Spreading the cost of Christmas: why now is the time to start

With the warm October weather we’ve been experiencing, Christmas is likely to be the last thing on your mind. But there are now around 11 weeks to go – and if you'd like to avoid one big bill in December, now is the time to start planning. Spreading the cost over several pay packets can make the festive season far more manageable. Whether you buy a little at a time or simply set money aside, starting early gives you more control, more time to find genuine bargains, and will make January less of a struggle.

Start with a budget and a list

Before you buy anything, decide how much you can realistically afford to spend on Christmas in total – including food, drink, travel and socialising, not just presents.

Then write a gift list of who you're buying for and roughly what you'd like to spend on each person.

Keep track as you go. Note what you've bought and what you paid, so you don't lose sight of your spending over several months. A deal on something that wasn't on your list isn't a saving, it's extra spending.

What you can buy now

• Christmas cards, wrapping paper and gift tags – these keep indefinitely, which is why many people buy them in the January sales. Simply put them away in the back of a cupboard.
• Food and drink that keeps, such as tins, biscuits, chocolates, mince pies with a long date, and drinks. Adding one or two items to your weekly shop spreads the cost – just don’t be tempted to eat them now. 
• Popular toys and gifts, which can sell out or rise in price closer to Christmas.
• Stocking fillers and 'emergency' presents for unexpected guests or people you’ve forgotten.
• Items on sale which are a genuinely good deal. If you know something is going to go up in price as Christmas gets nearer, then buy it now at the lower price.

Other ways to prepare include checking what decorations and lights you need, agreeing a spending limit with specific friends or family members, or coordinating any 'Secret Santa’s now, so you know who you’re buying for.

Not ready to buy? Put money aside instead

If you'd rather not think about Christmas, or start shopping, just yet, you can still spread the cost by saving a little each week or month.

Divide your total budget by the weeks left until Christmas. For example, saving £30 a week from now would give you around £330 by late December. Setting up a standing order to a separate savings account on payday makes it easy, and keeps the money out of sight.

Some people even start doing this from January, so they have all the money they need for Christmas put aside during the year.

Alternatively, if you know you have presents to buy from a certain shop, you could buy yourself gift vouchers for that shop now as a way of spreading the cost.

Shopping online? Check it's a genuine deal

A crossed-out 'Was' price or RRP isn't always a reliable guide to what an item usually costs. Check the price history instead, using free tools such as:

• CamelCamelCamel (uk.camelcamelcamel.com) – shows an Amazon item's price history.
• Keepa (keepa.com) – a browser extension showing price history on the Amazon page.
• PriceRunner (pricerunner.com) – compares prices across many retailers.

If an item has regularly been this cheap before, there's no need to rush to buy it just because it’s in a ‘sale’.

Islanders should also remember:

• GST is added at checkout by large online retailers, so compare the final price, not the initial price shown.
• Not everything delivers to Jersey, and some sellers add extra charges.
• Check the seller and returns policy – returning bulky items from the Island can be costly.
• Local retailers may match prices, and make returns and repairs simpler.

Be wary of 'buy now, pay later'

Spreading payments can seem convenient, but it is still borrowing. Missed payments can lead to charges and affect your credit rating, and several small plans quickly add up. Only use these schemes if you're confident you can make every repayment.

Keep receipts and check returns

If you buy online, you generally have a 14-day cooling-off period from delivery – but gifts bought now may fall outside that window by Christmas. Check the returns policy, as some retailers extend it over the festive period, and ask for gift receipts.

Similarly, if you’re buying local then something may be cheaper now. But if the returns policy means that by Christmas it will be too late to return the item if it’s unsuitable, then buying early could simply cause more hassle in the long run. Always ask for a receipt or gift receipt and check the Christmas returns policy.