Back-to-School Financial Tips
As the back-to-school season approaches, parents and caregivers can feel expenses piling up. As your Financial Wellness Coordinator, I see this time of year as an opportunity to set the tone for healthy financial habits that can last throughout the school year and beyond. Here are some tips to help you and your family manage back-to-school expenses wisely.
1. Create a Back-to-School Budget
Before you start shopping, sit down and create a detailed budget. List out all the items your child or college student will need, from school supplies to clothing, technology, and extracurricular fees. Categorize these into “needs” and “wants,” and prioritize accordingly. A well-thought-out budget can prevent overspending and help you stay on track.
2. Take Advantage of Sales and Discounts
Back-to-school sales can be your best friend. Many places offer significant discounts on school supplies, clothing, and electronics during this time. Compare prices online, use coupons, and look for student discounts.
3. Buy in Bulk and Reuse Supplies
For items like notebooks, pens, and paper, consider buying in bulk to save money. Additionally, make a list of what you already have at home. Sometimes there are unused supplies from the year before you might’ve missed. Teaching your children the importance of reusing and recycling not only saves money but also promotes environmental responsibility.
4. Set Up a Savings Plan
If you know that back-to-school shopping is a significant expense, add setting up a savings plan to your calendar for early next year. That way, well in advance you can start setting aside a small amount each month to build up a fund for these costs. For college students, this practice can be particularly beneficial, helping them manage their own money and plan for future expenses like textbooks and course materials.
5. Consider Second-Hand Options
For textbooks, consider buying used or renting them. Websites like Chegg, Amazon, and college bookstores often offer rental services or used textbooks at a fraction of the cost of new ones. This is especially useful for college students on a tight budget.
6. Plan for Extracurricular Expenses
Extracurricular activities, sports, and clubs can add up quickly. Make sure to include these in your budget. Discuss with your children the costs associated with these activities and help them understand the financial commitment involved. Sometimes, prioritizing a few activities rather than trying to do everything can be a smart financial decision.
7. Teach Financial Responsibility
Use this time as a teaching moment. Involve your children in the budgeting process and talk to them about making smart financial choices. For college students, this is an excellent opportunity to learn about managing money, using credit wisely, and the importance of saving. Financial literacy is a life skill that will serve them well in the future.
8. Explore Financial Aid and Scholarships
If you have a college student, ensure they are exploring all available financial aid options, including scholarships, grants, and work-study programs. Many scholarships go unclaimed each year simply because students don’t apply. Encourage them to research and apply for scholarships—every little bit helps. That is something I’ve helped parents with in the past and I’m happy to address this during a one-on-one consultation
9. Plan for Long-Term Educational Expenses
While it’s easy to focus on immediate needs, don’t forget to think about the long-term. For younger children, consider starting or contributing to a 529 savings plan or another education savings account. For college students, understanding loan options, interest rates, and repayment plans is crucial.
10. Don’t Forget Self-Care
Finally, remember that the back-to-school season can be stressful for both parents and students. It’s important to practice self-care and maintain a healthy balance between work, school, and personal time. Financial stress can take a toll on mental health, so staying organized and mindful of your spending can help with some of that pressure.
By planning and making informed financial decisions, you can turn the back-to-school season into a time of empowerment rather than stress. As you prepare for the new academic year, remember that financial wellness is about making choices that align with your values and goals. Here’s to a successful and financially healthy school year! Please feel free to contact me with any questions or advice on how to implement these tips. Contact Dora Lima at dlima@unitedwayofgnb.org or 774-762-8315.