Summer is more than sunshine, longer days, road trips and more opportunities to have outdoor fun. It is a season full of expenses. While some, like vacation travel, are big-ticket expenses, others add up bit by bit over the entire season, like ice cream cones and other special treats.
It's essential to prepare your finances before summer expenses accumulate. Here are the best steps to get started.
Make a budget for summer.
You may already have a regular household budget – and if you do, great! You can modify it by incorporating the unique expenses and even extra income you may anticipate for the summer season. If you don’t have a household budget, now is a great time to get started. Start by listing out your income and usual expenses – and for your summer budget, add any extra goals you may have, like a summer vacation. Obviously, your goal is to have your expenses be less than your income. If they aren’t, examine your spending and work on creating some room for saving.
Start building an emergency fund.
Speaking of saving, even with its extra expenses, summer is a great time to start working on building an emergency savings fund. That is because summer gives you a little extra time for a fresh new perspective on your financial goals. Emergency savings funds act as a cash reserve for any unexpected expenses, such as auto or home repairs, medical bills or even living expenses in the event your income is disrupted. A smart solution for building an emergency fund is a money market account, which offers you easy, flexible access to cash while helping you build your balance with a high yield.
Find more ways to save.
Throughout the summer, you can identify cost-saving opportunities to help you save even more money. For example, buy sunscreen in bulk. Use a water filter instead of bottled water. Find coupons to help you save on your summer destinations. Keep an eye on your thermostat and make sure it is scheduled to be at a higher temperature while you’re away from home. You can even look for ways to improve the energy efficiency of your home by sealing door and window leaks or installing solar window screens or film.
Earn extra cash.
You don’t even need to get an extra summer job. Making intelligent choices in financial solutions can do the job of earning extra cash for you. For example, you earn 3% cash back on debit card purchases of up to $300 per month* with a Kasasa Cash Back® checking account at APCU and Center Parc. A Kasasa Cash® checking account pays you up to 5.00% APY* on balances up to $25,000. By actively working to put money in your pocket, financial solutions like these can help you have a better summer budget for a better total summer.
Above all, your summer financial readiness depends on your next steps. Take action today to create your summer budget, save more and earn more cash to have the summer fun you deserve. For guidance on ways to help you get financially prepared for summer, give us a call at (800) 849-8431.
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