by Starla Ross

Created on: January 07, 2011   Last Updated: January 08, 2011

While the holidays are a time of joy and celebration, they can also be a source of stress for some - especially when it comes to money.

The cost of holiday parties, get-togethers, and gifts can quickly add up, leading to overspending and buyer's remorse in January.

These four quick holiday tips will help make your holiday season one to remember (for all the right reasons - not because of the shocking balance of your credit card statement).

1.    Start early.

If you really want to get control of holiday spending, start thinking about the holidays long before snow hits the ground.  Christmas comes around every year and, not surprisingly, on the same date.  Needless to say, the holidays are not an unexpected expense.  You know the holiday season is coming and there will be expenses, so you might as well plan ahead.  Begin by making your holiday spending a part of your yearly budget.  If you know, for instance, you usually spend about $1200 on Christmas gifts and incidentals, set aside $100 per month in a savings account.  Some banks offer special Christmas savings accounts specifically for holiday savings.

When it comes to preparing for the holidays, early is never too early.  Stock up on wrapping paper, decorations, and supplies for the following season when it is 75 percent off after the holidays.  Keep sizes handy for family members for which you buy gifts, so when you see end of season clothing sales, you can purchase gifts in advance.  Make and freeze your holiday cookies and candies in October, long before the holiday rush begins.

2.    Make a list and check it twice.

Take the time to write down the gifts you need to buy and the holiday supplies you need.  Include what food you need to purchase and how much wrapping paper and supplies will be required.  Write down how much you have to spend for the holidays (i.e. $800), and break that amount down per person and item, so you know exactly how much you have to spend for each.  It is said that people who write down a goal are more than 90 percent more likely to stick with that goal.  If you know up front how much you have to spend and how much you have to spend for each person, you're more likely to keep to your goal and stay within your budget.

Put your list, budget, and notes in a large envelope.  As you purchase gifts and supplies, write down how much you have spent on those items and put the receipt in the envelope with your list.  This will keep all receipts in one place.  If a family member needs to return an item, you'll know exactly where to find the receipt.

3.    Focus on thoughtfulness, not things.

Admit it.  Sometimes holiday spending and buying can get out of hand.  Take time to remember the season and limit your gift-buying to one to two presents per person.  One thoughtful gift can mean more than several off-hand gifts.  Your neighbor may more appreciate a homemade coffee cake and a short visit, rather than a gift card to Walmart.

4.    Know when to stop.

It's easy to keep buying "just one more thing" as you get caught up in the holiday bustle.  When you've reached your spending limit, stop.  Don't be tempted to buy presents that weren't on your list or buy more for more person than you originally planned.

The holidays can be financially stress-free, with a little forethought and planning.  Follow the advice of that plump guy in the red suit - make a list and check it twice.  Planning early, making a list, and following through on your holiday spending goals will create a recipe for the perfect holiday season.

Learn more about this author, Starla Ross.
Click here to send this author comments or questions.