Did you know that we spend more of our hard-earned cash in December than any other month of the year? Knowing this, you might refuse to succumb to the flurry of gift-giving with a will of steel, but there are still office parties, nights out, friendly reunions, and holiday sales a-plenty to test that will and keep your wallet busy!

Here are six tips for sticking to a holiday budget this season:

1. Budget. Budget. Budget.

The key to spending within your means and avoiding unnecessary stress is to draw up a spending budget specifically for the festive season. This is not limited to gifts alone, but should also include socializing, additional groceries, even extra gas/travel expenses for visiting family and friends.

Once you have decided on a specific budget to suit your household, stay strong and stick to it!

2. Pay in cash.

This should help you stick to your budget. If you are constantly tapping or using the credit card, your budget won’t last long and all that planning will have been for nothing. An extra $20 or $25 here or there on your card won’t seem like much at the time, but it will quickly mount up.

3. Make a complete gift list.

The list should include everyone – relatives and friends, the gardener, and coworkers – who must be acknowledged during the holiday season.  Whether you’re taking on the craziness of downtown or opting to keep it local with your neighbourhood gift store, have a list of the necessities with you. Again, resist the urge to impulse buy and send your budget into disarray.

4. Cut back on day-to-day spending.

In the weeks leading up to the holidays, give the Starbucks coffees and deli lunches a miss. Get your caffeine fix at home or in the office and bring a packed lunch. Pop the savings you make into a kitty and put it towards your holiday shopping. You’ll be surprised how much you’ll save!

5. Shop around.

Shop around and do your research before you make a purchase; are the gifts you want to buy for your relatives and friends available at a better price in another store or online? If so, then don’t be afraid to ask for a price match. If shopping online, don’t forget to factor in shipping costs if there are any.

6. Set expectations with family members.

Talk to your family and friends ahead of the holiday shopping and explain that you need to spend more prudently this year. Suggest a Secret Santa to cut down on the number of gifts expected. Not only can this be great fun, but it’s also a fantastic way to save without losing the magic of the festive season.