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Summer budgets are made in winter: start your Christmas budget early
Christmas has a habit of sneaking up on us.
One minute you’re pulling on your winter coat, and before you know it you’re buying presents, organising Christmas lunch and wondering how you’ll pay for it all.
The good news is you don’t need a bigger income to enjoy Christmas. You simply need a little more time.
Starting your Christmas budget in July gives you around five months to spread the cost, save gradually and enjoy the festive season without the financial stress that often follows in January.
Why should you start your Christmas budget in July?
You should start your Christmas budget in July because it gives you more time to save, spreads the cost over several months and helps you avoid last-minute financial pressure.
Waiting until November often means trying to find hundreds or even thousands of dollars in just a few weeks. That can lead to relying on credit cards, Buy Now Pay Later or dipping into savings that were meant for something else.
By planning ahead, you can save smaller amounts each week, making Christmas feel much more achievable and giving yourself the flexibility to enjoy the festive season without worrying about how you’ll pay for it.
What should you include in your Christmas budget?
Your Christmas budget should include every expense you expect during the festive season, not just presents.
Many Kiwi households remember to budget for gifts but forget about food, travel, entertaining and school holiday activities. Those hidden costs can quickly add up if they aren’t planned for.
If Christmas lunch is one of your biggest expenses, our video to hosting Christmas lunch for under $100 is packed with affordable menu ideas the whole family will enjoy.
| Christmas expense | Examples |
| Gifts | Family, friends, teachers, Secret Santa |
| Food and drinks | Christmas lunch, entertaining, desserts, drinks |
| Travel | Petrol, flights, accommodation |
| School holidays | Activities, outings, childcare |
| Decorations | Tree, lights, wrapping paper |
| Social events | Work functions and family catch-ups |
| Unexpected costs | Last-minute gifts or invitations |
Writing everything down gives you a much clearer picture of what Christmas is really likely to cost, making it easier to set a realistic savings goal.
How much should you save each week?
The easiest way to calculate your weekly Christmas savings is to divide your estimated Christmas budget by the number of weeks until Christmas.
For example, if you expect Christmas to cost $2,000 and there are 20 weeks until December, you’ll need to save around $100 each week.
Breaking a larger goal into smaller weekly amounts makes saving feel much more manageable, and your budget doesn’t need to look like anyone else’s. The right amount is simply one that fits comfortably within your household budget.
Planning ahead isn’t just good for your finances. It’s good for your wellbeing too.
93% of MyBudget clients reported feeling significantly less financially stressed after joining MyBudget.
Having a clear plan for expenses like Christmas can help you feel more organised, confident and in control of your money.
Looking for more ways to cut costs without missing out? Explore The Ultimate Guide to Christmas on a Budget for practical ideas to save money throughout the festive season.
What are the benefits of saving for Christmas early?
Saving for Christmas early gives you more control over your money and reduces the financial pressure that often comes with December.
Instead of rushing to buy everything at once, you’ll have time to compare prices, shop during sales and make thoughtful spending decisions.
Saving early can also help you:
- Spread the cost across several months
- Reduce your reliance on credit cards and Buy Now Pay Later
- Avoid impulse purchases
- Feel more organised heading into Christmas
- Enjoy the festive season knowing you’ve already planned for it.
Planning ahead doesn’t just make Christmas easier. It can also make January much less stressful.
What hidden Christmas costs should you budget for?
Hidden Christmas costs are often the expenses that catch people by surprise and push them over budget.
Along with presents, think about whether you’ll be:
- Travelling to visit family
- Hosting Christmas lunch
- Buying new clothes
- Taking time off work
- Paying for school holiday activities
- Attending end-of-year celebrations.
Including these expenses in your budget now helps prevent unexpected costs from blowing your plans later.
Does having a Christmas budget mean spending less?
No. A Christmas budget isn’t about spending less. It’s about spending with confidence.
Giving every dollar a purpose before December arrives means you’ll know exactly what you can afford without worrying about whether you’ll regret it later. Rather than restricting your Christmas, a budget gives you the confidence to enjoy it because you’ve already planned for the expense.
What if money is already tight?
If money is already tight, starting small is still one of the best things you can do.
Even putting aside a small amount each week is better than leaving everything until the last minute. Small, consistent changes often have the biggest impact over time.
You could also create extra room in your budget by:
- Cancelling subscriptions you no longer use
- Planning meals to reduce food waste
- Selling items you no longer need
- Cutting back on discretionary spending for a few months
- Shopping sales throughout the year.
Budgeting can improve more than your bank balance.
87% of MyBudget clients reported sleeping better at night knowing their finances were taken care of.
Having a clear financial plan doesn’t just reduce money stress. It can help you enjoy life’s important moments with greater confidence.
How can MyBudget help you save for Christmas?
MyBudget helps you save for Christmas by building your festive spending into a personalised budget that works all year round.
Your dedicated Money Coach works with you to organise your income, manage your bills and build savings towards your financial goals, including Christmas.
Instead of scrambling every December, Christmas becomes another planned expense that’s already built into your budget.
For more than 25 years, MyBudget has helped over 130,000 people reduce money stress, take control of their finances and achieve their financial goals.
Start your Christmas budget today
The best time to start planning for Christmas is now.
The sooner you begin, the more time you have to save, the less financial pressure you’ll feel and the more you can focus on enjoying the festive season with the people who matter most.
Book your free appointment or call us today on 09 849 6285 and start building a personalised budget that works all year round.
FAQs on budgeting for Christmas early
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No. July gives you around five months to spread the cost of Christmas, making it much easier to save smaller amounts each week instead of finding a large amount in December.
Your Christmas budget should include gifts, food, travel, entertaining, decorations, school holiday activities and any other festive expenses you expect during the Christmas season.
If possible, it’s better to save ahead of time rather than rely on credit. Paying with money you’ve already set aside can help you avoid interest charges and reduce the risk of starting the new year with additional debt.
The easiest way to stick to a Christmas budget is to start saving early, set a realistic spending limit, track your spending and include Christmas as a dedicated savings goal in your household budget. Planning ahead is one of the simplest ways for New Zealand families to stay on track.
This article has been prepared for information purposes only, and does not constitute personal financial advice. The information has been prepared without taking into account your personal objectives, financial situation or needs. Before acting on any information in this article you should consider the appropriateness of the information having regard to your objectives, financial situation and needs.
