Gag gifts can be a risk. Sometimes, they’re absolutely worth it. My family has a tradition of exchanging gag gifts every Christmas morning. The rules are: it has to be purchased from the dollar store, and you have to write something stupid on the gift bag, which is traditionally a brown paper sack. It’s a great way to start off the holiday on a goofy note, and to my knowledge, no feelings have ever gotten hurt. You have to walk the line a little bit, but ultimately you don’t want to be responsible for ruining Christmas. 

Not everyone is on the same page in terms of being comfortable with being made fun of. Some of us have thin skin and don’t like our buttons pushed. It is your job as a family member to identify these people and leave them alone. Messing with them is never worth it. Again, you don’t want to ruin Christmas.