Even though summer doesn’t officially start for a couple of more weeks, most kids are out of school, the weather is warmer and most of us are in full summer mode. Summer, unfortunately, is a time that many can make blunders that can turn their financial situation upside down.
What is the most common mistake people make in the summer?
Overspending on summer fun versus saving – too often people focus on the fun and forget about savings. Summer can be expensive because there is so much to do. Keep up the savings habit and find less expensive ways to have fun is extremely important during the summer months.
Do people make mistakes with their summer vacation?
The number one is putting their summer vacation on a credit card – if you have to fund your vacation with a credit card and then take two years to pay off that debt, it is probably best if you change your vacation plans. Building credit card debt will make the vacation even more expensive because of the interest you will be paying.
What is the biggest mistake made for summertime purchases?
Not waiting for end of the season sales – if you are changing your wardrobe or looking for outdoor furniture, the best time to purchase will be after the Fourth of July when retailers start preparing for the fall and discounting their summer merchandise. Waiting saves you money and you will still have plenty of time to enjoy your new purchases.
If you have kids, what’s the money move to avoid?
Spending too much on kids summer activities – the best way to avoid this summer spending mistake is to start with a money budget not a time budget. Too often parents start with the calendar and book more activities than their wallet can really handle. Summer camps and activities for kids can turn into a very expensive proposition very quickly.
What a common mishap that occurs during the summer with our financial matters?
Missing payments while traveling is the mistake to avoid. Summer travel is sometimes longer and our normal financial routine can get disrupted. Setup bill pay or direct debit so that you don’t miss any important payments that could cost you late fees and considerable hassle to correct.
Where do people waste money and not even realize it?
Without a doubt, it’s cooling an empty house. In the summer, people are outside considerably more than inside and if they don’t change the thermostat or use a smart thermostat, they may be wasting money on keeping a house cool when they are not even it.