T.J Maxx & Marshall’s Red & Yellow Tag Sale Has Begun: What Shoppers Need to Know
The Red & Yellow Tag Sale has officially started, and this is when clearance prices reach their deepest point of the year. They use a staged markdown system, and while clearance begins with red tags, yellow tags are where the biggest savings happen.
This markdown cycle only happens twice a year—once in January and once in July—with January being the largest and most aggressive sale, offering the most inventory and the lowest prices.
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How the T.J Maxx & Marshall’s Markdown System Works
Clearance pricing moves through four total stages:
Stage 1: Red Tag Clearance
Items first hit clearance with red tags. Prices are reduced, but this is only the beginning of the markdown cycle.
Stage 2: Yellow Tag Markdown #1
The first yellow tag is added to red-tag items, signaling a deeper price drop.
Stage 3: Yellow Tag Markdown #2
A second yellow tag means another markdown. Selection starts shrinking as more shoppers jump in.
Stage 4: Yellow Tag Markdown #3 (Final Markdown)
The third yellow tag is the final and lowest price an item will reach. After this stage, prices will not drop again.
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Important: Red Tags Are the Key
If an item has a red tag, it will eventually be yellow tagged. Red tag clearance is the starting point, and anything with a red tag is in line for yellow tag markdowns.
If you spot something you want but it’s still red-tagged, keep an eye on it. As the sale progresses, those red tags will turn into yellow tag markdowns, each one lowering the price further until it reaches the final stage.
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When Markdowns Usually Happen
They typically processes markdowns on:
• Monday
• Wednesday
• Friday
The price shown on the red or yellow tag is the final price—there are no additional discounts taken at checkout.
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How to Shop the Yellow Tag Sale Like a Pro
• Get there early — the best deals go fast
• Check every single department, not just clearance racks
• Look throughout the store for anything with a red or yellow tag
• Don’t skip shoes, beauty, home décor, kitchen, toys, accessories, or seasonal areas
Yellow tag items can be spread throughout the store, not grouped in one spot.
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Bottom Line
If you see an item with the third and final yellow tag, it has hit rock-bottom pricing. If you want it, grab it—because it will not get cheaper.
