Over 1 in 3 Parents Say They’re Skipping Holiday Traditions to Save on Costs

Just when you’ve recovered from the annual overindulgence that is Thanksgiving, it’s time to hit the stores again because Christmas is on its way! Yes, the holiday season is in full swing, and that can only mean one thing: serious spending. 

But there’s nothing more guaranteed to strike fear into the heart of any parents, who can often feel overwhelmed by the expenses that slowly — or rapidly — add up in December as they try to provide the perfect experience for everyone. 

And it’s not just planning for the big meal on Christmas Day; there are seemingly endless gifts to buy, holiday events to attend, elaborate decorations to put up, plus the cost of visiting relatives who don’t live close by. In short, it’s a financial strain many parents could do without, stretching the family budget to the limit and leaving them facing huge bills in January. 

But which parts of the festive season do parents dread spending money on the most? We surveyed 3,000 moms and dads to find out the costliest holiday traditions and activities parents worry about most.

The biggest concern at the top of the list was buying gifts for the kids and extended family. Children will always have an extensive wish list, and these days they’re likely to want expensive gadgets rather than simple toys. 

Feeling obliged to spend on relatives you don’t see very often rankles, too, especially if you can barely remember what Great Aunt Maude looks like, never mind worry about whether she prefers bath salts to bath bombs.

Here is the list of the top holiday financial worries based on the results of our survey:

Ranking	Holiday Financial Worry
1	Buying gifts for children and extended family
2	Holiday travel to visit family or go on vacation
3	Extravagant holiday meals or family gatherings
4	Attending or hosting holiday parties
5	Holiday-themed amusement parks or winter wonderland events
6	Tickets to holiday shows or performances (e.g., Nutcracker, holiday concerts)
7	Participating in school-related holiday activities (e.g., classroom parties, teacher gifts, costumes)
8	Visiting Santa’s grotto or photo sessions with Santa
9	Ice skating at a seasonal rink

The second biggest financial worry was spending money on holiday travel to visit family — particularly if you already live in a fairly remote state, such as Alaska or Hawaii — or to go on vacation. At one of the busiest times of the year, the prices will be equally punchy; travel companies rely on it! 

Another concern among parents was extravagant holiday meals or family gatherings, with grocery prices at all-time highs. Attending holiday parties was a similar concern due to the hostess gift you should bring if you’re a guest.

Spending time at what seems like a fun place to go, such as a holiday-themed amusement park or a winter wonderland event, can soon have the joy and cheer sucked out due to both the cost of entry as well as things like hot chocolate, food, and rides… it all adds up quickly, especially when you have a large family. 

And tickets to holiday shows or performances, such as going to a festive ballet like the Nutcracker, don’t come cheap, either. Even taking part in school-related holiday activities was a concern; there’s the gift you have to get the teachers, the provision of snacks for classroom parties, or costumes if they’re holding a themed dress-up day (or week!).

At the lower end of the list was visiting Santa and having pictures taken with him, maybe because this is the one thing parents know they have to indulge their child in — Santa, after all, is Christmas! Finally, ice skating at a seasonal rink was of very limited financial concern. 

Another 54% of parents surveyed said they either often or sometimes felt pressured by other parents, based on how much they spent on their children, to do the same. And the majority — 66% — confessed they felt the need to spend more each year just to meet their kids’ growing expectations.

It’s no wonder, then, that some parents have put their foot down, with more than a third (37%) of respondents saying they have skipped some kind of holiday tradition this year due to its cost. The financial pressure has, sadly, led nearly two-thirds of parents to feel guilty if they couldn’t afford certain holiday activities or gifts for their children. 

But some parents do at least try to be honest about their financial situation; Over a third (34%) have had an open discussion with their children about money and what they can afford, while nearly half (49%) said they get their children to manage their expectations. And 17% said they just stick their heads in the sand (or snow), and avoid the topic entirely. 

“One of the most painful aspects of this survey is that so many parents feel guilty because they can’t give their children everything they want. Although I understand this, it is so important to try to step back and realize that everything is going to be OK, said Erica Sandberg, Consumer Finance Expert with CardRates.com. “Resist the pressure to overspend. Think about it this way: Your children will be happier when you feel more financially secure.”

Erica continued: “If you are struggling to make ends meet because you got into debt during the holidays, you probably won’t be very happy, and that can translate into an anxiety-filled household. Therefore, as you respect your limits during the holidays, you are also setting the stage for a positive and joyful new year!”

We carefully selected 3,000 parents from a geographically representative online panel of double-opt-in members. This selection was further tailored to meet the precise criteria required for each unique survey. Throughout the survey, we designed questions to carefully screen and authenticate respondents, guaranteeing the survey’s alignment with the ideal participants.

To ensure the integrity of our data collection, we employed an array of data quality methods. Alongside conventional measures such as digital fingerprinting, bot checks, geo-verification, and speeding detection, each response underwent a thorough review by a dedicated team member to ensure quality and contextual accuracy. Our commitment extended to open-ended responses, subjecting them to scrutiny for gibberish answers and plagiarism detection.