Customers shop for school supplies at a Target store in Colma, California.
David Paul Morris | Bloomberg | Getty Images
As parents know all too well, it’s hard to cut corners when it comes to kids.
Despite more families living paycheck to paycheck, this year’s total back-to-school spending is expected to match last year’s record of $37 billion, according to the National Retail Federation. Families with children in elementary through middle school plan to spend an average of $864 on school supplies, up $168 from 2019, the NRF found.
“Families consider back-to-school and college items an essential category,” said Matthew Shay, president and CEO of NRF.
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A separate report from Deloitte found that 37% of parents may spend more this year than last year – up to $661 per child.
And yet, 75% of parents are stressed about paying the tab, a 12% increase from last year, according to LendingTree.
“These spending are taking a big financial toll on American households already struggling with the highest inflation readings in more than 40 years,” said Ted Rossman, a senior industry analyst at Bankrate.
Families are stretched thin
Nearly a third of families said back-to-school shopping will strain their budgets, with middle-income families feeling particularly hit, according to a new Bankrate.com survey of more than 2,400 adults.
More than a third, or 37%, of parents with school-age children said they are unable to afford back-to-school shopping due to inflation, and nearly half said they will buy debt for their children, a study by Karma of credit was found.
Bankrate also found that 41% of consumers will change how they shop for the upcoming school year, with the majority looking for money-saving strategies.
How to save money on school shopping
As a rule, stick to buying only what you need right now, advised Julie Ramhold, a consumer analyst at DealNews.com.
Students may need to start the school year with notebooks, binders, paper, pens and pencils, but other purchases, like a backpack or lunch box, can be put off until they go on sale.
If you don’t need a new laptop or headphones right away, Ramhold recommends waiting until Labor Day or even Black Friday, when electronics discounts will be the biggest.
These expenses are taking a heavy financial toll on American families.
Ted Rossman
senior industry analyst at Bankrate
A price tracking browser extension like CamelCamelCamel or Keepa can help you keep an eye on price changes and alert you when a price drops.
In addition to shopping for the best price, take advantage of sales tax breaks, credit card rewards or cash back bonuses, said Beverly Harzog, a consumer finance analyst at U.S. News & World Report.
If you qualify, Harzog also recommends applying for a new card with a sign-up bonus or offering a 0% introductory APR for 12 to 21 months and then paying it off throughout the year with no interest fees.
“It’s a better win if you do a little strategy,” she said.
Then use a cash back site like CouponCabin.com to earn cash back on online purchases, including back-to-school supplies from Target, Walmart and Macy’s.
Rossman recommends bundling discounts, for example, combining credit card rewards with store coupons and online shopping portals. “That represents three ways to save on the same purchase.”
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