We used to budget less but it's crept closer to £1.5k over the years.
£900 budget for presents. That includes £150 each for DDs, £100 for DH and I and then parents, siblings, elderly aunts and uncles, nieces and nephews. We have a reasonably large family on both sides so I don't think we can cut that down.
£300 on food. We try not to go crazy and just buy ourselves a few extra treats and a bottle of Baileys but we host a large party every Boxing Day and that does really add up on food and drink, and the cost has increased over the years as supermarkets have put their prices up.
£100 on "entertainment". Panto tickets are £60 for the four of us because we go to the cheaper showings at the end of November or start of January. Then £40 on seeing Father Christmas at a garden centre. We don't do light trails anymore after spending nearly £100 on one a few years ago. We just drive round our local town and villages to look at the Christmas lights.
Maybe £100 on socialising? I have a work Christmas party, DH doesn't go to his and DDs will have a school Christmas fair.
Then £100 on miscellaneous stuff. I tend to buy one new ornament for the tree each year but reuse all of our old ones. We have an artificial tree so that gets used each year and already have fairy lights etc. We don't have Christmas bedding, DDs each have a winter blanket in a Nordic print that gets put on their beds but that is mainly for some extra warmth and they've been reused for years.
I do tend to buy them some new winter pyjamas each year and a Christmas jumper if they've grown out of their old stuff but I buy them from Vinted.
Maybe some extra spending on wrapping paper or gift bags but we try to reuse gift bags we've previously been given, cut up cards to make gift tags etc so not a lot goes on that sort of stuff.
The only thing we really budget for is the presents as that's where the bulk of our spending goes but we don't put anything on credit cards and just try to spread the cost. I've already bought some Christmas presents for example and will get things as and when I see them. We'll also spread out the cost of the food shop by adding one or two items each week to our normal weekly shop and storing them in a cupboard in the garage so the only things to buy in the week before Christmas is all the fresh food.
We've already bought the panto tickets for this year so the cost is covered. Because we want the cheap showings we always buy them early to get the best seats we can, so normally get them in June.