100 days to Christmas: how to save money for the holidays through challenges.

Tips for saving for Christmas

According to The Sun: There are less than 100 days left until Christmas, and many of us start to think about how to cover festive expenses. Savings challenges are a great way to build the habit of saving money weekly or monthly.

Such challenges make the saving process more accessible in the run-up to the holiday.

Andrew Hagger, founder of Moneycomms, notes: “Setting yourself savings challenges or goals can help focus on building a good amount to cover costs by Christmas. Monitoring your progress weekly, hopefully, will keep you on track.”

There are numerous ways to save that can leave you with hundreds by Christmas. There are options for any budget, so don’t worry if you can only set aside a small amount.

Challenge '1p'

If you can’t set aside a large budget for the holiday, try the '1p' challenge. You start by saving just 1 penny, and each day you increase that amount by 1 penny. So, on the first day, you save 1 penny, on the second – 2 pennies, and so on. On the 97th day, you will add 97 pennies to your pot. If you start today, by Christmas you could have £47.53 saved.

100 days of sales to Christmas

Here’s what buyers can expect:

• Next Autumn Sale (mid-September) – up to 70% off clothing, home and gift ranges
• Aldi Toy Festival Sale (September 21) – bargains on Lego, Disney and toys
• Morrisons Sale (September 29) – early festive gifts and discounts on toys
• Sainsbury’s Toy and Gift Sale (October 22) – up to 50% off toys and Christmas additions
• Singles Day (November 11) – fashion, technology and accessories with discounts up to 40% online
• Black Friday (November 28) – biggest discounts of the year, from 20% to 70% across all categories
• Cyber Monday (December 1) – online sales on technology and gadgets, up to 60% off
• Green Monday (December 8) – last chance for discounts and delivery deals, around 20% to 40%
• Super Saturday (December 20) – final discounts on toys, gifts and wrapping

Smart mom Sally Ferguson managed to save £700 this year using this strategy.

Challenge 'Cash is King'

This concept is simple: every time you get small change in a shop or restaurant, just save it. For example, if an item costs £3.50 and you pay with a five-pound note, save the £1.50 change. While this might seem insignificant, small coins can add up over time. If you save about £1 a day, by Christmas you'll have £97.

Challenge 'Rainy Day'

As nights become darker and summer days are behind us, you can save hundreds with the 'rainy day' challenge. Save a certain amount each time it rains. You decide how much to save based on your budget. On average, London sees rain about 100 days a year, so by Christmas, it is likely to rain about 33 times. If you save £10 each time, that adds up to £330 by the big day.

Challenge 'Supermarket Savings'

Several supermarkets offer programs that give you bonuses for Christmas shopping. Many pay out bonuses based on the total amount you save by a certain date or month. For instance, on its Christmas Saver account, Tesco gives you a £12 bonus if you save £200. This bonus will be credited to your Clubcard account in November in two parts: the first is a voucher worth your savings, and the second is a bonus voucher you can use to pay in-store or online. Tesco, Asda, Iceland, Sainsbury’s, Co-op, and Morrisons offer such programs. The most generous is Iceland’s program, which has a maximum bonus of £50.

Challenge 'Take a Step Back'

Another way to ensure you'll be able to cover Christmas costs is to first calculate how much you will need for all gifts and food. Then divide that amount by the number of days until Christmas. Save that amount each day into your savings account or stash cash in the bank. If you plan to spend £300, you should be saving just £3.09 a day until the holiday.

Where to save your savings?

If you are used to paying with coins or notes, it might be better to save money in a bank or piggy bank. But you can increase the yield on your savings by opening a high-interest savings account. To find the best savings account, visit comparison sites like MoneyfactsCompare or Compare the Market. Your bank may also offer an option to keep your savings separate from other funds. If you need access to cash, open an easy-access account where you can withdraw money for free. And if you want to lock your money away for a longer period, choose a fixed or term deposit savings account.

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So, as the holidays approach, it is important to be financially prepared. By applying these simple tips and challenges, you can save significant amounts before Christmas, making sure holiday expenses do not become a burden. Save now to enjoy the holidays in the future!