How to Tweak Your Budget for a Summer of Fun

If you’re like most people, you’re ready to cut loose this summer. And now that many of the pandemic’s restrictions have all but disappeared, now’s your chance to enjoy all the experiences you lost out on over the past two years.

Road trips, dining out, concerts, festivals, and flights to far-off locales — now that it’s all on the table, it’s tempting to fill up your social calendar to make up for lost time.

Is your budget ready? After the ups and downs of the lockdown, plus today’s rising inflation, it’s a good idea to check in with this spending plan to make sure you can have fun without overdoing it.

3 Tips to Build an Unstoppable Summertime Budget

1. Know Your Essentials

No, the essentials aren’t front-row seats at a comedy festival or piña coladas on an exotic beach—although they may feel that way after so long being cautious with your money.

The true budget essentials represent the bills, repairs, and purchases you need to lead a safe and comfortable life at home.

• Housing Costs: rent or mortgage payments, HOA payments, and taxes
• Utilities: gas, electricity, water, waste and sewage, Internet, and phone
• Food: groceries (not takeout)
• Auto: gas, licenses and registration, routine tune-ups, parking
• Debt Payments: minimum payments on credit cards, lines of credit, installment loans, or cash advances
• Savings: emergency fund, retirement fund, specialized savings accounts, and investments
• Insurances: life, health, dental, and auto

You need to make sure you can afford these expenses, no matter what you do this summer. The money you have leftover after covering these essentials is your spending limit for the season’s festivities.

2. Don’t Pause Your Savings

If there’s less cash than you expected, it can be tempting to hit pause on your savings goals to free up more money. This kind of corner-cutting can get you into trouble in case your summertime plans get derailed by an emergency.

Think about it, your savings are there to help you out when you don’t have enough cash to handle an unexpected expense after paying the essential bills. It’s an overflow account you can tap any time your car breaks down, or you need a plumber to fix a leak.

If you haven’t been topping it up regularly, how would you pay for these expenses? Lots of people turn to quick direct deposit loans in these sticky situations. They send funds straight to your bank account without any effort on your part.

You can find and compare online direct deposit loans straight from your phone. If you’re approved, you can use these funds in place of your savings for unexpected expenses.

But like any borrowing option, quick direct deposit loans are not meant to replace your emergency fund permanently — or worse, help you take a vacation you can’t afford.

3. Be Spontaneous, Within Reason

Spontaneity might be the spice of life, but it can be expensive. Last-minute plans don’t give you enough time to consider your purchase or research cost savings. There’s also a good chance you’ll be paying more for last-minute airfare, accommodations, and car rentals when you take off on the spur of the moment.

While there’s no harm in saying “yes” to a free evening checking out your town’s free outdoor theater or taking a day trip to the beach, your budget needs time before accepting more complicated plans.

When it comes to long-distance travel or entertainment, you’ll have to add these plans to your budget. Set aside your monthly leftovers after paying the essentials, rolling over these savings until you have more purchasing power.

The Takeaway:

Summer is here, and it’s your time to enjoy it. But it’s not an excuse to overspend. Keep yourself in check by letting your budget guide your plans.