It's summertime and the living is easy – that is, unless you're one of the growing number of Americans who are unable to afford their summer plans.
A new survey of more than 1,000 Americans finds 34% of respondents don't feel financially secure enough to enjoy summer activities this year.
According to the survey by BadCredit.org, more than 1 in 4 (26%) Americans expect to spend more money this summer than summer 2023, and 1 in 6 fear they'll go into debt because of the cost of activities.
"Summer is a historically busy time. Across the U.S., people are getting outside, going on road trips, and socializing together with fun summer activities. But all of that comes at a cost, and it is not always cheap," the survey noted.
Most people plan on summer 2024 being an expensive one. From June through August, survey respondents expect to spend $1,600 on activities such as dining out and traveling. As for why people seem to spend like there's no tomorrow during the summertime, 30% of survey participants say FOMO, or the fear of missing out, is the reason why they spend more money.
"Over half (52%) said they overspend when out with friends. It could be because 30% think they have to spend money to have fun, and 1 in 5 feel pressure to spend more on social activities based on what they see on social media," the survey noted. "Either way, 56% regret overspending on social activities after the fact."
Nearly 3 in 5 (58%) people don't budget at all for social activities and among those who do, 55% admit they struggle to stick to it, according to the survey.
With money flying out the window, 88% of people are looking for free or low-cost ways to have fun this summer and another 70% are prioritizing free activities, according to the survey. A smaller number, 22%, are planning to pick up a side hustle to cover summer expenses.