Inflation-Beating Tips for the Holidays Kiplinger Kiplinger is supported by its audience. When you purchase through links on our site, we may earn an affiliate commission. Here's why you can trust us.

No Grinch Allowed Inflation-Beating Tips for the Holidays

To make the most of your holiday season in these inflationary times, start planning NOW. (opens in new tab) (opens in new tab) (opens in new tab) Newsletter sign up Newsletter A Grinch balloon is seen at the 93rd Annual Macy's Thanksgiving Day Parade on Nov. 28, 2019, in New York City. (Image credit: Liao Pan/China News Service/VCG via Getty Images) By Andrew Rosen, CFP®, CEP published 30 September 2022 While inflation has been bearing down on society for months, the holidays will come on time as they always do. Many shoppers may wish to start early when preparing for the holidays this year in anticipation that inflation will impact their holiday shopping season. What can you to do lessen the impact of inflation while still making the holiday season magical? Start early and set expectations.

Make a List and Check It Twice

Start now by thinking about what you want your holiday season to look like. Determine who you'll be buying gifts for, and start making a list.

Subscribe to Kiplinger s Personal Finance

Be a smarter, better informed investor. Save up to 74%

Sign up for Kiplinger s Free E-Newsletters

Profit and prosper with the best of Kiplinger's expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail. Profit and prosper with the best of Kiplinger's expert advice - straight to your e-mail. Sign up If you need to cut back this year, set those expectations now. Pivot to a simpler celebration and focus on what is important to you and your family. Communicate your holiday expectations early – if you're setting boundaries and implementing a spending limit, let your family and friends know your plans. They may be relieved and in turn won't feel obligated to overspend within their own budgets as well.

Alternatives to Amazon Prime for Free Shipping and More Reassure your friends and loved ones that the holiday season can be just as magical without going into debt, and that you can find ways to enjoy the season that are easier on your wallet. If others in your life are still comfortable spending more and would like to continue to do that, that's all right too – but you need to do what is best for you financially, during the holidays and the whole year through. So, set a budget, understanding that prices may rise between now and the holidays. If you want to account for inflation, you might want to see what you spent last year and add an additional 10%-15%, depending on the categories where you'll be spending the most.

Is Budgeting Overrated? If you see something on your list at a good price, pick it up and stash it until the holidays. Keep track of what you've bought for gifts, so that you're not purchasing duplicates. Either write yourself a note or try using an app. Christmas Gift List Tracker (opens in new tab) (iOS) and Christmas Gift List (opens in new tab) (Android) come well-reviewed.

Look for Cash Back

If you can't find an item on sale, try using a couponing app or browser extension, such as Ibotta (opens in new tab) or Rakuten (opens in new tab), to see if you can make some money back or earn points toward your purchase. You may want to utilize credit cards with great rewards while holiday shopping, as long as you pay them off right away – periods of time when interest rates are rising are the worst times to carry a balance. Instead, try treating your credit card like a debit card. If you've been using a credit card that accumulates points or cash back, put those points or cash toward your holiday purchases to offset some of the inflation that you may be feeling.

Save on How You Get Home for the Holidays

Plan ahead for your travel in addition to your shopping. If you usually fly during the holidays, flights may be cheaper if you buy them now – or you may want to set up alerts for your flight route to find the cheapest tickets. And finally, while gas prices have been falling lower for the past several weeks, anticipate spending more on fuel to drive this year than last year. To try to minimize those fuel costs as you maximize your mileage, take advantage of some gas-saving tips that actually work. For example, quit hauling around extra junk in your trunk and make sure your tires are properly inflated. Hey, when it comes to spending around the holidays, every little bit helps.

Costco Deals Ripe for the Pillage in the "Treasure Hunt" This article was written by and presents the views of our contributing adviser, not the Kiplinger editorial staff. You can check adviser records with the SEC (opens in new tab) or with FINRA. Diversified LLC is an investment adviser registered with the U.S. Securities and Exchange Commission (SEC). Registration of an investment adviser does not imply any specific level of skill or training and does not constitute an endorsement of the firm by the SEC. A copy of Diversified's current written disclosure brochure, which discusses, among other things, the firm's business practices, services and fees, is available through the SEC's website at: www.adviserinfo.sec.gov. Investments in securities involve risk, including the possible loss of principal. The information on this website is not a recommendation nor an offer to sell (or solicitation of an offer to buy) securities in the United States or in any other jurisdiction. Explore More Building Wealth Andrew Rosen, CFP®, CEPPresident, Partner and Financial Adviser, Diversified, LLC In March 2010, Andrew Rosen joined Diversified (opens in new tab), bringing with him nine years of financial industry experience. As a financial planner, Andrew forges lifelong relationships with clients, coaching them through all stages of life. He has obtained his Series 6, 7 and 63, along with property/casualty and health/life insurance licenses. Latest What Is Lifetime Income Insurance Worth? A Guaranteed Lifetime Withdrawal Benefit (GLWB) could be just what you need when markets are down and you're worried about future income. By David Blanchett, PhD, CFA, CFP® • Published 12 November 22 Stock Market Today: Stocks Keep Climbing on Interest-Rate Optimism Investors continued to cheer Thursday's inflation update, with the Nasdaq and S&P 500 scoring their best week in months. By Karee Venema • Published 11 November 22 You might also like What Is Lifetime Income Insurance Worth? A Guaranteed Lifetime Withdrawal Benefit (GLWB) could be just what you need when markets are down and you're worried about future income. By David Blanchett, PhD, CFA, CFP® • Published 12 November 22 4 Ways You Can Take Advantage of a Down Market With markets down for the year, it may seem that all the news is bad. But now could be a good time to make some profitable moves. By Adam Grealish • Published 11 November 22 Finding Peace of Mind With Your Retirement Income Even in tough times, you can secure retirement income that lets you maintain your lifestyle, lasts a lifetime, adjusts for life events and leaves a legacy for the kids. By Jerry Golden, Investment Adviser Representative • Published 10 November 22 What to Do When an Unhappy Customer Threatens to Ruin Your Rep Some customers go too far when they feel they haven't been treated well, demanding unreasonable make-goods and even resorting to extortion. An attorney offers some advice. By H. Dennis Beaver, Esq. • Published 10 November 22 Rising Interest Rates Change the Math on Pensions for Some Would-Be Retirees Now is a good time to think about when and if to take a lump sum on your pension and what to do with it. Let's explore the pros and cons. By Michael Aloi, CFP® • Published 9 November 22 Counterattack: Tips for Thwarting a Will Contest From contentious relatives to scam artists, wills are not immune to the threat of a contest. If you have an inkling such a fight could be in your estate's future, here are some ways to limit the risk. By Linda Kotis, Esq. • Last updated 10 November 22 5 Steps to a Stronger Financial Plan It's impossible to be right all the time, but a strong plan and constantly assessing where you are can help you pivot when bad things inevitably happen. By Eric Roberge, Certified Financial Planner (CFP) and Investment Adviser • Published 8 November 22 Safe Harbor 401(k)s Can Help Small-Business Owners Keep Happy Employees Immediate vesting and contributions by the employer regardless of the employee's participation pump up workers. Employers get lower costs and tax benefits. By Mike Piershale, ChFC • Published 8 November 22 View More ▸ kiplinger About Us (opens in new tab) Terms and Conditions (opens in new tab) Privacy Policy (opens in new tab) Cookie Policy (opens in new tab) Kiplinger is part of Future plc, an international media group and leading digital publisher. Visit our corporate site.
© Future US, Inc. Full 7th Floor, 130 West 42nd Street, New York, NY 10036.