Back-to-school shopping is an annual event that many families look forward to, but it can also be a source of financial stress. According to a recent poll, about a third of Americans are expected to go into debt this year to cover the costs of school supplies and clothing. This statistic highlights the financial strain that many families face, especially in light of rising prices for necessities like groceries and housing.
The Bankrate poll of more than 2,300 adults in July revealed that 31 percent of shoppers anticipate going into debt to purchase school supplies. This sentiment was echoed in a study by Intuit Credit Karma, which found that 31 percent of parents couldn’t afford back-to-school shopping, while 34 percent planned to take on debt to cover the expenses. These findings underscore the financial challenges that many families are grappling with as they prepare for the upcoming school year.
Despite the high number of Americans expecting to go into debt for back-to-school shopping, adults reported that the burden was less significant than in previous years. While inflation has been a concern, with prices on the rise, the consumer price index was at its lowest point since March 2021 in July. This may provide some relief to families as they navigate the costs associated with preparing for the new school year.
However, the costs of back-to-school shopping can still add up quickly. Families with children in elementary through high school are projected to spend an average of $874.68 on supplies, which is slightly lower than last year’s average. Additionally, a report from WalletHub found that 75 percent of parents feel pressured to buy too much during back-to-school shopping, adding to the financial strain.
To help alleviate some of the financial burden, there are strategies that families can employ to save money. The Bankrate survey revealed that 28 percent of school shoppers plan to look for deals and coupons, while 21 percent intend to purchase cheaper brands. Some families are also cutting back on the number of supplies they buy to offset the high prices.
Financial experts emphasize the importance of planning and budgeting for back-to-school expenses to avoid falling into debt. Alex Beene, a financial literacy instructor, advises creating a six-month plan for future expenses, setting aside cash to cover them, and developing a strategy to address outstanding debts. By taking a proactive approach to financial planning, families can better manage the costs associated with back-to-school shopping and avoid accumulating unnecessary debt.
In conclusion, back-to-school shopping can be a stressful time for many families, especially when faced with the prospect of going into debt to cover the expenses. By implementing money-saving strategies and prioritizing financial planning, families can navigate the costs of back-to-school shopping more effectively and avoid falling into unnecessary debt.