December (or Dezemba!) is for enjoying yourself. There are gifts to buy, family and friends to see, places to go and, hopefully, some time to relax.
But while you’re enjoying the festive season, your bills don’t take a holiday.
And your December spending can start earlier than you think. Black Friday kicks things off with tempting deals, followed by festive shopping, travel, eating out and end-of-year celebrations. Then there’s the small stuff that seems harmless at the time but adds up quickly.
An early December salary can make it even easier to spend more. You have money in your account, January feels far away, and it can be tempting to think, I’ll worry about that later. But later comes quickly. Instead, make December choices that your January self will thank you for.
Start with January
Before you start spending, think about what you’ll need when the new year comes around.
Your rent or bond, groceries, transport, school costs, insurance, debit orders and other monthly bills will still need to come out. If you get paid early in December, remember that your next payday may feel much further away than usual.
Take a few minutes to work out what you need for January. Then you’ll know how much money you can comfortably use for Black Friday, Christmas and everything else December brings.
Give Black Friday a budget
Black Friday can be a useful time to buy things you genuinely need, especially if you’ve planned for them. The problem starts when a “good deal” changes your spending plans.
Before you click buy, make a list of what you actually need and decide how much you can spend. Then leave room in your budget for the rest of December and January.
A R1,000 Black Friday bargain still costs R1,000. And if you put it on credit, the purchase could cost you more once interest and other charges come into the picture.
So ask yourself: Is this something I need, can I afford it, and will I still be happy paying for it in January?
If you can’t answer yes, give yourself some time before buying.
Don’t let small spending sneak up on you
The big expenses are easy to spot. It’s the smaller ones that can quietly make your money disappear.
A takeaway after shopping. Another Christmas gift. Drinks with friends. A few extra trips to the shops. An unplanned online order because the discount looks too good to miss. None of these purchases is a problem on its own. But add them together and you could end up with much less money for January.
Then there are the expenses that only come around once a year. December and January often bring back-to-school costs such as stationery, uniforms, school supplies and new school fees. If your child is starting a new school, moving to high school or changing schools, those costs can be even higher. Because they don’t appear in your other 11 months of spending, they can give your January budget an extra knock if you haven’t planned for them.
Try giving yourself a spending amount for each week in December, while keeping some money aside for these once-a-year January costs. You can still enjoy yourself, but you’ll know when you’re getting close to your limit.
Give every rand a job
You don’t need a complicated spreadsheet to get a clearer picture of your money.
JustMoney’s free Budget Calculator can help you add up your income and monthly expenses, including things like groceries, transport, entertainment, shopping, gifts and debt repayments. It then shows you what you have left after your expenses.
That makes it easier to see what you can spend now without falling short in January.
Try doing the calculation before Black Friday and again before Christmas. If your plans change, you can adjust your spending before your money runs out.
Be careful about borrowing for December
Credit can make festive spending feel easier because you don’t have to pay for everything immediately. But January doesn’t care when you bought the item. The repayment will still arrive.
Before you use a credit card, store account or loan to pay for something you want, look at what it costs per month and ask whether it fits into your January budget. If you already have several repayments, think twice before adding another one. Taking on more debt to pay for December can leave you with less money for the months that follow.
What if debt already feels difficult?
Sometimes the problem isn’t December spending. You may already have more debt than your monthly budget can comfortably handle.
If your repayments leave you struggling to cover everyday costs, don’t wait until January to look for help.
JustMoney partners with DebtBusters, South African’s leading debt counsellor, to offer debt solutions, including debt counselling. Depending on your circumstances, debt counselling combines your debt repayments into one monthly instalment and help you work towards getting your debt under control.
The important thing is to look at your situation honestly and get help before the pressure becomes harder to manage.
Make a choice your January self will thank you for
You don’t have to skip the fun parts of December. Enjoy the meals. Buy the gifts. See your family and friends. Make memories. Just give January a seat at the table before you start spending.
Check what you need for the month ahead. Set a Black Friday and December budget. Keep an eye on the small expenses. And think twice before adding new debt to your January repayments.
Because the best December spending plan isn’t about spending nothing.
It’s about making sure you can enjoy December without December following you into January.
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