Family Money-Saving Tips: 32 Practical Ways to Cut Costs with Kids
Raising Kids Doesn't Have to Destroy Your Financial Goals
Kids are expensive. (I mentioned it in a previous post.) The USDA estimates that middle-income families spend over $280,000 raising a child from birth to age 18 and that's before college costs. While children bring immense joy and fulfillment, they also bring significant financial pressure that can derail your path to financial independence.
But here's the thing: you don't have to choose between having kids and building wealth. That’s because you don’t have to spend $280,000 per child if you’re strategic about where your money goes.
Most family financial advice focuses on the big picture: save for college, buy life insurance, start a 529 plan. While those are important, they don't help with the day-to-day reality of kids asking for everything they see, birthday parties that cost more than your first car, and the endless cycle of outgrown clothes and broken toys.
This post is different. These are practical, immediately actionable strategies that real families use to cut costs without making their children feel deprived. No extreme couponing or living like monks required, just smart approaches that can save thousands annually while your kids stay happy.
I've organized these tips into eight categories covering the major areas where families spend money. Each strategy is designed to be implemented quickly without major lifestyle changes. Some will save you $20 per month, others will save you $200. Combined, they can significantly reduce the financial impact of raising children.
Not every tip will apply to your family and that’s ok. If you find even one new idea here, that’s worth it.
Important note: I don’t have children, so I haven’t tested all of these personally. That said, I have a small army of nieces and nephews and it’s easy to find parenting groups sharing tips. Also, you can always opt not to spend at all. Never consume just because “it’s a good deal”. Only use these tips for activities and purchases you were already going to make.
Childcare & Activities
Babysitting Swaps
Set up a babysitting swap with another couple (or group). One couple puts their kids to bed and once the children are asleep, one parent from the other couple comes over to babysit while the parents head out for a date night. The visiting parent can relax, watch a show, and is simply there in case the kids wake or there is an emergency. Date nights that typically cost $100+ in babysitting fees become completely free.
Used Sports Equipment
Source sports gear from local "buy nothing" groups, consignment stores, and gear swaps. Parents report finding everything from skis to soccer shoes to gently used bikes that originally retailed for $700. This approach works well through elementary school without buying new equipment for every sport your child wants to try.
Character Sticker Substitution
Images of cartoon characters on juice boxes or snacks at the grocery store give kids cases of the "gimmies." Ward off impulse buys by keeping a stash of character stickers from a dollar store at home. When kids spot character-themed items, parents can say, "We have an even better one at home!" Then, apply the stickers to what you already own. Your regular crackers become "character crackers" for pennies.
Lost and Found Treasure Hunting
Check your school's lost and found regularly. Items that don't get claimed are usually sent to the local thrift store every few months. Parents report finding all the brands their kids wanted at these thrift stores for a fraction of the price. Simply check there any time children need a water bottle, lunchbox, or jacket.
Education & Development
529 Gift Sharing
Open a 529 college savings account and share the contribution link with friends and family. The plan will typically generate a direct link to your child's gifting page so others can contribute but won't give them access to your account details. This approach takes the pressure off parents having to save during their child's first year and shields homes from an onslaught of toys that children quickly outgrow.
School Supply Recycling
At the end of the school year, go through all your school supplies and compare them to next year's school-supply list. This clears supplies from your kitchen counter for the summer, identifies supplies children already have for next year (so parents save money by not buying those supplies) and shows exactly what to purchase during back-to-school sales for maximum savings.
Teen Budget Training
Starting in high school, automatically transfer money for both necessities like school supplies and fun items into teens' own checking accounts. Estimate annual expenses, divide by twenty-four, and set up transfers on the first and 15th to mimic paycheck timing. This approach saves money by avoiding last-minute purchases and teaches teens to budget for bigger expenses like prom or car insurance.
Dental Discount Plans
Consider a dental discount plan for orthodontics: a membership-based program that provides immediate savings of 20% to 30% on orthodontic services with participating providers. This helps reduce out-of-pocket costs while waiting for insurance coverage to kick in after the typical six- to 12-month waiting period. Particularly valuable since orthodontic work often costs $5,000+ per child.
Travel & Transportation
Car Seat Luggage Hack
Since airlines usually check car seats free, pack jackets and other clothing into the car-seat bag. Airlines typically don't object to this practice. This simple hack saves families from paying for pricey checked baggage fees that can easily add $50-100 to family trips. Plus, it eliminates the need to rent car seats at destinations.
Pre-Purchase Souvenirs
Before theme park visits, order themed toys on Amazon and give one each morning before heading to the park. Parents report ordering Disney-themed toys like Minnie Mouse and Buzz Lightyear before Disney World visits. Children never notice the difference. This saves families from paying $25+ for toys that cost $8 online and eliminates waiting in long gift-shop lines.
Travel Timing Strategy
Plan family trips during off-peak times when possible. School breaks are expensive, but traveling the week before or after can save 30-50% on hotels and attractions while children only miss a few school days. Shoulder season travel delivers the same experiences at significantly lower costs. A Disney trip that costs $4,000 during spring break might cost $2,500 in early May.
Group Travel Coordination
Coordinate with other families for group bookings on hotels, vacation rentals, or attraction tickets. Many venues offer group discounts starting at 4-6 people. Families can split costs while children enjoy traveling with friends. Vacation rental houses often cost the same for 6 people as hotel rooms for 3, making group trips much more affordable per family.
Daily Living & Household
Bulk Buying with Freezing
Buy items families consume regularly in bulk when discounted, then freeze the excess. Some parents find local bakeries that deeply discount items just before closing. Keep what children will eat that week accessible, while freezing the rest for later use. This works particularly well for bread, muffins, and other baked goods kids love.
Hand-Me-Down Chains
Create a "chain" of parents with similarly aged children to pass down clothes, toys and books. Include families whose kids are several months older and younger than your own. Families whose kids have outgrown items pass them down to those just behind them in age. This creates a continuous flow of "new" items without the new prices.
Kids' Subscription Audit
Review all kid-related subscriptions quarterly: educational apps, streaming services for children's content, toy subscription boxes, and activity memberships. Children often lose interest in services parents continue paying for months later. Families can save $300-600 annually by canceling unused subscriptions that kids have outgrown or forgotten about.
Energy Usage Optimization
Monitor family energy consumption and adjust habits accordingly. Simple changes like using cold water for laundry, unplugging devices when not in use, and adjusting thermostats can reduce utility bills significantly. Small behavioral changes compound into substantial savings. Teaching kids to turn off lights and electronics can save $30-50 monthly on utility bills.
Technology & Electronics
Family Phone Plans (I wrote a whole post on this)
Switch to a family plan on an MVNO carrier like Mint Mobile or Visible. Families can cut phone bills in half without changing usage patterns. The towers and coverage are identical. You're just paying less for the same service.
Device Hand-Me-Downs
When adults upgrade phones or tablets, pass the old devices to kids instead of buying new ones. A three-year-old iPhone still runs all the apps children need. Kids rarely know their "new" device was previously used because it functions perfectly for their needs. This eliminates the need to buy separate devices for children while extending the useful life of adult electronics.
Parental Control Instead of Individual Devices
Use parental control apps and shared family devices instead of buying individual tablets/phones for each child. Set up time limits and app restrictions on shared devices rather than purchasing separate "kid-friendly" devices. Families save $200-400 per child by using parental controls on existing devices instead of buying dedicated kids' electronics.
Educational App Alternatives
Before buying expensive educational apps, check local library digital resources. Many libraries provide free access to learning platforms like ABCmouse or language learning programs. Library cards can provide $200+ worth of educational apps for free. Libraries increasingly offer digital resources that rival expensive subscription services.
Birthday Parties & Gift-Giving
Party Location Hacks
Book park pavilions or community center spaces instead of expensive party venues. Many cost $25-50 versus $300+ for entertainment centers. Families can throw the same quality party for 90% less by bringing their own decorations and activities. Kids often prefer outdoor spaces where they can run around freely anyway.
Dollar Store Party Supplies
Buy decorations, party favors, and basic supplies at dollar stores before checking party supply stores. The same plastic tablecloth costs $1 instead of $4. Everything except cake ingredients can come from dollar stores and guests rarely notice the difference. Focus spending on the cake and one special element while getting basics cheaply.
Gift Stockpiling
Buy gifts throughout the year when finding good sales, then store them for upcoming birthdays. Target's post-holiday clearance provides next year's birthday gifts at 70% off. Parents can spend $15 on gifts that would cost $50 at party time. Keep a gift closet stocked with age-appropriate options purchased during sales throughout the year.
Note: I do this extensively. I buy a year’s worth of cards in bulk during clearance sales.
Experience Gifts
Give activity coupons instead of toys: "One trip to the zoo with Grandma" or "Movie night with popcorn." These cost less than toys and create memories instead of clutter. Children remember experiences long after toys break. Many grandparents prefer giving experiences over adding to toy collections anyway.
Note: I do this extensively too. We offer family members coupons like free dog sitting or a free mystery adventure that we plan and execute.
Extracurricular Activities
Community Center Classes
Check recreation centers before private studios. Piano lessons at community centers cost $60/month versus $120+ at private studios. Same instrument, same learning, half the price. Community centers often have quality instructors who also teach privately but offer group classes at reduced rates.
Group Lesson Discounts
Organize group lessons with other families. Many instructors offer discounts for teaching multiple children simultaneously. Families can split one teacher among four kids and each pays 30% less than individual lessons. This works particularly well for music lessons, martial arts, and language instruction.
Summer Camp Alternatives
Create day camps by rotating with other parents. One week, one parent takes all the kids to museums and parks; the next week another parent leads activities. Families can eliminate $800 in camp fees by organizing their own structured activities. Kids often prefer these smaller groups to large commercial camps.
Art Supply Sharing
Form craft supply co-ops with other families. Buy expensive items like quality colored pencils or specialty paper in bulk and divide among families. $50 of art supplies becomes $15 when split four ways. Many art supplies are used occasionally but must be purchased in larger quantities, making sharing logical.
Family Food Strategy
Meal Prep Sundays
Spend two hours on Sunday preparing the week's lunches and snacks. Pre-cut vegetables, portion crackers, and assemble grab-and-go containers. Families can replace $4 school lunches with homemade options costing $1.50 per child per day. This saves $12.50 per week per child while often providing healthier options.
Breakfast for Dinner
Serve pancakes, eggs, or oatmeal for dinner once a week. Breakfast foods cost significantly less than traditional dinner ingredients. Children often love "breakfast night" while it costs 60% less than typical dinner budgets. Make it special with fun toppings or shapes to maintain the excitement.
Note: We do this 2x per month and we love it too!
Snack Portion Control
Buy large containers of crackers, pretzels, or granola and portion them into small containers yourself. Individual snack packs cost 3x more per ounce than bulk sizes. Eliminating single-serve snacks cuts snack costs by two-thirds. Use small reusable containers to create grab-and-go portions from bulk purchases.
Kids' Drink Station Setup
Create a dedicated drink station with water infuser bottles, reusable cups, and flavor packets instead of buying individual drinks. Kids can make flavored water, lemonade, or iced tea themselves. Eliminating individual juice boxes and sports drinks saves $40-60 monthly while teaching kids to prefer water-based drinks.
Seasonal & Holiday Expenses
Post-Holiday Shopping
Buy next year's decorations, gift wrap, and holiday items during post-holiday clearance sales. Christmas decorations cost 75% less on December 26th. Parents can buy next year's wrapping paper in January when it's practically free. Store items in labeled bins to find them easily the following year.
Seasonal Clothing Swaps
Organize seasonal clothing exchanges with other families before each season starts. Bring clothes children outgrew, take home clothes in the next size up. Families can get "new" winter coats without spending money every year through these swaps. Schedule these events before the season starts for the best selection.
Holiday Gift Budgeting
Set a firm per-child budget in January and stick to it. Communicate the budget to extended family to prevent gift inflation. Families can spend the same amount every year regardless of income changes by deciding what's reasonable upfront. This prevents holiday overspending that derails other financial goals.
Note: We do this. We don’t buy gifts for adults and we have a firm price limit for children. It was a tough conversation to start, but everyone was relieved in the end.
Halloween Costume Creation
Make costumes from items you already own or thrift store finds instead of buying new costumes. A white sheet becomes a ghost, old clothes become a zombie. Children's favorite costumes often cost $3 from Goodwill plus items from family closets. Kids often prefer these unique creations over store-bought costumes anyway.
The Bottom Line
Raising children doesn't have to destroy your financial goals. While you can't eliminate all kid-related expenses, you can significantly reduce them through strategic planning and creative alternatives.
These 32 strategies won't all apply to every family, but implementing even half of them could easily save $3,000-5,000 annually. That's money that can go toward emergency funds, debt payoff, or investments instead of unnecessary kid expenses.
The key is starting with the strategies that feel most natural to your family and gradually adding others. Some families excel at organizing swaps and sharing arrangements, while others prefer the convenience of bulk buying and meal prep. Find your strengths and build from there.
Remember: your children won't remember whether their birthday party cost $300 or $50, but they will benefit from growing up in a financially stable household. Teaching them these money-saving strategies also provides valuable financial education that will serve them throughout their lives.
Start with one category that resonates with your current situation. Once it becomes routine, add another. Before long, these cost-saving measures will become second nature and your bank account will thank you.