In a couple of months, Junior will be scrambling for new pens, paper, erasers and whatever else he can get his hands on. You can be the parent that waits until the last minute and pays the highest prices while also waiting on the longest lines or you can save time and money by planning ahead for back to school purchases.

Do you have supplies from last year?
Many students have leftover supplies from the prior year (pencils, pens, notebooks) but they tell their parents they need all new stuff. Don’t buy it and rather make sure your child takes a full inventory of their supplies to assess the true needs.

Create a list of Supplies Needed
It is important to put together a comprehensive list of all the items your child will need. Include items such as backpacks and clothes to get the best deals for the year.

Setting a Budget
Try to put a limit on how much you want to spend on each item.  If you aren’t sure about cost, you can search online to get a sense of prices as well as coupons. Also, try to figure out how much you spent last year by reviewing your credit card or debit card statements from last August and September or review old receipts if you used cash.

If this is not your first time creating a budget for back to school purchases, then you have the benefit of analyzing your budget from last year.  You can use prior year’s information to optimize your budget by eliminating items that were rarely used and looking for more inexpensive alternatives. Back to school shopping can really add up, so do yourself a favor and create a budget and compare to last year.

Where to Shop
Strategically plan your route based on the list of items you created at the prices you are willing to pay. It is easy to just start at the local CVS and go from there, but you’ll likely be stuck making multiple trips and driving all over town or surrounding towns. Don’t forget that Supermarkets are one of the best places to look for basic supplies. Check weekly circulars for pencils, erasers, loose-leaf paper and other goodies at the same time you get your weekly grocery shopping done.

Shop During a Sales Tax Free Holiday to Save 4% to 9%
Many state sales tax holidays occur during the summer months, usually during the first week of August and include back to school supplies and clothing.  Please note that the back to school items included and the maximum cost per item that is exempt from sales tax vary by state.  But, if your state has a sales tax holiday and school supplies is on of the list of exempt items, you’re in luck.  Savings will typically be in the 4% to 9% range.  Below we’ve provided a list of States that have announced their sales tax holidays AND offer an exemption for back to school supplies.  If you don’t live in one of these states, perhaps a relative or close friend that you visit often does. If you are curious about your specific state, ask one of our tax professionals and we will research the specifics for you.

States                 2011 Dates            Max. Cost Per School Item
Alabama              Aug. 5-7                     $50

Arkansas             Aug. 6-7                     Unlimited

Florida                 Aug. 12-14                 $15

Louisiana            Aug. 5-6                     $2,500

Missouri              Aug. 5-7                     $50

New Mexico        Aug. 5-7                     $15

North Carolina     Aug. 5-7                     $100

South Carolina    Aug. 5-7                      Unlimited

Tennessee          Aug. 5-7                      $100

Texas                 Aug. 19-21                   $100

Virginia               Aug. 5-7                      $20

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