In the competitive world of real estate recruitment, brokerages fight for the attention and loyalty of talented agents who can drive their success. As the lifeblood of the industry, agents play an important role in attracting clients, closing deals and determining the ultimate profitability of a brokerage. For real estate firms, recruiting a high number of agents as well as recruiting the best-fit agents for your firm is the key to long-term success.
Today, new brokerage models and disruptors are the norm. A firm’s ability to adjust to new competitors and evolve its way of doing business will determine if it comes out ahead in the agent attraction showdown.
At the heart of our comparative analysis, we’ll examine two popular brokerage models: the flat-fee model and the traditional model. Each one boasts its own approach to compensating and supporting agents, promising distinct advantages and challenges. By examining the data, we aim to gain a deeper understanding of each and determine which ultimately comes out ahead.
The flat-fee model: Simplifying compensation, embracing independence
In the flat-fee model, the traditional commission-based structure takes a backseat. Instead, agents are charged a fixed fee or a flat monthly rate, which allows them to retain a more substantial portion of their commissions from transactions. This straightforward approach grants agents the freedom to keep more of their hard-earned income, resulting in potentially higher take-home pay.
Pros:
Perceived enhanced earnings with a reduced fee structure.
Flexibility to structure their services and marketing strategies to fit their needs.
Lower financial risk by keeping costs low, particularly during leaner times.
Cons:
Typically, limited support and resources in the form of training, marketing, etc.
Usually, less brand recognition as compared to well-established traditional firms.
The traditional model: Commission-driven powerhouses
In the traditional model, agents are compensated through the classic commission-based structure. They earn a percentage of the commission from each completed transaction, but a portion of it is shared with the brokerage. This model has been the bedrock of the real estate industry for decades, with established firms carrying well-known brand identities.
Pros:
Extensive support and training with a significant investment in agent development, mentorship, and marketing resources.
Established brand recognition, attracting clients and contributing to an agent’s credibility.
High-value transactions due to their market position and network.
Cons:
Higher cost structure, leading to potentially lower take-home earnings.
Limited flexibility with agents sometimes bound by brokerage policies and practices, typically leaving less room for individual business decisions.
The analysis
To assess the agent attraction expertise of the flat-fee and traditional brokerage models, we looked to the data. We meticulously examined a collection of 20 of the largest real estate firms; 10 flat-fee firms collectively closing $100B in annual sales volume versus ten traditional firms which were also collectively closing $100B in annual volume [2022 RealTrends 500 brokerage data]. We excluded from our analysis any alternative models, disrupters, luxury brands and any other firms that may skew our findings.
Agent count & average sides per agent comparison
Using 2022 data from RealTrends, we first looked at the number of agents associated with each model as well as the total number of sides transacted. The data reveals that flat-fee firms collectively had a 136% higher agent headcount than their counterparts, the traditional models.
As a whole, the flat-fee firms also transacted more sides than traditional firms; approximately 19% more sides closed. We would expect that flat-fee firms would transact a higher number of deals since they have a significantly higher agent count. However, agents within the flat-fee model on average closed four deals per agent while agents within the traditional model closed eight deals per agent.
Average volume per agent & average home price per transaction comparison
Another critical data point to review is found in the average closed volume per agent. A higher closed volume can indicate an agent’s future earning potential as well as longevity in the business. In addition to examining the total volume, it’s also helpful to review the average size of the deals closed by agents within each model, which will provide insight into experience level and expertise.
The data shows that agents within flat-fee firms close less in average volume per agent, approximately 52% less. We can also see that they also closed smaller deals, on average.
Attracting new-to-the-business agents
Based on the statistical analysis, it becomes apparent that flat-fee firms often focus on a large agent count with high transaction volume. A notable trend emerges where agents drawn to flat-fee models are frequently those who are relatively new to the industry or are brand new licensees. Additionally, individuals attracted to the part-time flexibility that a real estate career offers are inclined towards flat-fee firms.
Consequently, a greater number of agents are required within flat-fee firms to achieve equivalent volume targets. Remarkably, this demand for increased agent numbers has not posed a deterrent for flat-fee firms, as evidenced by their substantial growth in recent years.
Historical shifts
While the initial data analysis reinforces existing assumptions, a more interesting and unexpected dimension emerges when historical shifts in volume and sides across both brokerage models are examined. Following the post-COVID real estate boom, both flat-fee and traditional firms experienced a surge in sides transacted as well as increasing property values, contributing to an upswing in overall sales volume.
However, the scenario shifted in 2022 with the market downturn. Traditional brokerages experienced a sharper decline in sides, attributed in part to agents leaving due to high costs, whereas flat-fee firms exhibited greater resilience. The notion that flat-fee models attract individuals who do not rely primarily on real estate as their main business is worth noting. Most intriguing is the fact that although sides decreased more significantly, the impact on overall sales volume was less severe for traditional firms compared to flat-fee firms.
A plausible theory suggests that agents within traditional firms specialize in higher value properties than flat-fee firms, leading to increased value growth. Their higher production per agent, coupled with greater experience and support, equips them to navigate market fluctuations more adeptly.
Takeaways:
Stability in challenging times:
Flat-fee models were less affected by side reductions in bad years, possibly due to part-time agents with diverse income sources.
Traditional brokerage strategy:
Traditional models maintained stable sales volume despite fewer sides, likely due to experienced agents handling higher-value deals.
Diverse model strengths:
Flat fee emphasized transactional efficiency, accommodating a larger number of transactions.
Traditional models prioritized experienced agents and larger deals, ensuring steady revenue despite lower transaction count.
Market adaptation:
Both models should consider adapting strategies to market conditions and leveraging their unique strengths.
As we conclude our analysis, it’s evident that the many seasons of change in real estate demand a strategic negotiation between innovation and tradition. Agents, the driving force of the industry, now have the luxury of choice. To win in agent attraction, flat-fee models can further bolster their appeal by offering targeted support and mentorship, enhancing their brand recognition, and cultivating a sense of community among their diverse agent base.
Conversely, traditional models can leverage their established brand identities to attract experienced agents while embracing flexibility in their offerings to cater to the changing preferences of a new generation of real estate professionals. By embracing the strengths of both models and charting a course that resonates with modern agents, brokerages can ensure they remain at the forefront of the industry’s evolution.
Diana Zaya is the founder and president of Maverick RE Consulting.
[Editor’s note: We’re trying something new–collaborative thought pieces written by the Geek Estate Mastermind community. The goal is to make the absolute best argument possible, derived from the collective expertise of members. The first two articles are bull and bear arguments for industry search and IDX, a topic initiated by Greg Fischer over a year ago.
Bull: The industry must not cede search to the portals. Meeting buyer expectations and owned, perpetual lead generation are table stakes to agency.
Bear: The portals have already won the minds of buyers. Search is an undifferentiated lost cause. If you can’t “win,” why play at all? Read the full argument here.
Without further ado, here we go with the bull argument…]
By: Ted Adler
One of the great fallacies of real estate digital marketing is that Zillow cannot be beat.
Yes, Zillow has put itself between the real estate broker and the consumer when it comes to the search experience: The word “Zillow” has replaced “real estate“ as the most likely additional phrase for people looking to find a home for sale. The millions of monthly visitors it attracts dwarfs that of any ad-free industry player, by a landslide. Take out Redfin from the equation, and it’s a complete romping.
Traditional property search (but not visual search) has been commoditized online, yet it is still a fundamental component to a real estate business. Consumer expectations are high and there’s a sense of entitlement, so if a potential buyer client arrives to an agent/broker website (however they get there) and is not given the option to search listings, the user experience is 100% compromised. That’s not to say they won’t work with an agent, but brand equity takes a hit and that buyer will have to be reached again some other way.
Search can yield true insight around when and why to communicate with a consumer, improving that experience and building a relationship. For most local brokerages, it’s a tool to convert traffic from multiple channels, not to win a web ranking contest.
Continued investment is essential as a way to serve buyers, generate leads, and avoid irrelevance. It’s true: Portals have the minds of buyers. But they have not won their hearts; that’s only something a person can do.
PERPETUAL LEAD GENERATION MACHINE
Brokers are in the business of helping people own the most important asset: their home. Yet when it comes to their primary marketing tool (their website) in the dominant marketing media (the internet), they seem willing to rent their leads. These names, emails, and sometimes phone numbers–which are sprayed out to an array of brokers–run in the ballpark of $150/each. When you stop paying that rent, you’re evicted from this lead pool.
The alternative of developing a strong website with a solid technical SEO foundation that can capture long-tail searches in a perpetual lead generation machine is a far better strategy. Beyond generating online leads to power the broker’s business annually, it serves as a quantifiable asset that can be monetized in a transaction.
The biggest issue is not the website, but what is done after the website goes live. Long gone are the days of the internet as a “field of dreams.” If you build it, they won’t come. Billboards in the basement are seen by no one. Ranking well takes time, resources, and know how. In an era when reading is hard (and watching a video is easy), who really wants to spend time creating content and doing technical search engine optimization–much less the hard part, organic link building? Only those brokers who understand the digital landscape and want to win. Keep in mind: The longer you wait, the more expensive it becomes.
The Bears (which include the portals themselves) have convinced many brokers competing for traffic is not worth the required time or capital. In the aggregate, there is merit to that argument that no site (agent/broker websites, BPP, consumer MLS portals, Upstream, etc) will displace Zillow in 2020, or even 2025 for that matter.
However, what real estate agent or brokerage cares about buyers nationwide? None of them. They care about hyperlocal. Competing for search phrases in an agent/broker’s “farm” is all that is required to make an IDX & SEO investment worthwhile.
As brokers are not technical by nature (a common college major for brokers is psychology), convincing them to invest in other areas isn’t hard. When it comes to their vehicle lease, brokers will throw down $700/month for an Audi Q7 and then debate the value of a website platform at $79, $149, or $199 a month. One will drive a handful of their clients around on a monthly basis. The other will be the first drive everyone they know (and many people they do not know) will take with their brand. The former is irrelevant without the latter.
HYPER LOCAL SPECIALIZATION
The last mile of real estate search–property addresses and long-tail search queries pertinent to buyers further down the purchase funnel–accounts for 92.42% of queries according to ahrefs. When it comes to hyper local, Zillow can be beat. I know this as fact because we help clients do it every day.
Ranking number one for a specific property address is the ultimate “local” of digital marketing. Appearing number one for your own listings is a highly valuable result, which could lead to impressing sellers in the research phase (a listing presentation asset) and converting buyers to conversations.
Strategies/tactics for ranking well for hyper local:
It’s not a coincidence that all of this is part of Redfin’s repertoire of differentiation.
INDUSTRY SEARCH SOLUTIONS
IDX is marketing magic. Using IDX content opens up a swiss army knife of marketing and sales capabilities.
Any cooperating member participant (agent or brokerage) of any size who opts into IDX policy may access and display a very comprehensive set of on- and off-market properties. Typically, that inventory is as or more comprehensive than any portal. It is vital to attract buyers who have had their first course of portal listings–or listings displayed in the window of agency’s in year’s past–and are ready to get serious with the actual local MLS database on a broker site.
Historically, IDX has served three primary purposes:
Power a buyer experience with all inventory (in real-time).
Allow the agent/broker to engage, track, capture, and convert traffic (ultimate goal of a website).
Enhance the brand of the brokerage as a go-to place for information about the local market.
In addition to engaging and converting traffic, IDX should be part of a larger strategy to:
Increase time on website.
Reduce bounce rate.
Gain insight on client’s search activity and track search behavior. (Ie, “They said their budget is $400K and yet they keep going back and looking at properties in the $480K range.”)
Lend credibility to agent. Portals rely on 3rd party data so often inaccurate and out of date.
Offer a personalized consumer experience (as opposed to a mass portal experience).
Meet consumer expectations.
A world without IDX, would:
cripple buyer-agency, as many buyer leads would only be distributed inter-brokerage. All pocket listings, all the time.
lead to agents/brokers selectively sharing listing info with portals over local competition.
cause SMB sized brokerages to get squeezed out or rolled up by incumbents who possess listing inventory control.
Nearly 20 years after IDX was made available, today it’s more relevant than ever. Gone are the days of the vanilla ‘boxed in’ (i.e. framed / I-framed) MLS search box. “Disassembling” IDX wouldn’t abandon a ghost town. To the contrary, it would cripple a utility that is required to maintain a sense of agency with buyers. Afterall, if professionals aren’t even facilitating the most basic online home discovery process, what are they doing at all?
THE AGGREGATION THEORY
Consumer MLS websites and the Broker Public Portal have the same goals as IDX: a comprehensive search experience, free from ads from competing agents. And not having to pay for leads. The difference is they add marketing muscle in the form of many agents promoting the same website.
Consumer-driven traffic is just one part of the equation. Agent-driven traffic is a very different animal with a much higher correlation to closings. Don’t ignore the potential of MLS-wide adoption of an agent-to-consumer mobile search tool.
Broker Public Portal, the joint venture with Homesnap, is aggregating consumers by leveraging agents on a nationwide scale. While they aren’t at the top of the traffic charts yet, it takes time. With continued efforts, they will crack the top five most trafficked real estate search portals.
HamptonsRE.com is a new portal to combat Zillow’s acquisition of Hamptons Real Estate Online (re-branded to Out East). HAR.com is the gold standard of what a consumer MLS portal can be. Granted, it was started years before any other MLS was considering how to combat the online portals existence. But, it is clear proof consumer MLS portals can gain an audience if cards are played correctly.
DON’T GIVE UP
While search is an undifferentiated cause, it’s not “lost”–it is simply evolved table stakes where general feature parity with national portals should be maintained.
Without IDX, you can be certain that it will be more difficult for consumers to make an educated decision around buying a house. An anti-competitive landscape is not one the industry wants.
Agents and brokers shouldn’t cede search to the portals without a fight (especially since Zillow is now a competitor not a partner). Left unchecked, Zillow will go from buyer traffic domination to annihilation. It will have all the leverage in the world without someone to challenge it.
The industry’s investment in search must continue–real estate agency as we know it depends on it. Without a role in the top of the funnel, agents and brokers will fall into the abyss of irrelevance.
Wrap-Up
Thanks to the other contributors to the thinking behind this bull argument:
If you’re interested in learning more about membership in the Geek Estate Mastermind, which I usually describe as a think-tank for real estate tech, have a read here.
While bonds may have started the day drifting into slightly weaker territory, losses have quickly shifted to gains in the wake of this morning’s big ticket data. JOLTS (the Job Openings and Labor Turnover Survey) has been an increasingly important report. It will be one of the data points considered by the Fed in determining whether the labor market has softened enough to begin removing some of the “restriction” from the current monetary policy stance. In other words, if job openings drop enough (and if other data sings a similar tune), the Fed will be wondering more about the timing of the first rate cut than the potential for another rate hike. Today’s number marked a sharp decline from last month and brings job openings to the lowest level since early 2021.
The bond market response was clear:
For what it’s worth, the chart of 2yr Treasury yields wouldn’t look much different apart from the values on the y-axis, but 2s have fallen more than twice as fast as 10s–an indication of the bond market reassessing the Fed’s rate outlook in the coming year.
Renting an RV is becoming an increasingly popular vacation option. It offers the freedom to go and do as you please on your own schedule and explore farther, wider, and more comfortably than you’d likely be able to through other modes of transportation.
RV travel also includes nightly accommodations and a way to get from here to there. So whether you’re interested in hopping from national park to national park, driving the entirety of Route 66 or anything in between, you’ll likely want to find the best deal.
We’ve researched the cheapest way to rent an RV for a month, so you don’t have to.
Cost to rent an RV for a month
Knowing the general cost of renting an RV for a month is important so you can budget appropriately for your trip.
That said, how much it will cost to rent a camper for a month can vary wildly depending on the size, condition, and whether you’re renting from a private party or a company.
But expect to shell out $50 to $300 or more per night, depending on whether you want a towable travel trailer or a luxurious class A coach.
RV monthly rental cost by type
Here’s a breakdown of a potential monthly RV rental cost by RV type with little to no extras included:
Towable trailer — $1,590-$5,370.
Class C motorhome — $3,600-$10,500.
Class B motorhome or campervan — $3,840-$8,190.
Class A motorhome — $5,070-$12,000.
The total price is based on the number of nights you reserve, so the longer you rent, the more the total will increase (though many rentals offer discounts for longer rental periods).
Examples of RV rental costs per month
If it’s real-world examples of the cost to rent an RV you want, look no further. Here are a few specific examples of what a month-long rental costs for a vacation in October. These prices may not include taxes, fees, and extras like outdoor grills, mileage or camping equipment.
Type of RV
Monthly rate
Rental company
Pop-up tow-behind
Outdoorsy.
Travel trailer
Cruise America.
Class B Campervan
Outdoorsy.
Class B Campervan
Large Motorhome
Cruise America.
Class A with pop-outs
Additional fees
Of course, a monthly RV rental will cost more than just the rental vehicle itself. Most rentals come with various taxes, fees for cleaning and mileage, and add-ons such as camping furniture and cookware.
For example, Cruise America charges an additional fee for every mile you drive, so if you plan to travel 3,000 miles, expect to pay an extra $1,140. The company also charges $75 per person for towels and sheets and $125 for kitchen essentials like plates and silverware. That means a $3,600 rental could easily become a $5,165 rental for a family of four, and that’s before you even fill up the tank.
Likewise, peer-to-peer rental companies can vary widely regarding the cost of additional amenities and fees. One Class A might include 125 miles per day for no extra charge, while another only allows 100 and charges 50 cents per additional mile.
One host may include camp chairs and a cooler but charge for linens, while another charges extra for linens, a camp stove and a tent for the kids. Delivery fees can vary, too, if you’d rather not pick up the RV yourself. So check to see if delivery is an option and if the owner will deliver for free within a certain radius or charge per mile.
How to save on renting an RV for a month
If you want to save some cash on your RV rental, you can certainly do a few things to stay within your budget.
First, choose the smallest RV you can comfortably get away with. For example, you probably don’t need a class A that sleeps seven people if there are only two of you.
Next, skip the extras and add-ons and bring your own camping and cooking supplies if it’s an option. If you’re flying across the country to rent an RV, packing camp chairs and cookware may not be feasible, but if you’re picking your ride up locally, you can probably save by opting out of add-ons.
Then, shop around. While renting from companies such as Cruise America offers more straightforward pricing, you can score a better deal by comparing prices (including add-ons, extra mileage and fees) on different rental sites, as owners set their own price and fee structures.
There’s no one way to save, just like there’s no one way to travel by RV. Our number one tip is to do some research before you book.
How to maximize your rewards
You want a travel credit card that prioritizes what’s important to you. Here are our picks for the best travel credit cards of 2023, including those best for:
A potential buyer walks in to view a home for sale during an open house in Parkland, Florida, May 25, 2021.
Carline Jean | Tribune News Service | Getty Images
Mortgage interest rates soared across the board last week, with the rate on the government’s low down payment option increasing to the highest level in 21 years. That hit mortgage demand hard, with total application volume dropping 3.1% last week compared with the previous week, according to the Mortgage Bankers Association’s seasonally adjusted index.
The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($726,200 or less) increased to 7.09% from 6.93%, with points rising to 0.70 from 0.68 (including the origination fee) for loans with a 20% down payment. The average rate for jumbo loans hit 7.04%.
The rate on Federal Housing Administration loans, which are favored by first-time or lower-income borrowers because they offer low down payments, hit 7.02%, the highest since 2002.
“Treasury yields rates rose last week and mortgage rates followed suit, due to a combination of the Treasury’s funding announcement and the downgrading of the U.S. government debt rating,” said Joel Kan, vice president and deputy chief economist at MBA.
Applications for a mortgage to purchase a home dropped 3% for the week and were 27% lower than the same week one year ago. High mortgage rates are not only making it harder to afford a home, they’re keeping current homeowners in place. Today’s homeowners who have mortgages are paying interest rates in the 3% to 4% range and are putting off a move because they don’t want to pay twice that on another home.
Applications to refinance a home loan fell 4% for the week and were 37% lower than the same week one year ago.
Mortgage rates have held over 7% to start this week, according to a separate survey from Mortgage News Daily. Rates could see a much bigger move Thursday with the release of the monthly inflation data.
AA stimulus package is a set of financial measures put together by central bankers or government lawmakers with the aim of improving, or “stimulating,” an economy that’s struggling.
Individuals in the U.S. during the past two decades have witnessed two major periods when government stimulus packages were used to boost the economy: first, after the 2008 financial crisis, and second, following the 2020 outbreak of the Covid-19 pandemic.
While viewed by some as key to reviving growth, economic stimulus packages are not without controversy. Here’s a closer look at how they work, the different types of stimulus packages, and their pros and cons.
Government Stimulus Packages, Explained
What is a stimulus package? The foundational theory behind these economic stimulus packages is one developed by a man named John Maynard Keynes in the 1930s.
Keynes was a British economist who created his theory in response to the global depression of the era. His conclusion was that, when a government lowers taxes and increases its spending, this would stimulate demand and help to get the economy out of its depressed state.
More specifically, when taxes are lowered, this helps to free up more income for people; because more is at their disposal, this is referred to as “disposable income.” People are more likely to spend some of this extra money, which helps to boost a sluggish economy.
When the government boosts its spending, this also puts more money into the economy. The hoped-for results are a decreased unemployment rate that will help to improve the overall economy.
Economic theory, of course, is much more complex than that, and so are government stimulus packages. 💡 Quick Tip: Did you know that opening a brokerage account typically doesn’t come with any setup costs? Often, the only requirement to open a brokerage account — aside from providing personal details — is making an initial deposit.
SoFi has built a Recession Help Center that provides resources to help guide you through this uncertain time.
Different Types of Stimulus
Monetary Stimulus
To get a bit more nuanced, monetary stimulus is something that occurs when monetary policy is changed to boost the economy.
Monetary policy is how the supply of money is influenced and interest rates managed through actions taken by a central agency. In the U.S., that agency is the Federal Reserve Bank.
Ways in which the Federal Reserve can use monetary policy to stimulate the economy include cutting policy rates, which in turn allows banks to loan money to consumers at lower rates; reducing the reserve requirement ratio, and buying government securities.
When the reserve requirement ratio is lowered, banks don’t need to keep as much in reserve. That means they have more to lend, at lower interest rates, which makes it more appealing for people to borrow money and get it circulating in the economy.
Fiscal Stimulus
Fiscal stimulus strategies focus on lowering taxes and/or boosting government spending. When taxes are lowered, this increases the amount of money that people have left over from a paycheck, and that money could be spent or invested.
When money is spent on a greater amount of products, this increases demand for those products — which in turn helps to reduce unemployment because companies need more employees to make and sell them.
If this process continues, then employees themselves become more in demand, which makes it more likely that they can get higher wages — which gives them even more funds to spend or invest.
When the government spends more money, this can increase employment, giving workers more money to spend, which can increase demand — and so, it is hoped, the upward cycle continues.
In the U.S., a federal fiscal package needs to be passed by the Senate and the House of Representatives — and then the president can sign it into law.
Quantitative Easing
Quantitative easing (QE) is a strategy used by the Federal Reserve when there is a need for a rapid increase in the money supply in the United States and to boost the economy.
For example, on March 15, 2020, the Federal Reserve announced a $700+ billion program in response to COVID-19. In general, QE involves the Federal Reserve buying longer-term government bonds, among other assets. 💡 Quick Tip: How to manage potential risk factors in a self-directed investment account? Doing your research and employing strategies like dollar-cost averaging and diversification may help mitigate financial risk when trading stocks.
Pros and Cons of Stimulus Packages
There are advantages and disadvantages to economic stimulus packages, including the following:
Benefits
The goal of a stimulus package, based on Keynesian theory, is to revive a lagging economy and to prevent or reverse a recession, where the economy is retracting rather than expanding. This is a more immediate form of relief as the government also uses monetary, fiscal, and QE strategies to boost the overall economy.
This might include the Fed cutting interest rates, which lowers the rate at which banks loan money to consumers. That can encourage individuals to borrow money, which gets it circulating in the economy.
Taxes may also be lowered, which means workers have more money from each paycheck to spend. That spending may, in turn, increase the supply and demand for products, which can help both employees and businesses.
Risks
However, there are also risks to implementing stimulus packages. An economic theory that runs counter to Keynesian theory is the crowding out critique. According to this thinking, when the government participates in a deficit form of spending, labor demands will rise, which leads to higher wages, which leads to lower bottom lines for businesses.
Plus, these deficits are initially funded by debt, which causes an incremental increase in interest rates. This means it would cost more for businesses to obtain financing.
Other criticisms of stimulus spending focus on the timing of when funds are allocated and that central governments can be less efficient at capital allocation, which ultimately leads to waste and a low return on spending.
Another risk is that the central bank or government over-stimulates the economy or prints too much fiat currency, leading to inflation, or rise in prices. While a degree of inflation is normal and healthy for a growing inflation, price increases that are rapid and out of control can be painful for consumers.
Previous Economic Stimulus Legislation
Perhaps the most sweeping stimulus bill ever created in the United States was signed into law by President Franklin Delano Roosevelt on April 8, 1935.
Called the Emergency Relief Appropriation Act and designed to help people struggling under the Great Depression, Roosevelt simply called it the “Big Bill”; it is now often referred to as the “New Deal.” Five billion dollars was provided to create jobs for Americans, who in turn built roads, bridges, parks, and more.
The Works Progress Administration (WPA) came out of the New Deal, ultimately employing 11 million workers to build San Francisco’s Golden Gate Bridge, LaGuardia Airport in New York, Chicago’s Lake Shore Drive, about 100,000 other bridges, 8,000 parks, and half a million miles of roads, including highways.
Another agency, the Tennessee Valley Authority, collaborated with other agencies to build more than 20 dams, which generated electricity for millions of families in the South and West.
More Recent Stimulus Packages
Additionally, there was the American Recovery and Reinvestment Act (ARRA) in 2009. This was passed into law in response to the Great Recession of 2008 and is sometimes called the “Obama stimulus” or the “stimulus package of 2009.” Its goal was to address job losses.
This Act included $787 billion in tax cuts and credits, as well as unemployment benefits for families. Dollars were also provided for infrastructure, health care, and education, and the total funding was later increased to $831 billion.
More recently, the Coronavirus Aid, Relief and Economic Security Act, or the CARES Act, was passed by the United States Senate on March 25, 2020. On March 27, 2020, the House of Representatives passed the legislation and the President signed it into law the same day.
And in March 2021, the American Rescue Plan was passed by the House and the Senate and signed into law by President Biden. This emergency relief plan included payments for individuals, tax credits, and grants to small businesses, among other things.
The Takeaway
Stimulus packages are used to prop up economies when they are struggling or on the brink of a major recession, or even depression. While in recent decades, such stimulus packages have been credited by some for helping the U.S. economy out of the 2008 financial crisis and 2020 Covid-19 pandemic, others worry that the increase in government deficit is unhealthy, and all that spending could lead to inflation.
For individuals, devising a strategy to help save and invest during times when the economy is struggling — and in general — can be important to achieving their financial goals. Chatting with a financial planner about those goals may be helpful for some when it comes to putting together a plan to save for the future.
Ready to invest in your goals? It’s easy to get started when you open an investment account with SoFi Invest. You can invest in stocks, exchange-traded funds (ETFs), and more. SoFi doesn’t charge commissions, but other fees apply (full fee disclosure here).
Invest with as little as $5 with a SoFi Active Investing account.
FAQ
Are there stimulus packages for small businesses?
Yes. For example, as part of the American Rescue Plan, small businesses that closed temporarily or had declining revenues due to COVID were extended a number of tax benefits to help with things like payroll taxes. There were also funds put toward grants for small businesses as part of this economic stimulus package.
How do stimulus packages fight recessions?
Economic stimulus packages are thought to help fight recessions by lowering taxes and increasing spending. The idea is that these measures would boost demand and improve the economy, and thus help avoid or fight recession.
What disqualifies you from getting a stimulus package?
Some reasons that could disqualify you from getting a stimulus package include having an income that’s deemed too high, not having a Social Security number, or not being a U.S. citizen or U.S. national.
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Pigs might fly before you’re allowed to have one as a pet.
Let us guess: you saw that new Nicholas Cage movie, “Pig,” and were so charmed by the close relationship Cage’s character had with his beloved truffle pig that you want one of your own. Or, you love “Charlotte’s Web” and “Babe.” But hold your horses, or rather pigs, for a minute.
Yes, pigs are nice animals. They’re highly intelligent, social and friendly. You can also house train them and walk them on a leash. And yes, they’re extremely cute. Because of these attributes, unprepared owners can assume having a pig as a pet is a piece of cake. But there are a lot of different factors to consider when keeping a pig as a pet, especially for apartment renters.
Compared to traditional pets like dogs and cats, pigs are a whole other animal, literally. In some cases, pigs may not even legally be allowed in apartments. Here are some reasons pigs may not make the best pets for apartment dwellers.
Are pigs allowed in apartments?
The short answer is yes and no. Whether or not your apartment allows pigs varies, depending on factors like local laws and your landlord’s rules.
Pigs fall under the category of non-traditional pets. Animals like dogs and cats are traditional because they’ve been bred for domestic living. Non-traditional pets include rodents like guinea pigs, ferrets, reptiles and birds.
1. Your landlord and lease may not allow it
Since pigs are not traditional pets, many landlords won’t allow them as pets. If they do, they’ll likely have very specific conditions attached to protect their property from damage. Check your lease or ask your landlord directly.
While you could try to sneak in and hide a small pig, the potential for discovery and a nasty altercation with your landlord is too high. You could face eviction, higher fees and other penalties. So, always seek permission for having a pet pig in writing or submit a pet resume when applying so the landlord is aware.
Even if you’re allowed pigs in your apartment, here are some things to consider.
2. It might be illegal in your city or municipality
Your landlord isn’t the only obstacle to having a pet pig in your apartment. Many cities and municipalities have laws against keeping farm animals within city limits. If you can have one, you’ll need to follow very specific regulations and rules. Always research your local laws before purchasing a pet pig. Otherwise, you might need to re-home them or move out of the city.
3. They can get too big
If you’re considering getting a pig as a pet, you’ve likely heard of the terms teacup pig or miniature pig. Because of their small size, you think these would be the perfect option for a pet pig. But a teacup pig is not an actual species.
Some of the most popular smaller pig breeds that could make suitable pets include the Vietnamese potbelly pig and Kunekune pigs. But even these can get pretty big, growing bigger than cats and dogs and weighing anywhere between 50 pounds to well over 100 pounds.
There’s also the chance you’ll purchase a small pig thinking it’s already reached full size. But then, it continues to grow and becomes a full-size farm pig. Then, you have a full-size problem.
4. They’re expensive
Purchase costs. Special vet bills. Pig feed. Housing supplies. Any license fees. Granted, there are costs associated with having any pet. But pigs can still run up a hefty bill between all the above and more. This is especially true of porcine-specific health issues like skin disorders. Talk about a piggy bank.
5. They live a really long time
Although everyone hopes their beloved pet lives as long as possible, you may sign up for longer than expected with a pet pig. Wild pigs usually only live a few years or up to a decade, depending on predators and the environment. But with shelter, food and safety, pet pigs can live anywhere from 15 to 20 years. Just like with any pet, getting a pet pig is a commitment for life. They can also be very difficult to re-home, so really consider the consequences of surrendering one.
6. They might not get along with your other pets
While pigs are very friendly and social, they don’t always mix well with your other pets of different species. Dogs, in particular, are a problem. Both dogs and pigs are aggressive toward each other over food and territory.
7. They require special care and attention
Pet pigs need special care to stay healthy and happy. They need to get regular exercise, with either multiple daily walks or a secure, well-fenced outdoor area to play in. That outdoor area needs clean shelter areas to prevent your pig from exposure to too much sun or cold.
Regular visits to a specialized vet are a must. If you’re not home with them a lot, they’ll likely require a companion. They need a special, well-balanced diet, not slop or leftovers. This is just a beginner’s summary, so unless you have the time, energy and money to give a pet pig the specific care they need, it’s best not to get one.
8. They can get destructive
There’s a reason pigs find truffles, as you saw in the movie “Pig.” They love to root around, dig and get into things. So, if you don’t offer plenty of outdoor space to exercise and play, enrichment and other factors to keep them occupied and entertained, those natural tendencies and wild animal habits could get destructive fast.
They can knock things over, tear up the carpet and flooring, rip furniture and much more. Easily startled and scared by loud noises or disturbances, a frightened pig can panic, running around your apartment destroying things. Living with a pet pig in an apartment, you can quickly understand the meaning of the word pigsty.
9. You may need to pay extra security deposits
Those wild habits leave a high potential for lots of damage to an apartment. If your landlord does allow pigs, they may require a much higher security deposit or pet deposit as collateral. So, your move-in fees would be even higher than usual.
10. You’ll have to pay for repairs
If your pet pig does end up doing damage, it’s not just your security deposit that you’ll lose. You’ll likely have to pay out-of-pocket for repairs. Depending on the damage, this could be hundreds to thousands of dollars.
This is why it’s also important to take dated photos of your apartment before move-in. That way, you won’t have to pay for any pre-existing damages your pig didn’t cause.
11. They can create a lot of noise
When scared, pigs also squeal and scream very loudly. Even in an apartment complex with good soundproofing, your neighbors are bound to hear an upset pig. Mad neighbors and complaints about loud noises, which could even lead to the police or legal intervention, are another reason not to keep a pig in an apartment.
12. They can smell
Pigs themselves don’t smell. It’s their manure that gives people the idea that pigs are smelly on their own. While you can keep your pig clean with regular bathing and grooming, their waste is another matter. You can house-train them, but the place where they do their business will still smell strong. And accidents happen, so they may leave a large, smelly surprise on the floor. In an apartment complex, those smells can go through walls and linger unless you use top-quality cleaners and odor eliminators.
Other types of animals to consider for an apartment pet
Whether it’s not allowed or you’ve decided it’s not the best option for you, you’re not getting a pig as a pet for your apartment. Luckily, there are many other animals that can make great apartment pets. If you wanted to get a pig because of its friendliness and sociability, you can get a dog instead. Many cat breeds are also very friendly and social.
If you really want an alternative, non-traditional pet, there are many different routes. Rodents like hamsters, guinea pigs and gerbils are very sweet, snuggly and easy to care for. Rabbits can also be wonderful companions. If you’re willing and able to put in the time and energy for proper care, more high-maintenance pets like reptiles or birds are also an option.
Living in an apartment with a pet pig isn’t as happy as a pig in clover
Even if your apartment allows pigs, they’re not the best choice in pets. While you’re in love with the idea, their happiness and quality of life matter above all else. So, if you can’t provide the best care and home for them and give them what they need, it’s better to either shelve that dream or start looking for places to live out in the countryside.
Zoe Baillargeon is an award-winning writer and journalist based in Portland, Oregon, where she covers a variety of beats including travel, food and drink, lifestyle and culture for outlets like Apartment Guide, Rent., AFAR.com, Fodor’s, The Manual, Matador Network and more. In her free time, she enjoys traveling, hiking, reading and spoiling her cat.
Recruitment is a crucial determinant of growth and success for real estate brokerages. Like your customer, the recruitment process can be visualized as a sales funnel, where potential recruits enter at the top, and the best-suited agents emerge at the bottom as ideal members of your team or brokerage. Understanding and optimizing each stage of this funnel is critical to streamline recruitment and attract top-tier talent. With that in mind, let’s break down a successful real estate recruitment funnel and how to optimize each stage:
1. Awareness
At this stage, potential recruits become aware of your brokerage and what it stands for. Think of this as your core brand narrative. Would an agent from the outside be impressed?
Optimization Tips:
Brand presence: Ensure your brokerage has a robust online presence, including an updated website and active social media profiles.
Content marketing: Establish yourself as a thought leader. Share insightful articles, market analyses, and success stories to position your brokerage as an industry thought leader.
2. Interest
Once aware, agents begin to show interest in what your brokerage offers. They may sign up for newsletters, follow you on social platforms, or attend webinars.
Optimization Tips:
Engaging content: Regularly post relevant content that addresses common questions or challenges agents face. Turn your brokerage into a solution.
Webinars and workshops: Organize events that showcase your brokerage’s expertise and the benefits of joining your team. Highlight subjects that are not inherently a sales pitch but naturally put your team in the best possible light.
3. Consideration
At this point, agents are actively considering joining your brokerage. They might reach out with queries, ask for meetings, or seek feedback from current agents.
Optimization Tips:
Testimonials: Share success stories and testimonials from your current agents. Real-world experiences can be the compelling piece of content you can share.
Transparent communication: Be clear about commission structures, growth opportunities, and your support to your agents. A lack of communication can make someone feel they made the wrong decision.
4. Intent
Agents are on the verge of making a decision. They’ve likely narrowed down their options and are comparing the benefits of various brokerages.
Optimization Tips:
Personalized outreach: Always use personalized communication to address any remaining concerns or questions they might have.
Showcase Technology: If your brokerage uses advanced tools and technologies that can simplify their workflow, highlight them without overwhelming them.
5. Decision
The crucial stage is where agents decide to join your brokerage. They’re convinced that your brokerage aligns with their goals and aspirations. The first 90 days are critical.
Optimization Tips:
Smooth onboarding: Ensure the onboarding process is seamless. From paperwork to training, every step should be organized and efficient.
Welcoming environment: Create a welcoming atmosphere, introducing new agents to the team and integrating them into your brokerage culture.
6. Retention
While technically outside the recruitment funnel, retaining agents is as essential as recruiting them. It’s about keeping them engaged and satisfied.
Optimization Tips:
Continuous training: Offer regular training sessions and development programs.
Feedback loop: Encourage agents to share feedback and act upon constructive suggestions.
Conclusion
A successful real estate recruitment funnel is more than just attracting potential agents; it’s about guiding them through a journey from awareness to decision, ensuring they feel valued and informed at every stage. By understanding the anatomy of this funnel and optimizing each step, brokerages can ensure they attract and retain the industry’s best talent, setting the stage for sustained growth and success.
Jim Turner is CEO of Brokerkit, a growth platform for brokers.
Sometimes the small, unseemly, unimportant tasks we do every day can have a massive impact on our lives for the better. We call these “life hacks”. In this article, we’re walking through the top ten most powerful life hacks that can change your life. If you’re looking to bring your life together and don’t know where to start, take the time to read this article. It’s crazy where these small steps can lead you in three to five years.
1. 15 Minutes of Sun Every Morning
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Get sunlight in your eyes every morning. Sunlight offers many benefits, including but not limited to setting your circadian rhythm, priming your brain to be alert and focused, and giving your body Vitamin D. It also enhances metabolism and immune functionality. After doing it regularly, watch this transform your overall mood, well-being, and even your ability to sleep.
2. Daily Meditation
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So many of our problems come because we cannot sit by ourselves, alone with our thoughts, for even thirty minutes. Our society is filled with cheap dopamine, constant notifications, and screens everywhere we look. Take time to slow down and be present.
Meditation has already been demonstrated to reduce stress and enhance mental clarity. Meditation might be what you require if you’re grappling with burnout and finding that your performance has declined.
3. Surround yourself with optimists
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Optimists are like the light in your life that you look for when you’re currently in the dark part of your life. Surround yourself with people who bring positive influence. You are the average of the five individuals you invest the most time with. Ensure that each of these five individuals can drive you toward your goals. Ultimately, exercise careful discretion in selecting those you allocate your time to. It’s effortless to draw in negative companions during personal struggle and despondency. However, true allies will aid you in rediscovering a positive trajectory once more.
4. Practice Gratitude
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Gratitude is a key ingredient for living a fulfilling life. Gratitude helps people feel more positive emotions, build strong relationships, and improve their health. Take five minutes per day to write down five things you’re grateful for. Practicing gratitude also reminds you of all that you have: your friends, positive relationships, and good moments throughout the day.
5. Ask for Advice
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Don’t underestimate the power of a mentor. Epictetus mentored Marcus Aurelius. Jobs mentored Zuckerberg. Buffet mentored Gates. Seek advice from people two to three steps ahead of you. You can access their lifetime of wisdom in two to three years. While reading self-help books helps, having access to a mentor is on another level.
6. Journal Every Day
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Writing is essential to unleashing your creative potential. Writing or journaling daily builds discipline and allows you to organize your thinking. It also improves your vocabulary and communication skills. Mastering this skill will lead to success in the modern economy.
7. Invest in Yourself
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We spend eight hours a day working for someone else, but many of us won’t take 30 minutes to work on ourselves. Invest in yourself through reading, exercising, and learning a new skill. Just 30 minutes a day can change your life.
8. Read Good Books
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The most successful people in the world have one thing in common: they love to read. Read about things that interest you. Re-read your favorite books. Read every day. An hour a day of reading puts you at the top .01% of people.
9. Take a Cold Shower
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A three-minute cold shower will provide benefits that last the rest of the day, like raising your ability to handle stress. Taking a cold shower increases dopamine, boosts metabolism, and burns brown fat, so anything else you have to do afterward will seem easy.
10. Set a Bedtime Alarm
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After this alarm goes off, allow your mind to relax. Turn off all your devices. Take a warm shower or bath. Read your favorite fiction book. Setting yourself up for success the next day starts the night before.
Source: Reddit.
These 11 Movies Are So Bad You’ll Wish You Could Unsee Them
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The movies we love best are a combination of excellent characters, plots, stories and cinematography. But if these factors can make great movies, they can also make terrible movies—the ones that make people cringe, the ones we swear they’ll never watch again.
These 11 Movies Are So Bad You’ll Wish You Could Unsee Them
10 Celebrities Who Are Universally Disliked
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People will always have preferences and something to say about celebrities. What you might love may not be the same for others. Whether it’s about their past behaviors, legal issues, or feuds with other celebrities, here is a list of celebrities people just cannot stand.
10 Celebrities Who Are Universally Disliked
11 Vampire Movies That Will Leave You Yearning for More
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Sometimes, we just love to watch a favorite vampire movie, one of the ones that never gets old. It piques our imagination with the unknown story of two teenagers fighting for their love, the incredible and creepy scenes, and the bloodsucking classics.
11 Vampire Movies That Will Leave You Yearning for More
25 Extraordinary Sequels and Remakes That Outshine the Originals
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Every once in a while, a movie sequel or remake surpasses the original film. After polling the internet, “Name a single movie where the sequel or remake was better than the original?” Here are the top-voted responses.
25 Extraordinary Sequels and Remakes That Outshine the Originals
25 Blockbuster Films With Behind-The-Scenes Turmoil Unknown to the Public
Image Credit: 20th Century Fox
Several big movies with significant nightmare productions have some seriously delicious tea. After a recent poll on the internet, here are twenty-five films with disasters that made filming difficult.
25 Blockbuster Films With Behind-The-Scenes Turmoil Unknown to the Public
Inside: Looking to celebrate Christmas on a budget? This guide has you covered with creative and affordable ways to do just that.
Are you stressed out about how to afford a fabulous Christmas on your budget? Worry not.
This festive season isn’t about how much cash you fork out, it’s about creating lasting memories and spreading joy.
Why let financial woes dampen the joyous yuletide spirit when you can celebrate a charming Christmas on a budget?
Remember, it’s your money, your decisions, and your rules – no guilt trips or social pressures should force you into spending Christmas in debt.
Today you will learn:
Determine your Christmas budget: Figure out what’s a comfortable amount for you to spend and stick to it religiously.
Be creative with gift giving: Homemade presents or heartfelt letters can be more valuable than pricey items.
Find simple ways to save money: Use these money saving tips to enjoy a festive holiday season.
This holiday season, celebrate responsibly, within your means, for a Christmas that’s merry, bright, and totally guilt-free!
Why Celebrate Christmas on a Budget?
Embracing a budget-friendly Christmas can prove to be not only a smart choice but one filled with warmth, delight, and genuine joy.
Enjoy valuable family bonding time with exciting games and shared activities. Volunteer work, a day of holiday baking, or a simple drive-through Christmas lights sightseeing trip can leave a lasting impression. Look through this Christmas bucket list.
Opt for economical, yet thoughtful gifts or stick to fun gift exchange rules, such as the “four gift rule” for your kids. Remember, it’s the sentiment behind the gift that matters the most.
In essence, an economical holiday season needn’t be a dull affair, rather it’s an opportunity to make it more heartfelt and unforgettable.
This post may contain affiliate links, which helps us to continue providing relevant content and we receive a small commission at no cost to you. As an Amazon Associate, I earn from qualifying purchases. Please read the full disclosure here.
What to buy for Christmas on a tight budget?
Yes, friend, you can buy meaningful Christmas gifts while sticking to a budget.
In fact, the thought behind a gift is often what makes it special, not the price tag.
A few ideas include homemade gifts, gift cards, subscriptions, and second-hand items. With a little creativity, you can find the perfect present for everyone on your list without spending a fortune.
Below you will find plenty of great gift guides for Christmas that won’t break the bank.
Benefits of a Budget Christmas
1. Allows you to plan ahead and stay on track 2. Prevents overspending 3. Buy gifts that are within your budget 4. Focus on quality over quantity 5. Ensures that everyone gets a gift 6. Helps you avoid debt during the holidays 7. Prevents you from feeling stressed out about money during the holidays 8. Be creative and come up with unique gifts 9. Save for next year’s holiday budget 10. Stay connected to the spirit of the holidays
Savings with Christmas on a Budget
From homemade Christmas decorations to unique gift ideas, it’s possible to create magical moments that’ll last a lifetime without a hefty price tag.
Embrace the true spirit of Christmas – love, family, and togetherness, rather than commercialism, and read on to discover how.
Learn the simple ways to celebrate the festive season without breaking the bank with our creative and budget-friendly Christmas ideas.
1. Think about a No Gift Christmas
Having a No Gift Christmas is a creative and budget-saving alternative to traditional holiday festivities, especially suitable if funds are tight. Why not consider it?
Here are some benefits:
You can alleviate the holiday stress often associated with spending on gifts.
It fosters the idea of Christmas as a season of togetherness, not just gift-giving.
It offers the potential for unique and memorable experiences, like volunteering or creating fun traditions with your loved ones.
Remember, having a memorable Christmas doesn’t have to cost much, or anything at all Learn more about a no gift Christmas.
2. Make Your Own Gifts
DIY Christmas gifts are your perfect solution. They not only save pennies but are laced with your love and creativity.
Start by exploring plenty of creative gift ideas available for free online. Need help? Look for “homemade gifts for Christmas” and you’ll be surprised.
Compile a list of possible gifts from homemade candles to personalized coupon books, keeping the recipient’s likes in mind.
Remember, your efforts will reflect in your gift. So, unleash your creativity and let the magic begin.
3. Borrow Instead of Buy
Borrowing instead of buying is a clever way to have a festive holiday while keeping things budget-friendly. This concept is simple: swap decorations, games, or even gifts with friends, neighbors, or family
Discuss your idea with your circle and organize swapping parties to exchange items.
The key is to creatively engage and make it a fun, budget-conscious activity. After all, Christmas is about sharing and caring!
Remember, return borrowed items in their original condition to maintain trust.
4. Attend Free Events
The Christmas season doesn’t have to be a strain on your wallet. Attending free community events can provide fun and festive celebrations:
To find these events, check your local newspaper or community websites. Be sure to:
Take advantage of free refreshments, but also bring your own to share.
Consider hosting a potluck dinner before or after community events.
Attending free events supports your local community.
Remember, Christmas is about togetherness, not extravagant spending.
5. Make Your Own Decorations
To create a festive atmosphere this season, you could repurpose items around your house or make your own decorations.
Choose a color theme and gather items in those shades, then place them together on a mantel or coffee table to create a coordinated layout.
For a natural touch, clip pine needles, branches, or herbs from your garden, and enhance them with glitter.
Additional budget-friendly options include taking advantage of sales and discounts at thrift stores or crafting handmade decorations such as ribbons from fabric strips or Christmas cookie ornaments.
6. Keep Track of Your Christmas Expenses
Just like throughout the year, budgeting is critical to your financial success.
Nothing changes with Christmas, it is crucial to track and budget your holiday expenses. Jot down every potential cost – from the Christmas tree, and food, to holiday décor.
Be thoughtful about what you really need and opt for items you can use for years.
This is one of the cash envelope categories I recommend saving for. To effectively manage your expenses, assign specific dollar amounts to each item on the list, ensuring you stay within your budget.
Enjoy guilt-free spending and effortless saving with a friendly, flexible method for managing your finances.
Start Your Free Trial.
7. Share the Spirit
Embracing frugality during the holiday season can not only help you save money, but can also create memorable experiences and meaningful connections.
Small gestures, such as sending heartwarming physical letters to loved ones instead of emails, can still convey thoughtfulness and spur the holiday spirit.
By centering your holidays around family activities and endeavors, like homemade ornaments or a scavenger hunt with small gifts, the focus shifts from materialism to fellowship and unity.
Find more frugal Christmas ideas.
8. Check Out Bargain Stores
Bargain stores provide the perfect solution for savvy holiday shoppers looking to save money without compromising on quality or variety. Not only can you find unique, quirky gifts, but you can also keep a lid on your spending while doing so.
Stores like consignment shops or websites such as Craigslist often have high-quality used toys that are nearly new if you’re willing to look carefully.
Another option is to look at discount retailers like TJMaxx as they often host sales during the holiday season, making it even easier for you to save money while hunting for the perfect gifts.
9. Save Money Throughout the Year
Automating your savings for the Christmas season can be a practical and efficient strategy. The 100 envelope challenge is perfect for this!
By setting aside just $50 each month, you could accumulate up to $600 by December, providing a decent budget for your holiday expenses. This method can ease the financial stress during the holiday season, letting you enjoy the festivities without worrying about overspending.
Consider setting up automatic transfers to a high-interest savings account. This ensures your Christmas funds grow without your intervention.
Lastly, try a no-spend month where you only cover essential bills, giving your savings a significant boost.
10. Start a Side Hustle for More Money to Spend
Engaging in side hustles throughout the year can help you significantly cover your holiday expenses.
By delivering food, completing microtasks, selling gently used items, or shoveling snow, you create extra earnings that can go directly into your Christmas fund.
For instance, extra income from a seasonal retail job could help finance gift-purchasing without straining your usual budget.
This strategy not only prevents potential post-holiday debt but also allows you to enjoy the season without financial stress.
In fact, more people are interested in how to make money online for beginners.
This is the perfect side hustle if you don’t have much time, experience, or money.
Many earn over $10,000 in a year selling printables on Etsy. Learn how to get started by watching this free workshop.
If you’ve ever wanted to make a full-time income while working from home, you’re in the right place!
This intensive training combines thousands of hours of research, years of experience in growing a virtual assistant business, and the power of a coach who has helped thousands of students launch and grow their own business from scratch.
11. Shop Online Instead of Going to the Mall
Shopping online for your Christmas gifts can seriously ease your holiday stress, and potentially save you money.
Let’s explore why skipping the mall and clicking your way to a merry Christmas might be your best bet this year:
No dealing with holiday crowds or cranky shoppers.
Enjoy sales and deals without leaving your home.
Track prices over time to grab the best deals.
Use Rakuten to save even more money on purchases.
For smart online shopping, prepare a list of gifts before diving in. Take advantage of the “wish list” option on platforms to curate items of choice and make sure you first glance over deal sites before making purchases.
12. Have a Christmas Potluck
Host a festive potluck! Invite friends and family, asking each to bring their favorite dish.
Here are some tips for a successful event:
Get organized and ask guests to bring specific types of food. This prevents duplicate dishes and ensures a balanced meal.
Introduce a fun element. Try a cookie swap or a silly game like “Guess the Cookie.”
Keep decor simple. A large vase filled with greenery and baubles can effectively replace a pricey Christmas tree.
Remember simplicity is key in food and decor. Costly ingredients and complicated recipes aren’t prerequisites for a memorable Christmas.
Remember, the holiday is about togetherness, not extravagance!
13. Make Your Own Cookies
There’s a unique pleasure derived from making your own cookies during the holiday season instead of buying them. More so, the cookies you’ve invested your time and creativity into can double as thoughtful, homemade gifts, adding another level of sentiment.
Apart from being a cost-effective option, it brings an opportunity to bond with friends and family during cookie exchange or decorating gatherings.
Making your personally crafted cookies also gives you control over ingredients catering to specific dietary needs or preference
Indeed, making your own cookies adds value that surpasses the mere cost savings, it infuses the holiday season with warmth, joy, and a sense of shared experience.
14. Cross Off Activities from your Christmas Bucket List
Having a joyful Christmas doesn’t necessarily mean overspending. In fact, integrating cost-effective activities into your holiday routine can make the season more meaningful and fun.
This Christmas Bucket list post offers an extensive and diverse list of creative ideas for budget-friendly Christmas shopping, gifting, and celebrating.
Additionally, downloading the free printables and a Christmas Budget Template will make the process even more manageable and fun.
15. Have a No-Gift Party
A no-gift Christmas party is an affordable and fun holiday celebration where attendees do not exchange gifts. It’s a great option for those looking to save money and still enjoy the festive season.
Here are steps to make it happen:
Step 1: Decide on the party type, either a simple gathering or a potluck dinner.
Step 2: Inform guests about the no-gift policy in advance.
Step 3: Organize exciting, cost-effective activities such as a game night.
Step 4: Engage guests with games for a joyful event.
Expert Tip: Conversation and laughter are your best tools.
16. Make a Christmas Memory Book
Creating a Christmas memory book is an affordable and engaging way to celebrate the holiday season, especially when you’re on a tight budget.
To start, you can utilize items already at your disposal in your house such as old photos, greeting cards, and crafts.
Spend some time penning down heartfelt messages and your favorite holiday memories associated with each picture or craft. Embellish the pages with affordable decorating materials like glitter, stickers, or color pens.
Not only does this create a personalized touch, but it also serves as a nostalgic keepsake that can be cherished for years to come.
Tip: Digitize your memory book by creating an electronic version. This can also help preserve the original items.
17. Spend Time With Loved Ones
Celebrating Christmas on a budget doesn’t mean skipping on the fun.
It’s about cherishing time spent with loved ones, harnessing creativity, and making priceless memories that last a lifetime.
Here are some cost-effective activities you can embrace this festive season:
Share stories of memorable Christmas experiences.
Organize virtual celebrations with extended family and friends.
Create your own family-themed board game.
Bake Christmas cookies or make a popcorn Christmas tree.
Stream a Christmas church service.
If snow is around, engage in snow play.
Dance to classic Christmas music.
Put together an annual family calendar.
Participate in one of these Christmas Challenges!
Remember, it’s not about what’s under the tree that matters, but rather, who’s around it.
18. Stash Christmas presents all year
Do what I do! Begin addressing the issue of holiday budgeting by stashing Christmas presents all year round.
This is a smart and stress-reducing move!
Find deals throughout the year rather than spending lavishly in December. Hang on to items like discounted gifts in your secret gift closet!
As you build an inventory of diverse items, you will be ready for birthdays or sudden party invites – you’re always prepared!
Just be careful to stop shopping when your list is fulfilled to avoid overspending.
19. Write a Christmas Gift List
Creating a Christmas gift list can be an effective way to manage your holiday spending. This helps you understand the overall picture of your holiday expenditure.
Start by writing down the names of every person for whom you consider buying a gift.
Then, determine how much you’re willing and able to spend on each individual. This helps you understand the overall picture of your holiday expenditure.
Take time to brainstorm potential gift ideas within your decided budget for each person. This process can be even easier and more informative if you’re able to reference a gift list from previous years.
Ultimately, the goal is to ensure that your total intended spending is reasonable and manageable for your personal financial situation.
Remember, you may not need to buy gifts for everyone on your list – some individuals might appreciate homemade or free gifts just as much.
20. Choose Great holiday things to do for less
Set aside the societal notion of linking the joy of holidays to copious spending, and welcome small, inexpensive, yet heartfelt gestures.
Adopting a mindset that finds value in low-cost or even free activities, especially during the holiday season, can not only alleviate financial pressure but also create cherished memories.
Instead of focusing on extravagance and materialistic desires, turning attention to experiences and emotional bonding can revolutionize the celebration!
You can always find things to do on Christmas Day.
21. Think Outside the Box With Gifts
Finding affordable gifts doesn’t mean you have to sacrifice quality or thoughtfulness.
By utilizing a gift guide such as the 4 gift rule – something they want, need, to wear, or read – you can ensure a well-rounded and meaningful set of gifts for each child.
Alternately, consulting lists of inexpensive yet creative suggestions like those curated by Money Bliss can help you find unique presents that won’t break the bank. These affordable finds range from books, gadgets, to personal care items, and home accessories.
Regardless of budget, the key to successful gift-giving lies in understanding the recipient’s needs and interests.
22. Consider Re-Gifting
Re-gifting is a practical, budget-friendly, and environmentally-friendly way to celebrate Christmas. It allows unused or unwanted items another chance to be appreciated and might save you some cash too.
Here are some regifting tips:
Ensure the gift is in good condition, unwanted but quality, and not linked back to its original giver.
Consider the preferences of the new recipient, ensuring the gift suits them.
Completely re-wrap the gift to give it a fresh appearance.
Some may debate the etiquette of re-gifting but remember, it’s more about the thought and less about where the gift originated.
Making smart choices can ensure a successful and fun re-gifting experience this festive season.
23. Use Gift Cards or Cash App to Stay on Budget
Purchase a prepaid gift card from your favorite store to ensure you’re limiting your spending to a specific amount and preventing the temptation of overspending.
If you’re planning to shop from a range of places, opt for a Mastercard of Visa prepaid card. While there may be an activation fee, it’s ultimately going to be less than what you’d potentially overspend.
Another great option is using the Cash App card and learn where you can load your Cash App card.
Also, you can use budget tracker apps like YNAB or Simplifi. These can help you meticulously keep track of your spending and stay within your budget.
Remember, the key is to stick to a budget and avoid falling prey to impulsive purchases. Using gift cards or these budgeting apps makes it easier to limit and monitor your expenses.
24. Use Money Gift Ideas Wisely
Money gift ideas can be an excellent alternative to traditional presents, especially when budgeting is a critical aspect.
Too many times, money gift ideas are overlooked as impersonal, but a money gift box or money cake will definitely surprise the recipient.
This will guarantee you will stay within your target budget by using money gift ideas.
For larger families, a gift exchange with a set price limit can keep costs manageable.
25. Donate to Charity Or Volunteer
Volunteering at a charity is a meaningful way to give back during the holiday season that doesn’t put a strain on your budget.
Instead of buying more items a person may not need, you’re investing time, money, and energy in causes they care about. Although this doesn’t require a financial commitment, it’s a generous gift full of sentiments.
Furthermore, donating money to a charity in someone’s name is a thoughtful and effective way to honor someone who already has everything they need. It allows the recipient to feel the joy of giving, yet remains a budget-friendly option for the giver.
If you’re keen on frugal yet meaningful ways to celebrate Christmas, how about considering charitable donations? It’s a splendid alternative to traditional gift-giving – not hard on your wallet, plus it makes a difference!
Most people know it is hard enough to buy gifts for the woman you who has everything or kids who have everything.
How to Make a Christmas Budget
A lot of joy and goodwill is associated with the holiday season; however, it also brings with it the challenge of managing finances meticulously to avoid slipping deep into credit card debt.
One of the effective ways to keep your finances under control during this festive time is by creating an efficient Christmas budget.
In the following sections, we will delve in detail into the simple process of creating a feasible Christmas budget that you can adhere to.
Step 1: Decide What You Want to Spend on Christmas
Determining how much to spend at Christmas depends on your individual budget and financial situation.
On a general basis, most people will overspend at Christmas in order they don’t look broke or not generous.
However, that thought process is backward if you are trying to reach your financial goals. You need to decide on how much you want to spend at Christmas time.
That is why these consumable gifts tend to be popular.
Expert Tip: Avoid surpassing your Christmas budget to prevent feeling the pinch of holiday debt later on. Stick to your allocations and plan things out in advance.
Step 2: Make a List of Christmas Gifts
Creating a list is essential for budget-friendly and stress-free Christmas shopping.
This prevents you from forgetting someone important by intuitively documenting all the people you intend to get gifts for. Also, allows for the clear allocation of your total Christmas budget, preventing overspending on some individuals and under-spending on others.
If you aim to economize, consider the 4-gift rule: something they want, something they need, something to wear, and something to read. This method provides thoughtful gifts for children while maintaining a manageable budget.
More importantly, a well-planned list significantly reduces the time spent shopping and aids in buying gifts early before the holiday rush begins.
Expert Tip: Don’t forget to consider items like stocking stuffers, last-minute gifts, or teacher’s gifts, and the cost of extra food for holiday gatherings.
Step 3: Prioritize Your Spending
Prioritizing where to spend money relative to your financial goals is crucial to achieving long-term financial stability and health. It ensures that your money is allocated effectively, giving priority to necessities and matters that directly support your objectives.
This practice can also prevent unnecessary expenditures and helps in averting serious overspending, especially during high-spending periods like the Christmas season.
Thus, you will need to prioritize your Christmas budget before the festive season. It helps prevent overspending and keeps you debt-free.
Step 4: Limit Your Christmas Spending
First, it is important to abandon the notion of a “perfect Christmas” and focus on enjoying the holiday within your budget.
You can even educate your family members about the concept of holiday budgeting and involve them in your planning process.
Consider proposing less expensive alternatives to traditional gift-giving within your extended family such as handmade or recycled gifts, or conducting a white elephant exchange with budget-friendly novelty items.
Don’t overlook smaller gifting costs that can accumulate, like Christmas stockings – instead fill them with practical, affordable items that your family needs.
Save money on wrapping supplies by using items readily available at home like newspaper or butcher paper and involve the kids in a fun, cost-saving activity by having them create homemade gift tags.
Remember, sticking to your budget doesn’t mean letting go of the Christmas spirit. It’s about celebrating responsibly and starting the New Year without financial stress.
Step 5: Ignore Sales and Keep it Simple
Sales, sales, sales – the deal is too good to pass up!
Here are key ways to overcome this common dilemma.
Resist impulsive purchases compelled by sales, and stick strictly to your shopping list.
Pause before purchasing an item not on your list, consider the necessity.
Keep emotions in check, they run our shopping decisions.
Conquer emotional spending, stay true to your budget.
Discourage additional spending once your list is fulfilled and the budget exhausted.
Remember that it’s better to focus on affordable presents rather than seeking the perfect, but expensive, gift.
Step 6: Shop for Christmas Gifts Early
Start early. Begin watching for sales on items from your Christmas gift list way before the season’s rush.
Begin monitoring for sales early, especially during holidays that precede Christmas, to stretch your budget further.
Make use of Black Friday and Cyber Monday. They provide excellent opportunities to snag deals on your gifts.
Expert Tip: Remember to stick to your list. If it isn’t on your list, pass it up. It’s challenging but keeps your budget in check.
Step 7: Reuse and Recycle Holiday Decorations
Start by taking stock of items in your house. Don’t limit yourself to traditional decorations—choose a color theme and scan your home for items that fit and can be repurposed.
Use the resources outdoors. Pine branches, pine cones, mistletoe, and holly can be fashioned into decorations from nature’s catalog.
Even consider trading decorations with friends or family. This can bring a new look to your home without the need for new purchases.
Get creative with items from dollar stores that can be combined to appear high-end and save costs.
How to buy gifts for Christmas on a budget?
Maintaining a budget doesn’t mean you can’t enjoy giving gifts this Christmas.
Use these gift guides to help you out:
Remember, the joy is in the giving, not in the cost of the gift.
Time to Create Your Holiday Budget and Make it Memorable
Regardless of your financial situation and the extent of your holiday plans, this guide will help you maintain financial stability while fully embracing the Christmas spirit.
By setting aside a prescribed sum for your holiday expenses, you’re able to enjoy the season without the stress of unexpected expenditures or financial shocks after the holiday haze has cleared.
Celebrating Christmas on a budget doesn’t mean skipping the fun or the warmth.
With just a dash of creativity and thoughtful planning, you can make the yuletide season enjoyable and meaningful without breaking the bank.
Use the festive tips provided and start planning your budget-friendly Christmas now. Remember, the true essence of Christmas isn’t in extravagant spending—it’s about love, joy, and spending quality time with those who really matter to you.
Don’t forget to access a free printable worksheet for your customized holiday budget.
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