Now that we’re to the month of August, we’re technically about half way through (technical) summer, more than halfway done through “school summer.” One of many things I enjoy about not working in schools anymore is that my travel is not confined to mid-June to mid-August. Even though I work more weeks per year, my leave time is more flexible if that makes sense.
I digress.
Since most of you have already taken your summer vacations, I have a feeling some of you are feeling the effect of overspending. It happens, so don’t beat yourself up. What matters is your behaviors going forward. Here I’ll go through some questions to ask yourself to get yourself back on track.
How can I cut spending to pay off any debts ASAP?
I get it. You went on vacation, saw a dress you simply can’t live without and you’re still paying it off. Again, it happens. What’s important now is that you get that dress paid for ASAP. If this means suggesting a potluck burgers and dogs night at home rather than going out, have at it. Those can actually be way more fun. Get super aggressive with paying your vacation off in FULL BEFORE your credit card payment is due. Interest compounds, and you don’t want to mess with that.
What odd jobs can I pick up to throw toward my summer over spending?
A few weeks ago, I met a friend for some rosé. When we arrived, it was happy hour and by the time we left, it wasn’t. At all. I budgeted around $50 for a few glasses of wine and a split appetizer. I was way wrong. I went way over what I had planned on spending and was kicking myself for it. In order to knock this annoying, albeit fun, evening out financially, I picked up an extra tutoring session. I could have also: walked for Wag, driven for Uber Eats, or dropped off packages for Amazon Flex. I have accounts for all of these and they’re really nice to have on the back burner when you need some extra dough.
How does my budget need to change?
School new year is the new new year! Seriously- September is the second most popular time of the year (next to January, of course) to start diets, work out, meal plan, aaaaaand (wait for it).. set a budget! If you don’t have the Every Dollar app, you need it. The free version is fine, and there are videos that teach you how to budget if you don’t already. Basically, if you don’t already budget, you need to. If you do and find yourself running out of money in one area and perhaps having a surplus in others, adjust accordingly. If you find yourself running out of money every month, either find ways to adjust your lifestyle or find ways to increase your income.
What personal growth do I need to do?
Energy begets energy. If you feel like you’re slogging in one area of your life, odds are you’re slogging in others too. Have you ever noticed how people seem to have it all together or nothing together? There are rarely in-between people. Obviously don’t try to make too many changes at once, but perhaps 3 times at the gym will help to motivate you to straighten up your finances. It sounds crazy, but words can’t express how true it’s been for me!
How can I prevent overspending from happening next summer?
Mistakes are you only valuable if you take the time to learn from them! If you found you’re going buck wild with the finances this summer, maybe set aside an account to start saving up for next summer now. Virtual Wallet from PNC is super helpful for stuff like that. I, for example, have a regular checking account in addition to my Virtual Wallet and every time my paycheck hits my account, I have automatic withdraws in to each of my little sub accounts. Some goes in to my Edward Jones investment account for long-term savings; Some goes in to my “Growth” account, which is supposed to be for long-term savings, but I use it for my emergency account; then I use my Reserve account for “fun money” like summer vacations. Finally, my “Spend” account is used solely for Christmas shopping, which I throw a little bit per paycheck towards. My every day spending, bills, etc. all come from my regular checking account. Virtual Wallet has a whole formula you’re supposed to use that I don’t, but this system has worked very well for me!
Welp, there you have it, friends! I hope you’re having a great start to August and are ready to slay any financial issues that came you way!