... try these recycled wrapping paper and gift wrap ideas from Baltimore By Hand.

Make gift boxes out of cereal boxes, decorate plain paper with pompoms from excess yarn or cut letters out of pretty paper --- perhaps even magazines? Thursday Bram at Wise Bread shares five ideas for last-minute gift wrap, including your children's drawings, the comics or aluminum foil. 

I'll see her suggestions and raise her with a simpler fabric bag: pillowcases. Either get them on sale at thrift stores or clearance racks, or use the ones you have (especially if you're giving within your own household). This is a perfect idea for gifts that are unusual shapes, such as sporting goods or kitchen items.

You could also try furoshiki, or Japanese fabric folding. as suggested by the Make Blog. 

And save your Christmas cards for gift tags! Just cut out Christmas shapes, punch a hole, and pat yourself on your frugal back.