How to get savvy with present buying and still feel the joy of gift-giving

By Tara McCabe ·

Do you love the feeling you get when you buy a present for your friends, family members or even furr-kids? Well it turns out you’re not alone, in fact as a nation us Aussies are pretty generous folk, spending a whopping $19.8 billion on gifts every year.

A recent study by the Financial Planning Association of Australia shows that 85% of us love giving more than receiving, but despite our nation’s generous heart, we’re not particularly savvy when it comes to budgeting for these thoughtful presents. 

In fact three out of four Aussies don’t budget for gifts at all, meaning that billions of hard earned household dollars are being spent every year without any planning. As FPA CEO, Dante De Gori said, there’s “an obvious opportunity to increase our nation's financial literacy and awareness of the benefits of budgeting, financial planning, and giving in a way that brings joy without debt or regret”.

RELATED ARTICLE: How do I redeem credit card rewards points?

So how can you get more savvy when it comes to gift giving?

Put more planning into your gift giving: give yourself a set budget for birthdays, weddings, Christmas and even spontaneous present buying. 

One way to buy presents and keep to a budget is to think about giving in a more sustainable and conscientious way. Why not give an experience rather than a thing? Or you could get involved in the circular economy and re-gift an item that you no longer have any use for or reuse wrapping paper and gift bags. Not only will your bank account benefit, but so will the planet.

Set up a savings account purely for gift giving: you could even set up a separate account to keep track of what you’re spending on presents.

 Setting up a savings account dedicated to all those spontaneous presents could help you think about how much you’re spending on gifts every year, every month or even every week. If you put a certain amount into your savings account once a month then you can keep track of how much you’re spending and better budget for all those special occasions throughout the year.

Invest in a rewards credit card: with a rewards credit card you can treat your loved ones without putting a dent in your finances, honestly it’s a win win. 

Research shows that cash and gift cards are becoming Australia’s go-to gift for all occasions, including birthdays, Christmas and weddings. 

With a rewards credit card you can earn points with your daily expenses, from purchasing groceries to booking flights for your next holiday. Once you have accrued enough points you can convert them into a gift card for you to gift to your friends and family. 

As most rewards cards come with an annual fee be sure to weigh up the cost with the yearly rewards, to figure out what card would benefit you the most. 

If you’re keen to start getting more savvy with your present buying why not head over to our rewards credit cards comparison page to see what what card would best suit your spending style and help you bag some sweet gift cards.

Compare rewards credit cards - page last updated October 17, 2020

Search promoted rewards credit cards below or do a full Mozo database search. Advertiser disclosure.

  • Thumbnail icon for American Express
    mozo-experts-choice-2020
    Qantas Discovery Card

    Qantas Frequent Flyer

    $0

    No current offer

    0.75 points uncapped

      Compare
    Details
  • Thumbnail icon for Westpac
    Altitude Platinum

    Qantas Frequent Flyer

    $200 $99 in the first year

    60,000

    0.5 points uncapped

      Compare
    Details
  • Thumbnail icon for Qantas Money
    Qantas Premier Platinum

    Qantas Frequent Flyer

    $299 $199 in the first year

    100,000

    1 point up to $10,000/month, then
    0.5 points uncapped

      Compare
    Details
  • Thumbnail icon for NAB
    Rewards Platinum Card

    NAB Rewards

    $195

    60,000

    1 point uncapped

      Compare
    Details
  • Thumbnail icon for St.George
    Amplify Platinum

    Qantas Frequent Flyer

    $99

    70,000

    0.5 points uncapped

      Compare
    Details

^See information about the Mozo Experts Choice Rewards Credit Cards Awards

Mozo provides general product information. We don't consider your personal objectives, financial situation or needs and we aren't recommending any specific product to you. You should make your own decision after reading the PDS or offer documentation, or seeking independent advice.

While we pride ourselves on covering a wide range of products, we don't cover every product in the market. If you decide to apply for a product through our website, you will be dealing directly with the provider of that product and not with Mozo.

Tara McCabe
Tara McCabe
Money writer

Tara McCabe writes across all areas of personal finance here at Mozo from banking through to insurance. Tara is expert at practical money tips, showing readers ways to live richer and be socially conscious while doing it. She earned a BA (Hons) in English Literature from Canterbury Christ Church University.