Back to School Basics
4 ways to save on time and money.
by J.J. & Paula Montanaro
Paula and I are big list makers. Whether it’s shopping for groceries, planning vacation activities, or home makeover projects, we love lists. Typically, mine is still on a yellow pad or the back of an envelope, but Paula uses her phone. This month we’ve created a short list of back-to-school ideas.
Paula: Our list may not cover all the in-your-face tasks as you prep for a new school year, but hopefully it will get you thinking. You’ll have to guess who was responsible for the items on our list, but for the record we each came up with two of them.
#1 Don’t let time pass you by.
J.J.: Time flies when you have fun and hardship, heartache, and triumph. Regardless, the clock just keeps ticking. So, when it comes to saving for college (or any other goal), start now. Too often we decide that we’ll kick off one financial initiative or another next month, or next year when things get a little better. Guess what, there’s always another excuse, so even if you start small, just get started.
Paula: Yes, this was one of my items. However, I was looking at it from the standpoint of enjoying and sharing this exciting time of new schools, teachers, and classmates with your kids. My mom always told me to enjoy the kids because before long they’re gone. So take my mom’s word for it and savor the time that you have with your kids. This is certainly one thing you cannot afford to put off until next month or next year.
#2 Retirement first, then education
J.J.: When it comes to your savings priorities, I know that I sound like a broken record, but your RETIREMENT comes first. I’m sure you’ve heard it before, but there are lots of ways to pay for college—loans, grants, work-study, and if debt is part of their reality, your kids will have their working life to pay it off. What we’ve seen happen with the markets over the last couple of years drives home the need to make sure we’re covered for retirement before expending too much on our kids’ education.
Paula: If you educate your kids, but you end up living with them in retirement, it’s a faulty plan. There’s also something to be said for having kids that are financially “interested” in their education.
#3 Back to school as a teaching moment
J.J.: The kids are headed back to school and they need to be sharp. Why not throw in a couple of lessons to get them primed and ready? This If they’re older you can have them build a list of their college choices and the costs. It should open their eyes to the financial realities of higher education.
Paula: Kids of all ages could be given a budget for school clothes or supplies. Depending on their age they might need more or less supervision, but the idea that things have a price tag and money doesn’t grow on trees can’t be planted too early.
#4 Sale, did somebody say sale?
Paula: I’m all about taking advantage of back-to-school discounts and in Texas we even have sales tax-free days as we ramp-up for school, but while it’s easy to get swept up in the buying frenzy, it’s also a great time for restraint. Yes, the kids want the latest and greatest, but when you’re looking for ways to save minimizing what you spend on the “right” clothes is a great place to start.
J.J.: Just like we’ve talked about going to the grocery store or commissary with a list, the same thing applies here. Head out with a list and a budget and you’ll come out ahead. Earlier, we talked about the kids growing up quick; well they grow out of new clothes quick, too. So, I agree don’t break the bank on stuff that will be thrown aside or outgrown in months.
Paula: Remember to slow down the back-to-school rush; we’ve all got a shrinking number of opportunities to share with our kids.