How much should I spend? A gift budget guide by occasion and relationship

The first budgeting rule: a gift is a message of appreciation, not proof of purchasing power. Overspending can embarrass the recipient just as much as underspending.

Tie the budget to the relationship A colleague needs an elegant token gesture, a close friend deserves a thoughtful personal gift, and for family you already know what makes them happy regardless of price.

Then to the occasion Weddings and graduations are major occasions that justify a higher budget, while passing occasions — a thank-you or a visit — call for something simple and tastefully wrapped.

Practical tips - Good wrapping raises a gift's perceived value by more than its cost. - A handwritten card with a sincere line outlasts any increase in price. - For group gifts (from a work team, say), pool one amount for a better gift instead of scattered small ones.