81% of Canadian parents stressed over back-to-school budgeting, according to study - here's how to get ahead

“Back-to-school shopping can be one of the most stressful financial moments of the year for families,” personal finance expert Jessica Moorhouse, said in a statement. “But it’s also an opportunity for parents to set boundaries and involve their kids in real-world money lessons.”

Preparation and intention key to staying on budget

Industry data shows Canadian families will spend about $570 per student on average this year. Although that’s down slightly from 2024, yet still a considerable financial burden for many households.

However, parents aren’t uninformed about budgeting — they’re simply struggling to meet the financial and emotional demands of the season. A lack of preparation also comes into play, with one in three parents saying they often exceed their intended budget simply because they went into the store without a plan.

Financial educator Jessica Moorhouse recommends a three-step strategy:

1. Plan ahead: Set a clear budget with your kids, research prices and distinguish wants versus needs
2. Shop with intention: Stick to the list and let kids contribute from their own savings using tools
3. Reflect afterward: Discuss what worked and reinforce the value of patience and financial responsibility

She also warns against caving in to pressure: 40% of parents admit they've overspent just to avoid disappointing their kids. More important than that, however, is making sure that parents, not kids, set the spending rules, according to Moorhouse.

"Remember that setting boundaries doesn't make you a bad parent – it helps build long-term financial fortitude.”

Setting boundaries today builds money-savvy savers tomorrow

According to Moorhouse, transparency and savings goals are key pieces of the puzzle when it comes to building financial responsibility.

"When it comes to money, I encourage a transparent approach and recommend kids contribute their own money toward some of the 'want' items," she said.

Her advice for the stickier points of the back-to-school budget: acknowledge the wants, but don’t cave. Allowing children to use a Smart Cash Card for discretionary items — while parents monitor spending — can help instill accountability. And if a purchase goes beyond the agreed budget, families can turn that moment into a lesson in earning, saving and patience.

"We know back-to-school can feel like a financial pressure point," said Angelique de Montbrun, Chief Executive Officer of Mydoh, in a statement. "But it's also the perfect opportunity to build lifelong money skills. We want to help parents turn the seasonal spending standoff between wants and needs into real-life lessons in financial literacy and budgeting."