Saving on gifts

I am finally getting the hang of saving money on presents. I have discovered that, as with so much of life, the secret lies in not waiting until the last minute. Every time I wait, I end up spending more money than I want to spend. This year, I have started creating a stash of presents from which to pull. Everything has been bought at ridiculously low clearance prices.

Right now, I have a couple of makeup mirrors; a matching baby cap, socks, mittens, and hooded towel; two alphabet puzzles; 3 packs of girls' hair clips; a carton of play food items; a silicon kitchen utensil set; a book; and a documentary (that's a running gag from the Dirty Santa game Mr. Incredible's family plays). At the thrift store the other day, I found a brand new with tags 2-piece baby girl outfit by BT Kids for $.25. If I keep this up, I'll be able to significantly lower our gift budget next year.

How do you handle gift-giving?