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How to save $1200 in time for Christmas

There is a reason you’re reading this in September: we want to help you have a financially stress-free Christmas.

The Christmas season is the time we get to enjoy with our family and friends, feasting on scrumptious barbecue, singing Mariah Carey’s “All I Want for Christmas” on repeat, and basking in the glorious sun. But the season to be jolly comes with a price. According to Finder’s 2018 Christmas Spending report, Australians on average spend $1325 on gifts, decorations, donations, travel, and food during the Christmas season. With this amount, people tend to rely on credit cards or “enjoy now, pay later” services, which will only cause you to accumulate debt.

This Christmas, we want you to have fun. We want you to enjoy the quality time with people that matter most to you without worrying about your finances. We want you to walk in the park without debt looming over you.

Here are 5 ways you can save money and enjoy your Chrismas financially stress-free:

1. Plan ahead

As early as this week, figure out how much money you’ll need for the Christmas season. This total amount should include all that you need for purchasing gifts, indulging on good food, and buying Christmas decorations. A good trick is to list down all the names of who you’re giving gifts to and write down how much you’re willing to spend each gift. Remember: gifts don’t have to be expensive as long as they are meaningful.

2. Set money aside each week

When you’ve figured out how much you need, you can set money aside each week to have enough funds in time to do your Christmas shopping. If you’re setting a $600 budget for this season, then you can put aside $50 every week until the first week December. If you want $900 saved for Christmas, then start saving $75 each week. Of course, putting the money into a savings account may be more beneficial as it accumulates interest, depending on the bank’s interest rate. We suggest doing your research on where to best keep these savings. Check out our weekly Christmas savings guide below:

3. Save your spare change

You can also boost your Christmas money by saving your spare change. If you use cash for your transactions, put your spare change in a jar or deposit it into your savings account. If you use your everyday transaction account to make your purchases, then move the change to your savings account by simply activating the “round-up” function most banks offer. Here’s an example: If you purchased coffee for $4.10, then put $0.90 into your savings account. Doing this every day can already boost your savings by $4.50, and that’s just from coffee.

4. Sell items that no longer spark joy

If you’re doing some spring cleaning, then this would also be the perfect time to sell the items that “no longer spark joy in your life” as Marie Kondo would say. Gumtree reported that households have an average of $4,500 worth of unwanted items just sitting at home. If these things only give you negative energy or clutter your space, then it pays to sell them. It’s gotten easier to sell items online, especially with Facebook Marketplace on just the tip of your finger.

5. Use Frollo to boost your savings

Frollo has weekly to monthly challenges that you can take to boost your savings even more. These challenges include the coffee challenge, the Uber challenge, and the grocery challenge that help our users save a total of $87 each week.

The Bottom Line

We all know that Christmas doesn’t come cheap. But if you start now, you can have a financially stress-free Christmas and avoid falling into debt. Now, how jolly will your Christmas be?

Got tips and tricks on how to save for the holidays? We’d love to hear from you! Comment your thoughts down below.

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