Absence of Child Tax Credit and Stimulus Checks Amid Inflation Has Parents Sweating Back to School Shopping

Teenage boy having problems in finishing homework stock photo
damircudic / iStock.com

Students will start heading back to school in a matter of weeks, but fewer parents say they can afford back-to-school shopping this year because of rising inflation.

Learn: 5 Expensive School Supplies and How To Save on Them During Inflation
Explore: 7 Things You Should Never Do When Planning for Retirement

According to a recent Morning Consult survey, as reported by USA Today, only 36% of the 2,178 U.S. parents surveyed said they can afford their kids’ back-to-school shopping. That number was down from 52% the previous year. The survey also found that over 37% of parents are stressed about back-to-school shopping, up from 32% the year before.

Last year, USA Today noted that families benefited from stimulus checks and advance child tax credit payments. “Now, these savings are being depleted as the burden of inflation gets heavier,” said Claire Tassin, Morning Consult retail and e-commerce analyst.

The Consumer Price Index for All Urban Consumers (CPI-U) increased 1.3% in June on a seasonally adjusted basis, according to the Bureau of Labor Statistics. Over the last 12 months, the all items index increased 9.1%, the fastest increase in decades.

Make Your Money Work for You

The Morning Consult said that since early May, the number of back-to-school shoppers planning to spend more than $500 on supplies has increased to 25% (from 11%). A Deloitte poll also revealed that 60% of the 1,200 parents surveyed said they’re spending more because prices are higher. The average amount spent per child is up 8% to $661 from last year, and up 27% from 2019.

Back to School: What To Buy at the Dollar Store (and What to Skip)
Discover: Universal Free School Lunches Latest Pandemic-Era Initiative To Be Discontinued, 10 Million Children Affected

Data from the National Retail Federation showed that the average family will be spending $864 this year to send their child back to school, about 2% more than last year, CBS News reported.

More From GOBankingRates

Share This Article:

About the Author

Josephine Nesbit is a freelance writer specializing in real estate and personal finance. She grew up in New England but is now based out of Ohio where she attended The Ohio State University and lives with her two toddlers and fiancé. Her work has appeared in print and online publications such as Fox Business and Scotsman Guide.

Best Bank Accounts of August 2022

Untitled design (1)
Close popup The GBR Closer icon

Sending you timely financial stories that you can bank on.

Sign up for our daily newsletter for the latest financial news and trending topics.

Loading...
Please enter an email.
Please enter a valid email address.
There was an unknown error. Please try again later.

For our full Privacy Policy, click here.