January is one of the hardest months of the year financially. Christmas came and went and of course, with it, took your entire budget. There were so many activities to attend, gifts to buy, and people to visit, that your monthly budget was completely blown. January is a time to recover from your holiday spending spree and to move into a New Year with better financial resolutions. Read below for 5 tips to help you recover financially this January.
Leave Your Credit Card Home
If you leave your cards at home, you won’t be tempted to buy something that you want rather than something that you need, because you can’t. You should also stop using credit cards completely until you pay them off. Use cash based on what is available in your budget, and when you run out, stop spending. If you are an online shopper, stop saving your card information online and have someone hide your credit cards.
Sleep on It
Before you buy something on a whim, take 24 hours to think about whether you need the item or just want it. Stop impulse buying and make yourself wait. If you still feel like you need it after 24 hours, you can go ahead and make the purchase. There are a lot of post-holiday sales that might entice you to purchase something outside of your budget. Don’t be seduced by the bright colors of a sale.
Sell Things
We all have items around our homes that we don’t use any more. Sell old clothes, shoes, exercise equipment, appliances, DVDs, toys, etc. to get a few extra dollars. Return any gifts that you won’t need or use as well. Instead of using that money to buy something, use it to pay off some debt. You can sell things online through Facebook yard sale groups, eBay, and Amazon, or visit local secondhand stores to see if they will purchase something from you there.
Don’t Go to the Store
If you are a window shopper, take a break from the store. We often go to stores “just to have a look” but end up coming home with many things we bought on an impulse. Stay home, unsubscribe from email lists from your favorite stores, and don’t visit their online sites.
Pack a Lunch
Instead of going out to eat every day at work, pack yourself a lunch. You can and will save hundreds of dollars over the course of the year. Make a little bit extra when you cook dinner to plan ahead to eat leftovers for lunch.