With Thanksgiving officially behind us, the 2021 holiday season is officially in full swing. For some of us, overspending in the name of gift-giving, entertaining and decorating is our norm during this time of year. Before it starts, I thought I would draw your attention to how you might be feeling about your money and encourage you to think about it before the season sweeps you up, that is assuming you can even find the things you might want to buy.

The economy is indeed changing. Things cost more and just in time for the season where we tend to spend more money than we have without really paying attention to the downstream impact.

Here are 4 things I want you to consider:

1. Inflation. Your money will not stretch as far as it once did. You need to get clear about what is important and what is not as you may need to make some choices around which items on your list are feasible and which may cause financial challenges down the road.
2. Retirement remains a destination worth saving for and just because things are tightening up, does not mean you should save less. Do what you can to make other adjustments and keep your savings going. Your retired self will thank you for shouldering any lean years you might face.
3. Support others. The pandemic has taken a lot of lives. As a result, many people will be alone during the holidays in ways they have not been before. The pandemic has already taken a toll on mental health and, adding money woes, people could find themselves in tough places–physically, financially and mentally. This is the time to think about what you can give and how you can support others. Folks are going to need it.
4. Create new traditions. The pandemic is the perfect excuse to rethink how the holidays get done. Start a new tradition that does not involve spending tons of money you don’t have only to work the first 6 months of 2022 paying it off. Who do you celebrate with? How do you express love in non-monetary ways? How can you make it fun?

The pandemic has certainly changed things. We used to go on auto-pilot and do what we have always done. After being locked down for almost 2 years, we no longer have to do that. It takes 3 weeks to make a new habit. We have had 20 months. Let’s move this upcoming holiday season well and anew.

Dr. Lisa

Our Theme song is “All I Want for Christmas is You” by Mariah Carey.