Breaking the pinata doesn't mean you have to break the bank. Here are some great party ideas that will save you money and give your kids something special to remember.

Pancake Party!

Everyone loves pancakes. Skip the fancy, (and pricey) pre-packaged snacks and have everyone's favorite breakfast food! Bring out the griddle, and with a few basics, you'll be on your way to flipping up a fabulous time. There's an excellent pancake recipe I found and use religiously. You can add things like flax or use whole wheat flour to make them healthy. Also, you can have a homemade syrup line with different flavors and condiments like whipped cream and chocolate chips. Have the kids come in their pajamas, and have pillow fights for a game. You can also have a story time activity, and a “bring your favorite stuffed animal,” fashion show.

Have a Fiesta

Make your own pinata. It's very inexpensive and fun to have your child help. You can fill it with toys from bargain shops and candy from a club store. Or just fill it with confetti. Learn the Mexican Hat dance. Make a big pot of arroz con pollo (chicken and rice) for the adults and have the kids make their own burritos. Here's a great recipe for refried beans that you make in your crock pot. It makes a bunch and costs pennies on the dollar to the canned stuff.

Movie Party

Have each child come as their favorite movie or television character.  Set up the movie viewing space with pillows and blankets. Then use an air popper to pop bowls and bowls of popcorn (that you bought in bulk from the grains aisle to save money on packaging). Have a talent show and let each child draw a picture of their favorite movie. Than vote on the best one, the scariest one, the most adventurous one...etc. Get stickers to place on the pictures as prizes and make sure everyone gets one for something...(“most creative”)

Dance Party

Turn on the tunes and boogie down. Make a disco ball pinata, have everyone dress in comfortable clothing and have dance contests. Play freeze with the music (whoever is still moving when the music stops is out until there's just one child standing). Mix The Wiggles in with Michael Jackson, as long as the kids are dancing, (and the music's clean,) it's a win win.

Underwater Theme

Bubbles are a classic for a reason. Whether inside or out, you can make your own bubble solution, get creative wands (thing slotted spoons, spatulas, etc.) and let the games begin. Who can blow the biggest bubbles? The longest lasting? The most? If you're lucky enough to have good weather, take it outside and add sprinklers, water balloons, squirt guns, and whatever you can think of. Check dollar stores and keep your budget. Remember to add to the invite to bring a swim suit, towel and an extra change of clothes.

Puppet Show

Gather your old socks, buttons, felt strips and hot glue guns and have a puppet party. This one is good for older kids (over 3). Have them decorate their puppet. Then take a big cardboard box (check furniture stores) and make a puppet stage. You can turn it into a contest with prizes, and have the puppets put on a talent show.

Basic tips to keep the cost down:

•  Plan the party between meals, such as from 2-4, so you don't need to feed an army.
   
• Hit thrift stores and dollar stores to get inspired.
   
• Ask your friends for any decorations they have leftover from their shindigs...and return the favor after yours.
   
• Join a group like freecycle and post what you need.
   
• If your home is un-usable for a space, look into local parks if the weather's nice, or even see if your local library has an available room.
   
• Make your own invitations. Check out deals on Vistaprint, or a photo sharing site like Snapfish.
  
  
• Sometimes it can be very inexpensive to have a nice looking invite. Also, check Etsy.com for handmade ones that are affordable and remarkable.
   
• Make your own cake. Decorate it with your child's favorite (washed) toys from around the house. Or you can make cupcakes and have the kids decorate their own.
   
• Make a pot of soup and serve with homemade cornbread or french rolls.

The main thing to keep in mind that will help keep the price down and the memories lasting, is to pay attention to what tickles your child and then go with a suitable theme. It's easier to work around a theme. And remember, everyone loves to dress up. Have fun!