Consumers may spend slightly more this holiday season than last, according to projections from the International Council of Shopping Centers and the National Retail Federation - but they will be spending cautiously.
According to financial-services company USAA, which surveyed people about their holiday-shopping plans, 40 percent of Americans think they'll spend less than they did last year. And one in 10 doesn't plan to spend anything at all on gifts.
Americans also have high hopes that they'll stick to a budget. Seventy-six percent of the poll respondents said they would make a budget before beginning their holiday shopping; in 2009, just 56 percent of people budgeted at the holidays.
Overall, retailers aren't expecting this shopping season to be a blockbuster one. But savvy shoppers may be able to leverage retailers' low expectations and find bargains, USAA financial planner Joseph Montanaro said. "Shopping over the holidays may yield some great bargains to make your dollar go further," he noted. "The key is not spending more dollars than you have to get those deals."
The USAA polled 1,014 people in early October. Its survey had a margin of error of 3.1 percent.
To learn more about creating a budget this holiday season, check out Kiplinger's articles and resources.
