Kids and gifts, a good starting point for families who despise going into deeper debt. The difficulty of telling a child “no” can be tough for some parents. Every parent wants to do right by their child. So what ends up being the solution? A parent trying their best to give their child everything they can possibly afford. I follow a different mindset when it comes to money and gifts.
I look for ways for my kids to receive a gift they’ll actually enjoy while still handling our money properly. As a single income family, it requires more work to live within our means on a regular basis. That doesn’t mean I’m not able to give my kids gifts, it means I have to be more methodical in how it’s done.
I share some ideas I’ve use that helped save money on my kids’ gifts.
Table Of Contents
- Look For Cheaper Alternatives
- Shop Early
- Rewrap Their Previous Gifts
- Set A Limit
- Buy A Gift Card
- Deny But Reply
- Conclusion
Let me start by saying this isn’t meant to be a guide that every family should follow. We all have our own reasons why we buy gifts for our kids. It could stem from how you were raised, what your family’s beliefs were, or what you find important. While I was raised in a family where gifts were commonly given during holidays, how I’m raising my own family is vastly different. The main reason is that we are a single income family.
Some of the ideas I’m about to share aren’t the most conventional but they’ve worked very well for us. Even though we utilize these for our family, a dual-income family could do the same too. Again, it comes back to your upbringing, your beliefs, and what’s important for your family.
Look For Cheaper Alternatives
This doesn’t mean to buy cheap, per se. In fact there are toys just as durable as the name brand toy at a fraction of the price. Those would suit perfectly fine for a child. They probably wouldn’t even know the difference, at least that should be the goal you shoot for. The problem I’ve come across is when I’ve bought a knock-off product just for the sake of it knowing it was cheaply made. Those typically don’t last very long even after some minor wear and tear. I’ve erased those as an option for my children.
If I’m going to spend money on them, I want to look for ways to reduce the amount spent vice spending wastefully. With the latter, I’m literally throwing money in the trash. Once the toy breaks down, that’s exactly where it goes. Trying to spend less can be done more strategically, it just takes more work.
- Check local thrift shops
- Browse on Facebook marketplace
- Shop on e-commerce sites
- Visit garage sales
These options don’t always have the ideal gift for my child as their special day approaches. I’ll need to be extra proactive in order to ensure that the gift they were getting was something that they would actually enjoy. If I couldn’t find a cheaper alternative, well I did have other tricks up my sleeve.
Shop Early
Not sure if other people are like me but I tend to forget very important birthdays’. Even forgot my own a couple times. Thanks to Mrs Simple FI, she will actually write down every single holiday, birthday, and family event coming up on the family calendar. So when I peek at the upcoming weeks, I know what to expect.
Giving myself at least four weeks to look for a gift has proven to be more than enough time. And the more time, the better. If I have a clear idea what my child wants, I’ll usually buy their gift on Black Friday (if I’m feeling up to it) or Cyber Monday (definitely the better choice). Buying gifts during these particular sales give me huge discounts on many products. Many of these products are limited on quantity so I’ll have to act fast on them. I usually won’t buy them for that exact reason. I’d rather use Cyber Monday sales since I have more time to think through the process, there are more variety of products, and I can look for better deals.
After I buy the gifts, I’ll stash them away in the master bedroom closet. They’ll stay hidden until the birthday or holiday is near. Shopping earlier does have financial perks if enough time is available.
Rewrap Their Previous Gifts
This probably isn’t the most common way of giving gifts. I know this because after telling a few friends, they looked at me weird as if I were doing something illegal. Call it cheap or call it frugal, I think of it as being resourceful. Let me explain.
There are only so many gifts any one child can truly play with. I’m not talking about laying them on the ground for long periods of time only to be yelled at to clean up because their room is turning into a huge mess. I’ve been there with my kids but I recognized there had to be a better way they could make actual use out of their belongings. Besides, that was the purpose of the gift in the first place right?
After much observation, I realized my kids would only play with a small portion of all their gifts they were given. The majority of their time was spent with around 20% of everything they owned. Exactly like the Pareto Principle says but applied to this situation, 80% of happiness comes from just 20% of the gifts. They don’t need to have every gift unwrapped because it doesn’t bring them much joy.
“80% of the effects come from 20% of the causes”
Pareto Principle
So what happens to the other 80% of gifts? Well I hide them until the next holiday comes. It’s rewrapped and given as if it were their first time opening it. Honestly, they haven’t realized what I’ve done and it won’t work forever.
When our kids were young, they received gifts from so many friends and family that most of those will often go untouched. After a couple months of owning them they’re donated to a thrift store so room can be made for more gifts. I’ve been able to rewrap gifts from two years ago. If my older child who the gift was originally intended for outgrows it, then it’s given to the next child.
Set A Limit
The times I spent the most on my kids were when there was no budget correlated with the gift. Literally walking into a big box store without a budget is similar to “making it rain”, a life I don’t live at all. The kids enjoy it but my bank account hates me for it. Setting a budget helps me to stay on track.
Having a predetermined amount that I’m willing to stay under prevents those impulse purchases. It’s the ceiling that I’m not allowing myself to break through. At the same time, it gives me a feeling of spending guilt-free. An amount was set aside for this momentous occasion which I can spend on without the repercussion of regret. The money was saved for that exact purpose. Whatever balance I’m left with can be used for the next event.
Buy A Gift Card
When I run out of options or I just don’t know what my child really wants, I will buy them gift cards. This gives them the freedom to use it as they please when they please. If they feel like using it today or saving it for the future, it’s up to them.
In a small way, a gift card has given them a sense of empowerment. Like they are able to decide what they want without anyone telling them what they should do. I counter this with giving a gift card for something that I would have had to buy for them later. For example, if their shoes are wearing out and need to be replaced soon, they’ll get a gift card for a shoe store. They get what they need while I don’t have to spend on it. It’s a win-win for everybody.
Deny But Reply
Throughout the year, my kids will constantly ask me to buy them something. A chocolate bar. A brand new toy. A pack of sports cards. It seems like they constantly ask to see when I’ll give in, which I usually don’t. But with each time I say “no”, I give them a reason for it.
Don’t get me wrong, simply telling them no works just fine. But I look for learning opportunities with my children. These moments are the perfect chance to discuss delayed gratification. I explain to them that while they want candy today, would they prefer to have a gift for their birthday instead. It’s a rhetorical question and 99.99% of the time the answer is waiting for the more meaningful gift. They obviously see the value in waiting for the future reward.
If that question doesn’t hit home, I’ll explain to them that we are a single income family and dad doesn’t make a whole lot of money. So while I could buy you what you want today, that money will have to be taken out of the budget for your gift later. They don’t like that idea either and usually opt out of whatever trendy item of the day is to save for the future. The concept of delayed gratification is slowly being understood because they ask for things less and less. It may have taken them awhile to wrap their head around the concept but this will pay dividends in the future.
Conclusion
All the ideas layed out here have been or continue to be used by me. Mainly due to being limited by one income. Is that to say that I wouldn’t follow these tips if our family had two incomes? Not necessarily. I see the value in how we are raising our kids especially when it involves gifts. Their expectations are controlled but still met, just in a different manner than their friends. Thankfully we live a pretty frugal lifestyle which lowers the chances of them requesting for expensive toys. Much of that is probably stemmed from how we use our money.
Do you need to cut back on gift spending for you kids? Are these ideas cheap or are they frugal? What are ways you save on spending for children?