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Christmas can bring joy, celebration, and a Santa-sized list of tempting expenses.
In fact, Baby Boomers and Gen X are expected to be the biggest shoppers this year, expected to fork out 37.6% of the $9.3 billion Australians are anticipated to spend this 2023 Christmas season.
It can be easy to go overboard with spending during Christmas, especially when using your credit card for your Christmas shopping. That’s why we’ve come up with ways to help you manage your budget and spending over Christmas!
Read on for tips on how you could:
According to a brain study by researchers at the Massachusetts Institute of Technology, using a credit card can be associated with your brain’s reward centre. This could have the effect of making it feel like a positive action every time you swipe your credit card, which might lead to spending more than planned.
This is why it can be a good idea to be mindful of how you pay for things, especially during the festive season, to minimise your Christmas debt.
Credit cards might be a go-to payment option for Christmas shopping that can come with benefits like fraud protection and reward points, depending on your credit card provider. However, there are fees to consider when using credit cards such as:
These are just a few of the fees that can come with credit cards. You can find out more about other types of credit card fees to look out in our blog Aussies are swapping out their credit cards.
Debit cards could be a good way to help you stay within your Christmas budget, as you pay for items upfront using your own funds and therefore have nothing to owe. Most debit cards also have a daily cash withdrawal limit, usually around $1000 - $2000.
Whilst debit cards are convenient to use, here is a tip to keep in mind when using debit:
If you’re short on cash or need a boost for your Christmas budget and spending, you might consider accessing extra funds through Beforepay. This can be especially beneficial when you're faced with unexpected expenses alongside your year-end financial commitments, but know it generally comes with a small fee. With Beforepay's Pay Advance, you can expect to pay just a single fixed transaction fee that is 5% of your advance - no interest, no other fees.
Making extra money could be a great way to help you give your Christmas budget and spending a boost.
During the seasonal time there are many opportunities that can fit with your schedule and skills, such as offering services or applying for a Christmas casual job if you have spare time.
Here are some ideas if you’re thinking about how to make extra money this festive season!
For more ideas on ways to make more money check out our blog ways to earn extra money that work with your schedule.
A good way to help manage your Christmas spending is to minimise the amount of unplanned purchases that may not be in line with your budget. Typically, accommodation and gifts can become more expensive during this time of year, so timing your end of year shopping and trips can make a big difference.
Here are some simple tips you can try to help you plan your Christmas spending, and stick to your budget!
As we get ready for the festive season, it's important to approach our spending with care. While we all aspire to be as generous as Santa, it's a good idea to establish a budget so we can manage our spending and stay in control of our finances.
If you are struggling with debts, remember you are not alone. For support and assistance with your finances, you can explore our Financial Support and Resources page or consider checking out these websites for support:
Disclaimer: Beforepay Group Ltd ABN: 63 633 925 505 (Beforepay) allows eligible customers to access their pay and/or access their tax refund, and also provides budgeting tools. The views provided in this article include factual information and the personal opinions of relevant Beforepay staff. This article contains selected summary information only and is provided for general information purposes only. Beforepay and its related bodies corporate make no representation or warranty, express or implied, as to the accuracy, completeness, timeliness or reliability of the contents of this blog post and do not accept any liability for any loss whatsoever arising from the use of this information. Please read our Terms of Service carefully before deciding whether to use any of our services.