News Talk 94.1/AM 1600 Where The Upper Cumberland Talks
The key to truly benefitting from the Tax Free Weekend over the next three days, creating a solid budget before going shopping.
Putnam Ag Extension Director Michelle Parrott said the weekend is a great opportunity for families to save money, but it can also be a large money pitfall if people are not careful. Parrott said doing thorough research and developing both a budget and a shopping list are the best ways to avoid overspending.
“You could wind up spending hundreds of more dollars than what you had anticipated and so that really cuts into your budget for the month,” Parrott said. “Particularly because it’s at the end of the month for July and then going into August it might make you become short for some of your bills that could be coming due in August, so you really want to be mindful of that.”
Parrott said if someone sees an enticing sale they had not considered before, they should use their phone and check how much that item costs at other stores before purchasing it. Parrott said she hopes that families taking advantage of the deals over the weekend put what they save back into their own savings.
“That way whether it’s an emergency fund or maybe they’ve put ten or twenty extra dollars into a savings account, that adds up in the future down the road,” Parrott said.
Parrott said that although families need to be careful, shopping over the tax-free weekend can have a big impact on their finances if handled correctly.
“If you add all that up and you’re able to save those tens of dollars up that could mean a full other meal for those families,” Parrott said. “It could mean more money at the grocery store later down the road, you know. It could be more money packed into the students lunches.”
Dividing a shopping list into the items you need versus the items you want, Parrott said, can help you prioritize when you reach your budget. Parrott said another way to be prepared for the weekend is to research how much any desired items normally cost.
“Because is it really on sale if the price was $30 before the tax-free weekend but now maybe they’ve bumped it up to $50 to make that money up,” Parrott said.
Tennessee’s traditional sales tax holiday on clothing, school supplies and computers ends Sunday night. During this time clothing, school supplies and computers may be purchased tax-free. Certain restrictions apply.
