You need a spending game plan to beat January blues

When the big Christmas bills hit home in January, the expensive festive fun can seem oh-so-long ago and ill-advised.

But to avoid slipping into the fug of an early-year financial hangover, developing good money habits can help to kick off those cash blues.

Thinking about holidays, for instance, is fun and while being able to afford them can look to be a tall order, careful planning and budgeting will yield massive dividends.

In short, if you want to control your finances rather than let them control you, you have to start planning.

Begin by organising your shopping rather than drifting into a supermarket and splashing out on whatever takes your fancy. Make meal lists for the week and only buy the ingredients you need. And include packed lunches and your own coffee or tea for the office.

Examine your bank statement — it will give you an at-a-glance summary of where all your money goes each month, and show where you could make sensible cutbacks. Do you regularly visit expensive coffee shops, for instance? Or over-refresh yourself on outlandish cocktails?

The simple truth is that you have choices with your money. But you only get those choices by deciding when to spend it, rather than simply splashing out on impulse.

“Short-term goals are the perfect motivation to save, and nine out of 10 of us are already focusing on having a dream holiday or buying a new house,” says Alistair Wilson of insurer Zurich. “Simple steps like setting a budget and paying in cash can give a significant boost to your financial outlook.”

Plan how much you can afford to spend on holidays and keep to it. Then work out how much you need to save — or stick into a pension — for your future financial happiness. Prepare for expenses now, and you’ll avoid costly surprises later.