13 Ways to Save Money When Buying a Christmas Tree

                                                           

 

According to the U.S. Commerce Department 80% of artificial trees worldwide are manufactured in China. Most artificial Christmas trees are made of possible metal toxins such as lead, contain non-biodegradable plastics and are thrown in landfills.

Nielsen surveyed nearly 30,000 U.S. households on behalf of the American Christmas Tree Association and found that the average cost of a real tree was $46 and the average cost of an artificial tree was $78. That is an interesting statistic.

Real Trees outsell fake trees more than 3 to 1. Sixteen percent of consumers cut their own real tree. Real trees can be purchases from tree farms, nurseries, discount stores such as Wal-Mart, Target or Costco, hardware stores, retail lots, non-profit groups such as Boy Scouts and churches, some grocery stores and the internet. Christmas Tree are a great symbol of the Christmas holiday and make people feel joy and wonder. If you plan on buying a real Christmas tree this holiday season here are 13 tips to save money.

1. Know the height and width of the room you want to put the tree. The width should be 80% of the height.
2. Make a list of the specifications you want for your tree, species (type of tree), height, etc. Visit pickyourownchristmastree.org to view a chart that summarizes the traits of common trees.
3. Negotiate you may be able to get a cheaper price.
4. Buy on Black Friday.
5. Buy on Christmas Eve or the week of Christmas.
6. Get a permit from the National Forest Service for less than $20 and cut your own.
7. Buy a damaged tree.
8. Go to a hardware store, nursery, and discount stores such as Costco or small vendors and ask if you can purchase a floor model for a cheaper price.
9. Pick a tree native to your area. If you don’t know which trees are native to your area, go to a nursery and find out. Then purchase a tree from the suggestions they provide. Trees not native to your area will be more expensive. www.thisoldhouse.com/toh/article/0,,20159801,00.html
10. Ask about pricing. Some vendors or stores charge by the foot while others charge a flat fee.
11. Comparison Shop. Go to at least 3 stores to get price quotes to help you find the best deal.
12. Shop online to find better deals.
13. Use coupons. Groupon and Living Social offer coupons for Christmas trees.

15 Ways to Save Money on Last Minute Christmas Gifts

                                     

Most Americans accumulate the greatest amount of debt during the December holiday season. It’s great to give but not at the cost of going outside your budget buying items you can’t afford. No one said to go into debt to give. You can give gifts from the heart not your wallet. The holidays should be filled with joy and laughter not anxiety, pressure or guilty about spending money during the holidays.

If you don't have the money to buy gifts, be honest and tell the persons who are expecting gifts just that. If you have a small amount of buy to buy gifts, buy what you can and don't use your credit card.  Pay for items in cash only if it won’t reduce the amount of money you will need to pay for monthly bills in December 2015 or January 2016.

Sometimes the Christmas holiday sneaks up on us due to work and family obligations. However, some people love doing last minute Christmas shopping. If you're that type, you must research your delivery options. Most businesses offer shipping solutions for last minute Christmas gifts.

When doing last minute Christmas shopping you have multiple options: shop online, shop at vendors, shop at retailers or specialty shops. Online shopping is a last minute shopper’s lifesaver.  Here are 15 ways to save money on last minute Christmas gifts. Happy Holidays!

Reuse

• Go through your house to find any items that are new or gifts you received but haven’t used and regift them.
• Go through your house to find items still in good condition that could be passed off as new.
• Look through your house to find gift cards that you have not used and that have not expired and give as gifts.

Stores

• Avoid department stores where selection is limited.  Visit local vendors, you can probably negotiate a good deal on the same items you will find in the department store.
• Negotiate. Be willing to negotiate. Take cash instead of credit cards especially when negotiating for a cheaper price.
• Buy gift certificates or ecertificates from sites like giftcertificates.com.
• Buy tickets to a sporting event, concert, play, etc.
• Buy a magazine subscription, book or subscription to Kindle or Nook.
• Buy small gifts such as a travel clock, hooded sweatshirt, small bowls or vintage trinkets, throw fleece blanket, slippers, gloves, shirt, mobile Printer, iPhone Case, Cell Phone Texting Gloves, designer scented candles, etc.
• Visit the dollar store to find small gifts for children.
• Use last minute shipping services such as UPS and FedEx. Some companies waive shipping and handling fees during the holiday season.

DIY

• Make your own gifts using arts and crafts or sew clothing or quilts and give as gifts.
• Think of creative gifts to give that you can make yourself.

How the Fed Interest Rate Affects Consumers

                                        

On December 16, 2015, the Federal Reserve agreed to increase the federal funds rate (federal reserve interest rate, key interest rate, fed funds rates) by 0.25%  which has remained stagnant for the last 10 years. The federal funds rate is the interest rate that banks and financial institution use to lend money to consumers and applies to those with good credit. The rate affects the entire economy including employment and inflation.

The prime rate is also affected by the federal funds rate. The prime rate is usually equal to or near the federal funds rate. The prime rate is the rate banks lend money to one another and affects the interest rate for mortgages, small business loans and personal loans.

The federal funds interest rate influences stock and bond interest rates, consumer and business spending, inflation, and recessions. It will take several months for consumers to see the impact because it usually takes at least 12 months for the effects of any increase in interest rates to be felt by consumers.

How Interest Rates Affect Consumer Spending

• Interest is the amount of money that lenders earn when they approve a loan that the borrower repays. The interest rate is the percentage of the loan amount that the lender charges to lend money to a borrower allowing borrowers to access money immediately.
• An increase in interest rates reduces consumers’ disposable income and consumers must reduce spending on personal goods and services and business goods and services. This will result in a reduction in sales and revenue for businesses. Since the interest rate increase is small it may not have a huge impact on business owners but may affect small business owners who may be struggling to make payroll and accounts payables.

How the Interest Rates Affects Consumers

Overall, the impact will be small for consumers. However, if you owe large amounts of debt you may see an increase in your minimum monthly payment and finance charges. Here are some ways consumers will be impacted:

• Banks will make fewer loans to consumers and businesses - makes borrowing money harder and more expensive
• Consumers with variable interest rate credit cards or mortgage loans will pay more in interest
• Variable student loan interest rates and student loans approved after July 1, 2016 will be impacted
• Home equity loans, auto loans, variable or ARM Mortgage loans, business and personal loans
• Earn more money on savings accounts and CDs (certificate of deposit accounts) - open a savings account or contribute more to an existing savings account
• Money market accounts
• Retirement accounts - May earn more on your retirement and 401K account
• Pay more in interest over life of a loan
• Stock prices may fluctuate, return on investments may decrease
• Consumers with good credit can still take advantage of lower interest rate offers and perks

How the Interest Rates Affects Inflation

• The federal funds interest rate affects inflation which is the rise in the price of goods and services over time. When consumer spending starts to decline, the inflation rate will decrease.

How Interest Rates Affect the Stock Market

• The federal funds interest rate determines how investors invest their money. CD (certificate of deposit), stocks and T-Bonds are affected by rate changes. Stock prices will decrease. When interest rates increase, the demand for lower yield bonds decreases resulting in bond price decrease.

How to Shield Interest Rate Increases

• Pay down as much debt as possible or totally eliminate debt
• Refinance existing loans to a lower interest rate or fixed interest rate
• Exchange variable credit cards for fixed rate credit cards
• Make large purchases within the next 6 months such as an auto, home, business loan, personal loan