There are some obvious money-conserving strategies that probably have occurred to you already. For example, you could spend your vacation camping in a beautiful state park instead of visiting an expensive city and staying in a pricey hotel. But there are a variety of smaller-scale strategies you can try that will add up, too.
Summer Saving Tips
Stumped for ideas on how to save money when the weather begins to heat up? Here are six low-stress ideas you can use to save money during those warm months of summer:
Have a Plan for Summer Savings
If you’re saving money all summer, that’s great, but it’s important to have a plan for what you’re stashing away. First, figure out what your goals are for saving. Do you want to grow your emergency fund? Save money to make upgrades to your home? Buy a car? Plan a winter vacation somewhere warm? Setting goals for savings can help you stay motivated to keep saving throughout the summer and beyond. Make sure your goals are specific, realistic, and that you have a clear time frame for reaching them. Using a budgeting app that includes a savings goal tracker can help you monitor your progress. Next, think about where you want to keep your summer savings. It could be a high-yield savings account, money market account, CD account, or even an individual retirement account. Where you decide to save may tie into your savings goals and when you plan to use the money you’re saving. Savings accounts and money market accounts are liquid, meaning you can withdraw your savings fairly easily if need be. CD accounts are time deposits, which means that if you withdraw funds before your CD matures, you may face a penalty. IRAs are designed for long-term savings, and early withdrawals before age 59½ can trigger a 10% tax penalty. With any savings account, remember to check the fees, minimum balance or minimum deposit requirements, and the interest rate you can earn. Finally, begin planning for next summer’s savings. When fall begins, look back at the different ways you saved money over the summer. Use that as a guide to set new savings goals for the next year and challenge yourself to save even more.
