Today is the second part of our three-part gift-giving tutorial.

Yesterday, we talked about ways to save money in your gift-giving. You might have noticed that one oft-recommended strategy was not on that list: making gifts by hand.

in my view, people who recommend handmade gifts have either never crafted gifts before or they don't know much about economics. Now, I'm not saying that you shouldn't make gifts. A handmade gift is a lovely thing — it may even be a treasure. Personally, I hand craft several gifts throughout the year. I just don't fool myself that I'm saving money.

• Crafting requires supplies. Unless your craft recycles trash, you need to buy those supplies. Craft supplies are expensive. There's a reason that the Green family (owners of Hobby Lobby) are billionaires. Even if you are making edible gifts, the ingredient costs add up.
• Crafting gifts also requires time. Yes, I can make pickles and pay less for my ingredients than I would pay for a jar of (less tasty) pickles at the store. But I have the sunk cost of equipment — namely the canning pot and jars. And that lower price doesn't account for my time. Even if I only "paid" myself the minimum wage, it would close the price gap.

There are certainly benefits to crafting gifts. The quality may be better. (I make a darn fine dilly bean.) The product is customized to the recipient. (Your bath salts match your bathroom AND they are your favorite scent.) They show love and care. (my what a fluffy handmade baby blanket!) They just aren't cheap.

So make all the gifts you want. Just be realistic about what they cost.