Step one: Set a budget. If there is a large number in the family, why not agree to only give presents to the children, or, if the idea seems too unbearable, set a budget of, say, £10 per head. You would be amazed how imaginative people can be with only a few pounds to spend.

If there is a large number in the family, why not agree to only give presents to the children, or, if the idea seems too unbearable, set a budget of, say, £10 per head. You would be amazed how imaginative people can be with only a few pounds to spend.

Step two: Get organised. Contact everyone who is invited to visit at Christmas and make them responsible for one aspect of the festivities such as bringing Christmas pudding, flowers, cheese or brandy butter.

Step three: Shop smart. Don't leave it all until December 23, start shopping as early as possible to avoid expensive, last minute 'distress purchases'. Shopping online will add an extra layer of protection against panic buying and will create a good opportunity to accurately compare prices using price comparison websites. Truly thrifty Christmas savers will even brave the January sales to get started on their list for the following year.

Step four: Be creative. Make as many presents as possible – the recipient will love the fact that you have spent time and effort on their gift. If you are stuck for ideas a quick search of the internet will throw out literally hundreds of ideas from prints to pyjama bags. Use your talents; if you are a photographer why not frame a family picture, or if you love to write you could write a poem or short story. Once again, it helps if you get started early and try to make gifts throughout the year, to avoid last minute panics. Get your children and grandchildren in on the act too, at the very least it will be a lot of fun helping them make boxes of home-made fudge, cookies and mints.

Step five: Card clever. Savvy shoppers buy their cards in January when they cost virtually nothing, but if you have missed out why not make your own? Look around for some well-priced paint, glue, glitter or anything sparkling, and have some fun. If there are kids in the house, you will probably have all the equipment you need already. One easy and effective idea is to use a potato or sponge cut into festive shapes for a spot of printing – a red Christmas tree shape on green card looks great.

Step six: Wrap smart. Don't spend a fortune on wrapping paper and ribbons. It is possible to create just as nice an effect using recycled calendars, magazines or old maps, topped off with some beautiful ribbon from the haberdashery shop which is available by the metre at a fraction of the cost of festive ribbons.

Step seven: Reduce waste. Don't forget to freeze any leftover food on Christmas Day. Most households buy and cook far too much food over the festive season, with a bit of clever planning it could last much longer.

* Teena Lyons' opinions are her own and for general information only. Always seek independent advice.