In fact, research from moneysupermarket.com shows that 45% of UK adults are worried about funding Christmas this year, and just 34% will have saved enough by the time Santa hits the sky.
Last year, the average shopper spent £320 on presents alone, according to Asda. Add to that the money you'll fork out on food, travel and making merry, and you can see why people feel under intense financial pressure.
For some people, a credit card is the answer because it means they can stagger the bill - read our article 'Spread the cost of Christmas with a card' for a run-down of the leading deals.
Festive freebies
Wouldn't it be great if you could do your Christmas present shopping for free? If only there was a way of offsetting all your spending. Well, maybe there is.
Follow our tips and see if you can have Christmas for free.
Open a new current account - £100
Want an easy way of netting £100? All you need to do is switch your current account.
Alliance & Leicester is offering £100 if you open its Premier Current Account. Read our review of the week for more information on this account.
You'll have to switch your direct debits over to your new account in order to qualify for the cash. Once you've done that - you're a quarter of the way to a cost-free Christmas.
Sell off last year's unwanted gifts - £36
Did you receive any presents you didn't need last year? Why not sell them to fund Christmas '09?
Remember those ornamental soaps languishing in your airing cupboard? Or that unused chocolate fondue set taking up space in your kitchen?
According to a study by eBay and YouGov, £1.7billion was spent on unwanted presents last year - equivalent to £36 per person.
So, as people start their Christmas shopping, why not sell off last year's unwanted gifts through an online auction site and put the proceeds towards your own shopping. After all, one man's junk is another man's treasure.
Use a cashback credit card - £30
If you do your Christmas shopping on a credit card, not only do you get extra protection under the Consumer Credit Act, you could earn some cashback.
For example, the American Express Platinum Cashback card pays out 5% for the first three months (up to a maximum spend of £2,000) and up to 1.25% after that.
So, say you spend £600, once you've added the cost of Christmas dinner, booze and travel to what you spend on presents, you could earn £30 cashback.
You'd need to repay the money on time, otherwise the interest you are charged will outweigh the benefit of the reward. Also, these cards are only available to those with excellent credit scores.
Bag a festive bargain - £100
It's official, we've become a nation of bargain-hunting, voucher-using hagglers. Research by moneysupermarket.com found two-thirds of Britons are now willing to haggle on the high street.
Here in the UK, we save an average of £50 a month by using vouchers and driving bargains. If you're missing out on this bargaining bonanza, you have two months to start using vouchers day-to-day and save some money for Christmas.
That means an average potential saving of £100. If you're not sure where to start, visit our revamped voucher page for some ideas.
Does your mum like being pampered? We have an exclusive 25% off at Champneys. Need to treat a teenage daughter? How about 50% off Grease tickets?
Don't forget to look in some of the high street chains offering three-for-two gifts - this could save you a small fortune.
Send e-cards - £18.70
Let's say you send 30 Christmas cards by First Class post this year. The cards will easily cost £7, while first class stamps will be £11.70.
So, ditch the cardboard and send e-cards. There are loads of websites offering free e-cards on the web. Because it's easier on the planet, many environmental charities have beautiful e-cards you can use for free.
Half what you spend on your other half - £54
Okay, so this isn't technically Christmas shopping for free, but it is a great way to save more than £50.
According to Aviva, we spent an average of £107.83 on our partners last year. Why not agree to buy one thing you both want - perhaps something for the house - and pay for half each? You could halve what you pay and still both have something you like, want and need.
Total savings: £338.70
So, if you follow all our tips, you could offset all your Christmas presents and still have some extra cash to put towards some Yuletide cheer.
Of course, it's not always possible to neatly offset all your festive spending. If you're anxious about managing your money this Christmas, there are three golden rules to keep in mind.
First, work out a budget you can afford and stick to it; rule number two, shop around for the best prices; finally, only buy from traders you trust, especially if you're shopping online.
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