Holiday Shopping Hack: Save your spending money in a club account
Published October 15, 2024
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Categories:
- Saving & Budgeting
- Spending & Shopping
Are you tired of the post-holiday blues that come with a credit card bill filled with holiday purchases? One effective way to avoid financial stress during the holiday season is to start saving early. A club account can be a great tool for setting aside money specifically for holiday shopping.
What is a Club Account?
A club account, like our All Purpose Club, is a type of secondary savings account that allows you to make regular deposits to save toward a specific goal. Goals like holiday shopping, a vacation, or a wedding for example. You can set up a recurring deposit schedule, such as weekly, bi-weekly, or monthly, to contribute to your account and reach your goal.
It’s an effective way to save for a specific purpose because it keeps that savings separate from your regular savings. If you’re someone who is constantly moving money between your savings and checking accounts, a club account can help ensure your holiday shopping money remains untouched, and you can see exactly what you have to spend. Plus, our All Purpose Club earns dividends on balances greater than $10.
Open an All Purpose Club Account
How much should I be saving for the holidays?
First, you have to determine your overall budget and savings goal. You could be saving not only for gifts, but also for food, decorations, and possibly travel. The average American spends approximately $1,000 on Christmas each year, according to 2023 stats. Overall spending continues to increase each year.
We calculated how much you would need to stash away weekly if you began on October 1 and finished on Thanksgiving. Just in time for Black Friday and Cyber Monday deals.
| Goal | Save this much weekly |
| $500 | $56 |
| $1,000 | $112 |
| $1,500 | $167 |
| $2,000 | $223 |
| $2,500 | $278 |
Tips for using a club account effectively
- Set a Clear Goal: Determine how much you want to save for holiday shopping and set a realistic timeline.
- Make Regular Deposits: Stick to your deposit schedule to ensure consistent savings.
- Avoid Early Withdrawals: Resist the temptation to withdraw money from your account before the holiday season.
- Track Your Progress: Monitor your account balance regularly to stay on track.
By using a club account for holiday shopping, you can take control of your finances and enjoy a stress-free holiday season. Start saving early, set a realistic budget, and watch your savings grow!