The temperature isn't the only thing to rise during the nation's warm summer months. With home improvement projects, barbecues and family vacations on the forecast, many families also spend a large portion of their disposable income during the summer.
And with so much on your plate, it can be hard to figure out exactly how much you can afford. That's why creating a budget can go a long way in helping keep any fiscal anxiety apart from your fun in the sun. Here are a few tips to help you craft a budget so you can instead focus on the more important things, like enjoying time with your friends and family.
With summer comes family vacations, home improvement projects, barbecues, trips to your favorite waterpark, and more. Everyone looks forward to these great pastimes, so it’s important to plan your budget accordingly to make the most of your summer activities and create some great memories along the way.
Prioritize your summer finances and keep these Necessary Costs in mind:
- Utilities: Unbearably hot days are not just a nuisance - they can be dangerous. Set aside enough money to cover the cost of running your AC. Additionally, use fans, replace your air conditioning filter, and carefully select your window treatments to help beat the heat.
- Gas: Summer-blend gasoline may contain 1.7% more energy than winter-blend gas, but it’s also more expensive to produce and purchase.
- Gear: Enjoy the weather safely by investing in light breathable clothing, full-brimmed hats, and sunscreen for everyone in your family.
Treat yourself this summer, and save up for fun activities such as:
- A Family Vacation: There’s no better time for family bonding than summer - look up vacation packages and deals early on to establish your savings goal.
- Local Festivals: Opt for the low-cost alternative to vacations by taking a staycation - attend local festivals and events with friends and family throughout the summer.
- DIY Projects: Tackle those home improvement projects you’ve been thinking about - research material costs and save accordingly.
- Recreation: Summer is the best time to try out new outdoor sports, from mountain biking, to kayaking, to rock climbing.
- Family Gatherings: If you like hosting, an event-centric purchase such as a grill is a great way to make your house the go-to spot for friends and extended family gatherings.
The inevitable costs of summer
Scorching temperatures are bound to strike, so you should be prepared to face rising utility bills if your air conditioning is running around the clock in July or August. A few things you can do to keep those utility bills down include replacing your air conditioning filter, strategically placing fans around the house to improve circulation and making sure all of your windows and doors are properly sealed so they don't allow the cool air to escape.
While the fuel offered during the summer tends to be more efficient, gas can also be more expensive during the summer because it is costlier to produce. Drivers can search for the best place to buy gas on the Internet or through a smartphone application such as GasBuddy.
Fun in the sun
If you're planning to take a trip during the summer, it's best to book early so you can get a better grasp of all the costs. Booking early also has some airfare advantages. For domestic travel, booking 1-3 months in advance helps you score the best deals and availability. When booking internationally, it is suggested to book 2-6 months in advance.
But not everyone has the resources to take their family on a trip - especially larger families where flying can become expensive in a hurry. There are other alternatives, such as sticking around home and taking advantage of any free local festivals or concerts that might be planned in your local market. These tend to be free or offer friendly admission prices.
NMLS #407985