This year everyone is planning to cut back their holiday spending. And I mean everyone. Check out this letter my children got in the mail yesterday:

Want Santa to send a letter like this to your kids? Send an email with your mailing address to Robin@Regiftable.com and I’ll see what I can do. (Don’t worry, Santa will not share your contact information with anyone.)

Anyone who knows me knows I love to shop. There’s nothing like putting together a great outfit. I feel like I’ve created a masterpiece. I once told someone that “shoes aren’t just something you put on your feet; they are a work of art—like something to be admired in a museum.”

As much as I love to shop it’s important not to spend all my hard-earned money on fashion. There are many ways to dress well without spending a lot of money. According to the Consumer Expenditure Survey, the average household of 2.5 people spends $1,604 per year on clothes. Below are tips to help you save less on clothes and accessories.

Shop before you need something. Shopping on impulse or at the last minute can leave you with an overpriced item you don’t like. It’s best to plan ahead and give yourself time to research the best price and buy something you’ll love.

Look for end-of-season deals. The best time to buy a winter coat is after the winter season winds down and the spring shipment begins to come in. If you buy items during off-season you can save a bundle. The trick is to buy items you will wear and avoid buying something just because it is on sale.

Find bargains at resale shops. Resale stores carry stylish, gently worn pieces. You can resale your old clothes and earn a few bucks or just exchange what you own for something in the store of equal value. There is usually a fashion buyer on-site to personally inspect the clothes for wear-ability and style.

Checkout great deals online. Online shopping sites such as Ebay and Amazon are great places to buy clothes. To have a successful experience always purchase an item from a seller who has a solid reputation and lots of positive comments; check all measurements to make sure the item will fit you properly; and verify the price is reasonable by researching what it sells for now.

Mix and match pieces. Buy items that you can mix and match with a variety of pieces. Make sure you can wear the item for a variety of occasions. This will cut down on shopping trips and cost less money. *A good rule of thumb to buying shoes is to make sure you can wear them with at least five different outfits.

Invest in the basics. This is an old style rule. Everyone should have a nice, crisp white shirt; a good pair of black, tailored pants; a nice pair of blue jeans; and dress shoes. To cut down on shoe buying get one pair of silver, gold, black, flesh-tone, red, and your favorite color shoes. These are stable colors. You’ll be able to wear them with anything. Don’t buy shoes that are too trendy and I recommend investing in a really good pair since you won’t have to buy new ones for awhile (depending on how often you wear them).

Look for special promotions. Sign up with your favorite stores to receive coupons and special promotions through the mail or email. Many stores send out coupons to customers who have signed up. This will also inform you of special sales and clearance events.

Yes, fashion is an art. Managing money is a skill. Study styles in magazines and shop for similar, discounted items. Magazines such as Instyle offer a Fashion for Less section where the editors find inexpensive versions of some the season’s hottest pieces.

It seems like everything on television is a competition. Cooking, decorating, and weight loss challenge programs have turned kitchens, living rooms, and workout rooms into battlefields. Thankfully, there are people who are taking a more realistic approach to this “reality” trend. The Lose To Win: Financial Edition makeover competition sponsored by E Federal Credit Union (EFCU) in Louisiana combined practical professional help with unmatched participant dedication to achieve remarkable results.

In early 2009, Kristi Smith, a single mother of two from Walker, LA, was drowning in debt with little savings and little hope. A recent divorce and undisciplined personal spending left her with mounting debt. Smith decided to take a chance at a fresh start by entering the makeover competition.

With the help of her financial coaches, Anna Lafitte of EFCU and MMI’s Valerie Jenkins, Smith and her two children, Shelby and Kalyn, were named the competition’s winner by losing more than $22,000 in debt and saving over $12,000 in eight months. She competed with three other families to see who could reduce debt and increase savings by the greatest percentage during the contest that ran from February through September 2009.

“I can’t believe we did what we did! The numbers we produced in these 8 months were simply overwhelming. I never in my wildest dreams would have ever imagined being able to eliminate $22,000 in debt while saving $12,000 at the same time, “said Kristi Smith. “Our family has made large strides to getting ourselves out of an ugly financial mess, and we can hold our heads high with pride, knowing we did what had to be done to change our future.”

Throughout the competition, each family met at least monthly with their financial coaches to discuss ways to improve their financial situation by reducing their spending habits, increasing their earnings, and living more financially sound lives. In addition, the families participated in quarterly financial seminars.

All of the participating families made real and significant improvements to their financial outlook. Combined, the four families made a financial swing of more than $80,000 in just eight months. For details on how they did it, check out LoseToWinFE.com where the families’ journeys were chronicled weekly through online videos and blogs. Event organizers hope that the success of the four families will inspire others to improve their own financial lives. Are you inspired?

Kristi Smith (left) hugged by one of her financial coaches, Valerie Jenkins of MMI/CCCS.