Summer is just around the corner – but are you ready? Not only for the beach weekends, family vacations, 4th of July festivities and kids’ camps, but also for all the expenses that tend to heat up over the season? That’s because summer is a big spending season. In fact, it’s second only to winter, which includes gift-giving holidays like Christmas. Although not by much.
So that means while summertime can be packed with fun and lots of stylish swimsuits, it can also put a major dent in your wallet. With that in mind, knowing that your expenses are about to climb along with the temperature, how can you enjoy everything that summer has to offer without breaking the bank? Here are some key spending triggers to watch for:
- Travel Plans? It’s no secret that vacations can be expensive. According to a recent NerdWallet survey, Americans are planning to spend more than $2500 on their vacations this summer. And the cost of travel doesn’t stop at big-ticket items like airfare, hotels, care rentals and gasoline. Getting there is just the beginning — so be sure to plan properly and budget for other items like meals and snacks, clothing, admission tickets, tours and sightseeing, and souvenirs. Otherwise, you can wind up taking home a whopping credit card bill in addition to all those happy memories.
- School’s Out! All kids look forward to summer vacation, but boredom can set in easily if they don’t have anything constructive to do. Summer camps can be expensive, as are summer learning programs. According to another survey, day camps average more than $400 a week, sleep-away camps more than $1000 a week, and specialty camps between $750 and $1250 a week. For working parents with younger children, day care may also become a necessary expense.
- And So Is the AC. When it comes to home or car repairs, Murphy’s Law often applies — and the most expensive fixes need to be made at the most inopportune times like the air conditioning in your home or your car going kaput on the hottest day of the year. For those unwanted and unexpected expenses, be sure to set aside an emergency fund to help you stay cool.
Create a Budget and Control Your Spending
With these summer spending triggers hitting you from all angles, it’s important to plan ahead. Financial apps can help you set measurable marks for smart saving and spending. Why? Because they allow you to input your goals and track your progress. You can even use them to create individual spending buckets, such as vacation, entertainment, groceries, and summer camps. You can even set alerts when you’re reaching your spending limits.
While you can’t predict every expense, a solid financial plan will help you savor the season instead of stressing over it. Building a realistic budget can help you bring on the barbecues and beach trips with confidence. And make this a summer to remember for years to come.
Photo Credit: Scott 97006
I find summer to be one of the cheapest times of the year at least in the eastern part of the US.
– Very low home gas bill
– Less driving to work and school since many days are taken for vacation saves money on gas as well.
– Grilling out using inexpensive propane vs the oven.
– Keeping the house cool by opening windows.
– Growing basic veggies in our garden vs buying them in the store.
I envy you that opening the windows keeps your house cool. I have AC running all days most days–sometimes even when it is below 70 because the humidity is so gross. We have found that installing smart fans that only run when it is cooler outside than inside and have a cutoff at high humidity helps with our energy bill (and is more environmentally friendly) quite a lot. You just set the fans to 1 degree cooler than the ac and you have a very effective system.
On the flip side, I spend more on Ubers & Taxis in the summer. For example, I’m going to a concert tonight in a neighborhood that is about 6 miles from home. Between Oct and April, I’d usually bike to it, but today I’ll uber there to avoid being sweaty when I arrive. I may try and save $$ by taking a bikeshare or bus home though.
We use hardwood charcoal for grilling, which is way more expensive than cooking on our stove. However, the cookout experience (both flavor and social) are completely worth it. I enforce a strict “don’t run the oven in warm months” rule.
For those who live on the US west coast (where hot summer days turn into relatively cool evenings of 65 deg F or lower) a whole-house fan does a great job of keeping the entire house cool in the summer without the need for AC.
I know it is one of the best house improvements I ever made!
As a parent, I understand the struggle of finding affordable summer camps and childcare options. The tips on budgeting for all the little expenses like meals, tickets, and souvenirs really resonated with me. Thank you for this insightful and practical advice!
Glad you found it helpful.