The Online Safety for Christmas guide, developed by the coalition's Online Safety Working Group, walks parents through ways to protect their children online.
Launching the guide on Sunday, Opposition Leader Tony Abbott said some parents were unaware of how much damage internet-capable toys could do.
"Right now there are millions of Australian parents out in the shops buying presents for their kids," he told reporters in Sydney, adding that many of those gifts allowed children to get online.
"But the thing about internet-enabling is that if the kids have got access to your credit card you can end up running up large bills," Mr Abbott said.
"Perhaps more significantly, with an internet-enabled game, toy or product, the kids can have access to a whole lot of sites that might horrify you."
The guide recommends parents set up password protection and internet filters on home computers and safety settings on search engines.
The Coalition’s Ten Tips for Parents can be downloaded here
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