PayPal survey: 58% worried about holiday costs, 64% plan to spend same or more
A PayPal-commissioned survey of 2,005 U.S. adults finds early shopping, budget setting and rewards use rising as financial concern grows ahead of the holidays.
The story in focus
A PayPal-commissioned Morning Consult survey of 2,005 U.S. adults found 58% feel more financial concern this holiday season, yet 64% expect to spend the same or more. Shoppers plan to start earlier, set budgets and lean on rewards and buy now, pay later options.
- 58% of respondents reported greater financial concern heading into the holidays, while 64% expected to spend the same or more than last season.
- 58% planned to shop before Thanksgiving and 67% said they were more likely to shop with a retailer offering rewards or cash back.
- 55% had used or considered buy now, pay later, and three-quarters of that group planned or considered using it for holiday shopping.
Earlier shopping and tighter budgets
PayPal said the survey, conducted by Morning Consult among 2,005 U.S. adults from Sept. 2 to 4, 2026, carries a margin of error of plus or minus 2 percentage points. Two in five respondents planned to begin holiday shopping by the end of October, and 29% planned to start earlier than last year. More than half planned to shop before Thanksgiving.
Budgeting was the most cited tactic for managing spending at 36%, ahead of comparing prices at 32% and waiting for sales at 31%. To preserve gift-giving, 39% said they would cut back on dining out and 35% on gifts for themselves; 29% would buy for fewer people and 34% would spend less per gift.
Rewards and payment flexibility
Rewards feature prominently: 67% said they would use all saved rewards toward a gift, and 55% said they had rewards saved for holiday shopping. Clothing (52%), toys and games (38%), and beauty and personal care (32%) were the top planned categories.
On payment timing, 42% said they would be more likely to make a purchase if buy now, pay later were available. PayPal pointed respondents to its Pay in 4 and Pay Monthly options; Pay Monthly is subject to credit approval, with WebBank named as lender.
What PayPal is offering
PayPal said it is positioning offers, rewards and Pay Later options in its app and its Cashback Mastercard, which pays 3% cash back on eligible purchases checked out with PayPal subject to credit approval. The findings are PayPal's own survey and describe stated intentions, not observed sales.
Do shoppers plan to spend less this holiday season?
Not necessarily. In the PayPal survey, 64% expected to spend the same or more than last season even as 58% reported greater financial concern, with many planning earlier shopping, budgets and rewards use.
Sources & further reading
- PayPal Survey Reveals Holiday Spending Isn't Slowing Down, But Shoppers Are Changing How They Spend - Sep 30, 2026 ↗newsroom.paypal-corp.com
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