1 in 3 parents say they can't afford back-to-school shopping this year

The company found that nearly one-third (31%) of parents are struggling to afford back-to-school shopping for their children this year.

Additionally, 34% of parents plan to incur debt to cover these expenses, with 16% intending to take on up to $1,000 in debt.

The issue of affordability is particularly pronounced among younger parents, with 39% of Gen Z parents and 37% of millennials reporting difficulties.

"While education costs are often highlighted at the college and post-college levels, parents are responsible for school-related expenses as early as pre-K," said Courtney Alev, a consumer financial advocate at Credit Karma. "Many parents with young children might already be financially stretched thin after covering summer childcare costs, which could explain why they expect to end up in the red after this year's back-to-school shopping."

Despite these financial challenges, parents are willing to make significant sacrifices to ensure their children have everything they need for the school year. Half (50%) of parents indicated they are prepared to cut back on essentials like groceries and bills, with this number rising to 60% among Gen Z parents and 56% among millennials.

To mitigate the financial impact, parents are turning to various strategies. Over half (53%) plan to take advantage of Amazon Prime Day sales (July 16-17) for school supplies, 61% will shop at discount stores like Dollar Tree or Dollar General, and one-third (33%) will rely on hand-me-downs or borrowed items.

"If possible, it’s best to avoid accruing high-interest debt to cover back-to-school costs, especially if you can't pay it off immediately," Alev advised. "Fortunately, many parents are seeking out sales and using family and friends' hand-me-downs, and several states offer tax-free weekends and back-to-school tax holidays that allow for tax-free shopping on select items."

Credit Karma mentioned that Care.com provides a guide for parents, and for more expensive items like laptops, Alev noted that organizations and programs offer free access. StandUp Wireless, for example, has a blog post outlining such resources.