AAA forecasts 122.4 million Americans will travel at least 50 miles from home during the 13-day year-end holiday period from December 20 through January 1.
The projection marks a 2.2% increase over 2024, setting a new record and signaling strong demand for road trips, air travel, and other modes of transportation, with implications for campgrounds, RV parks, and outdoor hospitality providers.
AAA expects 109.5 million Americans to travel by car this holiday season, up 2% from last year. Driving remains the preferred mode of transportation, accounting for 89% of all holiday trips. Lower gas prices, which have dropped below $3 per gallon for the first time in four years, are cited as a factor in the increase.
“Year-end travel is a mix of family road trips, friend getaways, and tropical vacations,” Stacey Barber, vice president of AAA Travel, said in AAA Newsroom on December 10. “Holiday celebrations look different for everyone, but a common thread is the desire to travel, whether it’s returning to your hometown or exploring new destinations.”
AAA advises drivers to prioritize safety. December is National Impaired Driving Prevention Month, a reminder for travelers to plan safe rides home. The organization also emphasizes awareness of roadside emergencies, citing last year’s 860,000 emergency roadside assistance calls for issues including dead batteries, flat tires, and empty fuel tanks.
Car rental demand is expected to peak on Saturday, December 20, according to AAA’s partner Hertz. The top five markets for rentals include Orlando, Los Angeles, Atlanta, Miami, and Phoenix. Small SUVs are the most popular vehicle class, and domestic rental rates are up 1% from last year.
By air, AAA anticipates a record 8.03 million domestic travelers, a 2.3% increase over 2024. This will be the first time domestic air travel exceeds eight million passengers during the year-end holiday period.
Roundtrip domestic airfare is averaging nearly $900, a 7% increase compared to last year. Flights immediately before Christmas are the most expensive, while flying on Christmas Day and New Year’s Day is generally cheaper.
Other transportation modes, including bus, train, and cruise, are expected to see a 9% increase, totaling 4.9 million travelers. This category has grown 25% since 2019, largely due to rising cruise demand post-pandemic.
AAA booking data also shows warm destinations dominate domestic holiday travel, with Florida, Southern California, and Hawaii leading. Caribbean islands and Mexican resort towns are also popular for year-end getaways.
INRIX traffic data forecasts heavier congestion during Christmas week compared to New Year’s, with the busiest travel expected on weekends preceding Christmas and Friday, December 26.