I know as well as you do that the cost of living continues going up and up! The media keep telling us about it, all whilst we’re each living the experience of everything costing more. Whether it’s food, fuel, the mortgage or power, it seems that everything we need to survive costs more and more every year.

This year, let’s limit or avoid DEBTcember.

No one wants to be the one who spoils Christmas (especially me!), so please don’t let this come across that way. All I want is for everyone to have one eye on 2026 and beyond as they make money and spending decisions this festive season. How much you spend in December will very likely have a big bearing on what your short-term financial future is going to look like. Let’s try and keep the new year hangover to food and beverages only.

The number of Black Friday sale ads floating around is a little out of control, and between now and Christmas the bombardment doesn’t ease up. This is not about not spending, it’s about not overspending.

So, here are a few simple strategies to help navigate your way through the Christmas frenzy…

1. Know how much you have to spend

This is the most important piece to get right! All the marketing is trying to lure you towards impulse buying, which is why knowing your limit will keep you in check.

Keep a record of what you are buying along the way so that you know how much you have left to spend. Also try and make sure that what you purchase is valuable, and not something that will end up being wasted money.

2. Think beyond Christmas

The temptations will come to spend more and more as Christmas approaches and to make extra last-minute purchases. To help stick to your budget, remind yourself of what you want to achieve in 2026 and beyond. A budget blowout at Christmas can set things back a long way… for example, spending an extra couple of thousand dollars at Christmas that you didn’t really intend to, could be the difference between being able to comfortably afford a holiday in 2026 vs having to possibly miss out.

Everything in moderation!

3. Try to avoid credit

Again, I don’t want to sound like the Grinch when it comes to Christmas… BUT, even though there may be a need to put a few things on the credit card, wherever possible, try and avoid it. And if you do have to put things on credit, first map out a plan to take money from each upcoming pay to get it paid off ASAP and avoid too long a debt hangover in 2026.

And if you need a reminder of just how dangerous your credit card can be, check out the interest rate payable after your interest free period expires (ouch!).

Hopefully the above gives you a bit of a reminder of what is upon us all, and a framework to keep your spending in check. Everyone’s situation is different, so we all have to make the decisions that are right for our own situation. But as 2025 comes to a close, let’s try and avoid undoing all the hard work we’ve done throughout the year, while at the same time ending the year in style.

Cheers,

Daniel

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If you’d like to find out more about how INDEPENDENT financial advice could help you manage cash flow, pay off the mortgage faster, get the most out of super and invest wisely, then get in touch on 0411 484 464 or head to wealthtrain.com.au.

This advice may not be suitable to you because it contains general advice which does not take into consideration any of your personal circumstances. All strategies and information provided are general advice only.

Daniel McGregor and Wealth Train are authorised representatives of Independent Financial Advice & Education AFSL 520963