October 1, 2022

The 5 best ways to pay for Christmas now, by viral TikTok videos

How many amazing things have you learned from Tik-Tok? Here’s how to pay for the upcoming holiday season, according to these viral experts.

Does that 9% inflation rate already have you worried about how much you’re going to spend this holiday season? U.S. too. And we are not alone. Thirty-one million American shoppers say they might not buy any gifts this year, and 37% said they plan to start gift shopping earlier for the holiday season to try and secure the best possible deals by December.

But finding those deals on the world’s best gifts is just the tip of the iceberg — we also need to strategize about how we pay for all that joy. Luckily, some brilliant TikTok users have taken to the internet to share their favorite ways to save — and millions are watching. Here’s a list of our 5 favorites – best of all, no one says you have to use your savings for holiday shopping. These hacks can help you build your savings account, 401(k) balance, emergency fund, or whatever else you need.

#1: The Budget Workbook

If you’ve ever heard of “cash stuffing” or the proven “envelope method” then you’ve got the gist, but consider this money stuffing 2.0. “Budget binders” are exactly what they sound like – binders that hold individual envelopes that you fill with money for all types of purchases and expenses. TikTok user @camb_ the current light blue budget binder which she and her partner use to help them establish their weekly budget.

She reviews the total amount of money she has from her paychecks to put in the binder for this week, then shows her envelope categories: necessities such as bills, gas, groceries and savings for vacations, travel and their new dog. She also has an envelope for entertaining and eating out. For this Tik-Tok star, her binder helps her remember to keep putting money in to save. She also describes how satisfying it is to see your money organized and know exactly what it’s for.

Do it yourself:

If you want to try this method but don’t feel like jumping into the deep end with one envelope for everything, start with one: your vacation spending fund. Deposit as much as you can into it each week or month, and you’ll eventually accumulate enough money to be able to sit back and relax during the holiday season. If you are looking for a budget binder, check out these on Amazon, walmart, Etsyor if you want to start your own, Clever Girl Finance walks you through a great DIY budget workbook Tutorial.

#2: End of month savings

At the end of each month, TikTok user Jessica Kowtko (@jessyka5178) puts the money he has left after paying his bills into a single envelope. She started one January, and the following January, she discovered that she had saved $3,832. She didn’t put a fixed amount in the envelopes – only what she had left. And of course, she resisted the temptation to dip into that envelope at other times of the year. Yes, this method can be an exercise in patience, but Jessica would say it’s worth it.

Do it yourself:

If the idea of ​​throwing “everything I have left” into an envelope sounds a little, well, squishy, ​​then you can easily make it your own, with your own rules and settings. For example, you can ensure that you pay a fixed amount at the end of each month, or, rather than an envelope, you can simply transfer your remaining funds into a high-yield savings account so that at least this money brings Something while waiting for the end of the year. And if it’s easier for you to think of these contributions being made every pay period rather than every month, that’s also amazing. The fact is that this money is a small gift for yourself when you finally let yourself have a look.

#3: Salary withdrawal

TikTok user Haley Kosik (@halkosik95) shared her savings hack that helped her save $816. It basically worked like this: every pay day, she withdraw $20, put it away in its piggy bank and decide not to touch it until the end of the year unless an emergency arises. She also put in extra money that she received from birthdays or vacations. Her adorable pink polka dot piggy bank stored everything. (And I totally want one now.)

Do it yourself:

Kosik withdrew $20 every payday, but if you’re looking to give him a show, start by withdrawing the amount you’re most comfortable with. The important thing is that you are consistent until the holidays arrive and then you can rejoice in the amount you have saved. And, again, transferring that money to a savings account also works, but it’s the touch-to-cash method that Tik-Tokers love the most.

#4: Save all your $5 bills

While working as a waiter at Olive Garden and a driver for Dominos, Ben Browning (@benbrowning6) saved every $5 bill given to him over the course of two months. Inside an old jar of M&M’s he had, he put each of those $5 bills and then took them to the bank where he found he had been able to skim an impressive $1,235. Comments on her video went wild with congratulations and suggestions – some people mentioned that they managed to save their $20 instead of $5. European TikTok user H. Tiles (@hhtiling) had the same idea, saving his €5 notes, as well as the €2, €1 coins he received over the course of a year. In the end he had €697 in €1, €242 in €2, €1,240 in €5, totaling €2,389.40.

Do it yourself:

If you work in a money industry, this could be an incredibly lucrative way for you to save big, fast. But even if you don’t work in cash, you can still save every $5 or even $10 you get as change when you spend money. Review your savings goals and budget to determine the best way to meet your vacation goals.

#5: Climb the Savings Ladder

Jandra Sutton (@jandralee) posted a TikTok of his savings method which has gone so viral that it now has an official name: Savings ladder. And it all depends on the goals. The philosophy is simple: you figure out what “reward” item or experience you want to save for (a trip, a dog, new airpods, whatever), then you figure out exactly how much it costs. Then you decide how much you need to have in your savings account (or your retirement account, or your investment account) before you feel comfortable splurging on that “reward.” Want to save double that amount? Four times? Maybe even 10 times before pulling the trigger? Determine the goal amount you will need to have saved before giving yourself your “reward”. The real goal here is for saving to become more fun and enjoyable overall, because you’re not just saving for, say, retirement, which may be 40 years from now, you’re also saving for something that will bring joy here and now. (And more fun = more likely we’ll stick with it.)

Then, once you’ve reached your savings goal, it’s time to purchase your reward. Your reward can be as small as a special weekly coffee run or paying off your student loans (which Jandra did with this method). It’s easier to save when you keep your eyes on the prize.

Do it yourself:

Start small. What is the small reward that could excite you? Maybe a new pair of shoes you’ve been eyeing. Now, how much do you want to have saved for your financial future before you indulge? Twice the amount? Thrice? Grab a pen and paper and write it down and see how this method feels to you.

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