Holiday Spending Tips for Parents

7 budgeting and planning tips to help co-parents save money over the holidays.

• 3 min read
• finances

Most people look forward to family traditions, fun, and quality time during the holidays. Unfortunately, these seasonal joys are often accompanied by stress related to overspending. Holiday spending situations can be especially tricky, with purchases for gifts, decorations, events, trips, and other costs quickly adding up. For co-parents, dividing holiday spending between homes often makes the situation more complex.

A survey from NerdWallet found that almost half of parents with kids under 18 felt pressured to exceed their preferred budgets. With a projected average of $1,070 spent on gifts and $2,610 on travel expenses, balancing protecting your financial wellness and enjoying the holidays is essential. Here are 7 holiday spending tips to help you prepare for and manage holiday spending.

1. Review last year's spending

The stresses of holiday spending often linger after the festivities, impacting your budget for weeks or months afterward. Revisiting and evaluating your goals and outcomes from the previous year is a great way to start planning for this year's holiday. Doing so can help you avoid the same stress as the prior year and create more realistic expectations.

2. Make prioritized wish lists

Parents often wish they could give their children every gift they ever wanted, but that isn't always the reality. On top of getting your kids' wish lists, organize them by ranking gifts from most to least favorite. If your child is old enough to ask what they want for Christmas, have them rank their top gifts to give you a better idea of what they want most.

3. Plan for more than just gifts

Presents are typically at the top of people's minds during the holidays, so it can be easy to forget about the other expenses associated with them. Consider your travel plans, decoration goals, meal menus, and other holiday plans with price tags. Identify your holiday plan's overall impact on your budget and ensure you allocate enough for each area.

4. Split expenses with your co-parent

Shared parenting often involves conversations about money with your co-parent, and the holidays are no exception. Whether it's your first holiday season as a co-parent or your last one with kids at home, coordinating gifts and expenses with your co-parent is vital. Financial and logistical collaboration can help create a more memorable experience with your kids while avoiding duplicate gifts.

5. Look for price matches and coupons

Once you and your co-parent decide who's buying what, it's time to compare prices and clip coupons before you go shopping. Preplanning and research can help you find the best deals, especially if you can catch major sales before the holidays. Additionally, keeping tabs on high-ticket items can help you wait for the right moment to get the best discount.

6. Plan for unexpected expenses

One lesson parents learn is to always expect and plan for the unexpected. Even if you have a comprehensive list of costs you'll cover this holiday season, you should always give your budget some wiggle room. Saving room in your budget for additional expenses, whether they're spontaneous fun or emergency needs, can give you more peace of mind.

7. Swap gifts for experiences

Seasonal experiences can give your kids just as much joy as material things. You and your co-parent don't always have to spend a lot of money to give your children a happy holiday. Look around your local area or vacation destinations to see what you can do with the kids at low or no cost, like light shows, caroling, movie showings, or holiday concerts.

TalkingParents can simplify co-parenting year-round

Planning and creating a budget to fit your projected expenses is critical to making more enjoyable, less stressful experiences for you and your kids during the holidays and beyond. Whether you need help coordinating your shared finances or schedules, a co-parenting communication service like TalkingParents can help. Our comprehensive features make organizing and documenting details like conversations, shared expenses, and important information more manageable. With our all-in-one service, you can streamline your co-parenting experience and focus on creating and sharing memorable moments with your kids.