As summer hits its stride, the idea of financially preparing for the holidays might feel like overkill. Consider this: money is the most cited source of stress during the holidays, with 58% of US adults worrying about overspending or not having enough money.  

July is an ideal month to assess your financial picture and make mid-year adjustments that will help you cruise into the holiday months with fewer concerns. To make planning easier, here is a seven-item checklist you can use as your guide:  

1. Review Your Budget 

With a customizable budgeting worksheet or free app, identify areas where you may be overspending and eliminate costs or comparison shop if possible. Budgeting isn’t about guilt, rather it is a way to ensure you’re saving a little each month – ideally 10% of your income. Less still counts.

2. Automate Savings

Consider the “set it and forget it” approach to allocating savings so that when peak holiday spending season comes around, you’ve avoided (or at least minimized) high interest credit card balances that can put a damper on the season and coming year. Look into opening a holiday-specific savings account at your financial institution and start saving now.

3. Strategize Debt Repayment

Review the balances and interest rates of your credit cards, loans, and other debts. Tackle high-interest payments first (so you’re able to put more toward principal in the long run). Explore a debt management program which can help you eliminate debt faster.

4. Check Your Credit Report

Request a free copy of your credit report from AnnualCreditReport.com. Review the report for any inaccuracies or signs of identity theft. Dispute any errors you find, which could be a contributing factor to a lower score.

5. Revisit Investments

If you have any investment accounts, assess whether your allocations still align with your long-term goals and risk tolerance. Market conditions often change, and your investment strategy should account for these fluctuations

6. Maximize Retirement Contributions

If you have a retirement account, check your contributions, and see if you have any room in your budget to increase them. This especially applies if your employer offers matching contributions, as it’s essentially free money. The sooner you invest, the more time your money has to grow.

7. Review Insurance Policies 

Ensure that your health, auto, home, and life insurance policies still meet your needs. Life changes such as marriage, the birth of a child, or significant purchases might necessitate adjustments to your coverage or comparison shopping for more favorable rates.

Get Connected

Chat with your financial institution about what resources they offer so you can feel more confident as you approach peak spending season. If you need additional support, GreenPath Financial Wellness also offers cost-free, judgment-free financial counseling with certified experts ready to meet you exactly where you’re at.  

Recommended for You:  

Online Course: Behavioral Economics (15 minutes) 

This free course will help you better understand your spending behavior and save more this holiday, just by changing small habits.

In a perfect world, summer would be a time for children and parents to soak up the sun and enjoy a slower pace. As most of us know, work calendars don’t align with school calendars. Summer camp is a lifesaver for busy households, and costs add up quickly, leaving many families feeling financially burdened.
Here are ten strategies for cutting costs this season:

1. Camp Scholarships: Many summer camps offer scholarships or financial aid for families in need. Chat with camp staff to determine your eligibility and submit any required documentation.

2. State Subsidies: Depending on where you live, some states offer income-eligible subsidy programs for qualifying families. Start your search online for local organizations that can steer you to the proper application forms.

3. Day Camps: Day camps can be significantly cheaper than overnight camps since they don’t include accommodation expenses. Look for day camps in your area that offer similar activities and experiences to overnight camps.

4. Sibling + Group Discounts: Do you have more than one camper in your household this year? Or perhaps even other children in your parent group that could add to the headcount? Look for camps that offer sibling and/or group discounts.

5. Community Programs: Most community recreation centers offer year-round low-cost or free programs for children, including day camps, sports leagues, or even virtual experiences led by online educators. Beyond rec centers, check out local offerings at YMCA or Boys & Girls Club.

6. Flexible Payment Plans: Research camps that offer flexible payment plans, allowing you to spread out the cost over several months rather than paying a lump sum upfront.

7. Partial Weeks: Does your schedule allow for partial weeks at camp? Many camps offer the option to enroll two or three days per week (or even on a per-day basis) instead of a full week session. This can make camp attendance more manageable in the short-term, especially if you have summer travel plans.

8. Pack Your Own Supplies: Camps often charge extra for snacks, meals, and supplies. Save money by packing your child’s snacks and lunch each day, and ensure they have necessary supplies like sunscreen, bug spray, and water bottles.

9. Flexible Spending Accounts: Some employers may allow allocation of FSA funds to cover expenses if the camp is considered a qualified dependent care expense. Check your specific plan to confirm whether summer camp expenses are reimbursement eligible.

10. Volunteer Opportunities: Some camps offer discounts for families willing to lend their time (similar to co-op programs where parents can assist in classrooms). Helping with administrative tasks or coordinating activities has the secondary benefit of enriching your resume.

You’re not alone when it comes to crunching the numbers. Connect with your financial institution to see what resources we offer and consider free financial counseling with our trusted partner, GreenPath Financial Wellness, if you need support in building your summer budget.

Additional Resources:

Interactive Budgeting Worksheet

Rest, Recharge, and Save with a Staycation

Vacationing on a Budget

May is not only Mental Health Awareness Month, but also a time to reflect on how our financial well-being impacts our mental health, as the stress and anxiety caused by money can have a significant impact on our overall well-being.

What is the impact of financial difficulties on mental well-being?

Financial difficulties can have a significant impact on our mental well-being in various ways.

∙  Increased levels of stress and anxiety. The pressure of financial struggles can cause individuals to experience high levels of stress and anxiety, which in turn can have detrimental effects on their physical health. This can manifest in symptoms such as insomnia, headaches, and fluctuations in weight.
∙ Depression. The burden of financial hardship can lead to feelings of hopelessness and despair, resulting in a loss of interest in previously enjoyed activities and a decline in overall functioning in daily life.
∙ Strained relationships across various spheres. Money problems can create tension in various types of relationships, such as romantic partners, parents and children, siblings, friends, and more.

What is the influence of financial stability on mental well-being?

Let’s delve into the ways in which financial stability can affect an individual’s mental well-being:

∙ Peace of mind. Having a stable financial situation can instill a feeling of security and tranquility, alleviating personal stress and anxiety.
∙ Enhanced opportunities. Leading a financially responsible life opens up doors for individuals to pursue their interests and passions.
∙ Better relationships: Financial stability can also contribute to improved relationships by reducing the stress and tension that often accompany financial hardships.

Debt and Mental Health

Studies indicate that individuals who find themselves in a state of indebtedness are at a higher risk of encountering psychological issues such as anxiety, depression, and even contemplating suicide. If you are currently facing challenges in liberating yourself from debt, it may be worth considering the option of consolidating your debts through a personal or unsecured loan. By doing so, you will only have to make a single monthly payment, which could potentially have a lower interest rate, thereby alleviating some of the financial burden.

Enhancing Mental Well-being through Effective Financial Management

Here are ways you can improve your financial and mental health:

∙ Establish a budget and stick to it.
∙ Seek assistance from a financial counselor – ACT 1st FCU is partnered with the trusted national nonprofit GreenPath Financial Wellness giving our members access to free, one-on-one financial counseling delivered by caring, certified experts.
∙ Engage in stress-relieving activities such as meditation, yoga, or physical exercise.
∙ Set achievable financial goals and make progress towards accomplishing them.
∙ Focus on personal achievements unrelated to your financial worth.

By effectively managing your financial situation and reaching out for assistance when necessary, you have the ability to enhance your mental health and overall well-being. Does this blog entry resonate with you? If you are seeking a conversation about debt, financial stress, and ways to alleviate the burdens in your life, we recommend reaching out to our partners at GreenPath Financial Wellness.