In Focus – SCCCU Blog

Every holiday season, the same thing happens. We start with the best of intentions — a neatly organized gift list, a peppermint latte in hand, and a budget that seems reasonable. Then December hits. Suddenly, we’re tapping, clicking, and justifying until the New Year rolls around. And so do the credit card statements!

If you’ve ever vowed “never again” after a particularly spendy season, you’re not alone. But this year can be different. Here’s how to break the cycle once and for all — and still have your most joyful, generous, and stress-free holiday yet.

1. Determine What Really Matters 

Before you buy a single gift, take five quiet minutes to ask yourself: What do I really want this holiday season to feel like? Is it about connection, tradition, gratitude, or maybe just finding some calm amidst the chaos of screaming children, office get-togethers, and piles of wrapping paper? Jot down your top three values and then use them as your compass.

When you make spending choices that reflect what matters most, you’re far less likely to overspend on things that don’t. Particularly during the holidays, many of us overspend to fill emotional gaps, so this year, resist the slide. Let your values (not the thousands of holiday ads) lead the way.

2. Give Your Money a Mission

Next, pull out your list — everyone you plan to buy for, every meal you plan to host, every flight, decoration, or card. Then add it all up. We suggest keeping your total holiday spending under 1–1.5% of your annual income (which includes gifts, travel, food, and festivities). So, for someone who earns $60,000 a year, that means your holiday budget will weigh in between $600 and $900.

And remember, the goal isn’t to cut the joy; it’s to plan for it. Decide ahead of time who truly needs a gift and who might prefer something more meaningful — think about things like a home-cooked meal for your dad, an offer to babysit for your sister, or a night of free tech support for your grandparents!

3. Spread the Costs Out — and the Joy
If your holiday spending tends to hit all at once, you’re setting yourself up for stress. Instead, try to spread it out. Although it’s too late for 2025, in 2026, try setting aside $10 a week, which will give you nearly $500 by December. (Check out our Holiday Club Savings Account to help get you started for 2026.)

For now, start where you are. Look for ways to stagger your big purchases or use apps like Hopper to find early travel deals. For gas savings, don’t forget memberships like Costco and Sam’s Club offer discounted fuel.

And when it comes to hosting, remember you don’t have to do it all. If you’ve spent any time on TikTok lately, you know this is the year of the Potluck Party 2.0 — everyone brings a “board.” Charcuterie board, dessert board, crudité board, you name it. It’s cheaper, easier, and honestly, way more fun.

4. Check Your Payment Plan

How do you plan to pay for all this? If your answer is “On a credit card I can’t pay off in full,” that’s your immediate sign to hit pause. High-interest debt is the gremlin that keeps on taking. If you must use a credit card, try to find one with a 0% introductory rate, and pair it with a strict payoff plan. Because no one wants that $50 designer candle turning into an $80 one by March.

Tip: Consider a low-rate Holiday Loan to pay for your holidays or pay off your high-interest debt in January. Click here to learn more.

5. Check for Red Flags — Before the Damage Is Done

You might be overspending if:

• You’re dipping into savings or taking on new debt.
• You’re putting off regular bills or goals (like paying down loans).
• You’re feeling that post-purchase pit in your stomach.

If any of that sounds familiar, you’re not failing, you’re just getting feedback. Take it as a cue to pause, recalibrate, and ask what you’re really trying to buy: the thing, or the feeling.

6.  Remember: The Best Gifts Don’t Always Cost Money

Finally, remind yourself (and your family) that the holidays aren’t about what’s under the tree, but who’s around it. Volunteer together. Write letters. Bake cookies. Make playlists. Offer your time and talents — babysitting, cooking, organizing — as gifts. These gestures mean more than anything money can buy. Because the people who really love you simply wouldn’t feel good about receiving a gift that they knew put your own budget in trouble. So, give what feels good — for your heart and your wallet.

Remember: you don’t have to overspend to make the holidays magical. You just need a plan, some perspective, and a little creativity. Because your peace of mind is the best gift of all.