Christmas costs in Spain: budgeting for gifts, food and travel

Christmas in Spain is long. It starts with the big lottery draw before Christmas Eve and does not really end until the Three Kings bring presents on 6 January. That means more meals, more gifts and often a trip home or a visit from family, spread over several weeks. If you are spending your first Christmas in Spain, a simple budget plan made in November can save you a lot of stress in January. Here is how to think about the main costs and where the money tends to go.

Know the Spanish Christmas calendar first

Spending in Spain is spread over more dates than in many other countries, so put them in your diary before you set a budget:

• 22 December: the Christmas lottery draw (Sorteo Extraordinario de Navidad, known as El Gordo).
• 24 December (Nochebuena): the main family dinner for many Spanish households.
• 25 December: Christmas Day, a public holiday.
• 31 December (Nochevieja): New Year’s Eve dinner and the twelve grapes at midnight.
• 5–6 January: the Three Kings parade and Reyes, the traditional day for children’s presents.

Many families with children in Spain give some gifts at Christmas and the main ones on 6 January, so decide early which tradition you will follow. If you give at both, split the budget so January is not a surprise. Our article on Christmas traditions in Spain explains the background.

Set one total and split it into categories

The simplest method is to choose one total amount you can afford without using credit, and then divide it. Every household is different, so start from your own income and savings, not from what others spend. Typical categories are:

• Gifts: family, children’s Reyes presents, teachers, colleagues and secret Santa (amigo invisible) at work.
• Food and drink: Nochebuena, Christmas Day, Nochevieja and the roscón de Reyes cake on 6 January.
• Travel: flights or trains home, or extra costs when family visits you.
• Going out: company dinners, restaurant meals and New Year’s Eve events.
• Extras: decorations, lottery tickets, tips and higher heating bills in winter.

Write down the amount for each category and track spending in a simple note on your phone. If one category goes over, take it from another rather than adding to the total.

Plan around the December extra pay

Employees in Spain are entitled to two extra payments a year under Article 31 of the Workers’ Statute, and one of them is paid at Christmas. A collective agreement can instead spread these payments over the twelve monthly salaries, so check your payslip (nómina) or contract to see which applies to you.

Spanish state pensions also include two extra payments, paid in June and November, except pensions from work accidents and occupational illness, which are paid in 12 instalments. If you receive a pension from another country, it will follow that country’s schedule.

A useful rule: decide in advance how much of any extra pay goes to Christmas and how much goes to January bills, such as insurance renewals, annual taxes or the start of the new school term.

Gifts: spend less without looking mean

• Agree limits with family: a secret Santa with a fixed amount works well for large families and groups of friends.
• Buy early, but compare: Black Friday and online sales can help, but only if you were going to buy the item anyway. See our guide to Black Friday in Spain and your rights.
• Ask for a gift receipt (ticket regalo): physical shops in Spain are not legally required to accept returns. If a shop does accept them, it must show its conditions on signs, the receipt or the invoice.
• Know the online return rule: for most online purchases you have 14 calendar days from delivery to withdraw. This does not apply to personalised items or goods that spoil quickly, such as fresh food.
• Local ideas: for inspiration from Spanish shops, see Christmas gift ideas from Spanish shops.

Food and festive meals

Seafood, Iberian ham, lamb and turrón are typical on Spanish Christmas tables, and festive meals for a full house add up quickly. A few habits help:

• Freeze ahead: many families buy seafood and meat earlier and freeze it.
• Make a menu and a list: plan each meal, count guests and buy only what is on the list.
• Use the market and supermarket own brands: turrón, cava and nougat from own-brand ranges are widely available.
• Share the hosting: if family visits, agree who brings what for each dinner.
• Check opening hours: many shops close on the public holidays of 25 December and 1 and 6 January, and some close early on 24 and 31 December, so do your big shop in good time.

Travel home or family visits

Christmas and Reyes are a busy time to travel, and for many expat families the trip home is the biggest single cost. To keep it under control:

• Book as early as you can and compare dates either side of the busiest days.
• Count the full cost: luggage fees, airport parking or transfers, and pet care if you leave animals behind.
• Consider hosting instead: sometimes it is cheaper for one or two relatives to visit you in Spain than for your whole family to travel.

The lottery: a small line in the budget

Buying a share of El Gordo is part of the Spanish Christmas mood, and offices, bars and clubs often sell shares (participaciones). The draw is on 22 December 2026, and a full tenth ticket (décimo) costs 20 euros. Treat it as entertainment, not a plan:

• Set a fixed amount for all lottery tickets and shares, including those you buy to be polite at work.
• Keep the paper: look after your décimo or share slip carefully, as you need it to claim a prize.
• Tax on prizes: prizes up to 40,000 euros are tax-free, and the part above that is subject to a 20% special tax.

FAQ: Christmas costs in Spain

Do children in Spain get presents on Christmas Day or on 6 January?

Traditionally on 6 January, when the Three Kings bring presents, but many families now give some gifts on Christmas Day too. Plan your budget for both dates if you follow both traditions.

Can I return a Christmas present bought in a Spanish shop?

Only if the shop offers returns, because physical shops are not legally required to accept them. Ask for a gift receipt and check the conditions. Online purchases usually have a 14-day withdrawal period from delivery.

When is the Christmas extra pay paid in Spain?

Employees are entitled to an extra payment at Christmas, but the exact date and amount depend on your collective agreement, and some agreements spread it over the monthly salaries. Spanish state pensions pay their extra in November.

Do I pay tax if I win the Christmas lottery?

Prizes up to 40,000 euros are exempt. The amount above 40,000 euros is taxed at 20%, which is withheld when the prize is paid.

Useful links

• Ministry of Consumer Affairs: right of withdrawal and returns (PDF, in Spanish)
• Agencia Tributaria: special tax on lottery prizes
• Seguridad Social: when pensions and extra payments are paid

Disclaimer: This article is general information, not legal or financial advice. Rules and prices change, so check with the official source before you decide.