The Top Seven Methods for Planning Finances During Summertime
Sizzling Summer, No Financial Fuss:
Summertime is all about enjoyment and creating sweet memories, yet the expenses can pile up faster than you can say "ice cream truck"! Here's a low-down on crafting a practical summer budget that lets you indulge in the season's delight without breaking the bank.
Map Your Summer Vacations
The biggest budget mistake during summertime is viewing it as a fixed, three-month chunk. Instead, tailor your budget according to the specific events you've got planned:
- Beach getaways with the family
- Wedding weekends with the in-laws
- Local festivals that rock your town
- Holiday bashes with friends
- Back-to-school shops keeping your style game on point
By organizing your budget around these events, you'll allocate funds more accurately and never find yourself wondering, "Where'd my cash go?"
Spontaneous Spending Is A-Okay
Summer weekends often bring unexpected invitations for a backyard bash, a whimsical beach day, or an impromptu outdoor concert. To avoid such events ruining your budget, set a weekly allowance specifically for "spur-of-the-moment" spending.
Whether it's $30 or $100, this dedicated fund gives you the green light to say "yes" to those unforeseen surprises, all while sticking to your financial boundaries.
Separate Savings Accounts for Your Pleasure
I've mentioned before that organizing your money into multiple accounts aids in tracking your savings goals efficiently. Similar to cash envelopes, this method encourages thoughtfulness and self-control in spending.
Set up independent digital savings accounts for significant summer expenses, such as traveling, kids' camps, weekly happy hours, and more. Most online banks provide multiple savings buckets at no extra cost. With these funds separated from your standard checking account, you'll be less likely to dabble in your vacation fund for everyday expenses.
Pause and Reflect on Your Summer Purchases
During warmer months, purchasing decisions can become an impulsive affair, with a sudden craving for new patio furniture or designer swimwear. Combat this impulse buying by waiting 24 hours before making non-essential purchases over $50.
This cooling-off period allows you to reconsider if that inflatable flamingo pool float or designer sunglasses are truly essentials. For larger purchases, extend your waiting period to 48 or even 72 hours.
Caters to Your Taste Buds
Soaring temperatures bring an increase in food costs due to social gatherings, vacation eats, and ice-cream trucks galore! Curb these expenses:
- Plan picnic-ready, portable meals that take you from the beach to the park with ease.
- Research grocery stores at your travel destination and plan your "first day" shopping trip.
- Set a meal-out budget for your vacation days.
- Take advantage of seasonal produce that's cheaper during summer months.
A summer-centric meal plan acknowledges the changes in your eating habits while keeping your food expenses in check. Plus, it serves as an excuse to step into some new culinary adventures! Check out my colleague Allie Reinmann's tips for making the most of summer berries or whipping up a budget-friendly shrimp roll.
Tweak Your Subscription Services Seasonally
Before you set sail on summer trips, examine your current subscription services:
- Are you still paying for streaming platforms you won't use while traveling?
- Consider pausing your gym membership, meal kit deliveries, beauty boxes subscriptions, or digital subscriptions for the travel period.
Many services offer pause options rather than full cancellations, making it easy to reduce monthly expenses during heavy travel periods.
Invest in Flexibility
An ideal budget should be flexible, especially during summer. As you're estimating travel costs and setting spend caps, include a 15% buffer to accommodate unexpected costs, such as increased gas prices or sudden storms. This financial buffer provides a cushion, ensuring minor overages don't spiral into significant budget-bursting issues.
Wrapping it Up
Summertime is about creating memories, not wrangling financial concerns. With a little planning, you can focus on sunshine and fun without fretting about post-summer credit-card bills.
Remember, the best summer budget doesn't necessarily mirror a tight purse, but rather one that aligns with your priorities, allowing you to indulge in what really matters during this summer season.
- Divide your summer budget according to specific events such as beach getaways, weddings, local festivals, holiday bashes, and back-to-school shopping to allocate funds more accurately.
- Set a weekly allowance for "spontaneous spending" to cover unexpected invitations for backyard parties, impromptu beach days, or outdoor concerts without derailing your budget.
- Use separate savings accounts for significant summer expenses like traveling, children's camps, weekly happy hours, and more to prevent dipping into vacation funds for everyday expenses.
- Delay non-essential purchases over $50 for 24 hours to reconsider whether they're truly necessary, as impulse buying can increase during summer.
- Adjust your meal plan by preparing portable picnic meals, researching grocery stores at your travel destination, setting a meal-out budget, and taking advantage of seasonal produce to keep food costs manageable.
- Review your current subscription services before traveling to pause gym memberships, meal kit deliveries, beauty boxes, or digital subscriptions for the travel period to reduce monthly expenses during heavy travel periods.
