Italy in August

As you probably know from last summer's trip, it will be hot in many parts of Italy in August.
The mountains in the north would be somewhat cooler. And locations by the Sea presumably would be somewhat cooler.
Resort areas may already be booked by Italians taking their longer summer vacation in August.
August, of course, is when it's important to check to make sure your room has AC.

This time around you might consider a region like Umbria, with many hill towns to choose from, or the Lakes or Dolomites areas for better temperatures/breezes.

How much time do you have? Will you have a car?

"we know that much of Italy is shut down in August."

Yes and no. If you need a dentist, or want a specific restaurant, you will need to be careful about August. But museums and other attractions don't close.

A bigger issue (in addition to the heat) is crowds. While the cities get less crowded, anything cooler (beaches, mountain resorts) gets more crowded.

Hi! I've traveled Italy in August and I thought it was excellent! Depending on where you are from, you may or may not have a problem with the heat. I've only heard of the heat and never really experienced suffocating heat in Italy. It's rarely been over 80 degrees when I've been there and I didn't bother me a bit. (Disclaimer: I live in Southern California). Since you are traveling with teens, will be there in the summer, and have hit the main big city attractions, it may make sense to pepper in some small towns and villages as well as some coastal sites. The heat of summer is at its worst in the inland cities. Plus you'll be less effected by tourist crowds and summer price hikes. However, if you really want to return to Rome, Venice, etc., I wouldn't hesitate to go in August. The Euro can't be down for too long and it's a great idea to go when it's low.

I've seen some of Italy "shut down" in the summer but it's never made a big enough difference to effect my travels. There are plenty of restaurants open, etc. Greece on the other hand... :) When I landed in Greece in August, we were told that Athens had no internet because, "everyone who make internet go on vacation."

I think the other posts made a great point about hitting the north of Italy. I have heard that the Lake District (Lake Como) and the Italian alps are great to visit in August! (I have not yet been but am booked for early October.) If you're in the north east of Italy, you may want to consider a side trip to Slovenia or Austria. Slovenia has a great small town feel and felt very safe to me, especially Ljubljana. Plus, teens that age love talking to their friends about cool exotic places they've been (I know I did). Slovenia has popular caves for exploring/spelunking and a great caving adventure might make a good family memory. Austria has beautiful small towns on lakes with lots of different recreation for people of all ages (hiking, swimming...in cold water, etc.) Hallstat is a personal Austrian favorite of mine.

You may very well know this, but remember that just because you fly in to Rome or Milan from the US doesn't mean you have to stay there. You'd be amazed where you can fly on a budget on a cheap European airline. Check out Skyscanner which is the Kayak.com of European air travel. http://www.skyscanner.com/ I've flown from London to Poland, Rome to Brussels, Croatia to Paris, etc. rarely for more than $100 each way and often for far cheaper ($25 US tax included from London to Dublin). When I travel to Europe, I often find the cheapest flight to the continent and take a separately booked one way flight on a budget or regional airline. It's often cheaper - especially if you're carrying on.

Since you got a good deal on your trip, do you mind sharing what site you booked with?

I hope this helps! Make the trip your own and have a great time!