Overview
- The National Retail Federation expects 2025 holiday sales to rise 3.7%–4.2% from 2024 and top $1 trillion for the first time, heightening pressure on household budgets.
- Experian’s Rod Griffin warns that many shoppers are still paying off last year’s holiday balances and notes that higher prices are complicating gift planning.
- Financial guidance stresses setting a total, non-negotiable holiday limit divided across categories and recipients, with BizNews advising 1%–2% of annual income for gifts.
- Experts recommend tracking every purchase in real time, starting shopping earlier to compare prices, and using tools like AI to plan and avoid impulse buys.
- Advisers urge paying only what can be cleared immediately on credit, considering prepaid cards to cap spending, embracing lower-cost gift exchanges, and saving monthly toward a holiday fund.