Top 5 Best Ways to Spend Your Christmas Bonus

Christmas is just around the corner – and many people have already received (and spent!) their Christmas bonus but if you are still waiting for yours or haven’t spent it yet, we’re sharing here some tips to help you stretch that money for the next 12 months. Impossible? Surely not!

Now, we do understand that this is your money and you have all the right to spend it in whichever way you please but just in case you need some friendly advice to help you get the best bang for the buck, so to speak, take a look at the top 5 best ways to spend your Christmas bonus.

  1. Reward yourself

While we recommend that you use the Income – Savings = Expenses formula for your regular pay, you can splurge a bit with your Christmas bonus if you want to. After all, it is your hard-earned money – and you’ve spent the last 12 months toiling; thus, you certainly deserve to treat yourself. The best money to use for that fun treat is from your Christmas bonus.

This treat will surely make you feel happy to have a job that pays you great perks (even if that might only be in December).


Enjoy a guilt-free trip to the spa or buy that one item you’ve been eyeing for months but remember to not spend all your Christmas bonus in one go or you just might end up regretting the purchase!

  1. Pay off your debt

Now that you’ve rewarded yourself for a year-long work and sacrifice, it is time to get down to the serious part. Use the remaining money to pay off your debt. Remember that this debt will always be around and earning interest unless you pay it off.

With the extra money you get from your bonus, you can remove a huge chunk from that debt off, allowing you to have better control of your finances in the months to come. So, you essentially stretch your Christmas bonus to the next months.

  1. Start a savings fund

If you still don’t have one and you’ve already paid off your debt, then start a savings fund with your Christmas bonus. Make sure to place this in a separate account, preferably a passbook account, so you wouldn’t be able to easily get money to fund impulse purchases. Of course, if this savings fund doubles as your emergency stash, you can ask for an ATM card from the bank but make sure you only use it for real emergencies – not because there’s a mall sale!

  1. Invest your money

If you have 0% idea about how the stock market works, don’t just jump into it for the sake of investing money for the future – you are likely to lose your money that way. Learn the ropes or hire a trader/financial adviser to help you out. Of course, there are also other ways to invest your money, not just in stocks. For the best answers, ask help from the experts.

  1. Start a business

Possibly the best way to stretch your Christmas bonus is to start a business which could earn you money not just for the next 12 months until your next bonus but also in the years to come!