If you’re concerned about how to make a financially-savvy celebration with New Year’s Eve looming, you’re not alone. A study from Eventbrite in the US showed millennials were willing to spend on average $228.10 on the night’s festivities, but you don’t have to spend big to celebrate big. Here’s how to ring in the new year without breaking the bank.
Plan your spending in advance
The greatest thief of financial confidence is poor planning. If you’re going out to a New Year’s Eve event, go in with a financial plan of action. How much is the food and drink? How many do you expect to buy? How will you get home? Have you planned for peak demand surcharges on taxis and rideshares?
Going in with a clear plan of how much the night will cost not only reduces stress but helps you make more informed spending decisions. If you have no idea how much you’re spending, you’ll probably spend way more than if you’re aware you’re close to your budget.
Allow a margin for error
When planning your financially-savvy New Year celebrations, allowing a margin for error can help cover off any financial blunders. Trying to go in with a budget that’s too rigid can ruin your night and your financial confidence if you go slightly over your plans, but allowing a small margin for error is a sound decision both financially and emotionally.
Open the lines of financial communication with friends and family
The holiday season and New Year’s Eve events are often riddled with comparison and ‘keeping up’ behavior, so if you’re looking to spend sensibly, open the lines of communication with those you’ll be celebrating with. Chances are, they’ll be glad you did. After the last couple of years, everyone’s financial situation has shifted, so dropping the assumptions and being honest and open with where you’re at financially can be the best way to celebrate in a way that doesn’t break the bank.
DIY your NYE party
If you’re seeking a cheap new year’s holiday, try a staycation at home and DIY your festivities. Having friends over with make-your-own cocktails and a bring-a-plate feed can be just as much fun — if not more! — than being out at a fancy party. You get to pick the music, dress up or dress down as much or as little as you like, and you don’t have to battle the crowds or busy public transport to get home. Sounds pretty sweet to us!
Staying in for New Year’s Eve can be a fast pass to big financial savings, so don’t write it off!
Skip the new outfit
In the lead-up to New Year’s Eve, outfit ideas are splashed across social media, email marketing and storefronts, giving us all the spendy feels. To save big on your end-of-year spending, skip the New Year’s Eve outfit and vow to embrace that outfit repeater energy. Yep, Lizzie McGuire was onto something (if you know, you know). Shop your own wardrobe this year for your New Year’s Eve outfit, or consider a clothes swap with friends if you wear the same size. Sharing outfits gives you that new style feel without the hit to your bank account.
Cut the resolution spending
New Year’s Eve brings with it a bucketload of ‘new year, new me’ energy. While we’re suckers for a fresh start (and a fresh budget!), the threat of a new year can actually prompt us to spend unnecessarily. If you’re setting new year’s resolutions, make it your mission not to buy things related to those goals until you’ve already committed to taking action for free. For example, if you’re vowing to take up yoga, don’t run out and splurge hundreds of dollars on cute workout clothes until you’ve proven to yourself you can work out in the old leggings you already have. Once you’ve shown up for your resolution, motivate yourself to keep going with that nice pair of buttery-soft yoga pants.
Wishing everyone a happy, safe and financial-savvy New Year’s celebration!
Emma Edwards is a finance copywriter and blogger, on a mission to humanize the financial services industry by creating meaningful content that’s accessible and empowering. You’ll find her penning money tips at her blog, The Broke Generation, sharing financial insights on Instagram, or injecting life into content for her business clients.
