Set Aside a Holiday Spending Budget in Advance
Holiday periods can easily turn into “I just kept spending until it was all gone” because many expenses come all at once and there are so many categories. The key is to set the total budget one month before the holiday and divide it by category in advance. If you create separate sections as if putting money into envelopes, you can immediately see when one section goes over.
| Section | Key summary |
|---|---|
| Introduction | Main context in brief |
| First, Set an Upper Limit for the Total Budget | If you start by filling in categories, the total can grow endlessly |
| Divide It by Category Like Envelopes | Short key point |
| Order for Dividing the Budget | About one month before the holiday, decide on one total spending ceiling for this holiday |
| Cash Gifts Stay Steady When You Use a “Standard Table” | If you decide amounts on the spot, your feelings may soften and the budget can easily collapse |
| Review Once the Holiday Ends | Write down the actual amount spent by category and compare it with the budget |
| Set the Holiday Budget from the Total First | Once the total is set, each category can be adjusted within it |
First, Set an Upper Limit for the Total Budget
If you start by filling in categories, the total can grow endlessly. Instead, set the ceiling first, such as “This holiday will be no more than a fixed amount.” If you save it in portions over 4 weeks starting a month ahead, the burden of paying it all at once becomes lighter. For example, if your goal is 500,000 won, set aside about 125,000 won each week.
Divide It by Category Like Envelopes
| Category | Allocated budget | Share | Note |
|---|---|---|---|
| Cash gifts and New Year’s money | 200,000 won | 40% | Set recipients and amounts in advance |
| Gifts | 120,000 won | 24% | Around 20,000 to 30,000 won per person |
| Food and groceries | 100,000 won | 20% | Buy after making a list |
| Transportation and fuel | 50,000 won | 10% | Based on a round trip |
| Contingency fund | 30,000 won | 6% | For absorbing overages |
| Total | 500,000 won | 100% |
The key is to set aside 6% as a contingency fund. When one category goes slightly over budget, covering it with the contingency fund instead of breaking another section helps you keep the overall ceiling.
Order for Dividing the Budget
- About one month before the holiday, decide on one total spending ceiling for this holiday.
- Write down categories such as cash gifts, gifts, food, transportation, and contingency funds, then distribute amounts within the ceiling.
- For cash gifts and New Year’s money, make a table of recipients and amounts in advance to prevent spur-of-the-moment increases.
- For gifts and groceries, write the shopping list first and buy only within that list.
- Divide the total by 4 and save that amount each week in a separate account or envelope.
- On the holiday itself, spend only according to the category envelopes or notes, and cover any overage only from the contingency fund.
Cash Gifts Stay Steady When You Use a “Standard Table”
If you decide amounts on the spot, your feelings may soften and the budget can easily collapse. If you set standards in advance, such as “30,000 won for each niece or nephew, 100,000 won for each parent,” you can give the planned amount on the day without hesitation. Refer to last year’s amounts, but adjust them to fit this year’s ceiling.
Review Once the Holiday Ends
Write down the actual amount spent by category and compare it with the budget. Once you know which section keeps overflowing, your next holiday allocation becomes more accurate. After just two or three records, you can see the real shape of your household’s holiday spending.
Set the Holiday Budget from the Total First
Holiday spending has many categories, such as gifts, cash gifts, transportation, and meals, so the total can easily grow. That is why you should decide the overall ceiling for this holiday before filling in each category. Once the total is set, each category can be adjusted within it.
If you write down the actual spending after the holiday ends, the next time becomes easier. That is because you can understand the average holiday spending of your household instead of thinking it through from scratch every time.