A new analysis of holiday spending capacity shows Philadelphia consumers should limit their seasonal shopping to about $1,354 to avoid post-holiday debt, according to a WalletHub report released Tuesday.

The personal finance website examined more than 550 U.S. cities, ranking Philadelphia 232nd based on factors including income, age and savings-to-expense ratios. The typical Philadelphia consumer earns $5,025 monthly, spends $3,723, and has accumulated savings of $16,543.

Holiday spending nationwide is expected to surpass $980 billion this season, but budgets vary dramatically by location. Newton, Massachusetts, topped the list with a recommended holiday budget of $4,206, while some cities' suggested spending limits dipped below $200.

"Regardless of how well-off you are this season, it's important to stick to a budget that fits your financial profile so you don't rack up unsustainable debt," said Chip Lupo, WalletHub analyst.

Among larger cities, San Jose, California, showed the highest recommended holiday budget at $2,828. Sunnyvale, California, led medium-sized cities with a $3,845 spending limit.

Financial experts advise consumers to prioritize needed items over wants and consider non-monetary gestures of appreciation during the holidays, like hosting potlucks or giving handmade gifts.

Despite inflation concerns, the National Retail Federation expects strong holiday spending this year, driven primarily by online shopping. Analysts note that low unemployment rates and real wage growth outpacing inflation could boost consumer confidence.