3 Ways to Stay Out of Debt this SummerMay 30, 2018
Summer is coming and expenses are rising. That doesn’t mean you need to go into debt to fuel your summer activities. Instead, look at your past, present and future spending to set goals you can stick to.
In this podcast, our LITs are talking all about how to get through summer without frying your budget and going into debt. Follow along by tuning into the podcast or read on for their advice.
- Take a look at summer past
We’re not referring to a holiday movie. We’re talking about your budget from last year. Go over how much you spent on last year’s summer activities and itemize each expense. How much extra did you spend in groceries, entertainment, trips, child care or gas? Did you begin last summer with a budget in mind, only to have it fly out the window? Use last year’s expenses as a way to gauge your budget for this summer and start saving now.
- Take stock of your present financial situation
What has affected your finances lately?
Have rising interest rates made it more difficult to pay your mortgage or consumer debt? Has there been a change to your household’s income such as a new baby, new job or less work hours?
Set a budget so you can visually see how you’re managing and make adjustments where necessary. That means, if you’re overspending in one category, find ways to cut costs. If debt payments are eating up your cash flow, talk to a debt professional or compare your debt relief options here.
- Plan for the upcoming summer
Based on what you spent last year, make a summer budget based on similar projected costs, taking into account any other changes to your income. What can you do differently to avoid going into debt? Planning ahead of time and saving up the necessary cash for summer activities will keep you from stressing over bills when summer is over. Check out free activities throughout the city such as religious day camps, library programs, or escape to cottage country on the weekends and enjoy picnicking on the beach.