A quarter of Poles go into debt to organize extravagant Christmas celebrations, with 6% of them doing so repeatedly. The most common way of financing these celebrations is by borrowing from family members, with 11% of consumers admitting to this. Meanwhile, 9% take out bank loans, and 5% delay paying their current bills to manage their finances for the holiday season, according to the “Lavish Christmas” survey conducted by the National Debt Register (KRD). Additionally, 75% of Poles consider gifts worth over 500 PLN to be exclusive.
According to data from the Central Statistical Office (GUS), the average salary in the third quarter of 2024 was 8,161.62 PLN gross. The minimum wage is also steadily increasing, reaching 4,666 PLN gross per month starting in January 2025. For some, this serves as an incentive to organize Christmas in an elaborate manner.
The KRD survey reveals that nearly one in ten people strives to create extraordinary Christmas celebrations at the cost of increased spending. On the opposite side are those who aim to stick to their budget—39% of consumers follow this approach. However, the largest group consists of those who manage their money rationally. Forty-five percent of Poles want to organize an elegant event without excessive financial strain, controlling their purchases and prices.
“You Only Live Once, Then You Pay Off the Debt”
“Luxury is a relative concept. For one family, it means preparing favorite dishes and small gifts, while for another, it includes restaurant meals, decorating the house for thousands of PLN, and hiring Santa Claus to bring high-end presents to the children. If the household budget allows for it, there is no problem. However, it becomes an issue when it comes at the cost of borrowing for a long time and tightening the belt for months to repay the debt. The ‘you only live once’ attitude should have its limits, as otherwise, you can fall into a debt spiral, which affects not only finances but also peace of mind. Our data shows that Poles face serious difficulties in settling their obligations. Currently, 2 million people in the KRD owe a total of 43.4 billion PLN. The scale is enormous. Therefore, consumers should focus on quick repayment to regain control over their budget instead of worsening their financial problems during the holidays,” says Adam Łącki, President of the Management Board of the National Debt Register.
Men and People Aged 35-44 Are Most Likely to Organize Lavish Christmas Celebrations
The most eager to organize extravagant celebrations are men and people aged 35-44 (both groups at 13%). This often stems from having teenage children, for whom elaborate setups and expensive gifts are particularly significant. Residents of medium-sized cities are also prone to opting for lavish Christmas celebrations, with 14% of them indicating this preference.
On the other hand, women (48%) and younger individuals aged 25-34 (53%) are more likely to keep their spending reasonable. They seek a balance between pleasure and a bit of indulgence without losing control over their budget.
Older people aged 65-74 tend to plan their Christmas celebrations strictly within their means. Nearly half (46%) of them say “no” to luxury. This mindset is influenced by life experience and the limited financial resources of seniors, who prefer to focus on the spiritual and emotional side of Christmas rather than the consumer aspect.
The Boundary of Exclusivity
The KRD survey shows that the concept of an “expensive” or “exclusive” expenditure varies. For 75% of consumers, it refers to a gift worth more than 500 PLN per person. More than half (56%) consider a holiday trip abroad to be an exclusive expense. Decorations, such as home decor worth at least a few hundred PLN, are viewed as a luxury by 44% of respondents, and a festive dinner is seen as a symbol of Christmas luxury by one-third of consumers.
However, not everyone who wants to organize an extraordinary Christmas has the financial means to do so. Despite this, some consumers still aim for an extravagant celebration and resort to loans. One in four respondents admits to taking out loans for Christmas, with 6% having done so multiple times. The most common source of funds is family or friends, with 11% of respondents turning to them, while 9% take out loans from banks.
Unfortunately, one in twenty people delays paying their current bills to enjoy an elegant holiday. Meanwhile, more than half (52%) of Poles surveyed in the “Polish Households’ Finances Under Pressure from Rising Prices” survey, conducted by the KRD in the third quarter of 2024, say that if rising living costs worsen their financial situation and prevent them from paying all their regular obligations, they will prioritize paying bills and save in other areas of life.
“This gap reveals how strong the desire is for a unique Christmas experience. On one hand, people want to stick to their budget in uncertain economic times, but on the other hand, they cannot resist the temptation to organize Christmas in a special setting. Our survey shows that those inclined to extravagance are significantly more likely to go into debt than those who are more restrained. Among the former group, 30% have repeatedly taken out loans. Among those skeptical of such an approach, 93% have never considered additional financing for the holidays. At the same time, one in ten respondents feels pressured to spend significantly more than they can afford,” explains Adam Łącki.
Gifts Are the Biggest Expense
For two-thirds of Poles, the most costly expense is gifts. Half of the respondents also consider meal preparation to be a significant expenditure, while 20% associate it with holiday travel. One in ten thinks decorations are the most draining on their finances. These expenses, along with trips, are particularly popular among those opting for a lavish celebration. For those who stick to a budget, the most noticeable expense is meal preparation.
Christmas comes and goes quickly, and for most Poles, the expenses related to the holiday have a moderate impact on their finances in the following months—44% of respondents share this view. Only 5% believe the costs have a lasting impact on their wallets. This sentiment is felt more strongly among those who opt for extravagant Christmas celebrations than those who manage their budget carefully.
The “Lavish Christmas” survey was conducted by IMAS International on behalf of the National Debt Register in November 2024, using the CAWI method with a representative sample of 1,011 Poles aged 18-74.
Source: ceo.com.pl
