The holidays are set to add to the financial stress of thousands of young Canadians who will take on extra debt in the coming weeks.
With many already juggling debt burdens while trying to save for homeownership or to meet mortgage payments, a survey from investment app Mylo has revealed the true cost of the holidays.
The report, which surveyed 1,500 Canadian millennials (18 - 34 years old), found that 58% of respondents will not save up for seasonal spending this year and 38% will incur debt from holiday-related purchases. Perhaps unsurprisingly given those stats, almost a third have negative feelings about the holiday season.
"The holidays are supposed to be a happy time, but unfortunately our research found this isn't the case for many Canadians," said Phil Barrar, founder and CEO of Mylo. "Too many of us end up in debt as a result of this season because we overspend or simply don't save up enough."
More than half of respondents would change holiday gift-giving traditions in favour of their finances with 27% preferring to receive cash rather than gifts and 29% would eliminate holiday gift-giving entirely.
Many Canadian millennials also reported that holidays spending affects their emotional well-being, with 14% indicating increased feelings of stress, 9% reporting resentfulness, and 6% reporting sadness associated with the season.