How to set your Christmas budget in 4 steps
- Find your total. Add the cash you can spare today to what you can set aside from each paycheck before Christmas. If you are paid every two weeks, you probably have about three paydays left between early November and December 25.
- Take out the non-gift costs first. In the NRF survey, about 30% of holiday spending went to things other than gifts: food, candy, decorations and cards. Add shipping, travel and hosting if they apply to you.
- Split the gift money by person. Use the chart below for an even split, or the tier method for close family vs. everyone else.
- Write it down and track it. A list on your phone or a simple spreadsheet is enough. Update it after every purchase so the total never surprises you.
Gift budget per person chart
Pick your total gift budget, then read across to see the average you can spend on each person.
| Total gift budget | 5 people | 8 people | 10 people | 15 people | 20 people |
|---|---|---|---|---|---|
| $300 | $60 | $38 | $30 | $20 | $15 |
| $500 | $100 | $62 | $50 | $33 | $25 |
| $750 | $150 | $94 | $75 | $50 | $38 |
| $1,000 | $200 | $125 | $100 | $67 | $50 |
| $1,500 | $300 | $188 | $150 | $100 | $75 |
The tier method (example: $600)
Most people do not spend the same on everyone. Give each group a fixed amount and keep it equal inside the group, especially between siblings and kids.
| Who | People | Per person | Subtotal |
|---|---|---|---|
| Partner / spouse | 1 | $150 | $150 |
| Kids | 2 | $100 each | $200 |
| Parents | 2 | $50 each | $100 |
| Siblings | 3 | $25 each | $75 |
| Friends, coworkers, teacher | 5 | $10 each | $50 |
| Wrapping, tape, gift bags | — | — | $25 |
| Total | 13 | $600 |
Costs people forget
- Wrapping and cards: paper, tape, tags and stamps add up. Need words for the cards? See our Christmas card messages.
- Shipping: ship early to avoid express fees. Check the 2026 shipping deadlines.
- Hosting: plan the menu and quantities with the holiday dinner calculator.
- Holiday tips for the mail carrier, sitter or cleaner: see how much to tip.
- Work gift exchanges: Secret Santa and white elephant usually have a fixed limit, so add that amount once.
7 ways to spend less without feeling cheap
- Suggest a family Secret Santa so everyone buys one good gift instead of many small ones.
- Agree on a spending limit with siblings and friends before December.
- Check that a “deal” is real: use the discount calculator and compare with the normal price.
- Give experiences or time: a dinner, a day out, babysitting or a handmade coupon book.
- Use small stocking stuffers instead of extra big gifts.
- Shop from your list only, and unsubscribe from sale emails until your list is done.
- Start a 52-week money challenge in January so next Christmas is already paid for.
If you use a credit card
Only charge what you can pay off when the statement arrives. If a balance is left in January, put it in the debt payoff calculator to see how long it will take and how much interest it will cost.
Questions
How much does the average American spend on Christmas?
In the National Retail Federation’s latest holiday survey, U.S. adults planned to spend $890.49 per person on the season, including $627.93 on gifts and $262.56 on food, decorations and cards.
How much should I spend per child on Christmas?
There is no official number. Pick a per-child amount you can pay in cash and keep it the same for each child. Many families also use a simple rule such as one want, one need, one thing to wear and one thing to read.
Is $100 per person too much for Christmas gifts?
It depends on how many people are on your list and on your budget. Ten people at $100 each is $1,000 in gifts. Use the chart above to see what your total allows.
How do I stick to a Christmas budget?
Write the budget down before you shop, give each person a fixed amount, track every purchase, and stop when an envelope or category is empty.
Sources & review
- National Retail Federation: 2025 holiday consumer survey (Oct 2025)
- CFPB: How to create a budget and stick with it
Written by the Everydaily Editorial Team and checked on November 5, 2026. For planning only, not financial advice. Spotted an error? See our corrections policy or tell us.