Cheap Christmas Ideas That Capture the Holiday Joy
- It’s possible to celebrate the holidays while continuing to prioritize your financial goals.
- Making homemade gifts, attending free holiday events, and hosting a potluck Christmas dinner are cheap Christmas ideas that capture the holiday joy.
- By looking for opportunities to spread joy and kindness and embrace the festive holiday vibes, you can stay on budget and avoid going into debt.
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Christmas is here, but there's still time to plan your spending so it makes financial sense for your budget while getting the most bang for your holiday buck.
Most people want to create lasting holiday memories with your family and friends without overspending. We’ve found some ways to celebrate Christmas without racking up holiday debt.
Here are some cheap Christmas ideas that capture the holiday joy.
Set a Holiday Budget
Before you start shopping for the holidays, outline a holiday budget.
Skipping this step could mean you end up with more debt and wind up needing debt relief. It'll be much easier to stay on track financially if you head into the season with a plan.
Don’t Go Overboard When Buying Stocking Stuffers
Aim to fill your loved one's stockings with holiday cheer without going over budget.
Some cheap Christmas stocking stuffers ideas include:
Candy bars
Nail polish
Stickers
Hot chocolate mix
Colored pens or markers
Chewing gum
You can also fill holiday stockings with useful everyday items. Some ideas include:
Hair ties
Travel-sized toiletries
Chapstick
Socks
Hand sanitizer
Screen wipes
Purchasing these items in advance can help you trim your shopping costs in the lead up to the holidays.
Buying stocking stuffers throughout the year is a great way to save more money. You can purchase items when they’re on sale and stash them away until winter. If you have several stockings to fill, multi-packs and bulk purchases could help you reduce your overall spending.
Host a Potluck Celebration
If you're hosting Christmas dinner this year, don't let high grocery prices cause financial stress. You don't have to buy and prepare the entire holiday meal yourself. Instead, ask your guests to contribute a dish or beverage. A potluck celebration is a fun way for everyone to get involved. This approach can also lower the overall cost of your family’s holiday gathering.
For another way to save on food, buy your holiday ham or turkey at a retailer that rewards a few weeks of grocery purchases. Many supermarkets offer a free or heavily discounted turkey or ham with a qualifying purchase.
Shop at Low-Cost Retailers
Ready for more cheap Christmas ideas that capture the holiday joy? Don't assume you have to spend a lot of money to show your friends and family you care.
Consider shopping at retailers like Marshalls, Ross Dress for Less, and Five Below, which have cheap Christmas gifts for kids and adults. Shopping in the clearance section is another way to find great deals. Remember, it's the thought that counts.
Embrace DIY Gifts
If you want to stay debt-free this holiday season, consider DIY gifting. Handcrafted gifts are thoughtful and offer a way for you to embrace your creativity. If you're crafty, handmade bookmarks, bath bombs, or holiday ornaments are some gift ideas.
For those who enjoy baking, homemade cookies, holiday bread, or peppermint bark are meaningful and affordable presents that spread holiday cheer. Another easy food gift is cookie or brownie mix in a Mason jar. It’s easy to find free printables and recipes. Finish with a holiday-themed ribbon bow.
A Christmas Card With a Meaningful Message Makes a Great Gift
Greeting cards are an excellent way to let your favorite people know you're thinking about them during the holidays. A festive card with a meaningful message is a gift in itself.
You can get multi-card packs at prices that won't drain your wallet at retailers like Marshalls and T.J. Maxx. If you're buying individual cards, look for cheap Christmas cards at retailers like Dollar Tree, Trader Joe's, and Five Below. Of course, handmade cards are also an option.
Enjoy Free and Low-Cost Activities
If you're worried you won't be able to afford fun activities for your kids this season, don't fret. Your family can take part in lots of free and low-cost activities.
Many communities host free events such as holiday parades, tree-lighting ceremonies, and photos with Santa. Driving around the neighborhood to take in all the holiday decor and lights is an event in itself.
You can also make your own holiday fun at home by baking holiday cookies together while listening to Christmas music. Another fun idea is to watch holiday movies in a blanket fort.
No Need to Break the Bank for a Joyful Holiday Season
Don't let your current personal finance situation keep you from having a joyful holiday season. Look for opportunities to spread joy and kindness without accumulating debt.
These are just a few cheap Christmas ideas that capture the holiday joy. Don't be afraid to get creative. The most important part of the holiday season is spending time with people you love.
Debt relief by the numbers
We looked at a sample of data from Freedom Debt Relief of people seeking credit card debt relief during December 2025. This data reveals the diversity of individuals seeking help and provides insights into some of their key characteristics.
Credit card balances by age group for those seeking debt relief
How do credit card balances vary across different age groups? In December 2025, people seeking debt relief showed the following trends in their open credit card tradelines and average credit card balances:
Ages 18-25: Average balance of $9,117 with a monthly payment of $272
Ages 26-35: Average balance of $12,438 with a monthly payment of $375
Ages 36-50: Average balance of $15,436 with a monthly payment of $431
Ages 51-65: Average balance of $16,159 with a monthly payment of $524
Ages 65+: Average balance of $16,546 with a monthly payment of $488
These figures show that credit card debt can affect anyone, regardless of age. Managing credit card debt can be challenging, whether you're just starting out or nearing retirement.
Home-secured debt – average debt by selected states
According to the 2023 Federal Reserve Survey of Consumer Finances (SCF) (using 2022 data) the average home-secured debt for those with a balance was $212,498. The percentage of families with mortgage debt was 42%.
In December 2025, 25% of the debt relief seekers had a mortgage. The average mortgage debt was $236504, and the average monthly payment was $1882.
Here is a quick look at the top five states by average mortgage balance.
| State | % with a mortgage balance | Average mortgage balance | Average monthly payment | |
|---|---|---|---|---|
| California | 20 | $391,113 | $2,710 | |
| District of Columbia | 17 | $339,911 | $2,330 | |
| Utah | 31 | $316,936 | $2,094 | |
| Nevada | 25 | $306,258 | $2,082 | |
| Massachusetts | 28 | $297,524 | $2,290 |
The statistics are based on all debt relief seekers with a mortgage loan balance over $0.
Housing is an important part of a household's expenses. Remember to consider all your debts when looking for a way to get debt relief.
Regain Financial Freedom
Seeking debt relief can be the first step toward financial freedom. Are you struggling with debt? Explore options for debt relief to regain control of your finances. It doesn't matter how old you are or what your FICO score or credit utilization is. Take the first step towards a brighter financial future today.
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Author Information
Written by
Natasha Etzel
Natasha is a contributing writer for Freedom Debt Relief. She is a veteran professional financial writer. She provides realistic strategies to help readers improve their knowledge and change their financial situations.
Reviewed by
Kimberly Rotter
Kimberly Rotter is a financial counselor and consumer credit expert who helps people with average or low incomes discover how to create wealth and opportunities. She’s a veteran writer and editor who has spent more than 30 years creating thousands of hours of educational content in every possible format.
What to give for Christmas on a budget?
There are many low-cost ways to show your friends and family that you love them. DIY gifts, presents from low-cost retailers like Five Below and T.J. Maxx, and greeting cards are meaningful and cheap Christmas gift ideas.
What is a realistic budget for Christmas gifts?
Everyone's finances are different, so there’s really no one budget that works for all. The best strategy for setting a realistic Christmas gift budget is to review your expenses, check your savings, and determine how much you can comfortably spend on holiday celebrations without going into debt.
How to make Christmas special with little money?
Even with a limited holiday budget, you can share meaningful moments with your friends and family this Christmas. It’s possible to spread joy and create lasting memories without spending a lot of money or making elaborate plans.
Sipping hot cocoa and watching holiday movies at home or driving around to view holiday lights in your neighborhood are fun and low-key ways that truly capture the holiday spirit of joy, and they cost next to nothing. During the busy holiday season, simple activities often bring the most happiness.