Parents feel the pinch on back-to-school costs soar, survey finds

A new survey by a consumer finance company shows parents face mounting financial strain during the back‑to‑school season over education costs, from K-12 to higher education. 

The company conducted a nationally representative online survey of parents with kids in school, with an overwhelming 91% of respondents saying “the cost of education is out of control.”  

The WalletHub annual “Back-to-School Shopping” survey found “nearly 3 in 5 parents” (57%) reported the cost of education as the biggest thing holding them back financially.

Another 53% of parents said they “would spend more on back‑to‑school shopping this year compared to last year.”

Additionally, nearly 3 in 4 parents believed “schools ask them to buy too much during back‑to‑school season.”

“The good news is that people have tools to fight back against a back-to-school budget blow-up, including sales-tax holidays that can save you up to 7% and credit cards with rewards that could save you $250 plus,” said WalletHub Editor John Kiernan. “The bad news is that the rising cost of back-to-school season is just a microcosm of a larger issue.”

Specifically, the consumer finance site characterized parents’ views of higher education “tuition” as untenable, although the survey wasn’t targeted just at parents of college students. 

Other studies support this view of a financial crisis in education.

A study by U.S. News found average tuition rates have doubled since 2005, while operational costs at universities and colleges have outpaced inflation.

This crisis heralds real-world changes with which education hasn’t kept up, some analysts argue.

A global workforce, the rise of AI, actual literacy, financial literacy and emotional literacy struggles highlight a floundering generation of students who aren’t being served by schools, said the Washington Examiner.

Still, parents overwhelmingly agreed education is worthwhile despite the costs – even if this meant borrowing money.

A strong majority, 72%, told the WalletHub survey they believed “their child’s education was worth going into debt for.”

But 92% of parents indicated “financial literacy should be part of the core curriculum,” representing a widespread worry that students today are financially illiterate.

A previous WalletHub survey found Baby Boomers had the highest financial literacy, while Gen Z had the lowest.

That’s one reason why parents surveyed by WalletHub have confidence in their own financial literacy.

When asked, 88% of parents thought they “could pass a high school personal finance course.”

In the survey, parents were also asked where they were finding the best back-to-school deals: 60% said they usually shopped locally, compared to 40% who looked online.

The survey painted a stark picture of parental strain because of rising education expenses.

“If we really want to make education affordable for parents, we need to start by restricting federal loans for schools that have tuition above a certain threshold,” Kiernan said.

The poll included a nationally representative sample of parents with school‑aged children, conducted in July 2025. After collecting all responses, WalletHub normalized the data by age, gender and income so the sample would reflect U.S. demographics.

Key statistics from the survey:

• Education costs: 91% said it was “out of control.” 
• Per pupil funding: 79% think schools should get the same amount per pupil. 
• Increased spending: 53% anticipate higher back‑to‑school expenses than a year ago. 
• Overburdened by lists: ~75% believe schools asked for too much. 
• Debt acceptance: 72% would go into debt for their child’s education. 
• Financial literacy: 92% advocated including it in core curriculum. 
• Confidence in finance: 88% claimed they could pass a high school personal finance test. 
• Shopping habits: 60% preferred local stores while 40% went online. 
• Financial burden: 57% cited education cost as their top financial worry.