Halloween Is A $13.5 Billion Business. Find Your Kid-Sized Slice.

Every year, the National Retail Federation asks thousands of Americans how they plan to celebrate Halloween and how much they plan to spend. This year it asked 7,889 people, and the results came out on September 22.

The big number: Americans expect to spend $13.5 billion on Halloween in 2026. That is a new record, just above last year's $13.1 billion.

To most people, that is a fun fact. To a young business owner, it is a map. The survey shows what people buy, when they buy it, where they shop and what worries them about prices. Every one of those answers is a clue about what a small business could offer.

Let's read the numbers the way a business owner would, find a few ideas a kid could run with a grown-up's help, and then do the most important part: the math.

The NRF breaks spending into four big categories:

• Costumes: $4.4 billion, with 71% of shoppers planning to buy one
• Decorations: $4.3 billion, with 78% planning to buy some
• Candy: $4.1 billion, with 96% planning to buy it
• Greeting cards: $0.8 billion, with 42% planning to buy them, up from 38% last year

Costumes break down even further. People plan to spend about $2 billion on adult costumes, $1.5 billion on kids' costumes, and $0.92 billion on pet costumes. Yes, almost a billion dollars on costumes for pets. The most popular pet costume is a pumpkin, followed by a hot dog and a ghost.

The average person plans to spend $115.14, about the same as last year's $114.45. And 74% of people say they will celebrate, compared with 68% in 2019.

Business thinking question: Candy is the thing almost everyone buys, but costumes are where the most money goes. Why do you think that is?

The best business ideas usually come from a problem people already have. The survey points to three.

Clue 1: People are worried about prices. Inc. reported that Halloween candy prices rose 78% between 2020 and 2025, citing a FinanceBuzz study. A 100 piece bag of assorted candy went from about $9.19 to $16.39. The NRF found that if prices are higher than expected, 31% of shoppers will compare prices and 26% will look for coupons or sales.

Clue 2: People want things they can use again. 34% of shoppers plan to look for items they can reuse next year or use for something else.

Clue 3: People are shopping closer to home. 13% plan to buy Halloween items from local and small businesses. In 2016, only 7% said that. That is almost double.

Put those together and you get a customer who wants a good deal, wants something that lasts and is open to buying from someone nearby. That is a customer a kid business can serve.

Here are four ideas that match the clues. Each one needs a parent or guardian involved, and each one avoids selling food, which usually has special rules.

1. The costume swap. Kids outgrow costumes every year, and families want to save money. Organize a costume swap at school, a community center or a neighborhood event. Families drop off clean costumes and pick up a different one. You can charge a small entry fee, like $3 per family, or ask for a donation to a cause you choose. This matches Clue 1 and Clue 2.

2. Pumpkin and porch decorating helper. 42% of people plan to decorate their homes or yards, and 42% plan to carve pumpkins. Busy neighbors may pay for help setting up decorations or designing pumpkin faces. With a grown-up handling any carving tools, you could offer a "porch setup" for a flat price.

3. Handmade pet bandanas. Pet costumes are a $0.92 billion category, and a simple no-sew bandana in orange and black is easy to make. Sell them to neighbors, family friends or at a school craft fair. This matches Clue 3.

4. Custom Halloween cards. Greeting card buying is up this year. Handmade cards with a spooky drawing or a pun can sell to grandparents, teachers and neighbors, especially as a set of five.

A business idea is only a good idea if the numbers work. Let's try the pet bandana business.

Step 1: List your costs. - One yard of Halloween fabric: $8 - That yard makes about 8 bandanas - Cost per bandana: $8 divided by 8 = $1.00 - A pack of 50 small tags for labels: $5, or $0.10 each

Total cost per bandana: $1.10

Step 2: Pick a price. Look at what similar items cost in stores or online. Say you find simple pet bandanas selling for $8 to $12. You might choose $6, since yours are handmade and local and you want to be a good deal.

Step 3: Find your profit per item. $6.00 price minus $1.10 cost = $4.90 profit per bandana.

Step 4: Set a goal. If you want to earn $50, divide $50 by $4.90. That is about 10.2, so you need to sell 11 bandanas.

Step 5: Check your time. If each one takes 15 minutes to cut and tag, 11 bandanas take about 2 hours and 45 minutes. That works out to roughly $18 an hour before counting the time you spend selling.

Try the same five steps for any idea on this list. If you want to take it further, the lessons on Foundra Kids walk through turning a small idea like this into a simple one-page business plan.

The NRF found that 49% of shoppers plan to start Halloween shopping in September or earlier. Ten years ago, only 34% did. Halloween is turning from one night into a whole season.

What does that mean for a kid business?

• Start now. If half of shoppers are already buying, waiting until the last week of October means missing a lot of customers.
• Plan your supplies early. Halloween fabric and craft supplies can sell out or go on sale at different times. Buy what you need before you start taking orders.
• Think about November 1. What happens to leftover stock? Decorations are often on sale after Halloween. Could you buy supplies cheaply then for next year? That is how real stores plan.

Business thinking question: If you started a costume swap on October 25, how many families do you think would still need a costume?

Here is a new number from this year's survey: 47% of shoppers say they are using AI tools to help with Halloween. The most common uses are brainstorming ideas (34%) and asking for product recommendations (32%).

Young business owners can use AI the same way, with a parent's permission. Ask it for costume swap flyer ideas or funny card puns. Ask it to double-check your profit math.

But do not let it make the business decisions. AI does not know your neighborhood, your prices or your customers. Only you can find out whether the family down the street wants a porch setup or a pet bandana. The best research is still asking real people.

Before you start, go over these with a grown-up:

• An adult helps with every sale and every tool. No selling door to door alone, and no carving knives without supervision.
• Skip homemade food. Many places have rules about selling homemade food, and families are careful about Halloween treats. Stick to crafts and services.
• Be honest about your product. If a bandana is handmade and might not be perfectly even, say so.
• Keep money records. Write down every cost and every sale in a notebook or simple spreadsheet. That is how you learn whether the business actually made money.
• Say thank you. A handwritten thank you note to your first customers is how small businesses earn repeat customers next year.

How much will Americans spend on Halloween in 2026? The National Retail Federation expects $13.5 billion, a record, based on a survey of 7,889 consumers conducted September 1 to 9.

What is the biggest Halloween spending category? Costumes, at $4.4 billion. Decorations are close behind at $4.3 billion, and candy is $4.1 billion.

Why is candy so expensive? Inc. reported that Halloween candy prices rose 78% from 2020 to 2025, partly because wholesale cocoa prices climbed sharply. Cocoa prices have since dropped, but candy prices have not followed yet.

What is a good first Halloween business for a kid? A costume swap or a simple craft, like pet bandanas or handmade cards, is a good start. They need little money to begin and do not involve selling food.

How do I know if my business made money? Add up every cost, add up every sale, and subtract the costs from the sales. If the number is positive, you made a profit. Divide it by the hours you worked to see what you earned per hour.

1. NRF Halloween Survey Shows Consumer Spending Expected to Reach $13.5 Billion, National Retail Federation, September 22, 2026
2. Halloween Data and Trends, National Retail Federation
3. Halloween Spending Will Hit a Record $13.5 Billion, Despite Scary Candy Prices, Inc., September 25, 2026
4. NRF: 2026 Halloween spending expected to rise 3.82%, Talk Business & Politics, September 23, 2026