Stop and do this before you buy anything on Black Friday

MW Stop and do this before you buy anything on Black Friday

By Venessa Wong

'Be sure to "pay yourself first" before you spend a dollar on deals,' says financial planner

"Companies use Black Friday to improve their bottom line, and you should, too," recommends one financial planner.

As many Americans prepare to rack up credit-card bills - and, often, debt - over the next few weeks, financial experts say people can try a different approach to the holidays this year by investing in their own finances before going on a shopping binge.

MarketWatch asked financial professionals how people can "pay themselves first" this Black Friday, a budgeting strategy in which you save or invest before determining how much money you have to spend. With 57% of people surveyed by KPMG saying they plan to shop for themselves this holiday season, spending an average of $379, it may be worth considering whether to reframe how we self-gift.

While people said saving more money is their top financial resolution for 2026 and far more people polled in a recent YouGov/MarketWatch survey said they would be happier if they saved more than if they spent more, year-end consumption often sets people back. About 36% of Americans took on holiday debt last year, with an average balance of $1,181 among them, according to a LendingTree (TREE) survey. But many Americans can't afford to take on new, and expensive, debt right now - in fact, 33% of people polled by Bankrate have more credit-card debt than emergency savings.

Read more: Americans' happiness is at a record low. Are we just using our money the wrong way?

'Companies use Black Friday to improve their bottom line, and you should, too.'Benjamin Daniel, financial planner

If you are focused on improving your financial well-being, it pays to look out for No. 1. "Be sure to 'pay yourself first' before you spend a dollar on deals," financial planner Benjamin Daniel advised. "Companies use Black Friday to improve their bottom line, and you should, too."

Before you shop - or scroll obsessively through countless lists of "best" Black Friday deals - Daniels recommended taking a few minutes to find one single way to strengthen your own finances. "Maybe it's checking [that] you're getting your employer match on your retirement plan before the year-end deadline. Finding an unused subscription to cancel. Adding an extra $50 to your emergency fund. Whatever you choose, take a small, meaningful step that invests in your future self," he told MarketWatch.

Set 'a cutback goal' of 10% to 20% for this year, and put the difference in an investment account.Ashley Agnew, Centerpoint Advisors

Another approach is to reduce your holiday budget compared with last year's, and - importantly - invest the difference. Financial therapist Ashley Agnew at Centerpoint Advisors suggested reviewing bank and credit-card statements from last year's shopping season, setting "a cutback goal" of 10% to 20% for this year, and putting the difference in an investment account if you hit your goal. "Between growth and contributions, doing this year over year can amount [to] thousands of dollars in investment savings," she said.

'Spend $50 on a gift, put $50 into your Roth IRA.'Jamie Bosse, CGN Advisors

Jamie Bosse, a financial planner at CGN Advisors, suggested people can create their own personal "matching program" if they have the financial flexibility to do so. "Spend $50 on a gift, put $50 into your Roth IRA," she said.

All the financial planners MarketWatch contacted emphasized the importance of establishing a holiday budget before you start shopping and sticking to a clear list of items you intend to purchase to avoid getting sucked into mindless deal hunting and impulse spending.

Make an 'Oops Fund.'Melissa Cox, Future-Focused Wealth

If you're prone to overspending, you may want to set aside a sum of money right now, if possible, as an "Oops Fund" while you have the cash, said Melissa Cox, a financial planner at Future-Focused Wealth. "Someone always gets forgotten or invites you to a last-minute gathering," she told MarketWatch. Setting aside this money, she said, "prevents unnecessary credit-card usage and financial guilt."

See this: 5 mental tricks to reset your relationship with credit cards as Americans pile on debt

While the pay-yourself-first approach may be unorthodox at this time of the year, having your financial affairs in order is actually a great "gift" to yourself as well as to loved ones, said financial therapist Christine Hargrove. "You'll feel freer, live happier, and give more generously when you're able," Hargrove said. A June survey by Empower found that people spend about four hours a day thinking about money.

"I encourage clients to think about what is most important around the holidays," rather than chasing deals, said financial planner Julie Williams of Wealthspire Advisors. "This year may be their opportunity to change the way they think about their holiday to-do list."

See also: Doing your holiday shopping with a credit card? Use these 6 tips to preserve your credit score - and your sanity.

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-Venessa Wong

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November 26, 2025 12:17 ET (17:17 GMT)

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