5 common money mistakes people make at Christmas time

Kenyans have already started spreading memes across social media that anybody who will be serious from tomorrow December 24 shall be considered a clout chaser. What a bombshell!

As much as this month brings happiness and creates the spirit of togetherness in the family and community at large, it can also be the source of regrets and tears come January.

Everybody is busy trying to make sure they will have the best holiday season of the year at the expense of all the stress awaiting them come January.

It’s funny how most people believe Christmas is all about money. The more you spend, the greater your holiday becomes.

Well, it's not bad to spend, but ask yourself who and why? Is it worth it?

I know you’re headed for Christmas with heads up high but make sure you are not doing these five mistakes to have the best Christmas holiday.

Not having a clear budget

Because you'll be spending money on a lot of things, ranging from food to clothes, shoes, gifts, and decorations, it's best to have a clear financial plan beforehand on how much you're willing to spend on the same.

Not having a budget can lead to overspending and without notice, you will have spent school fees on clothes or unnecessary things that you could have otherwise avoided.

Panic shopping

D-Day is closing in so quickly, and a lot of people are panicking because they feel they have not bought all that is required to make a merry Christmas.

Such people will end up doing last-minute rush shopping in overcrowded shopping malls or shuffling through social media to check out online stores that can deliver before the Christmas deadline.

The danger is that you might end up buying gifts that will be returned or find things that are not of the quality you wanted. Worse still, you will get them hiked prices.

Buying on credit

Truth be told, it’s easy to be carried away and spend money on things you don’t need when buying on credit.

The trick is to use the money you have been saving through the year either through cash or a money app.

But if you must use your credit, do not spend more than you can afford to pack within a short period. You don't want to spend the rest of the next year paying off Christmas!

Getting presents for everyone

This is the time for gifts. Everyone in the family, your friends, colleagues, and even neighbors are expecting a gift from you.

Don't let the pressure of the moment lead you into buying gifts for all of them. After all, you are not obligated to if you cannot afford it. This does not mean you don't care for them.

Decide on whom you will gift and be clear about who won't get a present as early as possible to avoid confusion.

Forgetting the true purpose of Christmas

Most people believe that Christmas is all about spending and buying gifts for their loved ones. In the process, they forget that this is a season to relax and enjoy moments with their loved ones.

You don't have to be so uptight. You can take a full day out, far from all the external pressures, and do what makes you happy. Remember it’s the spirit of the moment that matters. Not the price tag.

Check it out here!

5 common money mistakes people make at Christmas time

Not having a clear budget

Panic shopping

Buying on credit

Getting presents for everyone

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