Alan Irvine's Preston North End looked set to become Barnsley's second victim of the holiday until the on-loan midfielder stepped up.
Irvine is keen to sign Wallace and the Sunderland man, who could be snapped up in the January window, underlined his class with the second goal for North End.
It was Barnsley-born striker Jon Parkin - who was brought on in the second half - that gave Wallace the chance with a tumble 20 yards out after 73 minutes.
Wallace produced the perfect free-kick with a wicked bend that took it away from Barnsley keeper Heinz Muller but inside the post.
It cancelled out Barnsley's lead which was earned by a super first-half goal from Jamie Cureton.
It was Cureton's second for the club after his Boxing Day opener in the win at high-flying Burnley.
It came in the 16th minute when Rob Kozluk flighted an accurate free-kick that had Preston struggling to clear and Cureton nipped in and lifted the ball over Andy Lonergan with the outside of his foot.
But Barnsley manager Simon Davey was left fuming at the free-kick that led to the equaliser - and a string over other controversial decisions by Manchester referee Anthony Taylor.
Davey commented sarcastically: "I thought he was fantastic, the best ref we have had all season.
"When you set out for Christmas you want to be undefeated. We won the first two games then we got a home game.
"Everybody expects you to win home games but unfortunately we had a fantastic ref and we have drawn.
"I thought we deserved to win the game, we created more chances we were the better side but we came away with just a point."
Davey revealed that full back Kozluk, who was substituted at half-time, was taken to hospital as a precaution suffering from concussion and damaged eye socket after a first-half clash.
And Davey dismissed claims he has been targeted for the vacant manager's job at Nottingham Forest.
He said: "Nothing has been said to me about Forest. I am Barnsley manager that is it. I love being manager of Barnsley and unless somebody tells me otherwise I am here."