Summer is in full swing, and back-to-school season lurks just around the corner. For parents, this can mean making a lot of purchases in a short period of time. New clothes, shoes, books, and supplies are needed before school even starts. If it feels like your bank account can’t support more spending after a summer full of vacations and family activities, you’re not alone.
To help reduce your spending before you head into the back-to-school season, we've gathered these affordable Texas summer vacation ideas. As you try to save a little money this August, start developing a plan for the fall. Get ready for school by creating a budget, finding the best deals, and avoiding credit card debt with Moody Bank’s smart back-to-school banking tips for parents and students.
Healthy finances start with a good monthly budget. You can protect your financial future year-round by creating a family budget that helps you reach your financial goals and plans for future expenses. If you find yourself scrambling to cover back-to-school costs each year, try budgeting for these expenses starting in January. Next January, set aside $25 every month into a dedicated short-term savings account for back-to-school expenses. By September you’ll have saved $200 for school purchases.
If you haven't been putting aside money for school expenses this year, that’s ok. You can still work within your budget to find money for fall purchases without wrecking your finances. Take a look at your current budget and identify areas that you could cut back on spending in August and September. By spending less on restaurants, entertainment, and impulse purchases, you can save money for upcoming school needs. Cutting back on your non-necessary spending may seem like a sacrifice, but you’ll thank yourself when you're not carrying credit card debt after school starts.
Every parent has read the long list of school supplies provided from the school and thought, “Does my kid really need all that?” Truthfully, your student may not need everything on that list. Many school supply lists are padded to cover the needs of the entire classroom and not just your student. If financially able, purchasing everything the teacher requests is appreciated but don’t break your budget over the school supply list. If still in good shape, plan to reuse pencils, crayons, folders, scissors, and other supplies from previous years. Once school starts, you’ll know exactly what your child needs to succeed in the classroom and can make a few additional purchases as the need arises.
The pressure to purchase school items doesn’t just come from the classroom. New outfits, haircuts, shoes, and backpacks are advertised as must-haves for back to school. This summer, decide what you can afford to purchase new this fall. If your children are old enough, have an honest conversation about budgeting for school. Be open about the amount of money you are willing to spend and help your children prioritize their wants. If last year’s backpack is in great shape, they may choose to purchase a new pair of jeans instead. Involving your kids in back-to-school budgeting will help them practice good financial habits for the future.
As much as you may be dreading the cost of back-to-school shopping, putting off your purchases until the last minute will just result in higher price tags. By identifying your needs early and timing your shopping, you can get the most bang for your buck this back-to-school season. Try these school budgeting tips for parents this fall:
The best way to manage back-to-school expenses is with student savings account from Moody Bank. With Moody Minor Savings accounts, your children get the benefit of a savings account with no minimum balance requirement and no monthly fees. Help create good financial habits by encouraging your kids to put a little money away each month into their savings account. You can help them set savings goals that focus on the items they want most for back-to-school.
Your local Moody Bank associate can help you find the best accounts for your back-to-school needs.
Teach your kids to track their spending and monitor their accounts with online banking tools from Moody Bank. Mobile banking tools notify you of unauthorized transactions and provide low-balance alerts. From security to convenience, online and mobile banking tools can help students successfully manage their first checking and savings accounts. With Moody Bank’s online and mobile banking tools you can easily:
Another benefit of a savings account for students is the ability to create a safety net for unexpected costs this year. An emergency fund can help cover the cost of replacing broken equipment like laptops and calculators or the cost of new shoes and clothing during a growth spurt. An emergency savings account can also pay for unexpected sports or travel expenses throughout the year.
Encourage your student to save a little each month and consider matching their contributions to help their savings account grow. Teaching your kids the importance of an emergency fund will help establish healthy financial habits that they can carry into adulthood.
From kindergarten to college, getting ready for back-to-school takes planning. Our back-to-school banking tips for students and parents are designed to help minimize the stress of shopping this year. Our school budgeting tips for parents include creating a budget early, identifying needs vs. wants, opening a student savings account, using mobile banking to track spending, and establishing an emergency fund.
At Moody Bank, we’re dedicated to building long-lasting relationships within our Texas communities. We aim to create healthy financial futures through our Houston student checking accounts, savings accounts, and additional money management tools for students. Apply for a student savings account or contact us today to learn more about our smart banking tools for back-to-school. Moody Bank has convenient locations in Houston, Austin, New Braunfels, and Galveston. Come see us!
