20 Ways to Actually Save Money After Holiday Spending
Discover smart, actionable tips for recovering from holiday spending and starting the new year with a healthier financial future!
- Alyana Aguja
- 5 min read
The holiday season often leaves wallets lighter, but the new year is the perfect time to regain control of your finances. You can recover from holiday spending by using simple yet powerful strategies such as budgeting, decluttering for cash, and slashing unnecessary expenses. These 20 practical tips will help you save money and set the foundation for a more secure and stress-free financial future.
1. Make a Spending Audit
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Review your bank and credit card statements to see where the money went. Identify unnecessary or excessive spending categories and vow not to make those mistakes next year. Awareness is the first step toward better budgeting.
2. Set a Post-Holiday Budget
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Set a realistic budget for January that prioritizes necessities and debt repayment. Use cash or debit cards to avoid overspending. A fresh budget can help you reset your finances.
3. Return or Exchange Unwanted Gifts
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Suppose you received items you won’t use, return, or exchange. Many retailers offer extended return policies after the holidays. You can convert those items into cash or something else that is beneficial
4. Meal Prep to Avoid Eating Out
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Cooking at home saves money and reduces waste usually produced from leftover holiday foods. Plan meals around what you already have in your pantry or fridge. Preparing your meals in advance also helps curb impulse spending on takeout.
5. Cancel Subscriptions You Don’t Use
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Check your streaming services, apps, or magazine subscriptions you’re not actively using. A few small monthly charges can add up over the year. Cancel those and free up money for better expenses.
6. Sell Items You No Longer Need
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Declutter by selling items you no longer need, such as old clothes, gadgets, or toys. Use platforms like eBay, Facebook Marketplace, or local consignment shops. It’s a win-win to turn clutter into cash.
7. Use Cashback and Rewards Points
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Redeem cashback or credit card rewards to pay off balances or buy necessities. Check if your credit card offers statement credits or discounts through partner retailers. It’s free money you’ve already earned—put it to work.
8. Plan No-Spend Days or Weeks
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Challenge yourself to spend nothing on non-essentials for a set period. Engage in free activities such as reading, hiking, or having family game nights. This will help you develop discipline and learn to enjoy life without always opening your wallet.
9. Reduce Your Utility Bills
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Turn down the thermostat, unplug devices, and switch to energy-saving light bulbs. Small changes pay big dividends in monthly bill savings. Use the savings to create debt or stock your emergency account.
10. Make Do-It-Yourself Home Products
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Determine your creative ways to develop homemade cleaning products, cosmetic items, and decorative pieces made from inexpensive commodities. Many at-home solutions equate to using similar products off the shelf at a fraction of the cost and with less mess. It also happens to be a fun hobby.
11. Take Advantage of January Sales
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Go shopping for winter clothes, household goods, and other essentials, as post-holiday clearance sales should be in force. Do not buy on impulse but on whatever you want. This way, you can save money on purchases you make anyway.
12. Negotiate Bills and Contracts
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Call your service providers to negotiate better internet, insurance, or phone payment rates. Mention competitor offers or ask for loyalty discounts. Even a small reduction can save hundreds over the year.
13. Switch to Generic Brands
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Generic or store-brand items often are the same quality as name brands for a fraction of the cost. Try trading a few of your staples for pasta, cereal, or medication. You may not even notice the difference—except in your wallet.
14. Start a Savings Jar
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Physically set aside spare change or small bills every day. It may seem old-fashioned, but those coins add up over time. Use the jar savings for emergencies or as a guilt-free treat fund.
15. Entertain Yourself with Free Things to Do
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Instead of going to the cinema or theme parks, visit local parks, libraries, or free community events. During the winter months, many cities offer free museum days or concerts. Enjoying life doesn’t have to come with a price tag.
16. Batch Pay Your Debt
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Pay off smaller debts first to build momentum and create cash flow for the larger ones. This method is called the “snowball method,” as it keeps you motivated by the small debts you have paid off.
17. Limit Visits to the Coffee Shop
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Brew your coffee at home instead of buying it every day. Invest in a good travel mug to take it and enjoy it at work. Even skipping a few lattes a week can save you money over time.
18. Automate Your Savings
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Automate an amount you would like to save each payday. Small amounts, such as $20 per week, can add up. This way of saving is easy, and you can be sure it happens each week.
19. Unsubscribe from Marketing Emails
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Stay away from temptation by unsubscribing from newsletters and promotional emails from retailers. Out of sight, out of mind—fewer ads translate to fewer impulse buys. Buy what you need when you’re ready, not when marketers prod you to do so.
20. Review Your Financial Objectives
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Take time to review and refine your short-term and long-term financial objectives. Clarify your priorities, whether saving for a vacation, paying off debt, or building an emergency fund. Keeping goals front and center helps you stay disciplined and motivated.