Holiday Season – Feeling the Pinch: How Families Are Coping with Higher Costs
Holiday cheer is still in the air. However, it might be a little less cheery than usual for many families. The reason is prices seem to be climbing – on everything from food to flights.
Still, the season carries the same warmth, as people are finding creative ways to gather, give, and stay grateful amid higher costs.
The Growing Cost of Holiday Cheer
Families across the US are facing higher prices this holiday season, touching nearly every part of their celebrations.
Groceries sit at the top of the list. According to empower.com, 68% of Americans believe Thanksgiving will cost more this year due to tariffs and inflation.
And two-thirds expect their grocery bill to rise from last year, with the average family dinner now costing around $137.
Gift shopping brings another challenge. Many retailers have cut discounts because shipping and packaging costs have kept rising.
Some parents are stretching their budgets by buying fewer presents or turning to handmade gifts.
Travel isn’t spared either. Gas prices remain volatile, airfare stays high, and hotel rates have climbed as demand has surged.
Of course, families are still gathering for the holiday season, but many are choosing shorter trips or are opting to drive instead of flying due to the current high expense of travel.
The season’s spirit endures, though it now comes with a sharper awareness of every dollar spent.
Simpler Menus and Shared Meals
Many families are adjusting their holiday meals this year by simplifying recipes and dividing cooking duties. And some are dropping extra appetizers or specialty ingredients that drive up costs.
Some are switching from expensive meats like turkey or beef to more affordable choices such as chicken. Others are relying on store-brand items to stretch every dollar.
Shared meals also help balance the budget. Guests can bring dishes, easing the cost for hosts while keeping tables full.
The focus returns to time together, not the price tag of what’s served. And that’s certainly not a bad thing.
Creative Gift-Giving on a Budget
Gift exchanges look different for many this year as families search for affordable but thoughtful options.
Many set spending limits or draw names to cut the number of presents needed.
And homemade gifts, like baked goods or photo albums, are making a comeback because they cost less – yet carry more meaning.
Online marketplaces and resale apps are also seeing heavier use. Parents can find gently used toys or refurbished electronics that stretch their budgets further.
Others give experiences instead of items, such as movie nights or cooking lessons at home.
The effort centers on sincerity rather than price, thus keeping the holiday spirit intact.
Travel Adjustments
Rising airfares and hotel prices are changing how many families travel this holiday season.
Many are choosing to stay closer to home, visiting relatives within driving distance or hosting gatherings locally. This shift saves money on flights, baggage fees, and rental cars – while also cutting the stress of crowded airports.
Some households are combining trips, turning one major visit into a longer stay to reduce multiple travel costs. Others are opting for virtual visits when distance makes travel unrealistic.
Despite fewer long journeys, families still find ways to connect, keeping traditions alive through smaller, more personal celebrations.
Smarter Budgeting and Digital Planning Tools
Households now rely more on budgeting apps and digital planners to manage holiday spending. These tools help track purchases in real time and set limits for food, gifts, and travel.
Families often start by listing essential expenses, then assigning strict caps to each category.
Some use cash-back credit cards or store rewards to offset costs, while others shop earlier to take advantage of price alerts and online deals.
Mobile budgeting tools make it easier to spot overspending before it happens.
The approach feels structured yet flexible, giving families more control and fewer financial surprises once the season ends.
