finances on track.
Colder weather can bring extra stress when it comes to your personal finances. Especially during times when costs are up, and Americans are more concerned than ever about affording everyday expenses.
Energy bills alone have jumped by 5.5% compared to last year, with some locations seeing increases in the double digits. From utilities and home maintenance to snow removal and medical bills, winter time can strain your budget with extra costs. However, you can plan ahead to maintain your financial stability with winter energy-efficient tips and more.
One great way to save money in winter and throughout the year is to install a smart thermostat. A programmable thermostat makes it easy for you to set your temperature to a good base level, then automatically turn the temp down when you’re out of the house. Smart thermostats may require an initial investment, but they will pay for themselves in the long run.
According to the U.S. Department of Energy, setting your thermostat a few degrees lower in winter can save up to 10% a year on electricity bills. Think of when you can comfortably lower the temperature. For example, many people will set their thermostat to a lower temperature at night, when they’re at work or when they’re out running errands.
Turning down the heat in your home is not the only winter energy-saving tip. Take a tour around your house and seal any air leaks you detect in your windows, doors, and walls. If you’re not sure how to find drafts, there are plenty of online resources to help you figure out how to detect air leaks in your home.
An inexpensive way to save money on your heating bill, you can use caulk or weatherstripping to seal drafty doors and windows or swap out old windows for new, energy-efficient ones that trap in more natural light and heat throughout the day. Short-term investments in energy-efficient home upgrades can quickly lead to long-term savings. Plus, you may be eligible for associated rebates.
Some people end up traveling more during the colder seasons as they visit friends and family, take a holiday vacation, and more. If you’re thinking about cutting back on spending this season, consider where you could save:
The holidays are meant to be spent with friends and family. But oftentimes, our loved ones aren’t all located in one place. Traveling to visit grandparents and siblings can be a strain on your time and wallet. A great way to save for the holidays is to vacation at home. When you stay local, you save money on gas, plane tickets, hotels, shipping costs for sending gifts, eating out at restaurants, and more.
Staying at home doesn’t mean you can’t see your family, though! Instead of traveling to see them, invite them to your city to visit you. Create a cozy guest space for them with some holiday décor or send recommendations for a nearby hotel or Airbnb. Either way, your holiday budget won’t be as strained this winter.
If you’re planning a trip, see if you have any existing rewards available through a travel program. Credit cards, airlines, and booking sites often offer incentives for using their services, allowing you to accumulate points or miles that can be cashed in for free or discounted flights, hotel stays, upgrades, and more. If you’re not already part of a travel rewards program, it’s not too late. Some offer sign-up bonuses you can take advantage of.
While there’s always merit to in-person experiences, there can be benefits to staying home and participating virtually. Here are some ideas that could allow you to have fun from the comfort of your own home, saving money on travel, food and beverages, hotel stays, and more:
It can be fun to find thoughtful gifts for loved ones, but they often come with a price tag. Take some of the stress off your shoulders while you shop this year by following these tips:
Want to save money during the holidays and avoid buyer’s remorse? Set a holiday shopping budget, then stick to it. If you have a lot of people to buy gifts for, consider setting a price limit for each person’s gift. Holiday budgeting is a good way to control spending during holiday shopping without accidentally prioritizing anyone.
Need a bit of help? Use the spending tracking tools or widgets available at most online banks and credit unions to ensure you keep to your budget. You can also keep a spreadsheet that tracks the gifts you purchase for each person and their cost.
It’s tempting to whip out your favorite credit card and take advantage of cashback points and other rewards when crossing items off your holiday shopping list. But in some cases, using a credit or debit card might cause you to buy a bit more than you initially planned. An MIT study from its Sloan School of Management found that shoppers may spend up to 100 percent more with a credit card than with cash.
To avoid accidentally overspending at the mall, purchase holiday gifts in cash whenever you can. Cash purchases not only keep your online checking account safer (by preventing cybercriminals from stealing your information during a transaction) but also stop you from spending more than you intend.
If there’s ever a time to double down on coupons and great deals, it’s during the holidays. As you shop throughout the winter season, watch for Black Friday deals, online coupons, and other cost-effective deals that can save you money this winter.
Similarly, take full advantage of free shipping offers if you plan to do most or all of your shopping online. Many online retailers provide free shipping if you purchase holiday gifts within a specific timeframe around the holiday season. You can also sign up for email lists, which usually unlock some new customer coupons and perks.
To really save money, though, why not put your arts and crafts skills to work and make some homemade gifts for your friends and family members instead of purchasing presents? A custom photo album, a painting, or even a heartfelt letter might be more touching and memorable than trinkets, knick-knacks, or gadgets. Homemade winter gifts cost you very little or nothing at all, and they let you get creative with your gift-giving.
Despite your best efforts to avoid overspending and stay within budget, things happen, and you may find yourself short on cash and faced with extra debt. Rest assured, there are some options to get back on track.
For example, Regional Finance offers holiday loans that may provide a lump sum of cash to pay for your holiday expenses or consolidate accumulated holiday debts. Then, you may repay over time based on set terms. Similarly, if you relied on credit cards and now have high balances with high interest rates, a debt consolidation loan may help combine your debts into one more manageable monthly payment.
Evaluate your current financial health, set your goals, and explore what options can help you feel more comfortable about spending during the holidays and colder winter months. With the right planning and strategy in hand, you can keep your focus on what matters most.
The information and materials provided on this website are intended for informational purposes only and should not be treated as an offer or solicitation of credit or any other product or service of Regional Finance or any other company. This website may contain links to websites controlled or offered by third parties. We have not reviewed all of the third-party sites linked to this website and are not responsible for the content, products, privacy policy, security, or practices of any linked third-party website. The inclusion of any third-party link does not imply any endorsement by Regional Finance of the linked third party, its website, or its product or services. Use of any third-party website is at your own risk.
Sources:
You can prequalify for your personal loan online in just minutes by clicking prequalify now. Or, if you prefer, call or stop by your local branch to get the process started. Our loan specialists can answer any questions you may have such as what a personal loan is, understanding personal loan interest rates, and how to qualify for a personal loan. We’ll help you fill out an application for the type of loan that fits your needs.
