'It's Kind of Scary': How Inflation Will Impact Gifting This Holiday Season

Gift-givinggoes hand-in-hand with the holiday season, but for American families feelinginflation's burn this year, it's more stressful than ever before.

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To combat soaring prices and provide their children with the holiday experience they've come to expect, many parents have had to tighten already strictbudgets,CNNreported.

Related:How to Calm Financial Panic During Inflation Surges

But it's no easy feat:Inflationincreased 8.6% from May 2021 to May 2022, according to theU.S. Bureau of Labor Statistics— the largest 12-month jump since the period ending in December 1981.

As of October, the average American household was spending $433 more per month to purchase the same goods and services as it did the previous year, per Moody's analysis reported byCNBC.

CNN spoke to second-grade teacher Lindsay Cook, whose family is living paycheck-to-paycheck for the first time.

Cook and her husband, a school security officer, have had to pull from their savings and rely oncredit cardsto keep up with essential bills — and holiday budgeting for two kids makes it that much harder.

"There's no sort of wiggle room," Cook told the outlet. "And it's kind of scary."

Related:5 Ways to Really Get Away From Work During the Holidays

Despite recent inflationary pressures, theNational Retail Federationforecasted holiday retail sales growth in November and December — up between 6% and 8% from 2021.