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Having a baby can be one of the most amazing processes in the world--it can also be one of the most expensive.
Problem with this is it's hard to know what to buy and what not to buy. Magazines, celebrites, and friends/family will tell you everything you want, but what is truly a necessity?
The easiest thing to overbuy is clothes, but understand this--in the first year, your baby will grow faster than any other time in her/his life. Buying a huge amount of clothes can be expensive and a waste of money. Most babies only go through one to two outfits a day (unless they have conditions such as reflux). It's almost impossible to use up all their baby clothes before they outgrow them.
Start small and spread out people's gifts. There is no harm in exchanging six blue onsies or twelve Dallas Cowboy newborn jersies for store credit. This way, you can buy as you go along and know what you need.
Also keep in mind that your baby doesn't care if it's haute couture or off the clearance rack. As long as it keeps him/her warm and they are getting changed, held, and fed daily, all is well in the baby world.