A recent survey finds a 22% drop in holiday hosting budgets this year as Americans expect the economy to weaken in 2026. Consumers plan to spend less on decor and hosting essentials, and trade elaborate spreads for cozy, creative celebrations that prioritize value, simplicity and togetherness.
Hosting with less doesn’t mean doing less. The drop in spending reflects more than tight budgets, but also signals a shift in how people adapt to economic pressure with practical, creative solutions. Many simplify menus, reuse decor and focus on celebrations that feel genuine rather than elaborate or expensive. The goal isn’t to scale back the holidays, but to make hosting smarter and more intentional.
With spending down, shoppers reprioritize the holidays
While holiday gatherings remain a tradition for 1 in 4 Americans, survey data shows a clear change in how they plan to celebrate. A recent survey finds holiday spending is set for its steepest drop since 2020. The average shopper plans to spend $1,552, down 5.3% from last year. Per PwC, 84% of consumers expect to curb spending over the next six months, and more than half say higher prices will shape their holiday decisions.
Another recent survey echoes the same sentiment. Consumers plan to pull back 22% on non-gift categories like clothing, decor and hosting compared to last year. At the same time, 7 out of 10 respondents say they will employ at least three value-seeking behaviors this season. Women lead the change with 78% while 58% of men say the same. Deals, trade-downs, reuse and DIY gifts have become the new holiday playbook.
Additionally, nearly half of the respondents, 48% say they’re concerned about hosting costs. As a result, the average budget for a holiday gathering has dipped 3% year-over-year to $252, and only 43% of hosts say they’re willing to spend more on decor or services this year, down sharply from 70% in 2024.
Scale back, celebrate big
While hosts feel the squeeze this season, it doesn’t mean traditional holiday celebrations will be skipped. A 2025 shopping survey reports that shoppers prioritize meaningful experiences over material excess and choose simplicity, thoughtful gestures and shared moments instead of extravagant displays or costly spreads.
The same idea is carried into celebrations at home. As people rethink where to splurge and where to scale back, last-minute gatherings now lean more on practicality, creativity and comfort than on big budgets.
Set the mood
The key is to create impact without overextending yourself. A smart trick is the one-spot spread. Instead of trying to prep the whole house, focus all your effort on a single high-traffic surface like the dining table or kitchen counter. Dress it up with Christmas decorations you already have and let that curated area become the visual anchor of the night.
Ambiance also goes further than any decor you could buy last minute. Dimming harsh overhead lights instantly softens the room, hides clutter and creates a cozy environment. Use lamps, string lights or candles you already have. And instead of spending on extras, crowdsource the vibe by inviting guests to contribute something simple, like a drink that matches their personality or a playlist for the night, which turns the gathering into a shared experience rather than a solo production.
Serve smart
Lean into a one-big-thing menu strategy after setting the mood. Choose a single affordable hero dish like a casserole, big pot of chili or sheet pan chicken, and pair it with inexpensive sides or store-bought shortcuts. Finish with some eggnog for added holiday cheer. It feels abundant, looks intentional and saves both money and stress.
When time is short, the simplest dishes often make the biggest impact. Bella Bucchiotti of xoxoBella swears by pasta night as a foolproof last-minute dinner plan. “A big bowl of pasta instantly turns a gathering into something special,” she says. “Choose a simple sauce like carbonara or cacio e pepe and serve it family-style. Add a tossed salad or garlic bread, and you’ve got a complete, crowd-pleasing meal in minutes.”
For something even easier, JD Alewine at Them Bites recommends going old-school with a slow cooker classic. “People will often gawk at the idea of serving little smokies, but hear me out: you always need more appetizers than you think, and you’re always in need of more time.” Alewine’s trick is simple: combine two packages of mini smoked sausages, a jar of grape jelly and a bottle of ketchup in a crockpot on low. “Set it, and forget it,” he says. “Your guests will eat every last one.”
A holiday charcuterie board is another way to make food look instantly impressive. Arrange even the simplest ingredients board-style to transform basic snacks into something that feels generous and curated. With these small, realistic strategies, hosting last-minute becomes less about spending more and more about making the most of what you already have.
A season centered on presence, not prices
In the end, this season is less about putting on a flawless show and more about creating room for connection. Rising costs and tighter budgets reshape how Americans celebrate, but they remind many that gatherings don’t need to be elaborate to be meaningful.
Simplify your plans, lean on potlucks or pick up ready-made treats to ease both the financial and emotional load. It also helps to set expectations you can actually meet and to hand off small tasks to friends or family who want to contribute.
Above all, taking care of your own well-being should stay at the center of the holidays. Making space to breathe, stepping away for a quiet moment and embracing the inevitable imperfections can transform a stressful day into something far more joyful.
As Ella of Your Self Love Story puts it, the best gift you can offer this Christmas or New Year’s is your presence. When you release the pressure to overdo it, what’s left are the moments that matter and the people who make them worth remembering.
Jessica Haggard is the creator of the blog Easy Homemade Life. She inspires and supports homemakers with easy recipes, natural home cleaning tips and DIY tutorials for personal care products to promote a happy and healthy home environment.
The post Last-minute hosting hacks for Americans with less to spend appeared first on Food Drink Life.
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