I think it's all realtive isn't it. I have spent a fair bit on my two for Christmas, but I don't spend a huge amount on them during the year. DS is 13 and he has £30 pocket money a month, 12 of that he saves, the rest is his spending money, if he wants something or he wants to go somewhere he pays for it out of his pocket money.
I still buy his clothes and toiletries and if we go out as a family I pay for him, but if he wants to go out with friends or buy a magazine etc - he pays. But in order to get that pocket money he has to help around the house, if he doesn't help enough he doesn't get money. (this never happens though, but he knows it would if he didn't do as asked.) I think that has tought him the value of things and how to manage his money and how important it is to earn it. So I feel I can spoil a bit at Christmas.
DD is 9 and she gets leass pocket money and helps a little around the house, she has the same deal, you earn pocket money. And I have spoilt her for Christmas as well.
But I am firm with them during the year - I remind them how much they have spent, how much they have left for rest of month, if they have to save any for anything etc. DS now has a current account and debit card so is begining to manage his own money. If they see something they want but haven't got any money left - tough you have to wait till next pocket money day.
I have told my two they both have one big present and the only reason they have it is becasue I got a bonus at work and they know this is unusual and not to expect it every year. They then have 8 stocking present's (from Santa of course), 8 under the tree from DH and I and 8 in their Christmas Eve hampers which is a new idea for this year and consistes of PJ's, robes, slippers and hot chocolate bits and pieces and popcorn for christmas Eve movie night.
All depends on age as well doesn't it, mine are old enough to understand.