Our budgets have always been based on our finances for the year, and they fluctuate.
One year we had a layoff and the kids got a hat and gloves and one dvd, and they were teenagers (14 and 17) then.
We were thankful to have heating oil and food and a roof over our heads.
We are both fully employed now, though not in possession of a money tree, so we still don't go crazy at Christmas. We never have.
We never spend more than $250 - 300 total.
We still have to buy oil for the furnace (at more than $4 a gallon) and property taxes are due in December too.
We usually do one larger gift (DS got a really nice pair of dress shoes- they require business attire at college for classes- which he loved) and a few smaller gifts.
He seems to really like gift cards too, so he can do his own clothes shopping.
DD and DSiL get gift cards.
DH and I buy small gifts for one another, we really have everything we could really want, and we get something thoughtful for our parents- something they can use and will appreciate (got Mom a supportive lightweight folding director's chair for sitting in on the beach or other outdoor events they go to through the year- her hip and knee replacements and arthritis make most folding camp chairs impossible for her to use.)
None of us own an ipad or kindle, we don't pay for cable or satellite or smart phones.
We work to keep our bills low... and these items often incur a monthly or yearly subscription cost,
so we steer clear of things that create new bills to pay...
We have bought $5 McDonald's cards for our nieces and nephews in the past and we will probably keep doing that even though it is beginning to really add up. We have over 20 kids (and growing) in our extended family and that is our largest single Christmas cost.
But we are a few hours away and can't get to all their birthdays, and to be truthful,
at the last birthday party we attended for a niece, they did not open gifts at the party at all,
they waited for all the guests to leave before opening them,
and nobody even said "thank you" so we will probably not be worrying about birthdays anymore and sticking to Christmas.
The older I get the more intangible things have greater value to me.
Last year when DS asked me what I wanted for Christmas, I told him I really wanted to make a special family recipe (Norwegian lefse) together in the kitchen.
It was a recipe my ggg grandmother made with her kids, and passed down through the generations, but we are the only family in my extended family that still makes it together.
None of my cousins do.
And I have the pictures with DS rolling out and making it.

This year for Thanksgiving he and I are taking some extra time off to go early to the grandparents and make this recipe with Gramma.
That will make her year and is my present from him again.
(Hey it's a lot to ask of a college junior to take his break time and commit to give it all to the family... he is a very special guy

)
Time together making good memories and carrying on family traditions is the best present ever...