The following is a sponsored collaboration with Rakuten, my favorite cash back app. You can sign up for Rakuten by clicking here and you can get a $40 sign up bonus when you make a qualifying purchase. The holiday season is one of the most happy times of the year, but it can also be…
The following is a sponsored collaboration with Rakuten, my favorite cash back app. You can sign up for Rakuten by clicking here and you can get a $40 sign up bonus when you make a qualifying purchase.
The holiday season is one of the most happy times of the year, but it can also be expensive. Between gifts, decorations, travel, and meals, it’s easy to spend more than you planned.
The good news is you don’t have to break the bank to celebrate.
With the right strategies, you can save money while still making this holiday season magical. Let’s dive into my top tips, starting with my absolute favorite way to save—Rakuten.
How to Save Money This Holiday Shopping Season
Below are my favorite ways to save money during the holiday shopping season.
1. Get cash back on your holiday shopping with Rakuten
I’ve been using Rakuten for years, and it’s my go-to tool for saving money. Just last holiday season, I earned over $200 in cash back while shopping for gifts for my family. I especially love it for big purchases—like when I got $90 cash back on a kayak for my husband.
Rakuten is a must-have tool for saving money while you shop. If you haven’t heard of it, Rakuten is a free cash-back site and app that rewards you for shopping at your favorite stores. It partners with over 3,500 big-name brands like Nike, Macy’s, Walmart, Target, Old Navy, and Adidas, so chances are, the stores you already shop at are on the list.
Here’s how it works: when you shop through Rakuten, the stores pay Rakuten a commission, and Rakuten shares part of that with you as cash back. Depending on the store, you can earn anywhere from 1% to over 15%. For example, I recently earned $90 cash back when I bought a kayak online through Rakuten. Those savings add up quickly, especially during the holidays when spending tends to increase.
To get started, sign up for a free Rakuten account. You can shop directly through their website, use their app, or install their browser extension, which automatically finds and applies the best cash-back deals and coupon codes for you. Pro tip: use the browser extension whenever you shop online to make sure you never miss out on savings.
Another reason I love Rakuten is how easy it is to get paid. You can choose to receive your cash back via PayPal or by check. Plus, Rakuten currently is giving a $40 sign-up bonus (this is a limited time holiday offer) for new members who make a qualifying purchase, so now is the perfect time to join.
Actionable Tip: Start your holiday shopping list and research which of your favorite stores pay cash back through Rakuten. Then, make it a habit to shop through Rakuten for every purchase to maximize your savings.
2. Create a holiday budget
The best way to avoid overspending during the holidays is to create a clear budget. You can start by listing all your holiday expenses, including gifts, decorations, food, travel, and even small items like stocking stuffers or wrapping paper – you can do this on a piece of paper or on your phone/laptop. Once you have a total amount, divide your budget into categories and set spending limits for each one.
For example, if you plan to spend $500 on gifts, break that down further by deciding how much you’ll spend on each person. Having these limits in place will keep you from going overboard when you’re tempted to splurge on last-minute items.
Actionable Tip: Before shopping, write down your budget and carry it with you. Refer to it regularly to make sure you’re staying on track.
3. Shop during sales and plan ahead
Sales are one of the easiest ways to save money on holiday shopping. Black Friday and Cyber Monday are famous for deals, but many stores offer discounts throughout the season. Start looking for sales early so you can take advantage of lower prices before items sell out.
Another way to save is by price-matching. Many stores will honor a competitor’s lower price if you show them proof, so it’s worth checking prices at multiple retailers.
When you shop during sales, make sure you’re buying only what you need. It’s easy to get caught up in the excitement of discounts and buy things you didn’t plan for, which can lead to overspending.
Actionable Tip: Create a shopping schedule with key sale dates, like Black Friday or pre-holiday sales, and plan to shop for specific items on those days to avoid impulse purchases.
4. Stack coupons and promo codes
One of my favorite holiday shopping wins was when I combined a 20% off coupon, free shipping, and Rakuten cash back to save over $150 on a single item recently. I always check for promo codes before buying anything, and Rakuten’s browser extension makes it so easy to find them.
One of the smartest ways to save money is by combining coupons with cash-back offers. Most stores allow you to use coupons on top of discounts and cash back, which means even bigger savings for you.
If you’re shopping in-store, take a few minutes to search for coupons online before you check out. Many stores will scan a digital coupon from your phone, so you don’t need to print anything.
Actionable Tip: Combine Rakuten cash back with store-specific coupons or promo codes for maximum savings.
5. Give thoughtful or DIY gifts
A few years ago, I made photo books for my family members filled with memories of family vacations. It cost me around $20 to make each photo book, but the reaction was priceless. Thoughtful gifts like these can mean so much more than something expensive.
Gifts don’t have to be expensive to be meaningful. In fact, some of the most memorable gifts are homemade or experience-based. For example, you could bake cookies, create a scrapbook, or knit a scarf. If you’re crafty, handmade gifts are a great way to show your love without spending a lot.
Experience-based gifts are another budget-friendly option. You could offer to babysit for a friend, cook a nice dinner for your parents, or plan a family game night.
Actionable Tip: Make a list of DIY gift ideas that fit your skill level and start gathering materials now. This will save you time and stress as the holidays get closer.
6. Avoid buy now, pay later services
“Buy Now, Pay Later” (BNPL) services have become popular, especially during the holidays. These services allow you to break up your purchase into smaller payments over several weeks or months. While this might seem like a great way to afford gifts, it can lead to trouble if you’re not careful. BNPL causes a lot of people to spend too much money, unfortunately,
The biggest risk with BNPL is that it doesn’t feel like you’re spending real money. Since you’re not paying the full amount upfront, it’s easy to lose track of how much you owe. Many people use these services at multiple stores, which can result in juggling several payments at once. If you miss a payment, you could face late fees, and your credit score might even take a hit.
Instead of relying on BNPL, focus on sticking to your holiday budget. Ask yourself if you can afford to pay for an item in full right now. If the answer is no, it’s a good sign to rethink the purchase. Another strategy is to save up for big-ticket items ahead of time so you’re not tempted to use BNPL services.
Actionable Tip: The next time you’re tempted by a BNPL option, stop and calculate the total cost of your current outstanding payments (if you have any). This will give you a clear picture of your financial commitments and help you decide if you can truly afford the purchase. Focus on buying only what fits into your budget to avoid financial stress after the holidays.
Enjoy the Holidays Without Overspending – Summary
With these tips, you can celebrate the holidays without worrying about your finances. By using Rakuten, creating a budget, shopping early, and getting creative with gifts, you’ll be able to stretch every dollar while still enjoying the season.
The holidays are such a special time, and I’ve learned that they don’t have to cost a fortune to be memorable. By focusing on what matters—time with loved ones—and using these strategies, you can enjoy the season without financial stress.
Don’t forget to sign up for Rakuten today—it’s free, easy to use, and comes with a $40 bonus when you make a qualifying purchase.
What’s your favorite way to save money during the holiday shopping season?
