There’s nothing quite like Christmas morning, when everyone wakes up to find what they want the most under the tree. For parents, though, it is hard to come up with the money to pay for those wishes and dreams. One of the best ways to avoid that sense of dread you get around the holidays when you worry about having enough money for everything you need to buy is to start planning for it now.
Christmas in July?
July may seem to be anything but Christmas-like, but it is six months out from this very big holiday season. For that reason alone, it is time to start planning. The sooner you do the less money you have to take out of the weekly budget right now to fund those wishes in December. How can you do this?
Savings Accounts Work Well
One option is to select an affordable or even free savings account and start putting a little money into it each week. There are several accounts offered by Belmont Savings that give you the freedom to invest even a very small amount and to benefit from compounding interest. The Platinum Blue High Yield Savings and Lifeline Passbook Savings require no more than $10 to open them and have no charges to keep them active.
Consider a CD
Another option is to open a certificate of deposit for a short amount of time. A CD does require a minimum balance but the rates are often higher and you are locking away those funds until you need them at the holiday season. You will be less tempted to spend them on other needs in between.
How Will You Fund It?
Sure there are plenty of ways to put money away, but many parents are still wondering where they will get the funds to put into these accounts. Here are some tips to help you to do that.
- Skip that morning coffee at the high-end coffee shop. If you spend $8 a day there, that’s $40 a week you can put into a Christmas account. That could give you $960 in six months.
- Plan one more meal a week at home instead of eating out. That could save a family of 4 about $60. That could help you to save $1440 over six months.
It is easy to find ways to cut out small things so you can put a few extra dollars a week into a savings account for Christmas. Sure, it is July but saving for Christmas now just makes good financial sense.
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