Christmas bonus is just around the corner. It spells extra money and by now, you might be listing the things you would like to buy in your head. Oh but wait, before you start spending, you might want to consider these suggestions on how you can maximize the money you’ve worked so hard for the whole year.
- Budget, budget, budget – First of all, you did not win the lottery so treat your year-end bonus just like a monthly income. Remember, your budget will tell you where your money will go so you won’t be surprised where it went.
- Pay yourself – You’ve worked hard the past year, it’s only fitting to pay your future self. Prepare ahead and build your emergency fund (if you still don’t have one) or even get a health protection insurance that can shield you from illness related expenses. Nothing beats a ready soldier for life’s unexpected events.
- Invest for your future – Instead of spending for things that only matter today, why not put your money into something that have a lasting impact in your life? Find ways to make your money work harder for you. Pick an option that can beat inflation: You can invest in the stock market, mutual funds, or even investment-linked insurance.
- Pay your debts – Remember the shopping spree you did last month on credit? This may be the best time to eliminate that debt to give you peace of mind. Plus, wouldn’t you feel better to know that your finances will have a healthy and fresh start next year?
- Give back – Whether it’s for charity or for your parents, it’s always fulfilling to be able to give a gift that matters to those who need and deserve it.
- Enjoy it – You’ve been busting your butt all year and you deserve to give yourself a pat on the back. Treat yourself to a relaxing massage, a trip to the beach, or even a new gadget. Go on, live a little!
How will you spend your Christmas bonus this year? Share with us your money-savvy tips too!
Image used under Creative Commons from Keith Bacongco