How to Recover from a Blown Holiday Budget
It’s easy to get caught up in the excitement of the holidays
and overspend. However, blowing your budget for holiday gifts, parties, and
dinners can leave you without the money you need to pay your regular bills in
January, only adding to the post-holiday blues. The situation can feel even
more hopeless if you racked up debt by buying items during the holidays that
you couldn’t afford, taking out a payment plan or buying them on credit. Keep
reading for tips on how you can recover from a blown holiday budget and pay
back holiday debt.
Assess Your Situation
The first step in any successful plan is to understand your
situation fully. In this case, take a good, honest look at your finances,
including what you owe, who you owe, and which expenses you want to make a
priority. It’s tempting to ignore certain debts that don’t seem as important as
others, but your future self will thank you for taking all of your money and
dues into account now.
Stop Spending Now
If you haven’t already, stop spending immediately.
Overspending on frivolous, un-needed items is the cause of the budget situation
you’re in now, so the sooner you can cut that kind of buying off, the better.
Make a list of things you deem essential – like groceries, rent, electricity,
and other bills – and focus on spending only on these.
Come Up with a Plan
Once you understand your money and have plugged all of the
holes in your budget, you can come up with a plan on how to recover from
holiday debt and overspending. Write down your total income from all sources
for the month and your total debt and bill amounts that have to be paid back.
Add in essentials like groceries and medical expenses. Then, determine if your
income can cover all of your expenses for the month.
Supplement Your
Income
If your income falls short of the amount you need to pay
bills and pay off holiday debt in January, there are several ways you can
supplement your income to make ends meet.
Take Out a Loan
The quickest, easiest way to get extra cash in a pinch is to
take out an installment loan from AmeriCash Loans. Whether you apply online or
visit your neighborhood location, our friendly and knowledgeable customer
associates will be there to guide you through our painless application process.
If approved, you’ll have your extra cash by the next business day, giving you a
little breathing room while you pay off your bills and holiday debt.
Get a Part Time Gig
Today’s economy is filled with part-time work that can work
for anyone. Even if you have a full-time job, you can pick up extra hours by
driving for a service like Lyft or Uber, completing freelance work online, or
taking on household tasks like dog-walking or cleaning house for others. These
options are great for making a few extra hundred dollars every week, which can
close the gap between what you make and what you owe.
Ask for Help
If you’re close with your family or friends, you could ask
them for financial help to get you back on your feet after holiday
overspending. Your family may give you the money as a gift, allowing you to pay
off holiday expenses without worrying about paying the money back. However,
even if you’re expected to pay back a loan to your family or friends, having
the extra cash now will help you get to a stable financial place.
Cut Expenses
If expenses like cable and internet or subscription services
don’t make your essential items list, this month is a great time to cut them
out temporarily. You’ll have to go a month or two without these services, but
you’ll immediately see your list of expenses decrease. Being able to pay your
essential bills and repay your holiday debt is worth missing your television
programs for a little while.
Return Some Items
If you don’t have any other options, returning some of the
gifts you received for Christmas can help you put a little bit of extra money
in your pocket. Before you go, make sure to research each store’s return
policy, as some will return the purchase amount to the original purchaser or
only offer store credit for returns.
Begin Budgeting for
the Next Year
After you’ve figured out how you’ll recover from last year’s
holiday expenses, take the lessons you’ve learned and apply them to this year.
Build a strong budget for the coming months, and even start thinking about how
you can begin saving and planning for the 2018 holiday season. If paying off
your holiday debt and bills affected your overall budget for 2018, restructure
it so that you won’t face financial troubles again this year. Don’t forget to include saving in your 2018
financial plan.
If you’ve tried all of these tips and still can’t make ends
meet, turn to AmeriCash Loans. Apply online or in store today and have the
cash you need as soon as tomorrow.
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