One in every 10 Americans is currently unemployed. Foreclosure filings were reported on close to one million properties in the third quarter of 2009. Personal savings, if it exists at all, is a fraction of what it should be. Terms on credit cards are rapidly changing, putting some consumers over the financial edge. And the biggest shopping day of the year, Black Friday, is just around the corner.

Considering the volatility of the economy, all consumers would be well-served to take a hard look at their personal financial situation and evaluate how to best approach the holiday season. Self-inflicted financial pain that could have negative consequences for years to come is a gift to no one.

Take the following Holiday Spending Quiz to assess your current financial stability before you begin shopping:

True or False

-There are arguments in my home about money.
-I sometimes hide my purchases.
-I have thought about filing for bankruptcy.
-I struggle to make my mortgage payment.
-I sometimes pay my bills late.
-I have used more than 30 percent of my available credit lines.
-My debt interferes with my sleep, job or home life.
-I have little or no savings.
-I am receiving collection calls or notices.
-If I lost my job, it would mean an immediate financial crisis in my life.

The harsh reality is that if you answer “True” to two or more of the above you may not be a candidate for a holiday shopping spree. Ignoring the reality of your financial situation will almost certainly lead to further financial distress down the road. It will come in the form of an unmanageable debt load, resulting in a damaged credit report and lower credit score, likely limiting your access to future credit. If there were ever a year to approach holiday spending with your head instead of your heart, this is it.

With the ghosts of Christmas past still lingering on many credit cards, piling new debt on top of old cannot be considered responsible by any measure. With any sacrifice comes reward, and the benefits of not having a mailbox full of bills in January will likely outweigh any lifestyle spending adjustments consumers make during the holidays.

This content was provided by The National Foundation for Credit Counseling (NFCC). Money Management International is a member of the NFCC.

For more on holiday spending, you might also enjoy reading How to avoid a huge end-of-year holiday bill.

The fourth annual Regiftable.com story contest is underway! Regifters from around the nation are invited to share their regifting stories and videos for a chance to win prizes valued up to $500.

Regifable.com is a forum for all things regifting, including an archive of more than 1,000 consumer stories running the gamut from the heartwarming to the horrifying. In addition to this year’s regifting story contest, the site also offers a cool game (nope, I am not going to reveal Regifting Robin’s secret!), regifting facts, personalized gift certificates, free eCards, regifting party rules, a song to rewrap by, and much more.

We created Regiftable.com to give people a fun way to learn more about regifting, and to start the conversation on a topic many people are reluctant to discuss—holiday spending and financial worries. Holiday gifting this year may be particularly difficult as economic stressors continue to stretch family budgets.

Believe it or not, holiday shopping starts to heat up during the final days of summer. By the time Labor Day rolled around, one in six Americans had already started work on their gift lists.

Shopping early can be convenient. Early shoppers can avoid crowds and spread their holiday budget out over several months. Some holiday shoppers are already out there searching secondhand stores for classic records and books, buying out-of-season clothing and sporting goods at steep discounts and using department store coupons to save money. To get a jump on your holiday shopping and avoid big end-of-year bills, consider the following:

Create a holiday budget early. Start the budgeting process by reviewing last year’s holiday purchases. Be sure to include decorations, food, clothes, stamps, cards, wrapping paper, event tickets, meals out, holiday entertainment and office party gifts. This should give you an idea of how much to allot this year.

Create a spending plan. Divide your budget by the number of months or weeks until the final shopping day and pace yourself. For example, if your budget is $1,000 and you have three months until the holidays, try spending $325 a month. This will make it easier for you to absorb the cost of the holidays and to avoid the trauma of having an extra $1,000 on your January credit card balance.

Know what it all costs. Even if you finish your gift buying early, realize that the holidays involve many more expenses than just gifts. Don’t forget the incidentals such as gift-wrap, shipping, greeting cards, postage, charitable donations and babysitting.

Know when to stop. When you finish shopping—stop! Sometimes it’s hard to resist the “one extra little gift,” however, even small items can add up to be budget-breakers. Three out of every four adults purchase presents for themselves when shopping for friends and family, according to American Express.

The key is to have a plan. It doesn’t matter when you buy as long as you’re smart about it. If basic budgeting skills are followed, savvy shoppers will find themselves sipping eggnog in front of the fire, while the rest of us are battling over the last Spiderman toy.