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Christmas is just around the corner, along with a hectic round of parties, family get-togethers and gift-giving. By the time the New Year rolls around, your waistline might not be the only thing showing the strain.

To make sure you start 2018 fit and refreshed, rather than financially flattened, here’s a seven-step plan to consider for managing your upcoming expenses.

1. Create a budget
Any money you can put away in advance will take the pressure off over Christmas. Work out how much you can afford to spend on gifts, food and drink and a trip away and stick to it.

“Budgeting is the most important thing. Use a spreadsheet or use one of the many budgeting apps available to track your spending”, says Michelle Hutchinson, money expert at Finder.com.

2. Be a sensible Santa
If money is tight, you could talk to family and friends about setting a dollar limit on presents. Rather than buying a gift for everyone, consider a Secret Santa or pitching in as a group to buy big ticket items. “Maybe you could agree to buy gifts for children only, or a shared item for the household”, says Hutchinson.

Gift cards are a good idea for children and teens so they can stretch their money further by shopping at the post-Christmas sales. And don’t overlook old-fashioned lay-by where you pay for retail purchases in instalments, rather than using credit.

3. Start early
Nothing is guaranteed to ruin your mood on Christmas morning more than running yourself ragged on Christmas Eve shopping for last minute gifts. So save yourself time and money by starting your shopping early. Draw up a gift list with price limits and shop only for those items.

If you enjoy cooking, you could kill two birds with one stone by setting aside a day to make Christmas treats for your own table and to give as gifts. Christmas cakes and puddings can be made as much as six weeks ahead. Not only does homemade taste better, but you could potentially save a packet.

4. Do your homework
Before you hit the local shopping center, research the market and compare prices online. Hutchinson says you can potentially save money by shopping online for coupons, vouchers and special deals on everything from clothing and wine to international flights. Sites include OzBargain, RetailMeNot Australia and Finder Deals. If you decide to buy online, make sure you leave enough time
for delivery before Christmas.

“Set yourself a budget, look for discounts and buy food in bulk from wholesale or farmers’ markets”, says Hutchinson.

5. Eat, drink, save
Entertaining goes into overdrive from early December through to the big New Year’s Eve celebrations. To avoid a debt hangover, party smarter, not harder. If you are hosting a gathering, ask everyone to bring a dish as well as something to drink. This could not only save money but it could also save you the stress of preparing everything yourself.

6. Use credit wisely
Before you begin spending, it’s a good idea to review your credit card. Australians’ average credit card debt currently stands at around $4,074 per cardholder, with an annual interest bill of $700 if the interest rate is between 15% and 20%1. The interest alone could buy a lot of Christmas presents. So if you plan to give your credit card a workout this Christmas consider shopping around for
a good card deal.

7. Holiday at home
If your budget won’t stretch for an overseas destination, why not holiday in your own back yard instead? Not under the shade of the Hills Hoist but under the stars at one of Australia’s thousands of picturesque camping sites. If you like a bit more luxury, you could rent a room or a whole house via Airbnb for potentially a fraction of the cost of a hotel.

Budgeting and planning ahead may not help your waistline, but it will do wonders for your bottom line this festive season.