Save your wallet from a holiday hangover

The year-end gift-giving frenzy can have a terrifying impact on your bank balance, especially if you haven't saved and don't have a plan. And if your festivities involve air travel, you could be paying bills well into 2008.

You might consider the January financial hangover an inevitable, if less-than-happy, part of the annual New Year's celebration, but it doesn't have to be that way. Advance planning and a bit of creativity can help you avoid that nasty debt-ache, said Sheryl Garrett, founder of the Garrett Financial Planning Network.

Would it have been better to sock away for this all year? Sure. But it's not too late to set a budget and start saving for the holidays. A few ideas to help you get started:

BE A SMART SANTA

Making the list of family members and friends who rate gifts is easy. It's the unexpected extras that trip us up, Garrett said. Picking up wine for a dinner party; buying tickets to a holiday concert; getting a thoughtful little something for your baby sitter, dog-walker, neighbor, co-worker/boss/employee, building superintendent, mail carrier, fill-in-the-blank guy ... can easily add up to hundreds of dollars.

"Just like Santa, you've got to make a list and check it twice, and then stick to it," Garrett said. "The earlier we start putting together our lists and going out and searching for things, the less pressure we have to hurry and buy something."

GET CREATIVE

Gifts you make are less expensive, more personal and more memorable than stuff you purchase. And as an added bonus, it helps you get in the holiday spirit. If you're not "crafty," get creative with your wrapping. Put together a basket with fresh fruit and a nice book or CD. Instead of shelling out for pricey wrapping paper and ribbons, get a roll of brown butcher paper and twine, and turn the kids (or your pets, or your roommates) loose with poster paints. Thoughtful presentation doesn't have to cost a lot.

"Personal gifts are so much nicer and way less expensive than prepackaged stuff," Garrett said. "Anybody can go out and buy something, but when you get something that's been handmade, or comes in a hand-decorated package, it means a lot."

SHOP ONLINE; USE CASH

Most people will save money by making purchases over the Internet, Garrett said, even when you include shipping costs. It's not because the items cost less, it's because you're less likely to be tempted by other things. There's no browsing. Things don't jump off the shelf and land in your cart.

"Part of the reason people make too many purchases or impulse buys during the holidays is they just want to get it over with," Garrett said. "They start to feel the pressure, time is creeping up on them, so they buy things."

If you have to leave the house to shop, use cash. Put the money in an envelope. Bring your list. Know your spending limit for each person. And when you go overboard for one gift, recognize that it's coming out of your budget for another person's gift.

GET A HOLIDAY JOB

If there is no way to cover your holiday expenses in your current budget, consider getting a seasonal job. Retailers are always looking for extra help this time of year, hiring about 600,000 workers during each of the last three holiday seasons, according to the National Retail Federation.

These jobs can last anywhere from a few weeks to a few months, may be part time or full time and sometimes lead to long-term employment. It can be a good way to supplement income from your "real" job, and some employers even extend discounts. But shopaholics beware.

"I love the idea of getting a holiday job, but it can be dangerous if you're spending a lot of time surrounded by things you want to buy," Garrett said. "Maybe the safest thing to do is work someplace where you don't want to buy anything."

BARGAIN HUNT FOR TRAVEL

Holiday season airfares can jump 15 percent or more, and this year, high fuel costs are pressuring prices further. Finding bargains is tough, but you can defray costs by being flexible about departure times, or if you're willing to fly on the holiday itself. But start shopping now; delaying your purchase is not likely to save you money.

If the burden of getting there and buying gifts is too great, weigh your options. Don't be afraid to tell family members you're facing tough choices. If you're broke and all you can afford is the plane ticket, say so. Your presence is probably a present enough.

"The holidays should not be synonymous with debt. It's a joyous time; it's about time with family," Garrett said. "Think about what matters: Being with your loved ones is what holidays are about."