Want to save $3000 by Christmas? Here’s how to give it a go with reverse budgeting.

By Kylie Moss · · 2 min read
Fact Checked
Man counting cash at Christmas

It’s hard to believe, but we’re already over halfway through 2025, and Christmas will be here before we know it.

For most of us, the festive season usually means a general hammering to the bank balance with gift buying, social catch-ups, xmas groceries and holiday travel.

One way to head into the silly season financially prepared is to start saving now.

There’s approximately 20 weeks left until Christmas, and as an example, if you start putting $150 a week away, you’ll have $3,000 in your Christmas kitty to spend come 25 December .

If saving $150 a week seems like an impossible task, have you ever thought about reverse budgeting?

Usually when putting together a budget , you first list out all of your expenses including any discretionary spending and what’s left over then goes towards savings.

With reverse budgeting (sometimes also called the ‘paying yourself first’ saving strategy), the focus is on prioritising savings goals or at least treating saving as a non-negotiatable expense, much in the same way you look at rent or mortgage repayments.

To put reverse budgeting into action, ideally you’ll want to set up a high interest savings account (one that is separate from your everyday spending account) so that you can’t be tempted to dip into the funds easily.

If it helps, give the account a name like “Santa’s bills”, then set up an automatic 'bill' transfer each week or month into the account.

Voila. Come Christmas Day, there will be $3,000 to spend and enjoy with family and friends over the holidays.

Extra bite size ways to boost your savings:

  • Use a round-up tool. Many everyday banking accounts come with tools that automatically round up your everyday spending to the nearest $1, $5 or $10. You’d be surprised to see how quickly those extra dollars and cents add up.
  • Forgo a few small purchases each week . Often buy a coffee each morning or lunch at the office? Try skipping these purchases occasionally and instead of tapping on the POS terminal, tap your banking app and transfer the money you would have spent. An extra $15 a week into your savings account equals another $300 saved by Christmas.
  • Make your money go further .  You can save money on everything from discounted movie tickets and even earn cashback by utilising free rewards programs, online coupons and discount codes. Check your telco, energy and health insurance provider to see if they have a free rewards program. Here’s a shortcut to a list of currently available coupon codes on our sister site GetPrice .