A new study has found that 49 per cent of Americans feel the pressure to spend more than what they can afford. The survey also found that there is a direct correlation between healthy money habits and holiday happiness. The survey for the study was by SunTrust Banks Inc. (NYSE: STI).
“We all want the holidays to be a time of happiness and relaxation, but the pressure to overspend robs people of the joy of the season and increases financial stress,” said Brian Ford, financial well-being executive at SunTrust. “Money affects people in emotional ways, and we’ve found that those who have a better handle on their money are happier – in fact 64 per cent of Americans with high financial confidence say the holidays are their favourite time of year.”
SunTrust has also created a Holiday Confidence Guide to assist people to make small changes to their holiday budgets.
SunTrust suggests the following actions after the study:
Make a list, check it twice… and stick to it: Design your holiday budget to fit your needs. Allow yourself to be merry by setting up auto-pay to take a little from each paycheck and place it into a holiday savings account. This can also help you pay down post-holiday debt.
Set a gift spending limit: Talk with family and friends to level expectations in advance.
Be smart as you shop: Keep an eye out for sales, and determine which deal days are smart for your big purchases.
Don’t let the figgy pudding set you back: While entertaining, become the hostess with the most-ess by entertaining at home and engaging your guests to help with holiday gatherings.
Take a lesson from Scrooge: Review your finances after the merry-making, take time to feel thankful for all the ways you’ve shopped smart—and start thinking about your financial resolutions for the New Year.