For many Filipinos, the holiday season is the most wonderful time of the year—but also the most expensive. From gift shopping and family reunions to travel and noche buena feasts, December can quickly drain savings and push households into debt that lingers well into the new year.
According to Janice Sabitsana, a Registered Financial Planner (RFP), holiday debt is one of the most common pitfalls she sees among Filipino families. In an interview with Financial Adviser PH, she explained:
“The season of giving doesn’t mean you should give beyond your means. With planning and discipline, you can celebrate joyfully without carrying the burden of debt into January.”
Here are her tips for enjoying a debt-free holiday season.
Start With a Realistic Budget
Sabitsana emphasizes that holiday spending should begin with a clear budget. “Before buying anything, sit down and figure out how much you can truly afford—for gifts, food, travel, and parties,” she said.
Once that number is set, the challenge is sticking to it. “Overspending happens when you don’t have boundaries. A budget sets those boundaries so you can celebrate without guilt later,” she added.
Avoid the Credit Card Trap
For many families, swiping a credit card feels like a convenient solution—but Sabitsana warns it’s a dangerous habit.
“If you can’t pay your balance in full when the bill arrives, interest charges will pile up. What felt like a bargain gift can double in cost once you add the finance charges,” she explained.
She also cautions against taking out loans for holiday expenses. “You’ll spend a few happy hours in December, but the repayments will haunt you for months. It’s not worth it,” she said.
Get Creative With Gifts
The pressure to give expensive presents is one of the biggest reasons Filipinos overspend during Christmas. Sabitsana suggests focusing on creativity and meaning instead of price tags.
“Homemade gifts, DIY decorations, or experiences like a home-cooked dinner or a family outing can mean more than something bought in a mall,” she explained.
She also recommends making a list—and checking it twice. “List down who you need to buy for and what they would actually appreciate. That way you avoid impulse purchases and buying unnecessary items,” she said.
Be Mindful of Holiday Travel
Holiday trips are another budget buster if not planned carefully. “Airfare, hotels, meals—they add up quickly. If you decide to travel, set a cap on your expenses, and look for promos or discounts before booking,” Sabitsana advised.
If travel isn’t within budget, she suggests creating special experiences at home. “You don’t need to fly out to make Christmas memorable. What matters most is time spent together,” she said.
Give Yourself a Head Start for Next Year
One of the smartest ways to stay debt-free, Sabitsana adds, is to start preparing early for the next holiday season.
“Set aside a small amount each month so by December you already have a Christmas fund. Even ₱500 or ₱1,000 monthly adds up to a big relief when the holidays arrive,” she said.
Final Takeaway
For Sabitsana, the real spirit of Christmas isn’t found in lavish spending but in thoughtful giving and shared experiences.
“Debt steals the joy from the holidays. If you plan ahead, shop wisely, and live within your means, you can create memories that last far longer than the bills,” she told Financial Adviser PH.
The message is clear: you don’t need to break the bank to make the season bright. With discipline and creativity, Filipinos can enjoy a debt-free holiday season filled with meaning, not stress.
