Don't let Diwali expenses dominate your wallet, cut them down smartly: Diwali Expenses Budget

Diwali Expenses Budget: Shopping starts as soon as the festive season starts. A lot of preparations have to be made, from clothes, toys, crackers, decoration items to gifts for the guests. In such a situation, e-retailers and shopkeepers also try to woo customers by offering attractive offers and discounts, which become difficult to avoid. Our wallet has to bear the brunt of all these expenses. Yes, excessive shopping can spoil the monthly budget. Using your savings to meet expenses or using credit cards unnecessarily can get you entangled in the debt trap. It is true that expenses double during festivals and transactions have to be made with people, but it does not mean that you should spend more than your means. Go shopping to celebrate happiness but be careful. Let us know how to manage expenses smartly.

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make a festival budget

The main reason for spoiling the monthly budget is excessive expenditure which is unnecessary on Diwali. To avoid this, make a festival budget and festival fund. If you want to buy items, make a budget in advance. Allocate more money for priority items and then pursue your hobbies with the remaining money. You can save money by buying in bulk for household items, sweets etc.

Avoid using credit cards

Credit cards are good only as long as they are used with caution and within a certain limit. They provide you with rich rewards like cashback, air miles, special discounts and reward points. But using your credit card more than the limit can put you in debt. Interest charges have to be paid while converting the outstanding amount on credit card into EMI. Apart from this, there is also a convenience fee to be paid for not paying on due dates, which can blow your budget. Therefore, use credit cards only when needed.

take advantage of the offer

Most of the banks and e-commerce sites have launched cashback offers on debit and credit cards for their customers during the festive season. These offers are mainly provided with some brands or departmental stores. Banks and e-commerce companies earn commission from this, so get all the information before taking advantage of the offers. Although such offers lead to savings, there is also a lot of wastage. Therefore, take decisions thoughtfully.

Also read: Avoid online shopping during festivals, otherwise you will become a victim of fraud: Online Shopping Fraud

Select Savings and Investments

Instead of spending more on Diwali or any other festival, you can spend in ways that will help you grow your wealth. If you buy assets like gold and silver then it can be a profitable deal for you. You can also invest in equities this season. If you spend wisely on your investments this year, you can make the desired purchases with the profits you get from them in the coming years. Therefore, before spending on Diwali, consider smart ways and then enjoy shopping.