There’s a name for this phenomenon: gift guilt.
But acting on this urge can be dangerous to your finances.
Read more:Don’t Fall Into the Same Debt Trap This Holiday Season.
prior to beginning buying gifts, set guardrails with your friends and family, Saavedra said.
For example, set a dollar limit of $10 per person or only buy gifts for the children.
Setting expectations now can make everyone comfortable participating without worrying about expensive gifts.
Getting gifts for everyone is expensive, so this helps be more budget-friendly.
Read more:My Spending Trigger Is FOMO.
Or you’ve got the option to give them something smaller, like a holiday ornament.
Still, even for them, set a dollar amount you’re comfortable with.
Read more:No, You Don’t Have to Give Holiday Gifts This Year.
There are thoughtful alternatives that can be just as meaningful but cost a fraction of the price.
Buy gifts in bulkIf you’re giving to numerous recipients, Saavedra also recommends buying in bulk.
You could save money by buying gifts at discounted prices at wholesale clubs like Costco and Sam’s.
Gift your skills and timeYour time and any other special skills can also make great gifts.
One of Saavedra’s favorite gifts for parents with young children is babysitting coupons.
A date night out for four hours could easily cost them $100."
Consider how your creative skills can help others and create a coupon or gift certificate.
However,early holiday salesare in full swing right now, so you could currently findgood dealson gifts.
“Those are essentially high-interest consumer loans to get you to spend money that you do not have.”
Instead, Saavedra recommends only spending the money you have and looking for alternative gifts instead.
