10 Budget-Friendly Ways to Do Christmas Dinner & Save

Gathering around the table with loved ones is one of my favorite parts of the holiday season. But hosting Christmas dinner doesn’t have to break the bank.

With thoughtful planning and a bit of creativity, you can enjoy a delicious and festive meal without overspending.

Here are the 10 best ways to make a memorable Christmas dinner on a budget. One that leaves everyone full of holiday spirit.

budget-friendly ways to do Christmas dinner for saving money; ideas; hosting

planning Your Budget-Friendly Christmas Dinner

1. Set A Spending Limit

While we all dream of a picture-perfect holiday, setting clear spending limits for each part of the celebration is key to avoiding overspending.

Review last year’s expenses to get a realistic idea of what’s reasonable.
Then, decide on a total budget for the dinner. Factor in food, drinks, decorations, and dinnerware.
Make a detailed grocery list before shopping that you can stick to.

2. Keep The Menu Simple

It’s easy to go overboard with holiday dishes. Keep your menu focused on a few key items to reduce costs and waste. Instead of offering a huge variety, pick a couple of crowd-pleasers and focus on quality.

Affordable menu ideas include:

Use a turkey breast in place of a whole turkey
Serve a spiral ham
Make cost-effective and filling side dishes like potatoes, roasted carrots, and green beans
Incorporate seasonal produce like squash, sweet potatoes, brussels sprouts, and cranberries
Make gravy from scratch using drippings instead of a package
Serve a cheeseball or simple spinach dip for an appetizer

Another perk of a simple menu? It will help keep your stress level low during this busy season.

3. Make It A Potluck

Christmas food on dinner table; make it a potluck

For our big family Christmas dinner, everyone contributes. The family member hosting provides the main dish while everyone else brings a side dish, appetizer, or dessert.

Pro Tip: Communicate what you will bring ahead of time to ensure you have everything covered.

4. Take Inventory Of What You Have

Before shopping, thoroughly examine your pantry, fridge, and freezer to see what you already have. This helps you avoid buying unnecessary items.

Try a pantry challenge while you are doing inventory to clear out space and save extra money ahead of the holidays.

5. Shop Early

The closer you get to Christmas, the more likely prices will rise due to high demand. Start shopping early for non-perishable items like:

Cranberry sauce cans
Packets of gravy
Frozen vegetables
Boxes of stuffing
Cans of pumpkin
Spices and herbs
Broth or stock
Flour, sugar, and baking supplies
Frozen dessert puff pastries
Non-perishable snacks for charcuterie boards

Buy whole frozen turkeys early to keep in your freezer. You’ll avoid those last-minute price hikes.

Early shopping also lets you spread out expenses over a few weeks, making it more manageable.

6. Shop Smart For Ingredients

Make informed and smart choices when shopping for ingredients:

Purchase store-brand or generic versions for staples
Buy in bulk when you need larger portions
Plan dishes around seasonal produce
Check your local grocery store for discounts and sales

7. Save On Beverages

Keep the drink options simple when hosting. Offer water, tea, and one festive signature drink. To add variety without extra cost, invite guests to bring a bottle of wine to share.

For a non-alcoholic option, try an easy mocktail made with equal parts orange juice, cranberry juice, and sparkling water.

This sangria recipe is my favorite drink to add to holiday celebrations.

8. Bake Your Own Desserts

Holiday desserts can be pricey. But making them from scratch is far more affordable. Simple treats like cookies, pies, or cakes can be baked with ingredients you likely already have at home.

We like to keep it simple with Christmas favorites like chocolate-covered pretzels, peppermint bark, and fudge.

9. DIY Decorations and Settings

Before stepping into your favorite home goods store, take inventory of the decor you already own. This curbs the temptation to buy new and ensures you make the most of what you already have. Chances are you have accumulated enough decorations to make a simple, but beautiful table.

Add to your existing decor with these ideas:

Create a centerpiece with garland and mason jars as candleholders.
Create decor with natural items like greenery, pinecones, and berries.
Bundle your silverware in napkins tied with twine or festive ribbon. Add a sprig of rosemary, cinnamon sticks, or a candy cane to each bundle.
Let your kids help by making small crafts and decorating butcher paper to make a festive table runner.

Use your current plates or break out that fancy china you never use. Add some festive napkins and Voila! Your table is set without any added expense.

10. Repurpose Leftovers

Don’t let leftovers go to waste! Plan to repurpose them into new meals for the days following Christmas.

A leftover turkey can become soup, sandwiches, a pot pie, or casseroles. Extra vegetables can be transformed into a frittata or stir-fry.

Encourage guests to take home large amounts of leftovers. Freeze anything you won’t eat right away.

After the Celebration

After the food is devoured and the dishes are done, take a moment to evaluate your spending.

What dishes and drinks were a hit?
What items were left uneaten or unused?

Spot opportunities to cut costs next year and jot them down to reference when planning next Christmas.

Pro Tip: I like to store these notes directly in the container with my table decor, so I’m sure to see them next year.

You don’t need a big budget to create a memorable Christmas dinner. It’s the thought and care you put into the meal, not the money spent, that makes it truly special.

More Ways To Save This Christmas

money saving ideas for Christmas dinner on a budget

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10 Budget-Friendly Ways to Do Christmas Dinner & Save