As Christmas approaches, if your kids are anything like mine, their behavior gets better and their wish lists get longer. Even the ones that are grown and out of the house are more friendly. I get text messages with links to items on Amazon or various other sites.

Also as Christmas approaches, my reasons for remaining debt free are challenged. Even though being debt free offers the advantages of not worrying about money, increased savings, and not getting caught up in the interest rate trap, I want to give gifts to all of my friends and family, and leave my kids with great memories not only of receiving gifts, but giving them to others.

How do you balance this dilemma? It is time to get creative, and if you have a large extended family, this can be challenging, but here are some ideas we have used in the past and that may serve you well.

Give Family Gifts

Instead of giving gifts to every nephew, cousin, aunt, and the other various relatives that emerge from under the tree with hands outstretched, give each family a gift that all of them can enjoy.

These gifts can include games, puzzles, and collections of movies or television series on DVD or even digital download. Tailoring these to parental tastes and kids ages and preferences can make these gifts truly personal and unique without breaking the bank.

Send out Calendars

Chances are if you are close to your family, you have spent some time with them this year, and since we all have high definition cameras on our phones, you probably have some good pictures of those events.

Especially if you have had a family reunion, a wedding, or another special event, you can make these things into 12 months of memories. You can also add birthdays, family gatherings, and holidays to your calendars and give one to each household on your Christmas list.

Picking out photos with your kids and adding birthdays can be a fun activity, and using websites like MegaPrint or even iPhotos you can design and order high-quality photo calendars that are also affordable.

family-shirtMake T-shirts

Got a funny family saying, or a joke that everyone is in on? Want a shirt to commemorate a recent family event or gathering? Have custom t-shirts made. On most sites you can choose from a variety of shirts and colors, upload your own design, and have shirts in a reasonable amount of time.

Search for deals depending on the number of shirts you need to order. Even for quantities of less than 10, shirts can be found for as low as $5 each. Allowing your kids to work together on the design makes the shirts even more personal for those receiving them and teaches your kids more about the creative process.

Do A Painting or Pottery Night

Often, art studios or teachers will offer special classes or just an evening specifically for making a craft. Your kids can create great gifts for your family while trying out a new skill or activity. This is a great exercise for parents as well, giving you a chance to work with your kids on something creative while not having to purchase all of the necessary supplies, not to mention not having to clean up your own house afterward.

Often these activity nights include paints, canvas, pottery, clay, and all the materials and instruction you need from someone who knows what they are doing. These kinds of gifts are sure to be a hit will all of your family.

No matter how you plan to save money or give gifts this holiday season, there are many ways to be creative, spend time with your kids at the same time. What are your ideas for creative gifts on a budget? Let me know in the comments below.