Dealing with holiday financial stress? Tips to avoid overspending

Holiday shopping can be very overwhelming with how much we need to spend, and many people can go in debt from the holiday shopping. 

The holidays means booking trips, buying gifts, spending on decorations and dishes to bring to parties and social events — all this on top of daily bills like housing, groceries, and gas. 

Emergence Health Network therapist Liliana Cordero-Esquivel says the limitations of money can create stress for people and even feelings of embarrassment, not being able to provide what they want for others.

"Unfortunately, we have seen that happen and that's why we strongly suggest being realistic. Right? The stress will be there, let's not ignore it," says Cordero-Esquivel. "But also coming up with some kind of budgeting approach, setting these realistic boundaries of what we can and can't accomplish so that the person doesn't end up in more debt than they need to during these times."

The National Retail Federation predicts Americans will spend around $890 per person on holiday gifts, food, and decor — which is less than last year, when U.S. shoppers spent a whopping record $902 per person.

To avoid going into debt:

• Build a budget for holiday gifts.
• Set realistic expectations on how much you can spend. 
• Communicate to those you can't spend much on, and tell them you need to save. 

Cordero-Esquivel recommends giving a handmade gift from a skill you have like painting, baking or crocheting to save money.