Thanksgiving is projected to be significantly more expensive this year. In October, LendingTree surveyed more than 2,000 U.S. consumers, who broke down their spending plans for the holiday.
Those surveyed said they plan to spend $431, on average: $265 on food/drinks and $166 on decor. It’s a 19% markup from last year, and many surveyed (36%) said it’s a financial strain.
“Whenever you start spending more, there’s always going to be more risk,” LendingTree chief credit analyst Matt Schulz said in the report. “That’s especially true when you’re spending almost 20% more than last year. Most people’s budgets are tight, leaving little financial wiggle room from month to month, so a 20% increase can be a big deal. That’s money that won’t be able to go to other financial goals, such as building an emergency fund or paying off high-interest debt.”
Around 60% of those surveyed said inflation is affecting their Thanksgiving. Nearly 10% said they planned not to host this year because of costs, while 14% said they regret deciding to have dinner at their house. Many of those still hosting said they are making changes.
“For some, it might be that they have to spend more of their time bargain hunting and coupon seeking,” Schulz said. “For others, it might mean they can’t afford to do things they love, like hosting a big family Thanksgiving. These are things that people across the country have had no choice but to wrestle with over the years.”
Around 34% said they plan to do their Thanksgiving shopping with a credit card, while 13% are turning to loans. To help offset the costs, 60% of respondents said they are expecting their guests to bring something. Most guests plan to bring side dishes (63%), with desserts distantly behind at 32%. Those planning to bring alcohol should know they are not alone, as 26% of respondents will be doing the same.
Anyone planning to bring nothing, however, should note that a quarter of respondents said they would reconsider inviting an empty-handed guest next year.
About the Author
