Summer (Over)Spending: How to Bounce Back and Move Forward

With summer comes longer days, fun in the sun, and sometimes spending more than you planned. Whether it’s road trips, weekend getaways, family gatherings, or summer entertainment for the kids, seasonal costs get away from all of us. 

The good news is, even if your budget feels off track or your credit card balance is higher than you’d like, you can bounce back!

By reviewing your summer spending to date, you can see what habits have snuck in and knocked you off course. Then, you can tackle the rest of summer— and the year —with confidence!

Shameless Summer Spending Review

When you start reviewing your summer spending, remember it’s not about guilt-tripping yourself for overspending— the main objective is to get a clear picture of where your money went. 

As you track your extra summer expenses, ask yourself:

• Was this worth the cost? Consider what brought value and what didn’t, and adjust your future spending accordingly.
• Any surprises? Keep an eye out for subscriptions you forgot about, unexpected charges, and fees you weren’t accounting for. 
• Where are the best places to cut back? Overspending happens to everyone; knowing the best places to cut back can keep it from happening again. 

Remember, while this step is important to resetting a high-spend month, being honest about your spending doesn’t mean shaming yourself for areas where you went overboard. Awareness and honesty can help you build a foundation for smarter spending and money management all year long.

Make Small Changes & Work Your Way Up

Recovering from overspending doesn’t happen in a day, but you don’t need to overhaul your spending habits to make progress, either. Here are three ways to reset without added stress:

Cut some expenses short-term

Look at your budget— can you temporarily cut back in any areas? Maybe you can eat at home one more night a week, or press pause on a streaming service. It’s not forever, just long enough to create some breathing room in your budget. 

Return to your original budget

Your monthly budget is tailored to your finances. While you’re identifying areas where you can cut back, returning to your budgeting baseline can keep you working toward your monthly goals. 

(Don’t have a budget, or want to rework your monthly spending? Check out our budgeting series to get started!)

Set a short-term goal

Set a goal for the next month or two and stick to it. Completing short-term goals can help boost your financial confidence. Try setting a goal to pay off a low-balance credit card, save $200, or cook more meals at home. Every little bit counts!

Keep an Eye on Your Credit Card Balances

With credit card rates at all-time highs, having a plan to pay down high balances is more important than ever. Here are some EdiFi Expert-approved ways to tackle high rates and high balances:

Pay down your high-interest cards

Using the avalanche method, put as much money as you can into the cards with the highest interest rates and highest balances. Once you’ve paid those off, move on to the next highest. Focusing on higher balances and higher rates will help you reduce your overall debt, avoid credit drops, and kick additional interest payments to the curb. 

Consider a balance transfer

While balance transfers aren’t for everyone, they can offer a break from interest fees. EdiFi’s Visa® Rewards Card has no balance transfer fees and fixed rates as low as 9.99% APR*. So you can focus on paying down your balance without worrying about high interest rates! 

‍_{*APR = Annual Percentage Rate}

Debt Management Programs

If you’re juggling multiple high-interest cards or loan payments that are slowing your progress, Debt Management Programs could help! EdiFi works with GreenPath to offer you expert tools, tips, and guides to navigate your personal finances with confidence. That includes structured plans to consolidate your payments, pay off debt, or lower your interest rates without adding more payments to your plate.

Rebuild Your Emergency Fund

If your summer spending dipped into your savings, you’re not alone. But just like step one, the key is not to feel guilty— it’s to craft a plan of action to rebuild and move forward. 

Start with a reachable, short-term goal. Try setting your sights on saving $200 in the next month— that averages out to about $7 a day or $50 a week. Once you reach that goal, set another one. Setting small milestones keeps you motivated and helps you avoid turning to high-interest credit cards when you need extra cash.

EdiFi Expert Tip: Set it and forget it! Automate your savings, so you can save without thinking about it.

Switch Your Mindset

So, you’ve overspent. You feel like you’re “behind”— and the guilt or shame is quick to follow. Just like you make small adjustments to your spending habits to help your long-term money management, it’s vital to make changes to your mindset to encourage your future growth.

One high-spending month doesn’t define your future finances, and doesn’t have to define your inner dialogue surrounding it. Remind yourself that you made the best choices you could at the time, and you’re actively working to get back on track. 

Make sure to celebrate your small wins! Reaching your weekly savings goal, deciding not to make a purchase, or choosing to eat at home should all come with a pat on the back. 

Remember, by switching your mindset, you’re not pretending everything is okay— you’re accepting where you are and making plans to move forward. 

At the end of the day, overspending happens to everyone! The good news is, you’re not alone, and there are ways to bounce back. 

Ready for more tips and tricks to keep your spending on track? See what’s trending on our blog or reach out to our team— we’re always happy to help!