America recently broke its previous record of 102 million travelers in 2015 to 103 million in 2016. Despite the huge traveling size, most Americans have spent more money on shopping than travel expenses this year. Survey results suggest that Americans spend an average of $287 on gifts as they spend just $124 on travel but still focus on minimizing their overhead costs.
According to a survey conducted by Skift -- backed by The Marriot Rewards Premier Credit Card -- most people have spent an average of $287 on gifts while only spending half the amount on travel. The research suggests that "Generation X" adults spend most on holiday gifts than "Millenials" or "Baby Boomers" and that "Millenials" tend to spend more for themselves with either gifts or travel.
The small holiday travel budget could even be smaller if not for state taxes. According to Bloomberg BNA, travelers who choose to have their gifts delivered to their destinations could see differing state taxes that can affect one's holiday travel budget. Citing a 1992 US Supreme Court decision, states are limited from collecting tax revenue from products purchased and transported interstate. The reason is not every US state could require remote sellers to report their sales tax due to constitutional restrictions.
The news website gave some examples, such as Georgia imposing sales tax on passenger transportation between two points within the state and imposes taxes on shipping, handling and delivery for every sales transaction while Oklahoma does not observe this -- opting instead to charge only if the shipping charges are not separately stated on the client's product bill.
Further data from the American Research Group suggests that US shoppers have an overhead holiday spending budget of $929. Their data also suggests that parents may even set aside more than $500 per child on average. If the holiday shopping expenses are higher indeed than travel, it would be wiser to take the entire family on a Caribbean cruise or out-of-country vacation to cut expenses.
