top of page
  • Money Positive Team

Planned (Budget) Cheating and How to Absorb Extra Holiday Expenses

Holidays can be joyful, but they can also bring financial stress if not managed properly. At Money Positive, we understand the challenges of setting aside funds throughout the year for holiday expenses. To help you maintain financial equilibrium while still indulging in holiday treats, we introduce the concept of "planned cheating." Learn how purposeful overspending can allow you to enjoy the season without compromising your financial goals. At Money Positive, we set up a monthly discretionary spending budget with our clients. This budget is determined by considering one's income and subtracting all essential expenses. The remaining amount is then divided between savings goals and discretionary spending. However, during the holiday season, staying within this budget can be difficult.

Gift Budgeting: Being generous during the holidays is essential, but it's equally important to stay within your means. Start by creating a well-thought-out list of recipients and allocate a specific budget for going over your regular discretionary spending. This approach fosters creativity and fairness while keeping your expenses under control. Remember, proactive planning ensures financial visibility and peace of mind.

Travel Budgeting: Holiday travel expenses can add up quickly, making it essential to plan ahead. While consistent saving is ideal, unforeseen circumstances can arise. To tackle this challenge, we recommend purposefully going over your travel budget.

Booking flights, accommodations, and other travel essentials in advance can provide a clearer financial picture for your holiday plans. Be mindful of holiday price surges and secure your arrangements early to mitigate increased expenses.

Maintaining financial discipline during your trip is crucial. Keep track of your regular discretionary budget and account for additional expenses associated with traveling. If needed, allocate a slightly higher discretionary spending amount, but aim to stay within those limits. Remember, purposeful overspending is preferable to abandoning budgeting efforts altogether.

Unexpected circumstances may arise, and it's normal to exceed your planned budget. Don't panic if this happens. At Money Positive, we understand life's uncertainties and are here to help you course-correct and get back on track. Feel free to reach out to us for expert guidance and support.

This holiday season, adopt smart strategies for managing your finances without sacrificing the joy of giving and celebrating with loved ones. By embracing the concept of planned cheating and purposefully overspending, you can navigate the holidays with confidence and ensure a financially positive future. Happy holidays, safe travels, and a prosperous year ahead from the team at Money Positive!

This article is based on original advice shared in the Money Positive’s video Planned (Budget) Cheating and How to Absorb Extra Holiday Expenses. It was written in blog format with the help of ChatGPT to expedite publishing on our website.



bottom of page