How to tell friends and family you’re doing “no gifts” this year – MoneySense

Yes, gift-flation

“‘Gift-flation’ is a term we coined to describe the expectation that gifts—along with many other items this year—have increased in price due to factors beyond Canadians’ control,” says Roshan Jhunja, head of retail at Square, which offers a tool for small businesses to process credit card transactions. “What we saw in our survey was that Canadians are bracing for higher prices this year on gifts across the spectrum, which has them in a reflective mood, with 83% planning to be more intentional and thoughtful about their purchases and deal hunting more intensely.”

This sentiment is echoed by Deloitte Canada, which released its holiday spending report in October. Canadians are planning to spend an average of $1,347 this holiday season, down 11% from 2022. (Is your holiday budget in line with the average Canadian’s? Read MoneySense’s report on Canadians’ spending habits this holiday season.)

Canadian shoppers are planning to buy local and shop the sales for deals, but another option is managing expectations about gift budgets or not giving gifts at all—without any awkwardness.

I found myself in this situation recently when I gently explained to one of my niblings (nieces and nephews) that as much as I loved them, I was one person buying for multiple family members, so no, I couldn’t buy the virtual reality (VR) system they wanted. 

No gifts this year: Why is it so tough to say this?  

Talking about money is still a taboo subject, says Susy Fossati, owner and director of Avignon Etiquette in Toronto. 

“Money still falls under what we call conversation stoppers,” she says. “It’s one of those things that you’re either in the ‘haves’ or ‘have-nots,’ and it is still such a very sensitive topic, much like politics, religion and relationships.”

How to say no gifts this year without the awkwardness

Etiquette, says Fossati, is about putting others at ease, so we always tend to stay away from those sensitive topics. But there are times when it’s necessary to broach a subject, such as gifts and spending.

Communication is key, she says, recommending a proactive approach. “If you’re in that situation where inflation or the economy has [affected your financial situation], perhaps offer suggestions that might be a little bit more sensitive to everyone in the group whether or not you’ve been in that situation [yourself].”