The holidays are almost here, and they bring with them the temptation to overspend. From gifts to decorations, travel and entertaining, it is easy to get caught up in the festive spirit and blow our budgets. However, with a little planning and discipline, you can avoid financial stress and stay on track with your finances. Continue reading to learn about eight ways to avoid overspending this holiday season, so you can deck the halls without breaking the bank.

1. Set A Budget And Track Your Spending

Before you start shopping, take some time to review your finances and set a realistic budget for the holiday season. Banterra Bank's digital banking platform allows you to easily track your income and expenses, making it simple to stay within your means. Set up budgeting categories for gifts, entertainment, and other holiday expenses, and receive alerts when you go over budget.

Learn: Budgeting For A Big Family

Tip: Try the 50/30/20 budget, which reserves 50% of your take-home pay to needs, 30% to wants and 20% to savings and repaying debt. Holiday spending would fall under the “wants” category.      

2. Make A List And Check It Twice

Avoid impulse purchases by making a list of the gifts and items you need to buy, and stick to it. Banterra Bank's mobile banking app allows you to keep track of your spending in real time and gives you access to your statements, so you can view last year’s holiday spending and decide if you would change anything.

Ideas: Inexpensive Christmas Gift Ideas

Tip: Other ways to save money on buying tons of gifts include going in on a group gift, choosing the Secret Santa route or making DIY gifts (you can even buy the supplies in bulk).

3. Use Cashback And Rewards

Take advantage of cashback and rewards programs offered by credit and debit cards. Earn points or cash on your holiday purchases and redeem them for statement credits or other rewards.

Tip: At times, you can redeem points for cash or gift cards to various retailers, so you can save money on gifts for family and friends.

4. Avoid Last-Minute Shopping

Avoid last-minute shopping trips, when you are more likely to make impulse purchases. Instead, plan ahead and shop online or in-store during off-peak hours.

Learn: Holiday Shopping With Your Digital Wallet | What to Know

Tip: Add your Banterra credit or debit cards to your digital wallet and enjoy the convenience of paying by phone on the go.

5. Use Digital Coupons And Discounts

Take advantage of digital coupons and discounts offered by retailers. Shop ahead for the season and find good deals during Black Friday or Cyber Monday.

Tip: Subscribe to your favorite retailer’s newsletter to hear about the latest deals—some of which are exclusive to subscribers. Also, you can always follow your favorite brands and stores on social media, like Instagram or Facebook, to get real-time updates on sales and special offers.

6. Consider Alternative Gifts

Consider alternative gifts, such as experiences or charitable donations, which can be more meaningful and budget friendly.

Tip: We know it is cheesy, but quality time is the greatest gift of all. Bring your family to take pictures with Santa, buy crafts to DIY something fun (like a wreath) with friends, attend holiday events at your local library, or get tickets to see The Nutcracker ballet.

7. Set Up Account Alerts

Set up account alerts to notify you when your account balance falls below a certain threshold, or when a large transaction is made. Banterra Bank's digital banking platform offers customizable alerts to help you stay on top of your finances.

Tip: Cutting back on treating yourself can also help keep some extra dollars in your bank account. Whether it is skipping the daily latte (yes, we said it), or opting to eat at home more, these small changes can make a difference. You do not have to cut them cold turkey. Instead, swap your schedule and limit your lattes to just the weekends, or reduce the amount you go out to eat.

8. Review And Adjust Your Budget

After the holiday season, take some time to review your spending and adjust your budget for the new year. We recommend pulling your checking account and credit card statements from this and last year’s holiday season to see how you did and what you can do to save more next year.

Learn: How to Set Up a Budget

Tip: Use your mobile app or log into your bank account online to view your transaction history and use free budgeting tools to help you make informed decisions. With Banterra’s digital and mobile banking, you can use our free money manager tool to set financial goals and budget within the app, making it simple and easy to make the right money moves.

By following these eight tips, you can avoid overspending this holiday season and stay on track with your finances. With Banterra Bank's digital banking and wallet features, you will have the tools you need to budget, track your spending, and make smart financial decisions.