Many Australians will be having staycations and looking at ways to cut their festive costs

Cost-conscious Australians will be adopting many savings tricks to keep their expenses down this Christmas. Here are some top tips.

Cautious Australians will take a staycation this festive season or holiday locally as they closely watch their summer spending.

International border closures have stopped many from heading abroad and only in recent weeks announcements were made to ease many border restrictions.

New data from St George Bank found one in five people are planning on holidaying in their own state across the Christmas and New Year period, while one in three say they will stick to local activities and trips.

The bank’s general manager Ross Miller says many will sign off 2020 with a vacation close to home, which will help keep costs down.

“Off the back of COVID-19, we’ve seen a real change in how households are spending in the lead-up to the festive season,” he says.

“We’re likely to see more intimate celebrations take place with close family and friends as one in every two households celebrate it at home.

“When it comes to holidays, Australians are preferring staycations and day trips over bigger holidays.”

Most Australians will be spending Christmas Day at home and take a holiday locally.

The COVID-19 pandemic has hit many Australians’ hip pockets through either job losses or being forced on to the federal government’s wage subsidy program JobKeeper. Payments are due to wind back again at the end of this month, from $1200 a fortnight to $1000.

And the government’s coronavirus supplement – which is paid on top of JobSeeker, will also be cut from $250 per fortnight to $150 per fortnight at the end of the month.

The research also found few people will be dining out on Christmas Day – only 4 per cent will be going to a restaurant.

Tribeca Financial’s chief executive officer Ryan Watson says having Christmas at home is a great opportunity for everyone to “pitch in” and share the costs.

“You can do this by asking specific family members to bring along things like the Christmas Ham, Christmas pudding and drinks for the day,” he says.

“This will share the financial cost of the day across your wider family.”

Mr Watson also says keeping celebrations close to home will significantly reduce the financial burden on families as it’s easy to rack up holiday bills in the thousands at this time of year.

“Exploring areas in your local state – the good old road trip that you have always wanted to see in one day and returning home – can be done with great financial effectiveness,” he says. “Packed lunches for the day can also lighten the financial load.”

Mr Watson says there are plenty of activities people can enjoy locally, including a trip to the park or swimming pool.

“If you are staying around home this Christmas, remember how much fun an outdoor experience can be,” he says.

“Exploring a different part of a local city can provide hours of entertainment at next to no cost.”

@sophieelsworth

CHRISTMAS SPENDING TIPS

• Set a holiday spending limit.

• Cut out unnecessary presents, do Secret Santa instead.

• Share holiday expenses with family/friends such as food costs on Christmas Day.

• Look for accommodation that is close to home to save on travel costs.

• Choose accommodation where you can make your own meals.

• Do local activities such as a trip to the nearby pool or have a picnic in the park.

• Pay for goods on debit not credit to keep control of spending.

Originally published as Many Australians will be having staycations and looking at ways to cut their festive costs