The Affordable Gift

Editor's Note: This is Part 3 of a three-part series. Check out Part 1 and 2 here.

Local businesses are making penny pinching painless with gift and entertainment options that fit this year’s lean holiday budgets.

“I’ve heard from my clients that they’re just not going to do as much as last year,” says Janet Borgdorff, financial planner at Eastown Financial Services.

Nationally, consumers plan to spend an average of $431 this holiday season, a 50 percent drop from last year, reports the American Research Group.

“People are still spending money, but they are more intentional about how,” says fair trade retailer Joana Hively.

Hively has “definitely heard and felt” the impact of economic downturn on holiday purchasing at her store Global Infusion. She says customers are buying more functional gifts and cost-effective consumables like coffee, tea and chocolate than in years past.

Kristine Bersche, owner of the Green Life Market, a specialty grocery store in the East Fulton business district, has also noticed this trend.

“Everyone likes to try new and healthy products, and you can do that at a decent price,” says Bersche. “That’s the great thing about giving food as a gift.”

Decorated bags stuffed with organic pasta and small-batch sauces retail for $8.99 each. At five dollars apiece, Merry Zum bars – handmade soaps that double as tree ornaments – make great stocking stuffers.

“Tied with ribbon, a couple of chocolate bars are also a great economical gift for someone who has everything,” Bersche says.

Expect the Inexpensive
Local hardware stores and plant nurseries aren’t usually considered go-to spots for holiday shopping, but maybe they should be.

Rylee’s Ace Hardware has an extensive array of kitchen gadgets and natural cleaning products, many perfectly sized and priced for stockings and gift baskets.

African violets can be purchased for the modest sum of five dollars each this month at Nature’s Own, an “interior plant specialist” in Midtown. The plants thrive under fluorescent lights, making them a nice gift for coworkers. Everything at Nature’s Own is half off this December.

Local libraries, museums, and theaters are serving up cheap (and in some cases, free) holiday fun for the whole family.

“Circulation has definitely been going up lately,” says Meredith Schickel, who assists patrons at Kent District Library’s Cascade branch. “In this economy, why buy holiday music or movies that you can get for free at the library?”

Patrons can search Kent District Library’s online database for books, music, and movies, then have items sent to their nearest branch for convenient pick-up.

As part of their Celebrating the Classics series, Celebration Cinema is screening the Polar Express on December 19. Tickets are a mere $2.50 and can be purchased at the theater or online. The Grand Rapids Art Museum is showing A Muppet Christmas Carol December 20 at 3 p.m., free with the cost of admission. On December 21, guests are invited to create artwork while enjoying hot chocolate and decorating the museum’s Christmas tree.

The Public Museum is getting in on the holiday action with daily planetarium shows. ’Tis the Season, which costs three dollars plus admission, traces the history of winter solstice traditions. Holiday Magic, a laser light show with a holiday music soundtrack, is seven dollars plus admission.

Outside the Box
The best presents don’t always come in a wrapped box. In this difficult economy, one of the most fiscally savvy gifts is investing in a person or organization’s financial future.

“People do do this, but not nearly enough,” says financial planner Janet Borgdorff.

Contributions to a young person’s 529 – a type of college savings fund – or a donation to a local charity are gifts that keep on giving.

“The 529 is a very good option,” Borgdorff says. “We have thirteen grandchildren, and we contribute to theirs every year.”

“Bonds are also popular,” she continues. “You purchase them at a discount, and then they mature. There’s no risk.”

A charitable donation in the name of a friend or family member is another alternative gift idea that extends the impact of your holiday dollars. Borgdorff herself plans to do this for some of the people on her list.

“We don’t want to spend a lot, but we want it to be meaningful,” she says. “We are taking more care in how we live out this Christmas season.”