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How do you do the holidays justice when money is tight?

You want to make the holiday season special for your family and friends, and you may feel you need to outdo last year — or at least keep up with everyone else.

Two-thirds of shoppers in a Beyond Finance survey said they feel an unhealthy cultural pressure to buy holiday gifts when they can’t afford them. And 19% admitted they’d bought gifts or trips so they could post about them on social media.

In other words, guilt, FOMO, and Instagram can make it hard not to overspend, even when prices are high and the economy feels increasingly precarious. And yet a monthly Gallup poll showed Americans downsized their holiday gift budgets more than they ever have in the middle of the shopping season: By November they were expecting to spend $778, on average, down from $1,007 in October.

So what can you do to stay true to your budget without going full Grinch? Here are some ground rules that could help:

•  Have a holiday heart-to-heart. If you’re facing a cash crunch this season, chances are that some of the people you exchange gifts with are, too. They’ll be relieved when they see your simple group text request: “Santa’s pursestrings are a little tighter this year, so why don’t we try something a little different?”

  Be ready with suggestions like a white elephant exchange in which everyone has to buy (and receive) one meaningful price-capped gift rather than presents for everyone. Or set a spending limit for everyone at your celebration to help reduce anxiety and decision fatigue. You could also make it a kids-only gift year.

•  Cap it at four gifts. If you have kids and the Santa haul in your house has gotten out of control, adopt the viral “four gift rule.” The idea is simple: Each child gets something they want, something they need, something to wear, and something to read. (You may need it for the adults in your life, too.)

•  Set an example. Speaking of kids, it’s easy to think we’re not doing enough for them, and it’s natural to want to take them to a magical theater performance or decorate the house and yard to the nines. But what better way to model living within your means than making your reality a teachable moment.

“Let them know when they're an adult, some years are going to be better than others,” Mary Clements Evans, a certified financial planner, told Scary Mommy. “Some years, you're going to have more money than others. If they're old enough, try to teach them a little bit about inflation. What happens if somebody loses a job? I don't think you can teach kids those lessons too young."

•  Scale the love. If you have a bunch of relatives or one big friend group on your gift list, consider putting effort into one gift that will make everyone smile — like a digital family greeting, photo collage, or special bread. (According to a recent Deloitte survey, Gen Zs and Millennials are the most likely to make their own gifts this season, including food gifts like baked goods, sauces, and charcuterie.)

•  Let tradition trump tickets. Stage shows and fancy New Year’s Eve dinners can get pricey fast. But there are other fun traditions that cost far less (or nothing), and they may end up being more memorable for you and your loved ones. Pile the family in the car with some to-go hot chocolate and look for the coolest light displays. Take everyone ice skating or sledding. Or have a holiday-themed potluck party with karaoke.

•  Stock emergency gifts to avoid last-minute expenses. When you need gifts right away, you’re at the mercy of expedited shipping costs or the prices at the only place that’s still open. If you spot a good go-to gift, grab an extra (or two) so you’ll always have something on hand for that person you accidentally left off your list.

•  Catch yourself. How did matching family pajamas, elaborate advent calendars, “brrr baskets,” and stocking stuffers pricey enough to be the actual gift infiltrate our holiday gift list? If you’re committed to scaling back, these extras could be a good place to start.

•  Ditch the guilt. You don’t have to spend what you spent in the past. If you can get by with $15 gifts for your nieces and nephews, don’t go grabbing something for an additional $10 to make up the difference. This year, take the win.

Related Reading

Learn to Recognize Holiday Spending Triggers (Take Charge America)

30 Amazing Gift Ideas That Cost Next to Nothing (Real Simple)

Are the Discounts Worth Getting That Store Credit Card? (SoFi)

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