Frugal Holiday Ideas: 5 Ways to Cut Expenses yet Keep the Holiday Spirit

Most families tend to congregate at one home for the main holiday meal. Instead of preparing most or all of the food yourself, have each person bring a main dish or dessert. This way you'll only have to prepare the ham (or whichever meat you prefer) for the meal. By doing this you'll not only cut back on your grocery bill, but you'll reduce stress and have more time for other things. Be sure to keep a running list of who's bringing what. That way if you have too many desserts or green bean casseroles on the list, you can make an alternate suggestion.

Have a Secret Santa gift exchange:

Let's face it, Christmas is nothing like it should be. Instead of focusing on being with family and friends to have a good time we buy armloads of gifts we can't afford and the people will probably rarely use. By having a Secret Santa gift exchange you'll be certain everyone gets what they want.

1. There should be a price limit such as $20 or $50.

2. Everyone involved makes a list of 5 things they'd like to receive.

3. Names are randomly selected and the gift purchaser can get one or more of the items listed, provided they stay within the total budget recommendation. This way you aren't shopping willy-nilly for whatever you can find and end up giving Aunt Jenny a pair of $10 gloves while your sister gets a $70 hair dryer.

You have less stress shopping for one person rather than a dozen or more, you know exactly what to get, and are certain the recipient will be happy with what they receive.

Cut down on gifts for the kids:

Have you ever noticed that after the first three gifts kids tend to get into a "rip it open and toss it aside" mode? They become greedy and/overwhelmed. Do kids really need twenty presents? No. With my kids, I've had the best luck in getting them one higher priced item they've wanted and then stocking stuffers. This may seem rather meager, but I'm telling you, this works! Kids are much more appreciative and act less high-strung or spoiled when gift giving is kept to a minimum.

How many times have you spent hours at a toy store or clothing shop only to have your kids use the items a couple of times before they're cast aside? I know in my house this has happened hundreds of times over the years! I finally realized that more isn't better. A few specially chosen gifts are enjoyed far more than a mountain of them.

Send E-cards:

With the cost of postage always on the rise, why not choose to send out e-cards? There are many sites that have wonderful free versions. My favorite site is Hallmark. Hoops and Yoyo are my favorites! Be sure to include a special note as you send one to each person on your list. I don't know about you, but getting a basic "Happy Holidays From Aunt Marge!" doesn't warm my heart much when I know she sent the same exact card and sentiment to everyone else! If you don't have the money to send a card via snail mail, be certain to make your e-card personal or it will just rate slightly above the Viagra Spam most people get.

No matter how tight your budget is, there are plenty of ways to have a Merry Christmas. These are just a few of the many tips to help you cut back on holiday spending while still keeping the Christmas spirit alive.