Financial Tips for Back-to-School Season

Indulging in slow, lazy summer days? Yeah, me neither. Summer life with kids is more about the “adventure” of juggling camp dropoffs, wet swimsuits left in the weirdest places and endless requests for ice pops. By the time fall rolls around, the daily bustle of school rhythms sounds like a relief—until supply lists and required forms start piling up and we’re in over our heads again.

Making a plan now can help you get ahead of the back-to-school rush. These ideas may help you save some money, set a sustainable schedule and feel more ready for the shift back into the school year.

Ace Your Back-to-School Shopping Budget

Art supplies, computer equipment, clothes, shoes and other back-to-school essentials can add up quickly. Parents’ average anticipated back-to-school spending is over $850.

Being strategic about your budgeting can help you make every dollar count. Try these tips to help save money:

• Reuse and repurpose: Look through your bin of miscellaneous art supplies and last year’s backpacks. Crayons and notebooks don’t need to be untouched to be useful in a new school year.

• Look up tax holidays: Sales tax holidays vary by state. Several states have tax holidays in August, which can be helpful to save some money.

• Go for used or hand-me-downs: Cast a wider net than just siblings—kids may be genuinely excited to snag their cool older cousin’s lunch box or backpack. Neighborhood swap events, or sites like Facebook Marketplace or Craigslist can be places to score gently used supplies at reduced cost.

• Delay purchases: You might find better deals on certain supplies a few weeks into the school year. It might be worthwhile to buy some essentials now but hold off on the full list until later. Same goes with clothes—give your tween a few weeks to figure out what’s in style before committing to new outfits.

• Get discounts: Clip coupons, shop sales and look for any online discount or promo codes to help save at the register.

• Use credit card rewards: Some credit cards let cardholders earn cash back, and sometimes you can get a few extra dollars of value by redeeming for gift cards rather than cash. You may be able to help cover or subsidize back-to- school expenses by using rewards.

• Splurge strategically: Sometimes, spending a little extra saves in the long run. A higher-quality backpack may last multiple years. A trendy water bottle may have a sturdier clasp than the cheapest option—and kids may be less likely to lose an item that’s a bit of a status symbol. Factor quality into your shopping, and consider letting kids choose one item they’d like to splurge on, and go with cheaper versions for the rest.

• Coordinate carpool: If your kids don’t take the bus, you may still be able to reclaim some gas expense and time spent crawling through the dropoff lane. If you can share a carpool plan with other parents near you, you may be able to get a few mornings a week to yourself to start work early (or drink a cup of coffee uninterrupted!).

• Get creative about after-school care: Part-day care for school-aged kids can cost 8.1–9.4% of many families’ income. You may be able to save some money with creative arrangements. Combining with other families on a nanny share, or even organizing a rotating schedule to host kids if your work schedules allow, may be a possible option to share the load (and expense) of childcare.

Spend Smart Outside of School

Besides refreshing your kids’ closet and purchasing essential school supplies, you may need to budget in fees and supplies for extracurricular activities, like uniforms, sports equipment, dance shoes, instrument purchase or rental and other costs.

Before you get caught up in the bustle of a new school year, step back and consider what scheduling rhythms feel right for your family. The balance between positive social enrichment and overscheduling can be different for every kid, and it can change year to year. Talk with your partner (or schedule a family meeting) to decide how many activities make sense for your time and budget.

Don’t forget to consider your own activities. Even activities without a structured fee may have a regular cost you can estimate. A new hardcover for your monthly book club or even your weekly coffee date with a friend belongs in your recurring expense budget. This can help you earmark some funds for yourself and get a more transparent look at your overall spending.

If you decide to pare down extracurricular activities, consider what you’d like to do with that time instead. Start a weekly family movie night? Volunteer? (Just relax?) It may be easier for your family to transition to an adjusted schedule if they understand what the new plan will look like.

Plan Holiday Spending Early

September may still feel like summer heat where you are, but thinking ahead to major fall and winter holidays can help you stay on top of finances:

• Make travel arrangements: Where will you spend holidays? You may be able to save on plane tickets or hotel arrangements by booking early.

• Set a holiday gift budget: Common wisdom is to leave kids at home while you tackle back-to-school shopping, so they don’t add the flashiest (and priciest) items to your cart. One advantage of bringing kids along is the chance to learn what styles and toys or gadgets catch their eye, so you can plan for holiday shopping with key information in hand.

• Budget other holiday spending: Gifts are only one part of holiday spending. Set a spending limit in advance for parties, outings with friends in town, photos with Santa or holiday cards, charity giving, special outfits and seasonal outings.

Extra Credit: Plan for Your Kids’ Future

A fresh school year can be a good time to take stock of long-term financial goals for your kids. Small steps now can help you prepare meaningful support for your kids after graduation.

If you’re hoping to send your kids to college, check in on your savings progress. If you haven’t started saving for college yet, the first step may be to open an account. Some popular options include 529 plans and Uniform Gifts to Minors Act (UGMA) accounts. If you’ve already started contributing, see if you have room to increase contributions (even by $10 or $20).

Not all kids plan to enroll in postsecondary education. Some parents prefer to diversify their financial contributions for their kids, putting some money toward a general account without penalties for unqualified expenses, or even toward their children’s eventual retirement. Depending on your plans, a UGMA account, trust fund or custodial Roth IRA (for children who earn income) can be options to put money toward their future, whether or not they pursue a college degree.

As parents, we aim to do what’s best for our kids and our budget. Every small step you take can help you get the best value out of back-to-school season and help prepare your kids for a happy and successful year.

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