Holiday Gatherings: Counting the Costs

Maximize fun and minimize holiday stress this season by spending within your budget! Take a moment to review some of the helpful tips provided by Community Bankers of Wisconsin. With a little planning you can make the holidays extra enjoyable—without breaking the bank! 

From Thanksgiving to Three Kings Day, many Wisconsinites budget carefully for holiday gift giving. But what about holiday entertaining? Have you ever hosted a party where the guest list grew beyond what your budget—or location—could handle? Or maybe last-minute menu additions or Packer decorations pushed the price of your gathering skyward.

Whether you're considering a Thanksgiving dinner, a Christmas morning breakfast, or a late-night New Year's celebration, a little planning can help you relax and enjoy the event as much as your guests.

Food and beverages are often big budget items. If you're a skilled chef and truly enjoy every minute spent in the kitchen, fine. If not so much, consider purchasing a main entrée or festive dessert from your local caterer and then adding your own sides, breads, and garnishes. You don't need to serve each guest a mini beef Wellington. Google "frugal recipes" to find tasty dishes that fit both your budget and your available preparation time.

Remember, time is money, too. If you spend so many hours in the kitchen or on crafting party decorations that you're exhausted by the time of the party, you will have defeated the point of the event - even if you do end up with useful leftovers or decorations you'll reuse.

Don't hesitate to ask your guests to help by bringing a dish they're known for, a vase of flowers, a bottle wine or jug of cider. If a guest has a flair for food presentation, maybe he or she would be willing to come early and help with the final touches.

Your guests might also like to help with any entertainment or the party ambience. They may have music, videos, or photos to share, or crafty decorations to show off. Crafting a wreath, ornament, or gingerbread house could even become a party focus, with guests taking home their creations.

Don't forget craft malls or discount the discount stores. You may find the perfect invitations or decorations at your nearby Dollar Store or outlet mall. Your home may also be a source of items saved from previous years that you can adapt to your newest party theme. Hint: candles can dress up any table, even if the candleholder is hollowed-out apple or a mirror repurposed as a reflective tray.

If many guests have young children and you have the space, pool your resources to hire a teen to plan activities and watch over the young ones. The kids will be thrilled to have their own party and the parents will be happy their children are safe and close at hand.

For other ideas, visit these websites:

The Wisconsin Public Service company offers energy saving tips during the holidays, including entertaining.

A Wisconsin Law Journal article offers tips for office parties, and some can be useful for consumers, too.

The Festival Network lists Wisconsin craft fairs where you can purchase exquisite items or collect ideas for decorations to create yourself.

Auto Buying Answers

With winter weather on the way, autumn is a common time for Wisconsinites to think about upgrading their vehicle. What make and model? New or used? Buy or lease? The car buying process means lots of questions. Read the article below, do some research and contact Bank of Luxemburg for information on our auto loans. We’ll help you get rolling!

Your Next Car: New or Used? Buy or Lease?

Worried that your clunker won't last another Wisconsin winter? Many people shop for new vehicles in the fall, hoping to get a great deal on outgoing models and last quarter sales.

For most consumers, buying a used car makes more financial sense than purchasing a new one. Used cars cost less, depreciate less, and have lower insurance premiums.

On the other hand, a new vehicle will be more reliable and present lower maintenance and repair costs. If you are financing your purchase, dealer zero-percent-interest and other incentives may make a new vehicle as affordable as a used one if you plan to keep it six years or longer.

When considering a new vehicle, consumers are often attracted by the lower monthly payments of leases. Leases, which typically run for three years, do have some advantages. In addition to lower monthly payments, they may offer lower maintenance costs, and the consumer can simply turn the car in at the end of the lease or buy it for a preset price. If you use a leased vehicle for your own business, the monthly payment sometimes can be deducted on your income tax return (check with your tax professional).

But a lease gives the consumer no equity in the vehicle, limits the number of miles driven (usually 12,000 or 15,000 per year) without penalty, and requires higher insurance premiums. A lease also prevents the consumer from customizing the car and may include added fees that increase the overall cost. Plus, if circumstances change and a consumer needs to end the lease before the contract ends, this can be costly. For most consumers, buying makes more financial sense than leasing.

Of course, other factors may trump financial ones - if the latest technology and amenities are important and you plan to upgrade every three years, a leased vehicle may make perfect sense. But if you commute long distances and could not reasonably limit your mileage, or have young children and pets and are concerned about wear and tear on a leased vehicle, buying may be your best option.

Whether you buy or lease a new or used vehicle, decide what you want before you enter a showroom. Focus on the total price, not just the monthly payment required. And be willing to walk away if the deal you are offered isn't what you want.

 Web resources worth checking out:

·      USAA on the best and worst times to buy a car.

·      Consumer Reports on buying vs. leasing. This site also offers many calculators to explore various options for your family.

·      Visit Edmunds.com for an analysis of buying a new or used Honda Accord vs. leasing one.

·      The Wisconsin Department of Financial Institutions offers a brochure on leasing, including the need for Gap insurance, to cover your costs if, in the event that your vehicle were totaled or stolen, the balance of your lease exceeded what you would receive from your insurance claim.

   

Source: Your Community Banker