Every year I’m amazed by how many people file their tax returns between Christmas Eve and Boxing Day.
If there is a lull in the family festivities, there is not a chance I’ll be turning on my computer.
I’d much prefer to re-watch The Sound Of Music for the millionth time, while pondering what I’d like to eat (and drink) next.
This is a golden opportunity. Around 31400 taxpayers sent their tax returns between December 24, 2020, and Christmas Day. More than 2,700 did it on Christmas Day.
Yet according to HM Revenue & Customs, around 31,400 taxpayers pressed ‘send’ on their returns between December 24 and 26 in 2020 — and more than 2,700 of them did so on Christmas Day itself.
We can’t even say this was because we were in lockdown this time last year, as even more people filed over the same period in 2019.
Even though I don’t recommend filing tax returns between Christmas and New Year, these limbo periods are a great opportunity to order your finances.
It is hard to avoid the reality that the household budgets are going to be squeezed in the coming months, even if you don’t want to sound too pessimistic when there are still gifts to wrap.
Inflation is now expected to reach 6 per cent next year, the average energy bill is predicted to exceed £2,000 by the autumn and it has never been more expensive to fill up your car.
People don’t have to worry as much about the two most basic living expenses of their lives when they stay at home during Christmas.
Additionally, the tax increase is imminent, and higher interest rates will put more pressure on families struggling to make ends meet.
There are some expenses — namely energy bills — that you can’t currently do much about. There are no cheap tariffs available from suppliers. You also have to be careful not to become bitter and sick.
However, if your mortgage is current and you do not intend to sell the house anytime soon you can lock in a deal for thousands of pounds per annum.
Even though the Bank of England increased its base rate last week there is still ample opportunity to get a two- or five-year mortgage at under 2 percent. These could disappear if the rates rise as predicted.
If you allow your insurance policy to renew automatically, you may be paying a lot more than you should.
Insurance companies will not be allowed to charge existing policyholders more than their loyal customers starting January 1.
Insurers are trying to keep their bottom line, so this is likely to increase costs. If your car or home insurance is due for renewal, it is a good time to get a better deal.
There are many interest-free balance transfers that can help you reduce your credit card debt.
You could also apply for new credit cards that reward you with points and cashback if your borrowing history is good.
A quick scan of your bank statements could reveal any old direct debits that you don’t need or desire.
Even ticking just one job off your to-do list will put your finances on a stronger footing for the New Year — and then you can celebrate freely with the last of the mulled wine.
Feedback is needed
Dear all companies everywhere, Please stop harassing me with requests to fill in ‘feedback’ surveys. In the last six weeks, Argos sent six follow-up emails to me.
I bought a baby monitor online for my cousin who has just had a little boy and it arrived — I really have nothing more to say on the topic.
Yet, for some reason, firms now expect us to give them a pat on the back every time they provide the service for which we’ve paid.
According to businesses, these surveys ensure customers receive the highest quality experience.
I’m more inclined to believe they simply want to boost their satisfaction scores on review websites such as Trustpilot.
Either way, it’s needy and annoying. Stop.
Best wishes
Last, but not least, Merry Christmas everyone from Money Mail
This isn’t the joyful holiday season I had hoped for. However, we wish you the best.
v.bischoff@dailymail.co.uk