Going back-to-school on a budget

Let's face reality, kids (and parents!). 4th of July was weeks ago, and it will soon be August. Tick tock. Summer is winding down, and your first day of school is just around the corner.

Usually, the Back-to-School season represents a time of new beginnings: the air is crisp, the pencils are sharp, and most everyone has a closet full of new clothes to match their new grade level. However, in light of recent economic downturns, the average family has less disposable income, and parents are feeling less motivated to spend big on Back-to-School shopping.

Kids may not understand terms like "recession," but they sure do understand the word, "No" when it follows the question, "Can I have a new Hannah Montana backpack this year?" So, to help everyone avoid embarrassing temper tantrums in the School Supplies aisle of Target, I'm here to offer up some Back-to-School shopping advice.#1. Set a budget. Overspending is often a result of poor planning. If you embark on your shopping adventure without an itemized budget, you will likely move from store to store, wracking up receipts and spending more than you realize. Parents must think carefully about what they can afford to spend on Back-to-School shopping, then categorize and assign spending limits to each category. This is especially important for families with multiple children to ensure fairness and equal spending.

Sample Budget
Clothes: $300
Shoes: $100
Backpack: $50
School Supplies: $150
Total: $600 (see, it adds up quickly!)

#2. Separate "Needs" from "Wants": Parents must help children distinguish between items they NEED (as in "My teacher requires me to have a graphing calculator for algebra this year.") and items they WANT (as in "All the kids are wearing $100 jeans, why can't I?"). Kids will communicate every desire with life-or-death urgency, and parents have a responsibility to impose boundaries and teach their children to prioritize.

#3. Have kids contribute to shopping expenses. Parents, it's OK to require your kids to pay for a portion of their Back-to-School shopping. Younger children can earn money by doing chores around the home, while older children can get part-time jobs (babysitting, mowing lawns) for extra cash. Set goals with your children, and offer to match or contribute to their earnings.

Studies show that kids feel more satisfied with purchases if they use their own money. And you can bet that, if Junior pays for those $200 sneakers himself, he's going to take very good care of them!

#4. Don't do it all in one day. Parents are often inclined to tackle all Back-to-School shopping in a single, exhausting day. Why? Cramming everything into one afternoon is often chaotic and inefficient, as kids lose focus (most children under age 12 have an attention span of 30 minutes) and parents become frustrated and buy things "just to get it over with." Instead, parents should divide and conquer by breaking up their shopping into single outings; hit Office Depot one week and visit the mall the following week. If you start now, you'll have plenty of time.

#5. Take stock of what you already have: It's essential to assess which items from previous years are still viable and which seriously need to be replaced. Don't waste money buying things you already have! Last year's notebooks may contain reams of unused paper; busted-up pencil cases may hold unused pencils. Encourage children to reduce waste and recycle items like calculators (it's probably not broken; it may just need a new battery), binders, rulers, compasses, etc. A quick dust-off or spot cleaning will make last year's castoffs look new again. Reusing supplies is not only good for the pocketbook, it's good for the environment.

#5. Use online tools: Finally, the Internet offers a wealth of shopping tools and money-saving resources. Here are my favorites:

ClayValet, is a free online service that allows parents to describe exactly what their children want ("Cheap 'Hannah Montana' school supplies" ), and real people scour various websites to compare prices and find the best deals.

DealCatcher.com offers hundreds of online discount codes, printable coupons, and rebates. Search by store name (like Old Navy, Zappos, or Best Buy) or category ("backpacks") to find extra savings on Back-to-School essentials.

Wishpot allows anyone to create a free online wish list (like a wedding registry) for any occasion. Web savvy kids can compile and organize a list of their Back-to-School must-haves, print detailed shopping lists, and even share their finds with friends and relatives.