▶ Average Spending Estimated at $431
▶ Highest Increase Since the COVID-19 Pandemic
With Thanksgiving, the year’s biggest holiday, just three days away on November 28, consumer spending on food, decorations, and other festivities is expected to rise significantly compared to last year, according to recent analysis.
A survey conducted by online financial company LendingTree between October 1 and 3 among 2,050 consumers revealed that 56% of Americans plan to host Thanksgiving dinners or meals at home this year. Households preparing for Thanksgiving anticipate spending an average of $431 on food, beverages, and decorations—a 19% increase from the previous year. This includes $265 for food and beverages and $166 for decorations. The rise marks the highest year-over-year increase since the onset of the COVID-19 pandemic.
Spending Trends by Demographics
Breaking down the data by age and income:
68% of parents with children under 18,
66% of high-income earners (earning $100,000 or more annually), and
63% of Generation Z (ages 18–27)
reported plans to host Thanksgiving celebrations this year.
High-income earners ($579), men ($496), and parents with young children ($493) are expected to spend the most on the holiday.
Inflation’s Impact on Thanksgiving
However, inflation is causing financial strain for many consumers this Thanksgiving:
60% of respondents said inflation has impacted their holiday spending.
27% plan to adjust their food choices,
26% intend to use more coupons, and
9% will skip hosting altogether due to financial constraints.
Generation Z (68%), families with children under 18 (64%), and households earning less than $30,000 annually (64%) were the most likely to report being affected by inflation.
Matt Schulz, LendingTree’s chief credit analyst, stated, “With most people already having little financial breathing room each month, a 20% increase in Thanksgiving spending could be a significant burden. This is money that could otherwise go toward building an emergency fund or paying off high-interest debt.”
Financial Concerns Among Hosts
36% of consumers hosting Thanksgiving said the expenses are a financial burden.
14% admitted to already regretting their decision to host.
34% of prospective hosts expressed a willingness to use credit cards to cover holiday expenses.
Hosting Expectations and Guest Contributions
Survey results also showed that:
86% of hosts plan to invite close family,
51% will invite friends,
15% may host neighbors,
13% will invite extended family, and
11% plan to include coworkers.
Interestingly, six out of ten hosts expect their guests to bring gifts or financial contributions. Additionally, 25% of hosts said they might reconsider inviting guests in the future if they arrive empty-handed.
Challenges Ahead
Experts predict that inflation-weary consumers will face continued financial constraints during Thanksgiving. Schulz noted, “Some people may need to spend more time hunting for discounts or switching to cheaper alternatives. Others might not be able to afford hosting large family gatherings.”
Reported by Hong-Yong Park
Hongyong Park>
**How might the rising cost of Thanksgiving groceries and supplies disproportionately impact low-income families and communities?**
## World Today News: Thanksgiving Spending in a Time of Inflation
**Intro**
Welcome back to World Today News! Today, we delve into the economics of Thanksgiving as we explore the latest trends in holiday spending. Inflation is a pressing concern for many Americans, and this year’s Thanksgiving costs are expected to be significantly higher. We’re joined by two distinguished guests today to discuss these trends and their implications for the average household.
* **Dr. Anya Sharma** is a Professor of Economics at Hilltop University and an expert on consumer behaviour.
* **Lisa Chen** is a financial advisor and author of the bestselling book “Managing Money During Uncertain Times”.
Thank you both for joining us.
**Section 1: The Increasing Cost of Thanksgiving**
* **Interviewer:** The article highlights a 19% increase in projected Thanksgiving spending compared to last year. Dr. Sharma, could you provide some context for this dramatic increase? What economic factors are driving this trend?
* **Interviewer:** Ms. Chen, you often advise individuals on financial planning. How do you guide families who are facing these rising costs while also wanting to maintain treasured holiday traditions?
**Section 2: The Impact of Inflation**
* **Interviewer:** The survey reveals that a significant majority of consumers cite inflation as a major concern impacting their holiday plans. Dr. Sharma, are there specific demographics that are disproportionately affected by these inflationary pressures, and why?
* **Interviewer:** Ms. Chen, the article mentions strategies like coupon usage and cutting back on certain food items. In your experience, what are some practical and effective ways for families to navigate these challenges while still celebrating Thanksgiving?
**Section 3: Hosting Expectations and Financial Burdens**
* **Interviewer:** There’s an interesting point raised about hosts expecting contributions from guests. Dr. Sharma, what does this trend suggest about the evolving nature of Thanksgiving celebrations and the shifting financial responsibilities?
* **Interviewer:** Ms. Chen, a third of the hosts surveyed expressed a willingness to use credit cards to cover expenses. What are the potential ramifications of this approach, both in the short and long term?
**Section 4: Looking Ahead**
* **Interviewer:** Dr. Sharma, based on current trends, what are your predictions for consumer spending habits during future holiday seasons?
* **Interviewer**: Ms. Chen, what advice would you offer to listeners who may be feeling overwhelmed by the financial pressures associated with the holidays?
**Outro**
Thank you both for your insightful perspectives on this important topic. We hope this discussion has provided our viewers with valuable information as they plan their Thanksgiving celebrations. To our viewers, remember that the true spirit of Thanksgiving lies in gratitude and connection, not extravagant spending.
