Budgeting Tips to Help Fund Your Dream Summer

Enjoying your best summer and taking a much-needed summer holiday is so important for your health and well-being! Whether you are planning to go to a festival, visit family, travel locally, explore somewhere in New Zealand you have never been before, or you are planning to go further afield, a fun summer break is what everyone needs to end this year.

Your summer holiday is a time to get away from work for a while, relax and unwind, and to enjoy doing the things you love doing. There’s one snag – money! You need to make sure you have the funds you need to enjoy your time, with zero money stress!

Summer holidays are expensive, so you need to have a plan and a budget, and you need to save up for your dream summer. Our summer budgeting tips are here to help...

Set a short-term saving goal

It’s important to set savings goals, whatever you want to save for, so this makes it to the top of our list of summer money-saving tips. A summer holiday is a short-term savings goal. So, decide how much you will need and set yourself a target. Remember to factor in the cost of the trip, spending money, and funds for the unexpected as well as your regular outgoings. Don’t stretch yourself too thin and end up in a bad situation. It’s important to stay on top of your finances and any repayments you have to avoid damaging your credit score. Do you want to learn more about what your credit score is? Check out our article on ‘How To Build My Credit Score’.

Open a separate bank account

Keep your holiday savings away from the money you use for day-to-day spending by setting up a separate bank account. It will help you avoid the temptation of dipping into your summer savings if things get a little tough.

You can also automate saving, setting up a certain amount to be transferred every payday into your savings account, so it's one less thing to think about. Automatic savings for the win! There are also apps you can use that round-up purchases you make so you can save the change. This all adds up and counts towards that savings goal.

Stop buying cups of coffee

Okay, that fancy coffee from your favourite coffee shop tastes nice, but do you really need it?... Do the math and you’ll be surprised by how much you can save by cutting your cafe purchases from your life and making your own instead. A bonus... fewer takeaway cups = better for the planet!

Make your food at home

Bring a packed lunch to work rather than buying it on the go, eat out less at restaurants, and order fewer takeaways. We know it's hard, but having the extra cash will be worth it! Plus, when you do go out it will be a real treat!

Replace takeaways with home-cooked meals. You’ll save money, it’s healthier, and you might even find you enjoy it! Is there a MasterChef in the house!? Our favourite one stop shop for quick and easy recipes is RecipeTin Eats!

 

Create weekly meal plans

Many of us scramble about and decide what we are going to have for dinner sometime in the afternoon... sound familiar? It’s a common way of planning meals, but it’s also the most expensive. By creating weekly meal plans and then shopping accordingly, you will save some serious $.

 

Limit impulse purchases

If there is one thing you remember from this list of summer savings tips, make it this one.

Impulse buys are a sure fire way to eat into your potential savings and could see you staying home for summer rather than going on the lavish trip you are planning!

So, wait at least 24 hours when you feel an impulse to buy. In fact, wait even longer. Your impulse to buy is likely to have disappeared if you wait, say, a month before making the purchase. How much do you really want or need that item!?

Thinking twice before using services like Afterpay or Laybuy is also beneficial, as you still must pay when you use these services. That money you are paying through Buy Now, Pay Later (BNPL) services could be money that goes towards your summer holiday.

Get on your bike... or walk

To give you more money to save for your summer holiday, ditch the car whenever you can. Cycle or walk to work instead of driving, for example, as well as cutting down on driving more generally. For the sake of summer savings, make 2022 the year you use the car less and become more active. Another bonus, it is great for your health!

Cancel subscriptions or memberships you don't use or really need

• Streaming services – do you need them all?
• Gym membership – exercise at home or in the great outdoors, or if you’re going away, ask to pause your gym membership.
• Sky TV – if you had to choose between Sky TV and going on your dream holiday, which would you go for?

 

Do leisure activities that are free

You know the saying – some of the best things in life are free. It’s true. You don’t need to spend loads of money all the time. Go to the beach, take walks in the bush, go to free art exhibitions, take up a new hobby to keep you busy, etc. Check out TripAdvisor’s top 10 free things to do in your city if you’re looking for inspiration.

Pay bills on time

All of us would prefer to save money rather than having to spend it on late fees, so do everything you can to pay your bills on time every month. Your credit score will thank you too!

Consolidate your debt

By combining debt from multiple lenders and credit cards into one loan, you will probably be able to save on your interest payments. This should give you more money to put towards your summer holiday. Do you have multiple loans that you want to consolidate? Check out your options and how it works by reading our article ‘What Is Debt Consolidation?’.

Start saving

Okay, this might sound simple, but there are so many excuses we are all guilty of making that mean we put off starting to save money. Forget all of the excuses – just get started. Even if it’s a small amount, the act of starting is important and you will feel the accomplishment of a new beginning!

Bonus tip – keep track of your progress

To round off this list of summer savings tips, make sure you keep track of your progress. This will ensure you are on schedule to have the money you need for your summer holiday when you need it. A cause for celebration! It will take some work and a little sacrifice, but if a summer holiday is high on your list of priorities, use the tips outlined to budget and save up to fund your dream summer!

Looking for summer long weekend inspo? Check out ‘9 Ideas You’ll Love For Your Long Weekend Plans’.

Disclaimer: SMB does not offer financial advice, use these tips as a starting guideline. If you need help managing your finances, please seek professional financial advice.