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With the sun on our faces and the right approach to your end-of-summer spending, you can achieve your warm-weather wants on an ice-cream budget. Here’s how to get that summer bank balance set-up for a great year ahead, from clever budget ideas to easy ways to reduce your expenses.

Plan your budget

An hour or two spent planning your budget now will mean you’re starting your year off in the right way.

Remember, it’s not how much you have; it’s how you manage it.

• Wants vs needs. Differentiating between your spending wants and needs is the glue that holds a budget together. It takes forethought and pre-planning. Start by going through your most recent bank statement and dividing the expenses into wants and needs based on your plans for the year ahead. It’s all about balance.

• Try the 50-30-20 budget. We love this budget hack! Divide your income into three buckets: 50% for needs (rent or mortgage, bills, debts, food etc.), 30% to wants (concert tickets, drinks with friends, new dress) and 20% to savings. But, you can play with the percentages to suit you. The important thing is you divide up your expenses in a way that makes sense to you and your situation.
• Review early and often. The best-laid budget can easily blow out without careful monitoring. Use your transaction history or a spending tracker to track your daily expenses. Sticking to your budget week-on-week? A gold star on the fridge is unnervingly rewarding. Or a ‘budgeted’ beer at the pub works too!

Reduce expenses

It’s not the cheapest time of year. But with these two simple life hacks, you’ll be able to make the most of your summer spending.

• Swap ‘n’ save. Beach holidays, festive parties, hanging with friends. A few clever swaps can make all the difference when it comes to your finances. Try visiting less popular spots for a cheaper holiday or stay close to home with a British vacation. Splitting an Airbnb with friends can make it cheaper. And even just having a shorter holiday can reduce costs while still getting the benefits!
• Shop the sales. The end-of-season sales are every summer budgeter’s best friend. Now’s the time to nab that designer bikini or sand-shedding beach towel. But remember—even though your dream item is on sale, it doesn’t always mean it’s a bargain.

Spend carefully

Mindful spending can pay off in a big way when it comes to budgeting. Burning through cash on lunch and a coffee at work? Meal prep and an insulated coffee flask could be a short-term fix, or even aiming for four days a week. Impulse purchasing something you’ll probably never wear? Sleep on it and see how you (and your bank balance) feel in two days’ time.

And as the season changes, your budget might change too, so use that time as an opportunity to give your budget a spring (or autumn!) clean.

Need extra help with your finances? We might be able to help. Give us a chat for advice you can trust!

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