As the back-to-school season approaches, families across the country are getting ready for the flurry of shopping, scheduling, and organizing that comes with it. Whether your children are in elementary school or heading off to college, this time of year can be both exciting and stressful. As Financial Advisors, we want to help you navigate the financial aspects of the back-to-school season with confidence and clarity.
- Create a Budget and Stick to It
One of the most important steps you can take to prepare financially for the back-to-school season is to create a budget. List out all the expected expenses, including school supplies, clothing, extracurricular activities, and any technology needs. Don’t forget to account for additional costs like school lunches, transportation, and field trips.
Once you have a clear picture of what you’ll need, set a budget that aligns with your overall financial plan. This is where prioritizing comes into play—determine what’s essential and what can be scaled back. It’s easy to overspend during back-to-school shopping, so having a budget in place can help keep your finances in check. If you need help with this, reach out to Verde’s Financial Coach, Michelle Kopp!
- Take Advantage of Sales and Discounts
Retailers know that back-to-school season is a prime shopping time, so they often offer significant discounts on school-related items. Keep an eye out for sales, use coupons, and consider shopping during tax-free weekends if your state offers them. Buying in bulk for items like notebooks, pens, and paper can also save money in the long run.
Additionally, consider shopping online, where you can easily compare prices and take advantage of exclusive online deals. Many stores offer student discounts, so be sure to ask about them, especially if you’re purchasing electronics or software.
- Plan for the Unexpected
The back-to-school season often brings unexpected expenses—like a new textbook that wasn’t on the list or fees for extracurricular activities that weren’t anticipated. To avoid financial stress, set aside a small contingency fund within your budget for these surprises. Having a little extra cushion can help you navigate any unexpected costs without derailing your overall financial plan.
- Review and Adjust Your Financial Plan
Back-to-school season is a good time to revisit your family’s overall financial plan. Are you on track with your savings goals? Do you need to adjust your spending or saving habits now that summer is over? Consider meeting with your financial advisor to review your plan and make any necessary adjustments.
For families with college-bound students, this is also an ideal time to review financial aid packages, scholarship opportunities, and student loan options. Make sure you understand the long-term financial implications of any decisions you make regarding college financing.
- Teach Financial Responsibility
The back-to-school season is a great opportunity to teach your children about financial responsibility. Whether it’s through budgeting for school supplies, setting up a savings account, or discussing the costs associated with their education, involving your children in financial discussions can help them develop healthy money habits.
For older children and teenagers, consider giving them a budget for their school shopping and letting them make decisions about how to spend it. This can be a valuable lesson in prioritization and financial planning.
- Consider Long-Term Planning
While the immediate focus is on the upcoming school year, it’s also important to keep long-term financial planning in mind. Whether it’s saving for college, planning for future extracurricular activities, or considering educational expenses down the road, thinking ahead can help you stay financially prepared.
Start or continue contributing to education savings accounts like a 529 plan. Even small contributions can add up over time and provide significant support when your child is ready for college.
- Seek Professional Advice
If you’re feeling overwhelmed by the financial aspects of the back-to-school season, don’t hesitate to reach out to us. A Verde Advisor can help you create a budget, prioritize expenses, and ensure that your financial plan is aligned with your family’s goals.
Back-to-school season doesn’t have to be a financial burden. With careful planning, smart shopping, and a little foresight, you can manage the costs effectively and set your family up for a successful school year.
Remember, investing in your child’s education is one of the best investments you can make. By approaching the back-to-school season with a well-thought-out financial plan, you can enjoy this exciting time without unnecessary stress.
Here’s to a successful, budget-friendly back-to-school season!