DAVE RAMSEY

How to avoid overspending on Christmas gifts

Nov 15, 2020, 5:45 AM
(Pexels Photo)...
(Pexels Photo)
(Pexels Photo)

You’ve been there. You open up a holiday sale email, and the colorful images of trendy new items make you drool a little.

You click into the store, ready to shop for Christmas gifts. There’s a gorgeous handbag that immediately makes you think of your best friend, but even the sale price is more than you planned to spend on her.

You know what? Last year, your friend bought your daughter an animatronic Disney princess carriage. So, you kind of owe it to her to splurge on her gift.

And the sale price on the bag is truly a good deal. You can just imagine the look on her face when she opens such a beautiful gift.

Order now! Boom!

You immediately go to your email inbox again, and seeing that order confirmation email makes you feel so accomplished. But what you’re really feeling are the effects of emotional spending.

That twinge of happiness and excitement is dopamine rushing through your brain like a drug. You can get the same effect by going for a run, listening to your favorite music, or eating sugar.

The crazy thing is, retailers know you get that hit when you place an order, and you can get it again when they send you that little email saying your order has shipped.

And you’ll get it again when you see that coveted package waiting on your doorstep.

Three in four people said that buying something impulsively during the pandemic has positively affected their mood.

We’re all a little scared, the future is kind of up in the air, and it feels good to just dull the stress and spark some joy with a little harmless shopping.

And you know what feels even better than spending money on yourself? Spending money on other people.

Now that the holidays are upon us, every commercial you see or email you read is full of ideas for gift giving. And there’s nothing wrong with giving if it’s in your budget and you can afford the gift.

Giving truly is the most fun you can have with money. But just like in the example above, at some point, we’ve all spent more money than we planned on Christmas presents.

Maybe we’re trying to buy “Christmas spirit” or approval from others. Whatever the motivation, it comes from a place of emotion, and that can get you into trouble with money.

The people in your life don’t need more presents – what they truly want is your presence. If you want to feel at peace this holiday season, make a plan for your money before you spend it.

A budget gives you permission to spend on the people you love without putting yourself in a bad place financially. That way, when January rolls around, you’ll have meaningful memories without the guilt!

Dave Ramsey

(Pixabay Photo)...
Dave Ramsey

Dave Ramsey says: Gambling won’t produce consistent financial success

You might see a news story once in a while about someone winning big money in a casino, but that almost never happens.
5 days ago
(Pexels Photo)...
Dave Ramsey

Dave Ramsey says: Couple with baby should marry, combine finances

It’s very difficult, legally and relationally, to play house financially when you’re not married. Marriage will combine incomes and lives, Dave Ramsey says.
12 days ago
(Unsplash Photo)...
Kristina Ellis

If it’s right for you, no-loan college may be answer to student-debt crisis

Is no-loan college the answer to student-loan debt? Here's a look at the pros and cons of the idea, along with some tips to avoid student debt.
14 days ago
(Pexels Photo)...
Dave Ramsey

Dave Ramsey says: Review insurance coverage once a year

You should make it a habit to review all your insurance coverage once a year. When it comes to your home especially, you need to have a policy equal to the value of the home.
19 days ago
(Pexels Photo)...
Ken Coleman

Creating your personal brand takes time, hard work

Your personal brand is how others perceive you. It’s an outside snapshot of what you value on the inside. A personal brand isn’t a mask you wear around others, and it’s not something that’s created overnight.
21 days ago
(Pixabay Photo)...
Dave Ramsey

Dave Ramsey says: Expectant parents can live off 1 income if they choose

There's no wrong answer for an expectant mom comparing the ideas of continuing to bring extra cash to the household or being at home with the baby.
26 days ago

Sponsored Articles

...
Day & Night Air

Tips to lower your energy bill in the Arizona heat

Does your summer electric bill make you groan? Are you looking for effective ways to reduce your bill?
...
Christina O’Haver

BE FAST to spot a stroke

Every 40 seconds—that’s how often someone has a stroke in the United States. It’s the fifth leading cause of death among Americans, with someone dying of a stroke every 3.5 minutes.
...
Arizona Division of Problem Gambling

Arizona Division of Problem Gambling provides exclusion solution for young sports bettors

Sports betting in Arizona opened a new world to young adults, one where putting down money on games was as easy as sending a text message.
How to avoid overspending on Christmas gifts