M.
COngratulations on having your kids so close together. Mine are 13 months apart and the busy-ness of the first year has paid off well. They love each other.
For the 1st birthday party, have you considered having the party at your own home instead of out somewhere? It is cheaper to hire a housekeeper to come in for 3 hours (so you don't have to do any cleaning!) and cater than it is to go out. Also, if you get your party supplies at Target or Walmart, they'll be just as good as what you'll get at the party stores. You can even just go with a few patterned items and get the rest in plain but complementing colors.