Remember the scene in “Christmas with
the Kranks” when Tim Allen’s character furiously totals how much he and
his wife spent on Christmas the previous year? His final amount was over
$6000, including gifts, their annual open house, donations, and more.
While the American Research Group estimates Americans spend about $500
each, that’s for gifts alone. So obviously, there’s some room for
savings. Here are five ways to have holiday fun with all the trimmings,
while still trimming costs:
1. Donate. Instead of buying Uncle Bob
another tie and Aunt Gertrude another salad spinner, why not give them
gifts that help others, and that are tax-deductible for you? Donating to
a non-profit in a loved one’s name keeps junk from the landfill, aids
the less fortunate, and gives you a tax write-off. Many non-profits will
even provide an email or card for your recipient, letting them know a
donation was made in their name.
2. Do a Good Deed. Don’t know what to
buy for the relative or friend who has everything? DO something for them
instead! Provide services – car washes, home-baked goods, babysitting,
editing, home organizing – instead of investing your hard-earned cash in
a hit-or-miss gift. They’ll love the personal touch, and you’ll love
the zero impact on your wallet. Plus, you have the added connection with
someone. This sort of gift works especially well with elderly folks who
may need something done around the house, or maybe a trip to the
market. Not only does the chore get done, but perhaps you’ve given
someone a bit of your company, too.
3. Holiday Events. Instead of hosting
the annual 30-person family brunch at the country club or restaurant,
have it at your house and make it a potluck. Or host a movie night where
you all get together, eat pizza and popcorn, and watch “Miracle on 34th
Street.” Instead of a girls’ night out at a fancy restaurant for the
Holidays, turn it into a cookie swap at someone’s house. You can enjoy
each other’s company without spending a fortune.
4. Send Postcards instead of Christmas
Cards. According to Wikipedia, almost 2 billion cards were sent in 2005.
At an estimated $1 per card and a $0.44 stamp, that’s some serious
cash! While I don’t recommend entering the virtual arena and sending
only e-cards or holiday email, you can cut back. Send photo postcards
instead of cards with photos enclosed; not only will you save on photo
printing, the postcards are only $0.28 to mail, almost half the cost of a
card.
5. Gift Card Deals. Everyone from the
Footlocker to the Cheesecake Factory to the corner gas station is
getting into the act offering gift cards with bonuses. Giving gift cards
can be cost-effective for a couple reasons; you don’t waste money on
unwanted purchases, and many retail outlets offer bonuses at holiday
time when you purchase gift cards. For instance, a local restaurant ran a
promotion where you got a free $10 gift card when you bought cards
totaling $100 or more. You can give the extra card as a gift, or keep it
for yourself for a much-needed post-holiday pick-me-up. Either way,
you’re saving money off the face value of the card.
Holidays don’t have to make you see red
at the end of the year. Use these tips to keep onbudget so you can start
the new year right – in the black!