Prepared by: Mary Harrison

Christmas is almost here and many consumers have not finished – or even started – their holiday shopping. As you grab your purse and head for the mall, keep a few last minute thoughts in mind.

Keep within your budget. Buy no more than you can pay for! Living expenses for January have to be paid and there may be other expenses such as insurance, taxes on your home, income tax, school books and tuition or other monetary demands.

Careful comparison shopping saves money. Many stores have “before Christmas” as well as after Christmas sales.

Carefully check the store return policy, if there is any possibility that a purchase may be returned. Will the store accept a return? For how long? Will it refund the purchase price, or will it only exchange the item? If a refund is given, is it a full or reduced amount? Must you have the sales receipt? (Always keep sales receipts until you are sure there will be no returns. If there is a return, you may do it or give the sales receipt to the recipient so he/she can make the return.)

Be careful in selecting items that are holiday specialties. Not many people want a sweater in January with a Santa on it.

If the purchase has a warranty, check it to see when it goes into effect and what documentation is needed to validate the warranty.

Think about how usable a gift will be for the receiver. Electronics that require programming capabilities may be great for a high school student with computer skills but not for the older person without that type of knowledge.

Remember your wife may not appreciate those diamond earrings as a gift, if you made the down payment and she will have to make the monthly payments on them. Avoid gifts that bring debt with them.

Don’t overlook practical gifts, such as smoke detectors, carbon monoxide detectors, and motion lights. These are especially useful for older people living alone and those who “have everything.” The elderly may appreciate stamps, envelopes, stationary and other useful items, especially if they have reduced mobility.

Gift cards are good gifts. Carefully compare the terms and fees associated with the cards before buying. Where can the card be used? Is there a charge for its use? How long do you have to use the card before it expires or there is a monthly or per use fee? Remember most gift cards can’t be exchanged for cash or used to pay a bill. They are purchase cards, for buying only.

If possible, shop when you are rested and stores are not overcrowded. If you are tired, hungry, and stressed, it is easy to make poor choices or “buy anything to finish and go home.”

Set a maximum to spend and do not exceed it.

shopping, holiday, tips, saving money

Holiday Series: Plan Holiday Shopping

Dr. Jo Turner, Professor, Family and Consumer Economics

Tight budgets and limited free time can be a source of stress this holiday season. Finding enough money in your budget to make gift giving enjoyable can be a real challenge.

It is possible, however, to cut back on your gift budget and still be a generous gift giver. Remember the old saying "It's the thought that counts, not the price that's paid for the gift."

Don't wait until the last minute when stores are crowded to do your Christmas shopping, when everyone else seems to be shopping. Most department stores make about 25 percent of their annual sales between Thanksgiving and Christmas.

Plan ahead, so that you have time to enjoy the traditional pleasures of the Christmas season. Some ideas to trim gift-giving expenses follow:

• Make a Christmas gift list with names, gift ideas and price estimates. Next total the amount you plan to spend. If this figure is more than you can afford, you will need to make some changes.
• List several alternatives for each name on your list, then look for sales in the price range you can afford. Most important -- stick with your plan.
• Check sales for gift items. See newspaper ads and store circulars for gifts you are considering. See which stores are running specials and shop where prices are lowest. Keep in mind that during November and December, prices are normally reduced on a number of items, including children's clothing, women's coats, shoes, slippers, men's clothing, resort and cruise wear, blankets, table linens, party goods, and appliances such as radios, toasters, stereos and televisions.
• Don't rush into a purchase because of an advertised claim of a low price. Know what the regular price is before buying an on-sale item. Often one store's sale price is another's regular price.
• Shop different types of stores to compare prices. Look at discount stores, catalog showrooms, factory outlets, as well as department stores.
• Be sure to keep receipts of credit purchases and total the expenditures at regular intervals to make sure you stay within the limits of your Christmas spending plan. Also check and keep receipts. If mistakes occur you will need the receipt to help in correcting errors.

If you do feel stressed, avoid last minute shopping. It leads to not only fatigue but also overspending and often making poor selections. For more information on managing on a budget contact your local county Extension office.