The X Factor judge took to Twitter to count her blessings and compare where she is now to where she's been, reported E! online.
"Two years ago, I watched the ball drop on TV in rehab and cried my eyes out," Lovato tweeted, referring to her much publicized stay in treatment back in 2010.
"Tonight I'm on the beach with my closest, most loyal friends... Sipping coffee and sharing how beautiful life is and how far we've come. Recovery is a beautiful thing friends. Life is good, God is great!"
The 20-year-old singer spent Christmas in snowy Texas, where she tweeted about her family's trip to IHOP for their holiday meal.