What to do when 'Santa' is short of money

A financial expert and a parenting guru explain how parents can minimise kids' disappointment if they can't spend much over the festive period.

- By LISA SALMON

EXPLAIN THE SITUATION: It's best to manage children's expectations

EVERY child dreams that all the gifts on their wish list to Santa will be waiting for them under the tree on Christmas Day.

Unfortunately, the harsh reality of life is that many parents simply can’t afford to buy everything their child wants - a fact that can leave some children, and quite possibly their parents too, brokenhearted.

“For many, this Christmas will be a tough one as the cost of living has continued to rise, putting even more pressure on household finances,” says financial expert Alastair Douglas, CEO of credit brokers TotallyMoney.

“With higher energy usage, added spend on food, travel, decorations, and socialising over the festive period, keeping up with the latest must-have children’s gifts and demands will be difficult.”

And Matt Buttery, CEO of the Triple P UK and Ireland parenting program, says: “Beyond the planning of Christmas events, food, and presents, there is the constant worry for parents about how to meet their children’s expectations.

“The challenge can feel especially acute for parents with limited financial resources, where the gap between reality and their children’s expectations may seem impossible to bridge, leaving many parents anxious and unsure how they can make the holiday season feel special for their children.