How to Save Before the Holiday Season Is Here

According to Deloitte’s annual holiday retail forecast, holiday retail sales will be between $1.70 to $1.71 trillion during November 2026 through January 2027. That’s an increase of about 4% from last year.

PwC’s Holiday Outlook 2026 survey tells a slightly different story, predicting spending will dip by about 2%.

Whether spending climbs or eases slightly, for many people, that means one thing: Holiday budgets aren’t really easing up.

Thinking about holiday spending while the season is still months away keeps your budget from being a last-minute scramble, in what could be an expensive holiday season. Here are a few tips to stay ahead of your expenses: 

1. Set your savings goals

Holiday costs add up fast. Per the PwC survey, the average consumer is expected to spend about $708 on holiday gifts this year. 

But costs don’t stop at gifts. There’s also holiday travel (plane tickets, gas for the car, hotel rooms, and meals), parties, family dinners, and admission costs for holiday festivities and performances.

So it’s worth figuring out how much you need to save to pay for everything you want to give friends and family.

2. Figure out how much you need to save each week

If your final tally shows that you are going to need $1,000 to $3,000 to pay for everything, divide that by the number of weeks you have to save. If the result shows it is not possible to save that much during that time, then you can adjust.

Decide where you will cut spending, or set a date further out by which everything will be paid for. Maybe it’s unrealistic to have everything paid for before the end of the year, but you might be able to have the holiday charges paid off by January 31.

If you’re covering some of that with Buy Now Pay Later (BNPL), treat each plan like a bill with its own due date. Check out how to split your festival tickets into payments if you’re looking to pay for a big ticket event with BNPL. 

3. Decide how to save

Opening a savings account and storing money away from each paycheck is straightforward, but that may not be enough on its own. A few other options: 

• Sell items you don’t need via social media.
• Pick up overtime, start a side gig, or take a part-time weekend job for a few months.
• Use frequent traveler points, which can reduce travel costs or can be cashed in for gifts.
• Have family members chip in on a big gift, lessening the cost for each person.
• Replace buying new things with making something handmade. (DIY gifts may not be as glamorous as newly-purchased items, but they can be more meaningful with that personal touch.)

4. Consider giving the gift of time

Instead of giving out items, consider the value of time with the people you love. Pledge to cook dinner for a family member once a month in the coming year. Or invite your friend over for an at-home movie marathon instead of splurging on tickets and popcorn at the theater.

5. Dial back your withholding

If you’re  expecting a tax refund for the year, you can claim extra tax credits and deductions to reduce withholding amounts and increase your paychecks for the rest of the year. Just remember to adjust your withholding back based on your income in the coming year. The TurboTax W-4 withholding calculator can help you figure out the correct amount of tax credits and deductions to report on your W-4.

6. Plan for next year

Get a jump on next year now. The earlier you start saving, the less you’ll have to save each paycheck and the easier it will be to accumulate the funds that you’ll need next holiday season.

Don’t worry about knowing these tax rules. Meet with a TurboTax Full Service Expert who can prepare, sign, and file your taxes, so you can be 100% confident your taxes are done right. Start TurboTax Expert Full Service today, in English or Spanish, and get your taxes done and off your mind.