Parents Hoping to Rein in Back-to-School Spending

Parents are keeping a tight hold on the purse strings as their offspring reluctantly face the prospect of another year at school.

The National Retail Federation reports that families with children in grades K-12 will spend an average of $603.63 on apparel, school supplies and electronics, down slightly from last year’s $606.40 average.

“Families aren’t opposed to spending on what they need, but parents want their children to take a good look around at what they already have before deciding what to buy for back to school this year,” said NRF president Matthew Shay. “Retailers understand consumers are extremely focused on value and are taking this opportunity to offer substantial savings on merchandise.” 

Combined K-12 and college spending is expected to reach $68.8 billion, making back-to-school the second biggest consumer spending event for retailers behind the winter holidays. 

Many states offer sales tax "holidays," although most have already passed.  Check here to see if it's too late to save a few dollars in your state.

Parents should remember to make sure their children's immunizations are up to date.  Complete information on each state's requirements is available here. 

Economic insecurity

Although the worst of the recession may be over, the survey conducted for the retailers by BIGResearch finds a shadow of insecurity remains when it comes to how the economy will impact consumers’ back-to-school plans.

According to the survey, Americans are compensating for the economy by purchasing more store-brand or generic items (39.9%), comparison shopping more online (29.8%), and shopping for sales (50.0%). Additionally, nearly half of survey respondents said the economy is forcing them to simply spend less in general (43.7%).

Having replenished many of their children’s needs last year, average spending on clothing ($220.60) and school supplies ($88.99) will slightly decrease this year. Families will also spend an average of $104.53 on shoes, a slight increase over last year. 

Though average spending on computers, cell phones, mp3 players and tablet devices is expected to increase slightly to $189.51, just over half (51.9%) of families with school-aged children plan to purchase electronics this year, down from last year’s historically-high 63.7 percent.

The percent of people who plan to purchase apparel, shoes and supplies will decrease as well, demonstrating that many families are making conscious decisions to buy only what they need.