The holidays are a joyful time…with a little bit of stress sprinkled in to keep us on our toes. We often have magical visions of how we think it will go, but sometimes reality doesn’t live up to the dream.
This can be especially true for blended families. While you want to maintain the traditions you’ve always had, adjustments will likely have to be made. Add the stress of finances on top of that and, if not handled with care, this could make even Clark Griswold crumble.
So, how do you handle holiday finances with a blended family? Here are a few things to consider.
Start with a Collaborative Budget
Gift-giving can be especially challenging for blended families. With multiple children, extended family, and gifts from “Mom’s house” or “Dad’s house,” it’s easy to overspend without a solid plan.
Setting a gift budget per person can help manage expectations and keep spending in check, and it’s often the thought behind the gift that matters more than the price tag. Consider opting for group gifts or experience-based gifts instead of multiple smaller presents; something everyone can enjoy, like a family board game or a shared adventure, creates lasting memories without stretching the budget. Coordinating gift-giving with an ex-spouse, if possible, helps avoid duplicate gifts and allows everyone to stay within financial boundaries.
Focus on Building New Traditions
Blended families may also bring different holiday traditions to the table, which can be an opportunity to create new, inclusive traditions that everyone can enjoy – and allow you the freedom to create a reasonable holiday budget. Here are some ideas:
- Choose Activities Everyone Loves: Instead of trying to satisfy every tradition from each family, focus on choosing a few activities that everyone looks forward to each year. Whether it’s a family movie night, baking cookies, or volunteering, creating new traditions is an affordable way to unite the family.
- Celebrate on Different Days: If you’re juggling different holiday schedules, remember that celebration doesn’t have to happen on a specific day. Celebrating a few days early or late can alleviate some logistical pressure and give each part of the family quality time.
- Incorporate Everyone’s Ideas: Ask each family member for their favorite holiday tradition, and incorporate one idea from each person. It’s a great way to honor everyone’s background and make each family member feel valued.
Set Boundaries and Avoid Financial Comparisons
It’s natural to want to give generously, but focusing on celebrating in a way that works for your family’s financial situation can help prevent unnecessary stress.
Avoid trying to “keep up” with the other household, and instead, focus on a celebration that reflects your family’s values and priorities. Encourage kids to appreciate the time and experiences over the holidays rather than just focusing on gifts. By setting realistic spending limits, coordinating with family members, and prioritizing meaningful experiences, blended families can enjoy a joyful and financially balanced holiday season. You’re also encouraging healthy spending habits with your kids – a tool that will help them for years to come. CLICK HERE for some financial apps for kids!
As with anything family and finance-related, communication is key. Talk to your kids in an age-appropriate way about how the holidays are going to go. Sure, you might get some pushback, but the holidays are a great time to start some good spending practices. AND by being upfront with your kids and working together as a family, you’ll likely stay on budget as well.