Scrumptious, delectable desserts. Candy canes. Sweet and dry champagne to sip like royalty. Clothing for the fabulous Christmas parties you attend or throw. Beautiful gifts to make your loved ones starry-eyed. Before you make your fantasies become expensive realities, weigh in on this all important question: Have you balanced your savings and expenses this Christmas?

As you celebrate the beauty of Christmas and the birth of a brand new year, take care not to find yourself absolutely broke by the second day of January. Separate your fantasies from your realities and protect yourself from financial stress and the low that often follows the high of spending without a plan.

You may think you have heard before all the advice you need. But this time, pay close attention. Christmas and the New Year can provide a rich experience without creating undue hardships in months to come.

Identify your disposable income on paper. This may include your salary and a bonus if you're fortunate.

Sum all your expenses for the month. Capture them all - large and small.

Review financial goals

Carefully review your financial goals - long term and short term. Keep on track with your commitment to consistently save and invest. You may wish to call your financial advisor for help.

The funds which remain after you have made all your deductions from your disposable income are yours to spend as you wish. (It's good to have a wish list. It discourages impulse shopping.)

Now for some smart tips for thoroughly enjoying your holidays while still balancing your scale in favour of your financial health.

Examine the clothing in your closet before you hit the mall. Are you sure there's nothing with a price tag still attached? Is there an item that you can mix and match with others? Perhaps you can add a new jacket only or switch around your accessories. Ideally though, consider wearing what you have worn previously. It's yours and it's paid for. New clothing you can ill afford will not make you enjoy Christmas.

Instead of planning a party on your own, why not include your family and friends? Have each person carry a dish or a bottle of their favourite wine.

Be creative with your holiday decor. Look for inexpensive ways to create a holiday ambiance in your home. Reuse the decorations from last year and remember to store them properly come January so you can use them again and again!

It's been said so often, perhaps you should believe it as true. If it comes from your heart, that's what matters. Buy only the gifts you can afford. This year more than ever before, it's all about looking for lower prices and bargaining when you can.

Not store-bought

Remember that some of the most treasured gifts are not store-bought. You may want to give the gift of sharing time with your loved ones. Create some real memories that will be remembered long after the wrapped gifts under a tree.

Give gifts that endure. Consider investment certificates. Gently push your loved ones in the right direction.

How will you weigh in this Christmas? First exercise financially sound thinking. Then measure the benefits of discipline. Skip to what's important to your present life and future goals. Reap the rewards of a healthy balanced season and the real reason for Christmas.

Karen Irons-Jolly is a Research Analyst at JN Fund Managers Limited. She may be contacted at kareni@jnbs.com.