Keystone Today

A recent survey through the National Retail Federation (NRF) and Prosper Insight and Analytics found that 38% of consumers have cut back on spending for back-to-school items.

According to the NRF, back-to-school spending is expected to match the record high of $37 billion in 2021 and exceed the 2019 amount by $11 billion. Families with children in kindergarten through 12th grade plan to spend an average of $864 on school items. This is $15 more than last year’s reports and $168 more than 2019.

The survey also found back-to-college spending reached a record high of $71 billion in 2021. However, spending on college essentials is expected to increase to $74 billion this year.

“Families consider back-to-school and college items as an essential category, and they are taking whatever steps they can, including cutting back on discretionary spending, shopping sales and buying store- or off-brand items, in order to purchase what they need for the upcoming school year,” NRF President and CEO, Matthew Shay said. “The back-to-school season is among the most significant shopping events for consumers and retailers alike, second only to the winter holiday season.”

The survey found inflation has impacted prices across the board for back-to-school shopping as 68% of respondents said they have noticed higher prices in several categories like clothing, accessories, and supplies.

Fourteen states have implemented seasonal tax holidays this summer, where no state sales taxes are certain is charged, according to a report by Today.

Higher prices on gasoline and food in July forced shoppers to reduce spending on discretionary items like clothing, according to Walmart, the Associated Press reported. This has lowered the profit outlook for the retail giant for the rest of the year.  

The survey, which was conducted from June 30 – July 7, received feedback from 7,380 people, the most comprehensive back-to-class annual survey to date. The survey’s margin of error was plus or minus 1.1 percentage points.