We all know the holidays can be damaging on the wallet. From buying presents to feeding family and friends, by the time New Year’s Eve rolls around, your bank account may be tapped out.

If you want to ring in 2012 without breaking the bank, follow these tips to have a frugal and fun New Year’s Eve party.

Get creative

Decorations can be quite expensive and are typically thrown away after the party. Instead of throwing your money right into the trash, think outside the box.

“Add some unique flare to your party by gathering up all the clocks from around your house,” said Brooke Johnson-Leppla, event planner and co-owner of Pink with Envy Event Planning Services.

“Set each clock to a different time zone. As midnight hits each area, you and your guests can ring in the new year over and over again.”

Go electronic

Skip paper invitations. Create a small, intimate guest list and send an online invitation using sites such as www.Facebook.com or www.Evite.com.

Both websites send out invitations for free and you can save time and money by not sending them out through the mail.

Be green

Skip the paper and plastic utensils and use real plates and silverware.

Yes, you’ll have to do a few more dishes at the end of the night, but you can save at least $20 by skipping all the novelty tableware

Also, instead of buying confetti to throw up in the air as the clock strikes 12, make some.

Cut used holiday wrapping paper into small pieces and fill a bowl with your homemade confetti for everyone to use.

Ask for help

Rather than stress over preparing another elaborate meal for your guests, make it a potluck. Have each person bring their favorite appetizer.

This way, you’ll have plenty of food, but won’t have to spend all your money feeding everyone.

Jessica Garringer is a bargain hunter, DIYer and a couponer who loves to save money! You can reach her at JessicaGarringer@gmail.com. Get more money saving tips, ideas and projects at www.SaverSavvy.wordpress.com, www.Facebook.com/SaverSavvy or @SaverSavvy on Twitter.