4 Reasons to Plan Now for Holiday Spending

While we’ve barely put away the sunscreen and summer gear, the holiday season “creep” is slowly making its way into stores and online. And for many people, it’s not only the most wonderful, it also makes for the most expensive time of year. Whether you expect to spend on gifts, holiday décor, meals, or travel, you’re likely to spend less if you start planning—and saving—early.

Rather than waiting to think about the money you’ll need to spend in December, consider four reasons to start planning now.

As the first official shopping day of the holiday season, Black Friday is known for widespread retail sales and promotions. That being said, many retailers also offer discounts over Labor Day weekend and the weeks ahead of Thanksgiving. By planning early for the gifts and décor you plan to purchase for the holidays, you can be ready to take advantage of these sales when they’re offered.

If you’re thinking about traveling for the holidays, you also may get a better deal by planning early. Airline and hotel prices often fluctuate based on demand, so if you know your plans, you can watch for the best deals and book when the prices look right.

Act now: Make a list of all the purchases you’ll want to make for the holiday season. Be as specific as you can. When you know what you need to buy, you can more easily track the prices and purchase when they drop.

Spending money on the people you love can make the holidays more enjoyable—but if that means racking up a pile of credit card debt, it can put a damper on starting the new year on the right foot. To avoid this, consider saving a little money every week from now until mid-December, so you’ll have the funds set aside to buy the gifts you need.

The earlier you start planning, the more time you have to set money aside – and to earn some interest on your savings. Even small amounts can add up when you begin before the holiday rush. For example, saving a little from each paycheck now may help cover gifts, travel, meals or seasonal activities later without relying as heavily on credit.

Automating your savings via recurring deposits from your checking account can make this even easier. Forbright Bank data shows that customers who use recurring deposits more frequently over a year experience 5X the savings growth of those who use them less frequently or not at all.

Act now: Set up a weekly or monthly automatic recurring deposit into a high-yield savings account designated for holiday spending. If you save $100 every week for the next three months, you’ll have $1,300 set aside for the holidays by the time December arrives.

When you’re caught up in the spirit of the holidays, “just one more thing” may feel harmless in the moment. A gift here, a meal out there, an extra decoration or last-minute shipping fee, and suddenly your holiday spending is higher than expected.

Planning now gives you a better chance to set a realistic budget before the season gets busy. Start by making a list of the people, events, travel plans, and extras you’ll likely spend money on. Then assign a dollar amount to each category so you can see the full picture before purchases begin. If the total feels too high, you still have time to adjust, compare prices, scale back, or spread the purchases out over the next few months.

A holiday budget doesn’t have to take the fun out of the season. It just helps you decide what matters most and spend with more confidence. When you know your limits ahead of time, it’s easier to avoid impulse buys, keep credit card balances manageable, and enjoy the season without worrying about post-holiday financial stress.

Act now: Take 10 minutes to create a holiday spending list. Include gifts, travel, entertaining, decorations and any other seasonal expenses you expect. Then estimate how much you’d like to spend in each category before holiday shopping begins. Even a simple budget can help you stay on track.

Holiday spending can feel more stressful when decisions are made all at once. If you wait until the last minute, you may end up with fewer choices, higher prices, or a greater temptation to use credit for unplanned purchases.

Starting early gives you room to make thoughtful decisions, compare options, and decide where you want your money to go before the season becomes hectic. A little planning now can help make the holidays feel more enjoyable and less financially overwhelming.

Act now: Start a simple holiday planning checklist today. Add important dates, travel plans, gift ideas and expected expenses. Having a plan in place now can help you avoid rushed decisions and unexpected costs later in the season.

Disclaimer: This article is for general information and education only. It should not be considered financial or tax advice.