In these trying times of our economy, as Christmas nears, many people are wondering what they should do. As our country’s recession deepens, should we save our money and build up a “safety net” for what’s to come in the future, or do we spend money on decorations and gifts for our kids?
In these trying times of our economy, as Christmas nears, many people are wondering what they should do. As our country's recession deepens, should we save our money and build up a "safety net" for what's to come in the future, or do we spend money on decorations and gifts for our kids? Well, there are advantages and disadvantages to both options, so instead of trying to focus on either spending or saving, why don't we try to accomplish a little bit of both? Instead of spending extensive amounts of money on expensive Christmas presents, or not spending any money at all, try to find a sort of "middle-ground" to settle on. Although your kids might want them, the latest video game consoles such as Microsoft's X-Box 360, Sony's Playstation 3 and Nintendo's Wii are going to cost you in excess of $200 (and that's if you're lucky and can get a deal). Perhaps this Christmas isn't the best time to buy them. But if you're looking for Microsoft's original X-Box, Sony's Playstation 1 or 2, or Nintendo's N64 and GameCube, you can find great deals on them for less than $100. The same thing goes for other costly electronics, especially plasma and LCD televisions. But as I've mentioned before, make a compromise. You may not be able to afford a 42" plasma, but why not go for a 26" LCD instead?
Saving money is important, but at the same time, you shouldn't be cheap or stop spending entirely. If you think about it for a second, the only reason why the recession we're in isn't as bad as it could be, is because people are still shopping, still going on vacations, and overall still spending money. Granted, we're not spending as much as we used to, but we're still spending. If we stop, if anything, our economy will fall even deeper into the negatives.
As with anything else in life, everything should be done in moderation. Eating fast food all the time isn't healthy, but having it once every week or two certainly doesn't hurt. The same thing applies to Christmas shopping. Don't spend at all and you won't get the things you, your family or your friends want, yet spend too much and you'll fall into debt.
But exactly how much should the spending limit be? I'll leave that for you to decide.
