So you’ve probably heard the news about the spending boom that occurred on Black Friday and Cyber Monday. In-store and online sales were up 7% and 33% respectively, on each of those days.
Even if you didn’t participate in the multi-billion dollar shopping frenzy, have you considered the spending you’re likely to do in the coming weeks?
Specifically, with the holiday shopping season now in full gear, will you be setting a budget and sticking to it? Or will you simply “wing it” financially when it comes to gift-giving?
Despite the tough economy, more people seem comfortable with the idea of opening their wallets – and breaking out the credit cards – in order to purchase holiday gifts for family, friends and co-workers.
According to a Facebook poll recently taken by Northwestern Mutual, only 52% of those surveyed said they will establish a plan for buying gifts and stick with it.
The rest of those polled (48%) indicated they wouldn’t set a plan, weren’t sure about doing so, or would create a plan but likely wouldn’t stick with it.
More than 4,600 users responded to this single question posed by Northwestern Mutual:
What’s your approach for holiday season spending?
- I’ll set a plan for buying gifts and stick with it – 2,429 votes, 52%
- I’ll set a plan for buying gifts, but I rarely stick with it – 747 votes, 16%
- Not sure; I rarely set a plan for buying gifts – 701 votes, 15%
- I won’t set a plan; I will spend on family/friends as I see fit – 794 votes, 17%
Total Votes: 4,671
Navigating the holidays can be tricky when you’re trying to keep your finances on track, stay out of debt, and not overspend.
One of the best ways to accomplish these goals is to have a clearly defined budget when it comes to holiday gift-buying.
So if you’ve not set a holiday spending limit – and we all need limits! – do yourself a favor and consider what is financially realistic and appropriate for your situation. Then give yourself a financial limit, and stick to it.