You might think I’m crazy for bringing up next Christmas while you’re still recovering from this one—but hear me out.
Right now, the memories are fresh. The receipts might still be in your wallet. And that little wave of financial stress? It’s a powerful motivator.
So before you forget how it felt to spend what you did—let’s get ahead of it for next year.
Holiday Spending: You’re Not Alone
If you’re feeling the sting of holiday overspending, you’re in good company. According to a recent LendingTree survey, 35% of Americans took on holiday debt in 2024, and the average amount was $1,549. Even more concerning? Nearly 63% of those people used credit cards to finance their purchases—and some are still carrying balances well into the next holiday season.
That means many people are paying interest on last year’s joy while trying to fund this year’s.
Let’s not do that again.
Step 1: Take Inventory (While It’s Fresh)
Grab a notebook or open your Notes app and do a quick year-end review:
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Who did you buy gifts for?
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Did you travel?
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Did you host a holiday party or dinner?
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Did you do any extra decorating, donating, or celebrating?
You don’t need to be exact. Round up.
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Maybe you spent $500 total.
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Or $1,200.
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Or $2,000+.
Whatever your number is, divide it by 12.
That’s your monthly holiday savings target for next year.
For example:
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$1,200 ÷ 12 months = $100/month
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$600 ÷ 12 months = $50/month
Wouldn’t it feel so much better to have that money set aside ahead of time next year?
Step 2: Create a “Holiday Savings Bucket”
A savings bucket is just a dedicated place for a specific savings goal—like Christmas gifts, vacations, or car insurance.
Inside Ally Bank (one of my favorites for this), you can open a high-yield savings account and create separate “buckets” for each of your goals. So your money is all in one account but visually organized into labeled categories.
It looks something like this:
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Emergency Fund
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Travel Fund
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Holiday Gifts
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Car Insurance
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House Repairs
This is so helpful because you don’t have to guess what your savings is for—each dollar has a purpose. You can even automate your transfers so that each month, money goes straight into your Holiday Gifts bucket without you having to think about it.
What If You’re Still Paying Off This Year’s Holiday?
Great question…and you’re not alone.
If you’re still carrying a balance from this season, your first goal should be to pay it off as quickly as possible…ideally by the end of January or February.
Then, once the slate is clean, start putting your monthly holiday savings into your bucket. You might only have 10 or 11 months until next Christmas, but that’s okay—adjust the monthly savings amount accordingly.
It’s better to start small and stay consistent than to do nothing and scramble next December.
The Bottom Line
Planning ahead isn’t just smart—it’s empowering.
The holidays are supposed to be joyful, not stressful. But too often, financial strain turns excitement into anxiety.
So take 10 minutes this week:
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Review what you spent.
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Divide that number by how many months until next December.
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Set up a holiday savings bucket—automate it if you can.
That way, you’ll end 2026 with less debt, more peace of mind, and the ability to fully enjoy the season.
Trust me: your future self will be so glad you did.
