Thrifty Thinking: The Costs of Summer

Summer is supposed to be the time of sunny days and warm nights—conjuring up thoughts of the beach, Bar-B-Ques, bonfires, rest and relaxation. Instead, most American adults equate summer with financial anxiety, according to a new telephone survey conducted for the American Institute of Certified Public Accountants (AICPA) by Harris Poll.  

According to the survey, about 6 in 10 U.S. adults said their financial tension during the summer matches or exceeds the stress they feel during the year-end holiday season. A majority of U.S. adults said they don’t have a vacation on the calendar this year.  

“During stressful financial times, paying with cash is a great way to keep your spending under control. By using dollars instead of plastic, consumers are much more aware of their outgoing expenses,” said Ernie Almonte, chair of the AICPA’s National CPA Financial Literacy Commission. “When you pay for a vacation with a credit card, you come back with more than photos. You come back with debt, and your vacation could wind up costing considerably more than you had budgeted.”

The costs of summer are stressful for everyone, but the National CPA Financial Literacy Commission has the following tips that consumers can use right away to get started saving for or reducing their upcoming expenses:

1.     Create your summer budget now. Get out your calendar and make a list of planned activities and related costs, registration fees, uniform costs, amusement park entry fees, pool memberships, etc. Knowing how much you need now will give you a goal and keep up motivation to keep saving.

2.     Don’t Be a Weekend Warrior! Avoid the weekend rush when you can. Plan midweek adventures, since everything from amusement parks to golf outings are usually less crowded and cheaper mid-week. Very often hotels and rental cars are discounted during weekdays.

3.     Hunt for Discount Coupons. Never pay full price for water and theme parks or other entertainment. Look for deals in the form of discount coupons at supermarkets, convenience stores and even hotel brochure racks. The savings can be 25% or more.

4.     Look for Freebies. When choosing accommodations for your vacation, consider the following to reduce costs: Does the hotel offer complimentary transportation to the airport, restaurants, or local attractions? Does the rate include breakfast? Having a meal included can save you a bundle, especially on longer trips or family vacations.

5.     Cleanout and Sell. Sell unwanted items on eBay or Craigslist or have a garage sale. This helps fund the vacation and gets rid of clutter at the same time. A double bonus!

Additional tips on how to save money for and on summer activities are available at www.360financialliteracy.org.

Since 2004, the CPA profession has been helping consumers increase their financial literacy through a free, comprehensive financial-education program: 360 Degrees of Financial Literacy. The website is the centerpiece of the program with tools, calculators and advice to help Americans understand and manage their financial needs during every life stage, from childhood to retirement.  

About the AICPA

The American Institute of CPAs (AICPA) is the world’s largest member association representing the accounting profession, with more than 394,000 members in 128 countries and a 125-year heritage of serving the public interest.  AICPA members represent many areas of practice, including business and industry, public practice, government, education and consulting. The AICPA sets ethical standards for the profession and U.S. auditing standards for audits of private companies, nonprofit organizations, federal, state and local governments.