Parents are spending an average of £415 celebrating the birthdays of their under-18-year-old children, new research from American Express has revealed. This means that those with two or more kids could easily spend more than £1,000 per year – a substantial expense if you don't plan for it.
The biggest expense was gifts, costing an average of £108, with 64% of parents going the traditional route and buying their kids clothes or shoes, while 54% bought books and 53% opted for toys. The next-largest expenses were the cost of party venues (£69) and party food (£68), as parents tried to make the occasion memorable for their prince or princess.
Their own offspring's birthday expenses aren't the only ones to take into account, however, with American Express further finding that parents spend an average of £61 on the birthdays of their friends and relatives' children. This is comprised of £25 in gifts, £21 spent on new outfits and £15 on entertainment such as entrance fees, per birthday.
"Many parents have more than one child as well as a busy social calendar of other children's birthdays to attend, so these celebrations can quickly become a costly affair," said Stephen Steinhardt, director at American Express. "It's definitely worth thinking ahead about your spending."
While preparing for these costs by setting funds aside in an easy access account, or even saving up from a year in advance using a regular savings account, will take a lot of pressure off, there's even more you could do to get a little more out of your kids' big days. By putting the expenses on a cashback credit card, you'd not only get extra purchase protection but also a little extra cash to treat yourself. And if you then pay off the balance using the money you've saved up, you wouldn't have to worry about interest adding to the cost.
If your kids' birthday is coming up in a few months, it's not too late to start saving either. Why not have a look at the monthly interest savings Best Buys?
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