It's that time of year again. Your kids are getting ready to head back to school, and that means parents are making sure they have everything they need. This can get costly, so it's a good idea to have a budget. Here are six back-to-school budgeting tips for families looking to save this season.
1. Create a Budget Before Shopping
Before you begin shopping, create a budget. Know exactly how much you can afford to spend before you visit stores or shop online. Consider every potential expense, such as supplies, clothing, shoes, backpacks, lunch boxes, water bottles, electronics, and sports equipment. After estimating expenses, assign a spending limit to each category. Having a budget written out can help you prioritize necessities before buying optional items and depleting your funds.
If your kids are old enough, you can get them involved in the budgeting process. This is a great opportunity to help them gain a better understanding of money management.
2. Make a List and Compare Prices
Making impulse purchases is probably the fastest way to exceed your budget, so before you start shopping, have a concrete list of the things you need. Be sure to obtain the official school supply list, if available, and buy only the required items rather than purchasing extras that may never be used. Add all needed items to the list, including the quantities required. How many pairs of shoes? How many new outfits?
Before you make purchases, do some comparison shopping. You should be able to do a great deal of this online, but you can also visit different stores before making purchases. Check office supply stores, discount retailers, warehouse clubs, grocery stores, and online retailers. Some stores may offer price matching or special promotions during the back-to-school season. Look for flyers and digital coupons. If you are shopping online, don't forget about shipping costs.
3. Try to Reuse Items
It's entirely possible that your kids still have items from the previous school year that are suitable for this year. Reuse what you can.
"In many cases, your child likely has some back-to-school basics that are 'buy once, use many'—from backpacks and folders to computers and sporting gear for extracurriculars," says Thrivent.* "Before you head to the store, take inventory of items you already have that can be used again. You also may encourage your child to prioritize gently used, “new to you” items that are handed down from a friend, neighbor or older sibling. Or items purchased for a low price at your local thrift store."
4. Set Limits on Clothing and Trendy Items
If you are on a budget, it might be a good idea to set limits on more expensive items, such as trendy clothing and accessories. For some kids, this isn't an issue, but for others, often teenagers, you might be met with some resistance. Talk to your kids before the shopping trip so they can manage their expectations about how much you'll be spending on these types of items.
5. Look for Student Discounts
You might be able to save money with student discounts if you find the right places to shop. "Many retailers offer discounts for student shoppers," says Ivana Pino at Yahoo Finance.** "Taking advantage of these deals can shave 10%–20% (or even more) off each purchase. Some major retailers that offer student-specific discounts and deals include Best Buy, Apple, Nike, Amazon, Dell, and Microsoft. You can maximize these discounts by installing browser extensions such as Honey or Rakuten, which automatically find and apply coupons at checkout when you shop online. They also offer cash back at certain retailers, further reducing the total cost."
6. Plan Ahead for Expenses Throughout the School Year
As you budget for back-to-school expenses, remember that it's not only about the beginning of the school year. You are likely to face various expenses throughout the year, such as fees, field trips, school pictures, and equipment or supplies related to extracurricular activities. While you may not need to come up with all the money needed to cover these costs right away, planning can help you prepare for them. It might even be a good idea to set up a savings account specifically for school-related expenses.
Back-to-school budgeting is about making thoughtful purchasing decisions that help you get the most for your dollar. Shopping with a list, comparing prices, reusing supplies, and planning ahead can help you save money each year, and those savings can be directed toward other financial priorities. Involve your children in the budgeting process so they can not only learn from the experience but also have a better idea of what to expect for the new school year.