How to Avoid Holiday Overspending in 2025

Canadians typically spend $1,500–$2,000 during the holiday season, with many carrying debt into the new year.

Set a Realistic Budget

Start with your December income and essential expenses. Allocate a specific amount for gifts, entertaining, and travel.

Make a Gift List

List everyone you plan to buy for and set spending limits per person.

Creative Gift Alternatives

• Experiences (concert tickets, classes)
• Homemade gifts
• Charitable donations in their name
• Secret Santa for large families

Shopping Strategies

• Shop early to avoid rush pricing
• Use cash back or rewards cards
• Wait for Boxing Week sales for non-gift items

Avoid Common Traps

• Impulse buys at checkout
• "Buy now, pay later" plans that add up
• Using credit for non-essential purchases

Post-Holiday Recovery

If you do overspend, create a payoff plan immediately in January.

Thoughtful holidays don't require financial stress. Plan ahead and enjoy the season guilt-free.