Back-to-school shopping is likely to put about a third of Americans in debt, a poll said this month.
Shoppers are likely to face high prices on a variety of back-to-school items, from supplies to clothes, on top of already the high prices for necessities like groceries and housing.
In a Bankrate poll of more than 2,300 adults in July, 31 percent of shoppers said buying school supplies would mean going into debt.
This echoes a similar study by Intuit Credit Karma, which found that 31 percent of parents couldn’t afford back-to-school shopping, while 34 percent said they’d take on debt to cover the costs.
Justin Sullivan/Getty Images
While the number of Americans expecting to go into debt this school season is high, adults still said back-to-school shopping was less of a burden than it was last year.
While inflation was at 2.9 percent in July, prices have continued to come down. In July, the consumer price index was at its lowest point since March 2021. In mid-2022, inflation hit a record high of 9.1 percent.
“Shoppers aren’t clutching their wallets nearly as tightly this year,” Ted Rossman, Bankrate’s senior industry analyst, said in the report. “It’s important not to let your guard down, though.”
The costs can still add up. For families with children in elementary through high school, supplies were predicted to cost $874.68. That was $15 less than last year’s average.
Another report, from WalletHub, found that 75 percent of parents said they’re asked to buy too much during back-to-school shopping. And for families that buy new clothes for the school year, those costs can be even higher.
For those looking to save money this year, there are several strategies they can take.
The Bankrate survey found that 28 percent of school shoppers will be looking for deals and coupons, while 21 percent plan to buy cheaper brands. Some are just skimping on supplies, as 19 percent said they planned to buy fewer supplies because of prices.
“Many Americans have dug a big hole of debt in the years following the pandemic, and when it comes to required expenses like back-to-school supplies, they feel as if they have no choice but to further shovel into the money pit,” Alex Beene, a financial literacy instructor for the University of Tennessee at Martin, told Newsweek.
“School supplies, like virtually every other item, have increased in price in recent years,” he said. “And while it should be a planned expense, like tax season or holiday shopping, the reality is, for many Americans the costs of returning to the classroom sneak up on them every year.”
Beene said extracurricular activities can jolt prices even higher for many families, and the consequences can be wide-reaching.
“There’s no way you’re going to get out of debt if you can’t plan for and limit future expenses that will cause you to fall deeper into the financial negative,” Beene said.
“The smart move is to make a six-month plan of your future expenses that are required, make sure you are setting aside cash to handle them, and then make plans on how to handle your outstanding debts. Otherwise, you’re going to fall deeper and deeper into the red.”
