Christmas presents price

How Much Does The Average Christmas Present Cost?

Last Updated on March 5, 2024
Written by CPA Alec Pow | Content Reviewed by Certified CFA CFA Alexander Popinker

Christmas is right around the corner, which means it’s time to start thinking about gifts for your loved ones. With rising prices due to inflation, this holiday season may require a bit more strategic planning when it comes to your Christmas shopping budget.

This article will analyze recent holiday spending data, factors that influence costs, budgeting strategies, pricing across popular gift categories, and ways to save money when shopping for Christmas. With some planning and savvy shopping, you can find thoughtful gifts for family and friends without breaking the bank.


  • The average American will spend around $900 on holiday gifts in 2024, up slightly from 2021. Average costs per recipient range from $25-$160.
  • Christmas shopping accounts for 19.8% of total retail sales. Consumers still plan to spend despite economic concerns.
  • Make a budget, use spending tools, and focus on close family when allocating your gift funds.
  • Shop sales, compare prices online, and use promo codes and cashback to save money.
  • Popular gifts like toys, electronics, clothing, and jewelry range from $25 to $1,000+ depending on the item.
  • Overall inflation, supply chain issues, and consumer confidence are impacting costs this holiday season.

How Much Does The Average Christmas Present Cost?

The average American plans to spend $932 on holiday gifts and goodies this Christmas, up slightly from $889 in 2021, according to a recent survey by Deloitte. With wider economic conditions factored in, most experts predict holiday spending will be about even with or slightly above last year.

However, average spending varies greatly depending on who you’re buying for. Here are some gift cost ranges to expect:

  • For significant others, the average is $164. Romantic gifts like jewelry or experiences may run higher.
  • For other family members, $107 is average. Parents and kids often get the highest budgets.
  • Friends receive gifts averaging $86. Coworkers and acquaintances get less, around $27.
  • For pets, people plan to spend $81 on average.

According to Statista, the average spend on Christmas gifts in 2023 grew by $34, with the average American spending about $997.73 on Christmas gifts.

Exploding Topics writes that Americans spend an average of $997.73 on Christmas gifts, with approximately 64.9% of this amount allocated to gifts for family, friends, and coworkers.

PBS writes in an article that the average Christmas gift spending at $942, with more than a third of respondents expecting to spend over $1,000 on gifts.

A survey cited by the New York Post found that 70% of American parents plan to spend $200 or less on each child for Christmas, with just 19% planning to spend more than $200 on each child’s gifts.

Overall inflation, individual financial situations, consumer confidence, and economic climate can all impact holiday spending.

The Broader Impact of Christmas Shopping

The holiday shopping season is crucial for retailers and the broader economy. In 2021, over $886 billion was spent during the holidays, accounting for 19.8% of total retail sales for the year.

E-commerce is growing as more gift shopping moves online, expected to make up 24.4% of total holiday sales this year. Brick-and-mortar retailers still see more transactions, relying heavily on holiday sales which can account for 20-40% of their annual revenue.

Consumers are being mindful about their budgets this season while still participating in traditions. Despite inflation and other economic concerns, most plan to either maintain or increase their holiday spending compared to 2021.

Creating a Christmas Gift Budget

Making a detailed Christmas gift budget allows you to create a spending plan for the holiday season. Here are some tips:

  • Make a gift list and assign a spending amount for each person. Allocate higher amounts for close family and less for acquaintances.
  • Use online tools like budgeting apps or savings calculators to forecast seasonal spending.
  • Factor in other holiday expenses like food, decor, and travel that affect your overall budget.
  • Set a total budget amount and divide it by your number of recipients. Adjust individual allocations as needed.
  • Allow room for extra expenses that pop up like wrapping, shipping, and entertaining.
  • Give yourself some wiggle room for unexpected great deals and impulse purchases.

Apps like Mint, PocketGuard, and EveryDollar can help track holiday spending. Maintaining your budget takes discipline, but is doable with planning.

You might also like our articles on the cost of Christmas decorations, Christmas meals, or Christmas trees.

Costs of Popular Christmas Gift Categories

Gift prices vary widely within each category, but here is an overview of average Christmas present costs for popular items:

  • Toys and games: From $25 for small toys to $200+ for gaming systems and subscriptions. STEM toys and interactive tech gifts are higher-end.
  • Electronics: Budget around $300 for smartphones or tablets. Larger appliances and tech run $500-1,000+. Streaming devices and small gadgets range from $25-125.
  • Clothing and accessories: From $50 for smaller pieces like scarves up to $200 for winter coats. Handbags, watches, and jewelry gifts average $100-250.
  • Jewelry: Classic pieces like earrings or pendants range from $50-150 while fine jewelry averages $250-400. High-end designer and luxury jewelry can run $1,000+.
  • Personalized and handmade gifts: These tend to cost between $50-150 for things like photo calendars, blankets, pottery, and other custom-made items from Etsy or local artisans.

Smart Christmas Shopping Strategies

You can stick to your Christmas budget without sacrificing meaningful gifts by leveraging sales cycles, online shopping, discounts, and more:

  • Shop early to spread out costs and take advantage of sales like Prime Day and pre-Black Friday deals.
  • Compare prices online using tools like Google Shopping to find the best deals.
  • Use coupons, cashback apps like Rakuten, rewards credit cards, and online promo codes to save money.
  • Look for free shipping and in-store pickup options to avoid delivery fees.
  • Follow email lists and social media for brand sales announcements and discount codes.
  • Join loyalty programs for first access to sales and promotions.

Economic Trends and Their Impact

Broader economic factors also affect holiday gift costs and consumer behaviors.

  • Inflation has driven up prices about 8% higher compared to last year. Everything from raw materials to shipping costs more, pushing retail prices higher.
  • Supply chain disruptions lead to less holiday inventory, potential shortages for high-demand gifts, and the need for early shopping before popular items sell out.
  • Consumer confidence wavers with inflation and stock market volatility, making people more selective with discretionary spending.

These trends point to the importance of savvy budgeting, shopping sales, and staying flexible as you check off your holiday shopping list.

Who is Buying Gifts and How Much Are They Spending?

Happy to Receive a PresentGift-giving demographics provide insight into consumer behaviors:

  • Parents make up the biggest group of gift purchasers, spending a projected $660 on average according to NRF data.
  • Generation Z and Millennials plan to spend more per person this holiday season according to Deloitte. Their budgets focus on family, friends, and gifts for themselves.
  • Baby Boomers are expected to trim their gift budgets significantly this year, prioritizing select family members.
  • High-income households with earnings over $100k spend over $1,500 on average, while lower-income groups plan to spend around $500.

As consumers balance inflation and economic concerns with their holiday cheer, they are focusing on spending on family members and close friends.

Helpful Resources for Holiday Shopping

To help plan your Christmas present shopping, here are some useful resources:

  • Consumer Reports for product reviews and buying guides
  • Retail industry groups like NRF that forecast trends
  • Financial sites like NerdWallet for gift idea lists and planning tools
  • Online marketplaces to compare prices for electronics, gifts, clothing, and more
  • Deal websites like RetailMeNot for promo codes and sales info
  • Budgeting apps and personal finance tools to manage spending
  • Product review blogs for gift recommendations in all categories

Final Words

With some planning and proper budgeting, you can find thoughtful gifts while sticking to your bottom line this Christmas. Focus your time on celebrating the holiday season with loved ones instead of stressing about spending.

Frequently Asked Questions:

How much do you spend on Christmas presents?

For my family, I budget about $800 total for Christmas presents each year. I spend about $200 each on gifts for my parents and siblings. For nieces, nephews, and other extended family, I keep it around $75 per person. And I allot $50-100 for each close friend.

Is $100 too much for a Christmas gift?

$100 is a very reasonable amount for a nice Christmas gift for close family or friends. For acquaintances, less expensive gifts around $25 are more typical. If your budget only allows $50, you can still find thoughtful gifts at that lower price point too.

Is $50 enough for a gift?

Absolutely – $50 can go a long way if you shop sales and look for deals. For items like clothing accessories, personal care, toys, and books, $50 is a great budget amount per gift. Add a homemade element or personal touch to make it extra thoughtful.

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