Americans Reshape Holiday Plans This Year Due to Rising Costs

Many Americans won’t be home for the holidays this year.

A new survey from CardRates.com finds that 70% of Americans plan to skip holiday travel to avoid going into debt. That’s just one of several recent polls highlighting how inflation and tariffs are reshaping this year’s holiday season.

Last month, another survey from Omnisend, an email-marketing software platform, reported that more than three in four consumers plan to spend less this year than last. The poll of 1,200 Americans revealed the top reasons:

• 45% blame rising prices and inflation
• 19% point to tariffs and higher import costs
• 16% say they’re proactively avoiding debt

“Households are on a tighter budget in 2025,” says Marty Bauer, eCommerce Expert at Omnisend. “Inflation has ticked back up, and new tariffs are pushing some prices higher.”

Holiday debt stress

Tariffs are proving to be one of the biggest factors behind this shift. Omnisend’s survey shows 61% of respondents have altered their holiday shopping plans, and for 16%, that means buying fewer or smaller gifts.

“When low-cost goods aren’t as cheap as they used to be, families trim lists, buy smaller gifts, and look closer to home,” Bauer adds. “It tracks with the broader picture –  with tighter rules on China imports and the end of duty-free treatment for many small packages, some of those ultra-cheap online deals have either disappeared, cost more, or ship slower.”

At the end of last month, Debt.com President Don Silvestri addressed this issue in his column, Unhappy Holidays: Self-Guilt Is the Real Grinch.

He cited a Cash App poll showing that 38% of U.S. consumers feel more financially stressed than in 2024, and 35% are specifically anxious about covering holiday costs.

Back to basics

Silvestri empathizes with those who are feeling stressed about holiday spending and reminds readers what this season is truly about – connection, not consumption. He also shared creative ways to celebrate without adding to the financial strain.

For example, he suggests DIY “coupon books” as gifts, especially from children. Rather than buying presents with money they don’t have, kids can give coupons redeemable for chores or special acts of kindness – a thoughtful gesture that doesn’t cost a dime.

“In my family, we value holiday doing over holiday buying,” Silvestri says. “Sometimes the best gifts aren’t tangible. Time is something money can’t buy, but it’s something you can give to loved ones.”

It’s not about replacing traditional gifts altogether, but about reducing the pressure to spend. These simple gestures keep the holiday spirit alive – and may even mean more in the long run.