Your family can still have a magical Christmas even when you’re totally broke.
There are really creative ways I wanted to share with you to today if you aren’t able to spend much money on Christmas. We tend to think that not being able to buy expensive presents means the magic of Christmas will somehow be diminished.
That’s just not the case. Here is how you can still buy presents, have a fun and festive holiday, and have the best Christmas morning ever even while on a very strict budget.
You CAN have a magical Christmas when you’re broke!
How To Have A Magical Christmas When You’re Broke
Homemade tree ornament exchange. The most fun we ever had at a family ornament exchange was the year we were allowed to spend $0. You couldn’t even buy craft supplies. We dug around the house and got incredibly creative and super funny.
Get Christmas books from the library. We usually buy a few new books every year, but instead of doing that, you can take a family trip to pick out new books to read. Make it a fun tradition to go hunt for Christmas books.
Buy all of your wrapping paper, bows and tape from the Dollar Tree. Not just any dollar store, specifically the Dollar Tree because they have a huge selection of things for $1. (Most of the other dollar stores cost much more.) You can get everything you need for wrapping for under $5.
Make paper snowflakes. Decorate your house with old school decorations that are hand made.
Make popcorn garland. Another great handmade activity to decorate the tree!
Make a construction paper countdown chain. And one more!
Check the local thrift stores. So many people in an attempt to make room for new toys donate things that are in perfect condition, sometimes even still in the package. This is a great way to find inexpensive presents. Go to different areas to check out a variety of selections.
Start a toy exchange. Get with local friends and set up a small toy exchange so that instead of taking toys to the thrift store, you exchange with each other so your kids get new toys.
Go to Five Below. This store has been a game changer since we first found it. There are AMAZING gift ideas like toys and games all under $5. This particular store has things for all the most trendy things kids are looking for like LOL Dolls, JoJo Siwa and Fortnite.
A local “small mall”. My kids favorite thing every Christmas is going to the local small mall that is open the first weekend in December. They’re able to shop for their family getting gifts for just $3 each including the wrapping. The gifts they pick out are so special.
Make gift giving more fun. Take your time opening gifts on Christmas morning so it isn’t over so fast!
- Play the saran wrap game with little gifts from the Dollar Tree.
- Stop to eat breakfast after you look through your stocking.
- Have a scavenger hunt for their “big” or most exciting gift at the end.
- Or have a scavenger hunt to find your stocking.
- Stop to take a gift opening break to go on a candy cane hunt.
- Play a funny game where you have to unwrap your present while wearing kitchen gloves.
If you have your own ideas that others may benefit from hearing please let them in the comments. Merry Christmas!

Liz is a just a mom trying to keep it real about how little she sleeps, how often she gets puked on and how much she loves them. You can find her here every day writing about real-mom moments.