Defrost Your Winter Budget With These Great Tips!
Most people don't think of their budget as something that needs to be winterized. But then again, most people don't have a budget... We tend to get a little restless during the colder months and money seems to burn a hole in our pockets. As always though, I've got some tips to help you get through this winter without breaking the bank.
1. Don't go into hibernation! For many people, winter means you're staying inside a lot. Cabin fever may start to set in and you get bored. So you might surf on over to Amazon and talk yourself into needing a Hello Kitty Ice Cream Maker. Don't do it! Stick to your plan!
2. Winter vacations. Of course going somewhere tropical in the dead of winter sounds fabulous. But you know what else sounds fabulous? Paying for your vacation in cash! Don’t go into debt for your vacations. The most relaxing vacations are those that don’t follow you home. Don’t forget about the additional expenses of booking vacations, such as food, transportation, and activities. Download our FREE tropical vacations guide to help you plan.
3. Valentine's Day. The average consumer is expected to spend $140. The National Retail Federation reports that $19.7 billion was spent in 2016. Now is the time to start planning to avoid going into debt. Instead of extravagant gifts, try spending more time with your partner. Doing something for them that will help lessen their load is also a great idea. Create lasting memories, not lasting debt.
4. Winterizing your home. If you haven't already, it's not too late. Check out this blog to find out how you can save hundreds on your energy bill this winter.
5. Tax season is quickly approaching. I recommend you use a tax professional to help you file your taxes. If you've received a large tax return the last several years, but find yourself struggling month-to-month throughout the year, you may want to think about changing your withholdings to give you more cash throughout the year. Remember, a tax return isn’t a bonus or a reward. Simply put, you gave the government too much money last year and they are sending it back to you. Also, make sure you only take tax advice from a tax professional, not your cousin's friend's uncle's nephew who's good with numbers.
7. Stuck inside? Get rid of some stuff! When the weather's nice, we get busy with fun outdoor activities. So winter is a great time to go through your closets, basements, and attics and look for things to get rid of, or better yet, to sell! Remember, I suggest that building an emergency fund should be a priority in your financial life. Selling stuff is a great way to get that built up quickly.
8. Start planning for spring and summer. You know your kids are going to summer camp, they'll need new sports equipment and clothes, and don't forget the family vacation before school starts back in the fall. So why not plan for them now? Tally up the cost of everything and figure out how much you should set aside each month and add that into your budget.
Follow these tips and your wallet will thank you! And your sanity!
