By Dominique Bowen
It’s colloquially known as “Janu-worry” for a reason, but it is avoidable with steely financial determination and discipline. When you cruise through grocery, uniform and stationery shopping as the new school year arrives, boy, won’t you thank yourself for having stuck to your savings guns! Here are 10 ways to be smart about cutting costs in December to achieve that.
1. Boundaries above all else
It’s probably the most social season of the year, which means you’ll likely be invited to various gatherings and outings at least on a weekly basis. Does that mean you have to attend all of them? No! And it doesn’t need to get awkward. Have boundary-setting conversations with loved ones to manage their expectations of how willing you are to spend on certain occasions, whether it be gifts, cinema or theatre nights etc. Where your budget doesn’t allow, discuss alternatives that still allow you to bring to life what the holidays should be about anyway: spending quality time together.
2. Plan your fun money
As much as your budget should allocate a “job” to every rand, don’t discount leisure in this equation. Yes, you deserve fun! And yes, it’s okay to spend on budgeted spoils. Look at your income in December as having a variety of uses. Whether you receive a bonus, have been saving for your own holiday fund the year through, or just want to be more intentional about dividing your money between needs and wants, sit with your budget before your December salary arrives so you can plan (and look forward to!) your time off.
3. Move and earn
There’s no escaping the increasing fuel costs. You can, however, be smart about topping up your tank.Various loyalty programmes have partnered with energy companies to bring members savings or similar rewards for swiping at particular forecourts. The takeaway? Be that bit more intentional about where you swipe when filling up your tank this holiday season; it could put actual rands back in your account.
4. Bulk up like a boss
You may already be in the habit of purchasing non-perishables in bulk and on deals in the other 11 months of the year. If you have loved ones staying with you, or vice versa, extend that shopping tactic to fresh produce. Where you may have hesitated to take advantage of those “under R100” deals before, concerned about their longevity, now’s the time to take full advantage when you have more mouths to feed – and more occasions on which to feed them – over the holiday period.
5. Guard yourself
Crooks don’t take holidays. In fact, right now is a lucrative business season for them, with increased shopping, and possibly more frazzled shoppers with fewer wits about them. Preventative measures like ignoring unsolicited dodgy-looking emails and SMSes can save you big in the long run, securing the year ahead instead of seeing your hard-earned money flushed down the drain.
6. Avoid silly-season costs
It’s easy to take a laissez-faire approach to everything during the holidays, but don’t let it cost you. Besides the safety aspect, being a better driver can save you speeding and parking fines. A credit card or store card account kept up to date saves you interest and builds your credit record – a win-win! And sticking to that budget we discussed means no bounces on your account and no (avoidable) penalties as a result.
7. Bring fun back to entertaining
Who wants crowded, noisy restaurants, queues and jaw-dropping bills when you can put on a fun, delicious spread in the comfort of your home? And we’re talking real fun, here. As a group, plan a themed day where you dress up, decorate the chosen host’s house and prepare snacks and drinks according to a set budget and in line with the theme. It doesn’t need to be lavish; focus on the fun, and document it with photos that will become great memories to reflect on.
8. Resist the splurge
Nothing can blow a budget like an unbudgeted item … on sale. Don’t fall for it! Deals come around all the time, so before you find yourself falling for the classic “while stocks last” and “never before seen prices”, remember that marketing is a powerful thing, but your budget needs to be the last man standing.
9. Get creative
Something especially fun for the kids: if you’re planning to stay home for the holidays, you can still take the family outside of their usual surroundings for a bit of escapist fun. Try a camp-out in the garden, a movie theatre in your own lounge (complete with dimmed lights, home-made Slush Puppies and popcorn bowls) or a family or neighbourhood sports tournament in your local park.
10. Leave January savings for January
The best way to start the year on the right foot is by only using December income for December, and whatever you’ve set aside for January, for January. Constantly remind yourself how much help it will be to keep your hands off January money, knowing how useful it will be when the new year begins, having stuck to your guns with your December cash.
PERSONAL FINANCE