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Before you start preparing your lights for storage, count how many strands you have. Recording the number will help you know how many hangers to buy later. Unplug any strands that have been plugged together, as Christmas lights are best stored singularly to prevent tangles. There's no point in storing a tangled mass of lights on coat hangers. The entire purpose of the coat hangers is to keep the strands separate. Locate the plug and use it as a guide while you untangle the lights. Work the plug in and out of the knots until you've detangled the entire strand. Be gentle with your lights as you untangle to avoid damaging them or worsening any knots. Separate untangled strands from tangled ones as you work. There's no point in storing burned-out lights. Make sure each one works by briefly plugging them into the wall. Fix or throw away broken Christmas lights, depending on your time commitment. Dirty or dusty Christmas lights will not only detract from the holiday spirit next year but also contaminate other strands. Wipe down dirty lights with a slightly damp washcloth, then use a dry rag to remove excess moisture. Pay special attention to lights that hung outdoors. Never submerge Christmas lights in water unless you have purchased waterproof lights.
Take inventory of your lights. Untangle the strands. Test the untangled light strands. Clean your Christmas lights.