Short answer
The couple usually pays for favours and small extras, as they are part of the wedding budget. If you are short on cash, you can skip favours entirely or make them yourself. Guests will not mind.
Wedding favours, table confetti, guest books, photo booth props and small decorations are all considered extras. There is no tradition that assigns these to a particular family. In practice, the couple pays for them, often from a general wedding budget. If you have a gift list or a cash fund, you can use that money for these little touches.
Favours are optional. Many couples now choose a donation to a charity instead, or a simple edible favour like a biscuit or a small pot of jam. Homemade favours can be lovely, but only if you have time. Do not let small extras eat into your budget for the things that matter, like food and drink.
If parents or bridal party members offer to help with favours, let them. It is a nice way for them to contribute without a huge cost. Keep a list of every small item you buy, because these add up quickly. You can also reuse items, for example the table plan board can double as a welcome sign. The goal is to make your guests feel cared for, not to spend on things they will leave behind.
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