Holiday cheer might still be alive in 2025, but big spending? Not so much. New data shows Americans are tightening their belts while still holding onto their favorite traditions. Instead of scrapping the feast, people are simply cooking more at home and skipping the extras they don’t really need. With inflation still squeezing wallets, shoppers are thinking smarter, not bigger. This slideshow breaks down exactly how people plan to celebrate—without overspending.
Holiday Budgets Get a Reality Check
Most Americans are walking into the season with clear spending limits. Nearly half say they’ll keep their total food and drink costs under $200, showing just how cautious households have become. The most popular spending ranges fall between $100 and $299, which captures the majority of shoppers. Only a tiny slice of the population—about 7%—expects to spend more than $750. It’s a holiday guided by calculators as much as traditions.
Cutbacks Take Center Stage
More than a third of Americans are actively cutting back this year. Many are scouting lower-cost alternatives, stretching ingredients, or skipping add-ons they used to buy without a second thought. Another big chunk—35%—are simply staying level with last year’s budget. Meanwhile, only 12% say they’re spending more. The overall mood? Cautious, practical, and quietly strategic.
The Essentials Still Rule the Table
Despite tighter budgets, the core holiday meal remains non-negotiable. Around 69% say main dishes like roast turkey or ham are must-haves. Mashed potatoes and traditional sides share the same level of importance, anchoring the holiday table. Desserts like pies still matter to 65% of shoppers, solidifying their status as holiday staples. Even with rising prices, the classics aren’t going anywhere.
Sides Stay Strong as a Holiday Staple
Side dishes hold their ground as one of the most essential holiday components. Nearly seven in ten people insist that mashed potatoes, stuffing, and other sides define the meal. They’re often low-cost but high-impact, which makes them perfect for a budget-conscious year. Shoppers continue to invest in ingredients for these dishes, even if they’re trimming the budget elsewhere. Their place on the plate seems untouchable.
Desserts Are Still a Priority
Holiday desserts may be sweet, but shoppers are being practical in how they enjoy them. With 65% calling desserts essential, pies and baked goodies remain crowd favorites. Still, many plan to save by making them at home, rather than buying costly pre-made versions. Home baking not only trims the budget but also keeps traditions alive. It’s a sugary compromise that everyone seems willing to make.
Candy and Chocolates Lose Their Grip
Holiday sweets outside of traditional desserts are losing priority. Only 28% say chocolates or candy are essential this year, a noticeable drop in importance. Rising prices have pushed many shoppers to skip these extras entirely. While they add fun to the season, they’re seen as optional when budgets tighten. This shift shows how shoppers are prioritizing substance over sugar.
Alcohol Takes the Hardest Hit
Alcoholic beverages are one of the first things shoppers are cutting. Nearly half of respondents say they’re skipping alcohol completely this holiday season. Only 17% plan to splurge on it, showing a reserved approach to drink-related spending. Many are simply choosing to go without rather than pay premium prices. It’s one of the clearest signs of changing holiday priorities.
Non-Alcoholic Drinks Aren’t Safe Either
Even festive non-alcoholic drinks are getting pushed to the sidelines. About a third of shoppers say they’re skipping these beverages altogether. Another 40% are opting for cheaper options or scaling back. Special drinks just aren’t making the cut for many households. While fun, they’re hardly essential in a year focused on budgeting wisely.
Home Cooking Becomes the Holiday MVP
Americans are cooking more from scratch than ever this holiday season. A full 70% plan to make their main dish at home, whether it’s turkey, ham, or something else. Side dishes see an even stronger commitment, with 79% making them from scratch. It’s a powerful cost-saving move that also brings people back into the kitchen. Convenience takes a back seat to control and creativity.
From-Scratch Baking Takes Over
Nearly half of holiday bakers are preparing desserts themselves this year. Making sweets at home has become an easy way to stretch dollars without sacrificing flavor. Ingredients like flour, spices, and baking mixes can go a long way compared to buying pre-baked items. Plus, scratch baking doubles as a tradition many families enjoy. It’s a small but meaningful way shoppers are staying frugal and festive.
Appetizers Join the DIY Trend
Appetizers and snacks are another category where shoppers are choosing homemade over store-bought. About 44% plan to prepare holiday snacks themselves, saving money while keeping the spread full. Store-bought appetizers, while convenient, often come with higher price tags. This shift gives home cooks more control over ingredients and flavors. It’s one more sign that the kitchen is the heart of the 2025 holiday.
Ready-to-Serve Drinks Still Win Out
Despite the rise in home cooking, beverages are still more likely to be bought ready-made. Forty-seven percent of shoppers prefer store-bought drinks to mixing or preparing them from scratch. Homemade drinks require extra time and ingredients many shoppers don’t want to invest in. The convenience factor is hard to beat, especially when hosting. Drinks may not be essential, but ease certainly is.
Saving Beats Splurging in Every Category
Across the board, more Americans plan to save than splurge on holiday food. Forty percent are saving on the main dish, while only 37% are splurging. Sides show an even sharper contrast, with nearly half cutting costs. Desserts also lean toward savings, as only 30% plan to spend more. It’s a season defined by smart choices, not lavish spreads.
Snacks and Candy Face Major Cutbacks
Snacks and candy fall squarely into the “optional” category this season. Only 15% of shoppers are willing to splurge on them. Meanwhile, 40% plan to save by skipping or scaling back. These small treats may be fun, but they’re easy to eliminate when watching the budget. It’s another example of how Americans are trimming the extras.
Holiday Comforts Stay, Luxuries Go
Overall, the holiday meal remains intact—but the luxury add-ons are fading fast. Shoppers are holding tight to traditional flavors while letting go of premium drinks, specialty desserts, and snack boards. It’s a thoughtful recalibration rather than a cancellation of celebration. The holiday spirit stays strong even when budgets get tight. People are simply finding smarter ways to honor tradition.
A Leaner Holiday But Still a Meaningful One
The 2025 holiday season shows that Americans can celebrate beautifully without overspending. By cooking more at home and cutting non-essential extras, families are keeping the heart of the holiday alive. The classics remain strong, even as budgets shrink. Did your favorite holiday must-have make the list? Share what you’re saving on—or splurging on—this year!
