How to Save $500 by Christmas on a Tight Budget

STEP ONE: FIGURE OUT HOW MUCH MONEY YOU NEED FOR CHRISTMAS.

This can vary differently between families based on your budget, your priorities, and family size.

One thing many families do is implement the ONE model

• One thing I want
  One thing I need
  One thing I’d love

STEP TWO: HOW MUCH TIME DO YOU HAVE TO SAVE MONEY?

One of the easiest ways to start saving is to take a look at how much time you have until the holidays and then count the weeks back until today.

Once you know how many weeks you have to save, divide the amount of money you need by the number of weeks.

Let’s do the math: Let’s say you have tons of family to shop for, or perhaps you want to take a road trip for the holidays– you need $1,000.

If you have 15 weeks until you need the money, you need to save about $67/week.

If you had started back in January, you would have only needed to save about $20/ week.

If you only need to save $500 in 15 weeks, that’s about $34/week.

STEP THREE: DECIDE WHERE SHOULD YOU KEEP YOUR SAVINGS?

You have a few options:

FIRST: You can keep it in a high yield savings account.

I personally have the American Express Rewards Checking Account. It offers a competitive Annual Percentage Yield (APY) on checking balances, Membership Rewards® points on eligible Debit Card purchases, and the ability to manage your account online or in the American Express® App.

• Earn a 0.50% APY† to build your balance ( SAY WHAT?)

• Earn Membership Rewards® points on Debit Card purchases( No brainer)

• No monthly account fees† and no minimum balance required (YASS)

SECOND: You can keep cash on hand. Everyone knows cash is king!

THIRD: You can pre-purchase gift cards.

Just be sure to check about expiration dates and if there are any non-use fees.