Isn’t it amazing how so many people go out and shop on Black Friday. The radio today announced that sales were up 3% on Black Friday compared to last year. Saturday and Sunday were down compared to last year.
This past weekend made me think about all the flat screen HDTV’s and laptops that were being sold on credit. I believe buying merchandise on credit is totally wrong, in my opinion. I do not see how purchasing on credit stengthens the economy, it certain does not help the finances of the American people.
I understand that if people choose to purchase merchandise on credit that it is their own personal choice. I totally agree that people should choose to make their own financial decisions. I do not agree that those same people should have the opportunity to file for bankruptcy when they can no longer pay their loans.
If you fail to plan, you plan to fail.
I love this sentence because of how people shop, without a plan. If you are planning on doing holiday shopping this Christmas do so with a plan.
For example, make a list of people that you will purchase a gift for this year. Next put a set amount next to that name that will be the maximum amount you will spend on a gift for that person. For example, Best Friend ($20). Stick the amount that you will spend for that person.
Next add up the amount for everyones gifts and see if it fits in your holiday budget. If it is too high, then lower some of the amounts.
Million Dollar Advice
Never go holiday shopping without a list of people to buy gifts for and certainly without a set amount to spend for those people.
Why? Because you will end up buying things based on emotions and people who shop on emtions spend more. So have fun shopping but don’t end up throwing toys and clothes in your basket thinking to yourself, “i’m sure I can find somebody to give this to” and buying gifts for yourself can totally throw your budget off.
If you want to do something for yourself, put that money in your retirement account and give yourself the retirement you deserve.
