It is so easy to spend money this time of year.
We are targeted by ads on television, stores, and even our social media accounts, promising the best deals for the lowest price.
If you are browsing online, the “sale countdown” clock in the corner of the screen puts pressure to buy quickly.
Not to mention that it only takes a swipe or a click to purchase an item, especially if your credit card number is already linked.
With all the temptations, if you are not careful you could rack up significant debt.
In fact, Nerd Wallet came out with a new survey about shopping this year.
They found that about half of Americans had some type of debt from last year and 30% still have not paid it off. That is why financial experts caution to stay within your limits.
Jane Gray from Kill Devil Hills says she keeps spending to a minimum during the holidays.
“I do not usually budget I'm just cheap. I have four children and then six grandchildren,” she says. “I mean, I can't afford to do you know, [start shopping on Black Friday] I couldn't afford to do that."
Most people also cannot afford to spend a lot on each family member. Yet, they still try, which results in excessive charges and interest.
Iris Borden is a Credit Counseling Coordinator with the Consumer Credit Counseling Services of Hampton Roads.
“People end up buying food and medications on credit cards because they have to pay the credit card company's the minimum payments,” she says.
CCCS is a program of the Center for Child & Family Services and is licensed by the State of Virginia to provide credit counseling and debt management services.
“We do budgeting, money management, credit counseling, and debt management,” Borden says. “[People] can basically call or come here for any questions they have financially.”
Although Borden says CCCS does not see an increase in clients until after the holidays, she says it’s a good idea to call now to get ahead of holiday debt.
"You can start a budget anytime. Get a piece of paper and write down what your daily expenses are,” she says.
Borden tells me when you figure out how much is left over that you can spend, stick to that budget, and avoid impulse buying.
In fact, some people opt for shopping in-person, using cash, so they can see when the money is gone as opposed to swiping a card online.
Folks like Gray opt to make their own gifts for family.
“My granddaughter had a bunch of t shirts, when she went off to college and she didn't want to get rid of the t shirts so I made her a t-shirt quilt that she could take with her,” Gray says. “One year we made wooden Yahtzee for the kids.”
Gray has also found good deals on Groupon for experience-type gifts.
“Last year I got [my daughter] spa treatments from Groupon because that is not something that she would buy for herself. [Another year] I got like $40 worth of Cold Stone Ice Cream [gift cards] and that gives [enough for] each of the kids in my daughter's family to have a treat. You know, they can go out and have like a Sunday ice cream.”
Borden says it is never too late to adjust your budget.
“I just hope that more people sit down and have some conversations with family members, friends, and come up with a good plan."
Keep in mind that inflation is also high, which will make budgets tighter this year. Nerd Wallet says leaning on coupons and sales can help adjust for that.
