More people go into debt during the Christmas season than any other time during the year. With that in mind, let me offer a few strategies for having a good Christmas, minus the debt.



Swap Names

If you have two or more people in your family, consider swapping names and buying gifts for just one person.

For instance, if there were four people in a family, each person would buy just one gift: four total.

If each person bought a gift for all three individuals, that would be 12 gifts total. So by doing a name swap, you can cut your gift giving (and spending) by 200%.

Make Your Gifts by Hand

Do you have a talent for crafts? Make your gifts instead of buying them!

I'm fortunate that my wife is a incredibly talented. She makes jewelry, hair bows, and ornaments and gives them as gifts at Christmas time, which is a big money-saver.

Have a No-Gift Christmas

Is it really necessary to buy gifts for your family members and friends? Is there really anything they need or want in the first place?

Consider putting a moratorium on Christmas gift-giving for one year. Focus on spending time with people you care about.

Create a Gift List

If you decide to buy gifts, then don't set foot in a retail store without knowing exactly what you're getting -- and exactly how much you plan to spend.

Shopping without a purpose quickly leads to overspending and debt. But if you have a clear "game plan," you'll survive with little damage to your pocketbook.

Don't Use Credit

When buying gifts, use cash or debit -- but avoid using credit. Since you're spending a lot of money in between the statement cycle, it's too easy to lose track of what you've spent.

And by avoiding credit, you won't get any nasty surprises in January when the credit card bill shows up.