Back-to-School: What’s Your Budget Missing

Back-to-school budgeting tips: Here’s what you might be missing

Back-to-school shopping might put images of backpacks, pens and notebooks in your head. While those should be on your list, other costs can sneak up on you. But whether you’re budgeting for your child’s first day of school or your own college semester, expenses like transportation and extracurriculars can leave your budget stretched thin.

Budgeting for elementary school

It isn't all coloring and finger paint when it comes to crafting a budget for elementary-aged kids. Glue and notebooks aside, some costs don't find their way onto school supplies lists.

• Transportation costs: Despite often being close to home, getting to and from elementary school can be a challenge. To save money, have your children walk or ride bikes if they can safely do so. If you need to drive, be honest about how much you spend on fuel or EV charging and add that to your monthly budget.
• Teacher appreciation gifts: Though optional, gifts for teachers have become common in recent years. Thoughtful gestures don’t need to break the bank. Opt for affordable gifts like a small bouquet of flowers or a handmade card from your child that can leave a bigger impression than more extravagant items.
• Celebratory treats: Between classroom goodies, holiday parties and the ever-popular "100th Day of School" activities, celebration costs can add up. Budget for these early to keep the surprises at bay. Ask teachers for a class list, so you know how many kids to plan for. That way you can think about and budget for birthday treats and Valentine's cards in advance.
• After-School activities: From youth sports to performing arts and everything in between, after-school enrichment activities are amazing to foster growth, but they need to be budgeted for. See what programs are available through the school before signing up for everything in sight. Then only commit to what your child is really interested in to help keep extraordinary expenses at bay.

Budgeting for middle/high School

School becomes a lot more complicated when, on top of classes and homework, students are trying to have a social life, learning to drive and planning for postgraduation.

• Tech upgrades: Today’s schools often rely on digital platforms for assignments and collaboration, so be prepared for potential costs associated with educational apps, software subscriptions, or protective cases for tablets and laptops.
• Dances and events: Homecoming, prom and graduation come with big memories — and bigger price tags. To stick with your budget, plan ahead for tickets, attire and transportation. Carpooling with friends or shopping online for discounts or renting attire can add significant savings.
• After-school extras: Late-night choir practices, buying equipment for band or sports team, and tickets to orchestra performances add up. To cut costs without cutting corners, rent instruments or purchase used gear online. Test-run activities for a season before committing to long-term costs.
• Driving-related expenses: Driving means freedom, but it comes at a cost. Taking driving school, having in-car lessons and paying for study materials can add hundreds of dollars to a family’s budget. On top of that, and all the other expenses of driving, high schools typically charge for parking passes. Consider having your child find a friend and have them switch off driving to cut down on fuel costs.

Budgeting for college

Being a college student at any age is an investment. And when it comes to sticker shock, it's not just tuition and books.

• Transportation: Getting on campus is half the battle of college. Trying to park in a lot that's somehow always full and walking to class through treacherous weather conditions makes it that much harder. Buy a parking pass to save on meters and prevent parking tickets. If you're a commuting student, leave room in your budget for tolls and the possibility of mishaps — anything from a speeding ticket to a fender bender.
• Classroom technology: Colleges use all sorts of technology to teach, which is great but can add up. Whether it’s investing in smart note-taking apps, e-libraries or generative AI subscriptions, budget for academic tech needs that are essential today.
• Involvement: With hundreds to choose from, joining clubs and organizations takes on a whole new meaning in college. Some major-related organizations — whether it's student government or an engineering club — are free and look great on a résumé. If joining a fraternity or sorority is a must, look at other activities you're willing to cut to offset the expenses of rushing, initiation, membership, and any travel or mandatory activities.
• Housing: Moving out is a freedom unlike anything else; however, there's more to budget for than just rent. Keep add-ons — like a microwave, curtains and internet — in mind as part of your overall cost of living. Furnished micro-apartments and flexible short-term leases are increasingly popular for students. While these may cost more upfront, they often include amenities like furniture, utilities and internet, which might simplify your budget overall.

For more tips on budgeting for college, explore KEYS^® by GM Financial and take the Budgeting Hacks for College Module.

Budgeting for education can be challenging at any age. Whether you’re budgeting for crayons or college textbooks, being proactive and empowered will help you make the most of your spending. Here’s to a financially healthy school year for you and your family!