School’s Out — Now What? Smart Money Moves for Parents When the Bell Rings

As a child, summer break is one of the most exciting times of the year. Freedom! Friends! Sunshine! For parents and caregivers, however, planning for summer break starts well before it arrives. Without intentional planning, summertime costs can quickly stretch beyond the household budget.

As a fellow parent of multiple kids at multiple schools, and a CERTIFIED FINANCIAL PLANNER® professional, I’ve compiled a few ideas for making smart money moves that align with your summer dreams while keeping your budget in mind.

Start With a “Summer Snapshot” Outline

Start by creating a rough map of the summer experiences you hope to provide.

• List the camps, classes or activities you want to explore.
• Write down dates and times for each option, noting any overlaps or childcare gaps you may need to cover.
• Consider both the pros and drawbacks of each opportunity.
• Estimate the full costs involved, including tuition, gas, meals and other expenses.
• Rank each option by priority on a scale of one to 10.

This exercise alone can be eye-opening. It helps clarify the logistics ahead, estimate rough costs and identify what you’ll need to plan for before making final decisions. Seeing the full picture early can help you avoid reactive decisions, and unnecessary debt, later.

Compare Options

• Some structured programs require up-front deposits or early payments to reserve a spot, so it’s important to plan ahead for those expenses.
• Consider coordinating childcare or activity days with other families. Not only can this help reduce costs, but it also creates memorable experiences for kids and strengthens your support network.
• Half-day camps can offer the fun of getting out of the house and trying something new, often at a fraction of the cost of full-day programs.

Fill the Sinking Fund (Saving for Planned Expenses) Now

Summer expenses can vary widely, especially when multiple activities, camps or trips are involved. Starting a sinking fund early, even the year before, can help you prepare for planned spending and avoid scrambling when deposits or early-bird registration deadlines arrive. Having funds set aside ahead of time makes it easier to secure opportunities without disrupting your regular budget. Ways to build your summer sinking fund include:

• Temporarily reducing discretionary spending and redirecting that money into a dedicated savings account to track progress.
• Setting aside a portion of a bonus or unexpected income.
• Getting the kids involved through small fundraisers or savings challenges.
• Estimating total summer costs, dividing that amount by the number of pay periods between now and spring, and automatically saving that amount into a dedicated account so your plan stays on track.

Involve the Kids In Decision-Making

It’s easy to say yes to every opportunity in the moment, especially when kids are excited. But summer commitments, and the costs that come with them, can add up quickly. Taking time to prioritize together can help align expectations and keep spending focused on what matters most to your family.

• Discuss which activities and experiences are most important to everyone.
• Clarify any non-negotiables or decisions that have already been made.
• Give kids some level of choice, even if it’s small.
• Involve children in age-appropriate trade-off decisions to help build financial awareness and decision-making skills.

Remember Your Long-Term Goals

It’s important to balance summer planning with the long-term financial goals you have for your children and family. In the excitement of creating memorable experiences, it can be easy to prioritize short-term opportunities that may not align with your broader financial priorities unless you have a clear plan in place.

Working with a CERTIFIED FINANCIAL PLANNER® professional can help you align annual summer spending with your overall financial plan. It can also help you evaluate trade-offs, such as spending less one year and more another, while identifying creative ways to make your money go further through tax-advantaged strategies or additional income opportunities.