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As the 2025 holidays approach, households plan to celebrate while managing tighter budgets. New Harris Poll findings for the American Institute of CPAs (AICPA) show that shoppers and travelers are scaling back, many expect to carry holiday debt, and a sizable share report regret from prior overspending. For retailers, financial institutions, and travel providers, this is a clear opportunity to earn trust by helping households plan, control costs, and start the new year on stronger footing.
Budgets Are Common, Sticking To Them Is Not
One in four holiday shoppers and travelers say they usually make a budget, yet they do not expect to follow it. The gap is larger among younger adults, with 33% of those 18 to 34 reporting inconsistent budgeting, compared with 16% of those 55 and older. Plans for total spend also diverge. 42% expect to spend more than $1,000 on travel, gifts, and entertaining, half plan to spend $1,000 or less, and 8% are unsure. Clear planning tools and timely reminders can help people translate intent into action.
Debt Is Expected For Many Households
Nearly half of planned holiday spenders expect to take on debt. Men are more likely than women to anticipate holiday debt, 52% versus 42%. Most will use credit cards, yet more than half do not expect to pay the balance in full when the bill arrives, and 17% expect repayment to take more than six months. Debt expectations are highest among younger adults and decline with age, from 64% at 18 to 34 to 23% at 65 and older. Regret is common as well, with 39% reporting that they have overspent during prior holidays. Offering payoff pathways and transparency before the first statement can reduce regret and strengthen loyalty.
How Consumers Plan To Cope
Consumers are adjusting with a mix of tools and trade-offs. Among those who expect holiday debt, 36% plan to use flexible payment plans such as buy now, pay later. 30% plan to use a tax refund to settle balances. 25% cite higher everyday expenses such as groceries, gas, and utilities as barriers to paying off spending. As AICPA’s Dan Snyder, Director of AICPA Personal Financial Planning, notes, “Spending driven by emotion can get out of hand. Practical guidance, cost visibility, and repayment support help households stay on track.”
What Brands Can Do
- Retail and E-commerce: Surface the full cost at checkout, including fees and taxes. Offer budget bundles and price alerts. If you present installment options, pair them with payoff timelines and total cost disclosures.
- Financial Services and Credit: Flag spend patterns that exceed norms and offer opt in nudges for lower interest payoff paths. Provide payoff by calculators and pre statement autopay schedules.
- Travel and Loyalty: Highlight off peak dates, points boosters, and flexible holds. Turn loyalty dashboards into budgeting tools that show projected trip cost and points to cash value.
About the research
This survey was conducted online within the United States by The Harris Poll on behalf of AICPA from October 28 – 30, 2025 among 2,084 adults ages 18 and older. The sampling precision of Harris online polls is measured by using a Bayesian credible interval. For this study, the sample data is accurate to within +/- 2.5 percentage points using a 95% confidence level. For complete survey methodology, including weighting variables and subgroup sample sizes, please contact the AICPA.
Learn more about the American Institute of CPAs.
