While there are still a few months to go before the start of the 2022 holiday season, that hasn't stopped some consumers from thinking about getting a jump-start on holiday shopping. On top of the usual stress related to snagging the perfect presents for loved ones, a recent rise in the cost of everyday items has many would-be shoppers rethinking their holiday spending strategies — and how much they can really afford to spend on gifts.
According to a recent survey conducted by Bankrate, two out of five (40%) survey respondents said inflation will change the way they shop for the holidays this year.
Recent results from the U.S. Bureau of Labor Statistics' Consumer Price Index Summary also showed the food at home index, which reflects how much you'll pay for grocery items, had increased 13.5% over the past year. A rise in grocery store prices could also mean holiday dinner items are more expensive this year than they were last year. The price of apparel, often a popular choice for holiday gift giving, has also gone up 5.2% year over year.
With that in mind, it makes sense that 84% of holiday shoppers questioned in the Bankrate survey said they would try to save money this year, with 40% saying they'd be buying fewer items, 21% saying they'd be purchasing gifts from cheaper brands and 41% saying they'd be seeking out coupons, sales and other discounts. 17% of holiday shoppers said they'd be making more DIY gifts, while another 11% said they'd be giving used or secondhand items as presents. 17% of respondents said they'd be using credit card rewards to help offset costs, while 27% said they'd be starting their shopping sooner than in previous years.
Below, Select offers some quick tips that could help you save some money if you're worried about stretching your budget for holiday shopping this year.
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Create a sinking fund for holiday shopping
With the holiday season just a few months away, it's not too late to start rounding up some extra cash to put toward your purchases. A sinking fund is an amount of money you can set aside for a specific purpose, such as paying for a vacation or, in this case, shopping for holiday gifts.
A sinking fund can help you avoid having to raid your other savings accounts to pay for holiday-related expenses. Make your contribution goals feel attainable by choosing a smaller amount of money to transfer into your sinking fund each week. If, for instance, you put start putting aside $20 each week to purchase holiday gifts right now, by December you will have saved up $240. Depending on how much shopping you need to do, $240 may seem like a drop in the bucket, but a little can still go a long way.
It's a good idea to transfer any holiday shopping cash into a high-yield savings account, as they tend to pay significantly higher amounts of interest — granted, you won't earn hundreds of dollars a month in interest, but you'll still earn more than you would with a traditional savings account.
Marcus by Goldman Sachs offers a high-yield savings account that doesn't charge any monthly fees, excessive transaction fees or overdraft fees. While there's no minimum deposit needed to open the account, you will need a balance of at least $1 to start earning interest.
Marcus by Goldman Sachs High Yield Online Savings
Annual Percentage Yield (APY)
3.50%
Minimum balance
None
Fees
No monthly maintenance, overdraft or excessive transactions fee
Maximum transactions
No limit to the number of withdrawals or transfers you can make
Checking account
No
ATM card
No
Terms apply.
Pros
- No minimum balance or deposit
- No monthly fees
- No limit on withdrawals or transfers
- Easy-to-use mobile banking app
- Offers no-fee personal loans
Cons
- Higher APYs offered elsewhere
- No option to add a checking account
- No ATM access
Select also ranked SoFi Checking and Savings as the best high-yield savings account with a welcome bonus. Once you set up and start making direct deposits, you'll be able to earn up to $300 with direct deposit*. That extra cash could also be used to help cover holiday shopping costs this year.
- Impressive welcome bonus
- Strong APY with direct deposit
- No minimum balance or deposit needed
- No monthly fees
- Comes with checking account and ATM access
- Receive your paycheck in your account up to 2 days early automatically when you set up direct deposit
- Save change automatically with Roundups and set savings goals with Vaults
- No foreign transaction fees
- FDIC insurance up to $3 million additional through the SoFi Insured Deposit Program*
- Non-direct deposit APYs are low compared to other high-yield savings accounts
- No reimbursement for out-of-network ATM fees
- No physical branches
Try reward stacking to earn as much cash back as possible
Reward stacking is when you combine several shopping rewards programs to maximize the discounts, points and cash back you can receive on a single purchase. For example, if you were to buy a gift online using a credit card that allows you to earn cash back while also using a browser extension such as Rakuten so you can earn cash back there as well.
There are many reward shopping services and credit cards out there that can help you earn as many rewards and as much cash back as possible. Rakuten is a popular option since it's easy to use — just add it to your browser and click the "activate" button when you're on an eligible website. There are hundreds of retailers that participate, and from time to time, the cash-back percentage for different retailers may increase or even double, giving you an opportunity to earn even more in cash back for items you were going to purchase anyway.
Rakuten
Cost
Free
Cash back
Yes
Coupon codes
Yes
Mobile app
Yes
Works with in-store purchases
Yes
Welcome bonus
New users can earn a $10 bonus after spending $25 on purchases made in your first 90 days. You also may be able to earn an even larger bonus if you're referred by a friend.
How to redeem your savings
Rewards are issued quarterly.
Terms apply.
Pros
- You can earn American Express Membership Rewards Points or Bilt Rewards instead of cash back
- New users can earn a welcome bonus or referral bonus
- Offers at over 3,500 online stores
- You can activate savings, then shop and save on in-store purchases
Cons
- Cash back is awarded quarterly
- Typically not valid with Amazon purchases
When it comes to credit cards, the Citi Double Cash® Card gives you 2% cash back: 1% on all eligible purchases and an additional 1% after you pay your credit card bill. The card has no annual fee and offers an introductory APR offer, giving you purchasing flexibility.
Alternatively, the Blue Cash Preferred® Card from American Express lets you earn cashback in several categories, including 6% cash back at U.S. supermarkets (up to $6,000 per year in eligible purchases; then 1% cash back), 6% cash back on select U.S. streaming subscriptions, 3% cash back at eligible U.S. gas stations and on transit and 1% cash back for everything else. Note that the cashback is received in the form of Reward Dollars that can be redeemed as a statement credit.
The Blue Cash Preferred® Card from American Express is a low-fee card with generous cash-back rewards and useful ongoing benefits, such as a monthly Disney Bundle credit. (Enrollment required for select benefits mentioned)
- High cash-back earnings for U.S. supermarkets and streaming services
- Intro-APR offer for purchases and balance transfers
- No annual fee for the first year
- It's less rewarding after the first year because of the annual fee
- Bonus rewards for U.S. supermarkets are capped
Highlights
Highlights shown here are provided by the issuer and have not been reviewed by CNBC Select's editorial staff.
- Apply and find out your welcome offer. As High As $300 cash back* after you spend $3,000 in purchases on your new Card within the first 6 months of Card Membership. Welcome offers vary and you may not be eligible for an offer. Apply, and if approved: 1. Find out your offer amount 2. Accept the Card with your offer 3. Spend $3,000 in 6 months 4. Receive the cash back. *Cash back is received in the form of Reward Dollars that can be redeemed for a statement credit or at Amazon.com checkout.
- $0 intro annual fee for the first year, then $95.
- Enjoy 0% intro APR on purchases and balance transfers for 12 months from the date of account opening. After that, your APR will be a variable APR of 19.49%-28.49%.
- Plan It®: Buy now, pay later with Plan It. Split purchases of $100 or more into equal monthly installments with a fixed fee so you don't have the pressure of paying all at once. Simply select the purchase in your online account or the American Express® App to see your plan options. Plus, you'll still earn rewards on purchases the way you usually do.
- Earn 6% cash back at U.S. supermarkets on up to $6,000 per year in eligible purchases (then 1%), 6% cash back on select U.S. streaming subscriptions, 3% cash back at eligible U.S. gas stations and on transit (including taxis/rideshare, parking, tolls, trains, buses and more) purchases and 1% cash back on other purchases. Cash Back is received in the form of Reward Dollars that can be redeemed as a statement credit and at Amazon.com checkout.
- Get up to a $10 monthly statement credit after using your enrolled Blue Cash Preferred® Card for a subscription purchase, including a bundle subscription purchase, at DisneyPlus.com, Hulu.com, or Stream.ESPN.com U.S. websites. Subject to auto-renewal.
- Terms Apply.
- See Rates & Fees
Balance transfer fee
Either $5 or 3% of the amount of each transfer, whichever is greater.
Foreign transaction fee
2.7% of each transaction after conversion to US dollars
The Citi Double Cash® Card is one of the best no-annual-fee cash-back cards thanks to its straightforward rewards structure.
- Balance transfers get a long intro APR
- Generous flat-rate cash-back rewards structure
- No annual fee
- Travelers face a foreign transaction fee
- Intro APR only applies to balance tranfer
Highlights
Highlights shown here are provided by the issuer and have not been reviewed by CNBC Select's editorial staff.
- Earn $200 cash back after you spend $1,500 on purchases in the first 6 months of account opening. This bonus offer will be fulfilled as 20,000 ThankYou® Points, which can be redeemed for $200 cash back.
- Earn 2% on every purchase with unlimited 1% cash back when you buy, plus an additional 1% as you pay for those purchases. To earn cash back, pay at least the minimum due on time. Plus, earn 5% total cash back on hotel, car rentals and attractions booked with Citi Travel.
- Balance Transfer Only Offer: 0% intro APR on Balance Transfers for 18 months. After that, the variable APR will be 17.49% - 27.49%, based on your creditworthiness.
- Balance Transfers do not earn cash back. Intro APR does not apply to purchases.
- If you transfer a balance, interest will be charged on your purchases unless you pay your entire balance (including balance transfers) by the due date each month.
- There is an intro balance transfer fee of 3% of each transfer (minimum $5) completed within the first 4 months of account opening. After that, your fee will be 5% of each transfer (minimum $5).
Balance transfer fee
There is an intro balance transfer fee of 3% of each transfer (minimum $5) completed within the first 4 months of account opening. A balance transfer fee of 5% of each transfer ($5 minimum) applies if completed after 4 months of account opening.
Foreign transaction fee
3%
Don't wait until the last minute
Planning your purchases ahead of time can help you figure out a solid estimate as to how much money you're really going to spend for the holidays. Doing this can also help you to pinpoint how much money you should have in your sinking fund so you can create a specific goal to work toward.
Furthermore, if you wait until the last minute to start shopping, you run the risk of having to pay extra for expedited shipping and getting stuck with buying super pricey items just so you have a gift to give.
Start by jotting down a list of everyone you need to buy a gift for and some potential ideas for each person — and don't forget to include any holiday decor or other items you might need. That way, you can start keeping track of prices early so you can hit the buy button when you know the product you want is on sale or there's some other money-saving offer you can take advantage of.
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For rates and fees of the Blue Cash Preferred® Card from American Express, click here.
* New and existing Checking and Savings members who have not previously enrolled in Direct Deposit with SoFi are eligible to earn a cash bonus of either $50 (with at least $1,000 total Eligible Direct Deposits received within 25 calendar days of your first Eligible Direct Deposit of $1 or more) OR $400 (with at least $5,000 total Eligible Direct Deposits received within 25 calendar days of your first Eligible Direct Deposit of $1 or more). Cash bonus amount will be based on the total amount of Eligible Direct Deposit received within 25 calendar days of your first Eligible Direct Deposit of $1 or more. If you have satisfied the Eligible Direct Deposit requirements but have not received a cash bonus in your Checking account, please contact us at 855-456-7634 with the details of your Eligible Direct Deposit. Direct Deposit Promotion begins on 5/15/2026 and will be available through 12/31/26. See full bonus and annual percentage yield (APY) terms at sofi.com/banking/checking-offer/ *SoFi Checking and Savings is offered through SoFi Bank, N.A., Member FDIC. SoFi members with Eligible Direct Deposit can earn up to 3.10% annual percentage yield (APY) on savings balances (including Vaults) and 0.50% APY on checking balances. There is no minimum Eligible Direct Deposit amount required to qualify for the 3.10% APY for savings (including Vaults). Members without Eligible Direct Deposit will earn 1.00% APY on savings balances (including Vaults) and 0.50% APY on checking balances. Interest rates are variable and subject to change at any time. These rates are current as of 5/28/26. There is no minimum balance requirement. Fees may reduce earnings. Additional information can be found at http://www.sofi.com/legal/banking-rate-sheet. *SoFi Bank is a member FDIC and does not provide more than $250,000 of FDIC insurance per depositor per legal category of account ownership, as described in the FDIC's regulations. Any additional FDIC insurance is provided by the SoFi Insured Deposit Program. Deposits may be insured up to $3M through participation in the program. See full terms at SoFi.com/banking/fdic/sidpterms. See list of participating banks at SoFi.com/banking/fdic/participatingbanks. *Earn up to 3.80% Annual Percentage Yield (APY) on SoFi Savings with a 0.70% APY Boost (added to the 3.10% APY) for up to 6 months. Open a new SoFi Checking & Savings account with Eligible Direct Deposit by 12/31/26. Rates variable, subject to change. Terms apply at sofi.com/banking#2. SoFi Bank, N.A. Member FDIC *Annual percentage yield (APY) is variable and subject to change at any time. Rates are current as of 5/28/26. There is no minimum balance requirement. Fees may reduce earnings. Additional rates and information can be found at https://www.sofi.com/legal/banking-rate-sheet
