Of course loved ones won’t stop loving us. But it can sure feel that way when we don’t have anything we feel is special enough to give them for Christmas. But what are your “emergency” options other than MasterCard/Visa if we’re broke and didn’t save? Here are a few fun ideas that can preserve your budget and be gobs of fun on top of it. Never use debt to buy Christmas presents unless you budget and you’re using credit cards as cash.

Resistance to using a credit card may be especially challenging this year due to record high inflation accompanied by higher interest rates… Stagflation! Here are some ideas I recycled from Christmas 2019.

The White Elephant Gift Exchange

No not this kind of elephant…

Remember the white elephant gift exchange? Wikipedia reports that the White Elephant is sometimes called a Yankee Swap or Dirty Santa. I think the game relieves the stress of having to buy expensive gifts. People often use humorous gag gifts. As such the game is meant to entertain the participants. The eliminates the notion of giving extravagant gifts.

In fact, the original meaning behind the white elephant was to give a large impractical gift that would be difficult to get rid of. In Siam, the King used to gift a rare albino elephant to helpers with whom they were displeased. The animal’s care was expensive would ruin them financially. No one is really sure who first coined the term, but a good bet is that Ezra Cornell (as in Cornell University) brought its use into common practice in the 1920s.

So the host sets dollar amounts and other guidelines for gifts. Sometimes the participants might come to a consensus. Each guest brings a wrapped gift. Draw straws to see who goes first. The first participant selects a gifts from the pile of gifts. The next person can ether select a gift from the pile or “steal” a gift from someone else.

This continues until the last remaining gift in the pile has been selected.

White Elephant Auction

White elephant auctions are also commonly used many family reunions. The Noldy family reunion uses them as a fundraiser for future reunions. There is no trading gifts in a white elephant auction. The top bidder wins the gift, the end. The gift may be a very nice family heirloom, or it could be a gag gift. This is why some families will still use the gift-stealing rendition.

It all depends. But using the auction as a fundraiser is a good cause, and people don’t have to spend money if they choose not to participate in a particular auction. Because people volunteer to participate, they can avoid spending money foolishly if they choose.

The Secret Santa Gift Exchange

Another favorite is the secret Santa. This is where, in a close-knit group of friends, all the friends’ names are put in a hat, and people draw names. You are the secret Santa to whoever’s name you draw. This drawing sometimes takes place during public gathering — for old time’s sake, catching up, and getting gift ideas for your draw.

And since you’re only buying one gift for the whole group, you will be less likely to be swiping up a storm with the plastic.

My oldest daughter and her high school classmates were still doing a Secret Santa gift exchange many years after graduating high school. I’d say that they’re doing it right!

And like the white elephant gift exchange, participants agree on a limit for the dollar value of any gift. This may require some imagination when selecting a gift for someone you may not have seen for a while.

Other Ideas

There are countless other ideas, but the above two are the ones that I remember most growing up. Share in the comments below holiday ideas that your family has.

Have fun with it!

The perceived drawback for some are truly personal. People may feel cheap for suggesting ideas like doing white elephant gift exchange or secret Santa. But you will have fun! These things often become a tradition.

All four of my daughters are starting a secret Santa gift exchange. During my childhood, I remember the secret Santa gift exchange among all my cousins. There were ten of us! This is a classic example of creating memories that last a lifetime.

So talk to your friends and family and suggest a secret Santa or white elephant exchange. ou’ll save money and have tons of fun doing it.

As Always…

Thanks for reading! I hope this information provides food for thought. Remember that I am not a certified financial planner, a certified public accountant, a licensed real estate agent, etc. My content is for educational purposes. I am a math educator who happens to have a finance degree. Like they say, never take financial advice from a math teacher! (Do they really say that?)

But you should spend less than you earn, invest the difference, and stay out of debt!

I would so appreciate your sharing my content with anyone you feel could benefit. And if you would like a free exploratory conversation or just want to shoot the breeze about personal finances, call me and leave a message or send a text to 570-731-0425.