Tips for Navigating Holiday Expenses
The holidays are a time for joy, family, and reflection — but they’re also one of the biggest expense seasons of the year. From gifts and decorations to travel and gatherings, costs can quickly add up. With thoughtful planning and a little foresight, though, you can enjoy the season without financial regrets. In this article, we’ll share holiday spending tips and holiday budgeting strategies (rooted in solid financial planning for holidays) to help you stay in control of your wallet and still enjoy meaningful moments.
At Encompass Credit Union, our mission is to help members build financial wellness—especially when expenses rise. And if you want to set aside funds now for your holiday goals, check out our Savings Account options to see how you can save smarter.
Set a Holiday Budget Before the Season Starts
Start early: the earlier you plan, the less pressure you’ll feel.
Create a list of all holiday categories, including gifts, travel, meals, décor, and entertainment.
Allocate a max-dollar amount per category (e.g., $200 for gifts, $150 for décor).
Use a spreadsheet, a budgeting app, or even a simple pen-and-paper tracker to monitor spending.
A buffer is helpful: always reserve 5–10% extra for surprises.
Prioritize Meaning Over Money in Giving
Instead of focusing on expensive gifts, consider the value of time, thought, or creativity.
Suggest swaps or gift exchanges (e.g., Secret Santa) to limit the total number of gifts.
DIY or homemade gifts often carry more emotional weight and are less expensive.
Consider experience-based presents (movie night, cooking class, a day out) rather than things.
Shop Strategically and Use Smart Tools
Shop with a list and stick to it; impulse buys are your budget’s enemy.
Utilize price alerts and cashback/rebate apps to find the best deals.
Take advantage of off-peak sales or week-after discounts.
Avoid “buy now, pay later” schemes unless you’re confident you can pay off in full.
If you’re an Encompass Credit Union member, remember you may have access to member-centric offers or promotions; use your membership perks.
Manage Travel & Gathering Costs Thoughtfully
Travel:
• Book early if possible; consider traveling on less popular days.
• If distances allow, driving may be cheaper than flying.Hosting meals/gatherings:
• Potluck-style hosting helps split the cost among guests.
• Reuse decorations and borrow items rather than buy new.
• Shop for food in advance, watch for sales, and use coupons.
Avoid Holiday Debt — Plan for Year-End and Beyond
Credit card overuse can lead to high-interest debt you’ll regret in January.
Track expenses as you go (weekly check-ins).
If possible, start a holiday savings fund months ahead — small amounts add up.
After the season, review how well your budget held up and adjust for next year.
Use Encompass Credit Union resources (financial counseling, calculators) to help reset your goals.
Focus on the Spirit, Not the Stress
Remind yourself: the real value of the holidays lies in relationships, traditions, and gratitude, not perfection.
Practice mindfulness: pause before making a purchase and ask yourself if it aligns with your plan.
Take breaks, enjoy moments that don’t cost money (walks, movie nights at home).
Encourage others to join you in simple traditions instead of expensive ones.
How to Join Encompass Credit Union
Becoming a member is quick and easy. Any person who lives, works, attends school, or worships in Tipton, Clinton, or Howard County, Indiana, is eligible to join. Spouses, children, and parents of eligible persons are also eligible. In addition, any business or organization in Tipton, Clinton, or Howard County, Indiana, is eligible for membership. If you are eligible for a business membership, your employees will also be eligible for membership. Once you join, you can enjoy the benefits of membership even if you move away.
Celebrate the Season Without Overspending
The holidays are meant to bring joy, connection, and warmth—not financial anxiety. By applying smart holiday budgeting techniques, leaning into thoughtful giving over spending, and staying mindful of debt, you can enjoy the festive season with peace of mind. Start today: pick one or two strategies above, set a realistic budget, and track your progress throughout the month.
If you'd like additional help building your holiday “rainy day” fund, explore our Savings Accounts to see what options fit you. And if you have questions or want personal guidance, feel free to contact us — we're here to support your financial wellness every season.