Father’s Day spending expected to hit record high despite economic uncertainty

Father’s Day spending is expected to hit a record high this year despite Americans facing economic uncertainty.

Americans plan to spend $24 billion this year on gifts for dad, and other loved ones, the National Retail Federation discovered in a survey.

It said around 48 percent of Americans will buy a gift for their father or stepfather, 25 percent plan to buy gifts for husbands, and 12 percent will get a gift for their sons.

On average, consumers are planning to spend $199.38 per person, up almost $10 from last year.

“Americans are embracing meaningful traditions and holidays, and this Father’s Day, spending on gifts and other holiday items is expected to reach record levels,” NRF Vice President of Industry and Consumer Insights Katherine Cullen said.

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The previous record high for Father’s Day gift-buying was $22.9bn in 2023. Last year wasn’t too far off with $22.4bn spent on the special father figures in Americans’ lives.

This expected uptick in holiday spending comes at a time when a majority of consumers are having negative feelings about the current and future state of the economy.

A poll from April conducted by The Economist/YouGov found that 40 percent of Americans believe the current state of the economy is “poor.” Around 53 percent of respondents believe the economy is getting worse.

The poll was conducted days after President Donald Trump announced sweeping tariffs on all countries, even U.S. allies. He quickly issued a 90-day pause on many tariffs.

Inflation has cooled and 177,000 jobs were added in April, but Trump’s unpredictable trade policy still concerns economists.

This year, much like in recent years, 58 percent of consumers plan to buy a greeting card, 55 percent plan to buy clothing, 53 percent plan to spend money on a special outing and 50 percent are expected to purchase gift cards for their loved ones, according to the NRF survey.

Two types of gifts, subscription boxes and gifts of experience, have been on the rise in recent years.

This year, 43 percent of Americans plan to gift a subscription box for Father’s Day, up 34 percent from 2019. And 30 percent of consumers are expected to spend money on an experience to give to their loved ones, a 23 percent increase from six years ago.

“As consumers prioritize Father’s Day gifts that are unique or create special memories, categories such as special outings and personal care items have seen an increase in popularity this year,” Prosper Executive Vice President of Strategy Phil Rist said in NRF’s press release.