Back to School Spending: $55.12 billion

August 16, 2010

That’s right – according to the National Retail Federation, back to school spending for K-12 and college students is expected to reach $55.12 billion this year! What recession? Last year, on average, families spent $548.72 on back to school expenses. This year, that number will jump to $606.40.

This may sound like a lot of money (and it is!), but the survey suggests that Americans are taking into account the troubled economy when budgeting for back to school expenses: 44.3% of Americans say they will purchase generic products, which are cheaper, compared to 41.7% from last year’s survey.

We’ve gathered some easy ways to save money on back to school expenses:

1. Buy in Bulk – If you are buying school supplies for more than one child, this can save you lots of money. Items are generally cheaper when you buy more of them. For example, a store might have a special, “Buy 3 notebooks and get 2 free”.

2. Buy Generic – There are several household brand names when it comes to notebooks, pencils and school supplies. Do yourself a favor and only buy generic items, which are usually 10-30% cheaper than brand name items.

3. Buy Less – Sometimes the school supply lists that schools give to the parents are excessive. Carefully review what is on the list, but anything that seems ridiculous or redundant, don’t buy. For example, the list may require “markers, crayons and colored pencils”. How about buying either markers or crayons or colored pencils instead of all of them? (We’re in a recession!)

4. Recycle – If you have left over folders or notebooks from last year that you bought (even if they’re slightly used), why not use those instead of having to buy new items? Re-use the book bag you used last year if it’s in reasonable condition.

5. NO Store Credit Cards – Stores will want you to open up their own credit cards and in turn, they’ll take 10% or 15% off every purchase you make at that store. Sounds good, right? Wrong! These credit cards have extremely high interest rates and may be littered with hidden fees. Plus, credit card bureaus don’t like to see many department store credit cards on your credit report since they are pretty easy to open up. When you have department store credit cards, the credit bureaus then wonder why you wouldn’t open up a regular credit card (if you don’t already have one), which are typically more difficult to receive than store credit cards.

6. Use Coupons – Office supplies stores and even clothing stores usually run coupons and sales around this time of year for back to school items. Always check a store’s circular for the best deals.

7. Save Money on Textbooks: Use our Textbook Search Engine to find the retailer that sells college textbooks for the lowest price!

8. Bargain! – As mentioned in HelpSaveMyDollars.com’s Bargaining 101, always ask the seller for a lower price! The worst the seller can say is “No”. Also, go online and compare prices of items from store to store. If an item in one store is cheaper than the same exact item in another store, ask the more expensive store if they’ll match the price of the cheaper store – don’t overpay.

For more ways to save money, consult our 20 Laws of Saving Money.

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