Excess spending and overconsumption can quietly take the joy out of Christmas. For many, the festive season brings a spike in credit card debt, higher food costs and a huge increase in waste. What should be a time of connection and celebration can easily turn into unnecessary financial stress and a bin overflowing with wrapping paper, packaging and unused gifts.

According to the CBA, we spend over $11 billion on Christmas presents each year, including around 20 million gifts that end up unwanted. On top of that, holiday festivities cause our landfill volumes to rise by an estimated 30 per cent higher compared to the rest of the year.

A sustainable Christmas doesn’t mean cutting out the fun. Instead, it’s about being thoughtful: thoughtful with what we buy, thoughtful with what we give, and thoughtful with the impact our choices have on both our finances and the environment.

Here are 10 practical steps to help you celebrate a more intentional and sustainable Christmas this year.

1. Choose Pre-Loved Gifts With Purpose

Op shops are one of the easiest ways to reduce waste while finding unique presents. With more than 2,500 op shops across Australia, it’s easier than ever to give a meaningful, high-quality second-hand gift.

Today’s op shops often stock:

Clothing in excellent condition
High-quality toys and books for children
Vintage homewares and glassware
Artwork, puzzles and games

You can even theme your gifting:
“Pre-Loved Only Christmas” or “Vintage Finds Christmas”.

This reduces waste, saves money and adds a thoughtful, one-of-a-kind touch to gift-giving.

2. Swap Paper Cards for Digital Messages

Christmas cards are a great tradition, but most are thrown away within weeks especially those with glitter, metallic foil or plastic coatings that make them non-recyclable.

Digital cards are a simple, sustainable alternative:

They save paper, postage, printing and fuel
They can be personalised with photos, animations or heartfelt messages
They cost little or nothing
They reach loved ones instantly, anywhere in the world

You can even create short video greetings or digital family updates, a modern way to share the Christmas spirit without adding to landfill.

3. Gift Experiences Instead of Things

Experiences create memories that last far longer than most physical gifts. They also eliminate the need for wrapping paper, packaging or postage.

Experience ideas include:

Movie, concert or theatre tickets
A restaurant, cafe or wine-tasting voucher
A massage or spa treatment
A local workshop (cooking, pottery, painting, crafts)
Whale watching, farm experiences or surfing lessons
A guided bushwalk or nature tour

Or give something even more meaningful, your time:

Offer to cook a special dinner
Provide free babysitting
Help with a project or task
Plan a fun day out together

These gifts feel personal and thoughtful, without contributing to clutter.

4. Wrap Smarter: Creative, Reusable Wrapping Options

Australians use around 150,000 kilometers of wrapping paper each Christmas, most of it unrecyclable due to coatings, glitter and sticky tape.

Instead, try:

Tea towels: A practical part of the gift
Fabric wrap
Scarves or bandanas
Recycled boxes or tins
Old maps, newspapers or children’s artwork
Brown kraft paper with natural twine

Decorate using items from your garden: eucalyptus leaves, rosemary sprigs, pine cones or dried flowers. These small touches add charm without waste.

5. Shop Your Home First: Repurpose What You Already Own

Before buying something new, look around your home for items that can be reimagined into thoughtful gifts.

Ideas include:

Plant division: Many garden plants can be split and potted
Home baking: Biscuits, shortbread, rocky road or fudge
DIY food gifts: Spice blends, jams, infused oils or granola
Upcycled decor: Painted jars, handmade candles, terrariums
Re-gifting quality items you no longer use

Often, the most appreciated gifts are personal, handmade or home-grown.

6. Plan Festive Meals to Reduce Food Waste

Food waste skyrockets in December, with Australians discarding roughly 25% of the food they buy during the festive period.

Try these strategies:

Write a realistic menu based on guest numbers
Avoid impulse buying as it leads to fridge clutter and spoilage
Use leftovers intentionally
Freeze meals you can’t eat right away
Buy fresh and unpackaged food where possible
Ask guests to contribute a dish so you don’t over-cater

Simple planning can dramatically reduce waste while keeping costs down.

7. Simplify Gift-Giving With Clear Agreements

It’s easy to feel pressured to buy gifts for everyone even when it doesn’t align with your budget. Instead, discuss expectations with family or friends.

Consider:

Secret Santa (one gift per person)
Spending caps, such as $20 or $50
Kids-only gifting
Handmade gifts only
Experience-only Christmas

When everyone is on board, gift-giving becomes simpler, more affordable and far less stressful. The focus shifts back to thoughtfulness rather than the number of presents.

8. Support Local Makers and Small Businesses

Choosing to shop locally has huge benefits:

Lower carbon footprint
Less packaging
Higher-quality, small-batch products
Supports local families, artists and producers
Keeps money circulating within your community

Great local gift ideas include:

Handmade soaps or candles
Local wines, olive oils or condiments
Jewellery or pottery from local markets
Gift vouchers for local cafes or wellness providers
Regional food hampers

These gifts feel special, unique and deeply connected to your community.

9. Decorate Sustainably With Natural or Reusable Materials

Instead of buying new plastic decorations each year, consider:

Reusing your existing decorations
Choosing quality pieces that last many years
Using pine cones, gum nuts or branches
Decorating with LED lights to save energy
Swapping unused decorations with friends

Natural decorations are not only beautiful they’re fully compostable at the end of the season.

10. Focus on Meaning, Not Materials

When we strip back the pressure to overspend, over-decorate and over-give, Christmas becomes lighter, calmer and far more enjoyable.

A sustainable Christmas means:

Spending within your comfort zone
Creating memories instead of clutter
Reducing stress
Minimising waste
Enjoying time with the people who matter
Appreciating the simple moments

If you approach the season with intention, you’ll find that less really can be more.

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After working as an advisor for a decade, Joel founded Unified Wealth.

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10 Steps to a Sustainable Christmas