Financial planning and budgeting might not be top of mind right now, while we are enjoying the summer heat and fun, but most of us should have a rough sense of how much we’ve spent over the past two or three months. Maybe you attended a wedding, enjoyed patio season, or took a flight or two. None of it felt reckless in the moment. It rarely does.
If things feel squeezed, you’re not alone. A CIBC poll found nearly two-thirds of Canadians (65%) are trying to prioritize saving over spending this summer, and a Nanos survey for CTV News found 43% of Canadians are actively looking to cut back during the vacation season, up from just 31% a decade ago. Younger Canadians feel it most: 48.5% of those aged 18 to 34 say they’re spending less this summer, according to Nanos.
That gap between what we plan to spend and what we actually spend is where the hangover comes from. Let’s look at why it happens, and explore some planning and budgeting tips to reset your finances over the next four weeks before September’s bills land all at once.
Why summer spending sneaks up on us
Summer isn't one big expense, it's dozens of small ones – a gift for someone’s wedding here, a meal with friends there. TD’s 2026 survey found 62% of Canadians are already redirecting money toward essentials like groceries, fuel, and housing. This leaves less room to absorb “extra” summer costs without leaning on credit, which is exactly what tends to happen.
According to a Vividata survey reported by BNN Bloomberg, 36% of Canadian credit card holders carry a balance, and among those carrying debt, 49% say they’re living paycheque to paycheque. The average Canadian carries $3,929 in credit card debt, and most cards are charging somewhere between 19.99% and 23.99% in interest. A small summer balance left unpaid in August can grow exponentially within a month.
Planning and budgeting: The four-week financial reset
August is the perfect window to reset before the fall crunch hits. Here’s a simple four-week plan to close out summer with clarity instead of dreading seeing your next credit card bill.
Week 1: Audit your spending now, not later
Why: You can’t fix what you haven’t looked at or are not aware of. Most people underestimate their summer spending because it happened in small, spread-out purchases rather than one large transaction.
How: Pull your last two to three months of credit card and debit card statements. Total the spending in key categories: Travel, dining out, events, and gifts. Don’t judge it yet, just get the real number in front of you.
Tip: Separate fixed costs (rent, insurance, minimum debt payments) from discretionary summer spending. Seeing the discretionary total on its own, outside your regular budget, makes your spending pattern much easier to identify.
Week 2: Plan to cut back where you can
Why: You don’t need to cancel the rest of summer, but you do need to stop new debt from compounding on top of what’s already there.
How: Pause discretionary spending on your credit card for two weeks and shift to debit or cash payments for non-essentials. Cancel or pause any subscriptions or memberships you picked up over the summer and haven’t used in the last 30 days (e.g. a second streaming service, a trial gym membership, or an app subscription).
Tip: If you’re carrying a balance from summer spending, prioritize paying it down before it renews at 19.99%–23.99% interest. Even an extra $50–$100 a month above the minimum payment meaningfully shortens how long that debt sticks around.
Week 3: Rebuild the buffer
Why: A 30-day savings sprint builds momentum fast and gives you a tangible goal, instead of just “spending less.”
How: Choose a realistic weekly amount and automate a transfer into a separate high-interest savings account every payday for the rest of the month. Automating it removes the decision-making, which is where most budgets quietly fall apart.
Tip: Redirect anything you save from the Week 2 subscription cancellations directly into this sprint. It’s an easy way to make visible progress.
Week 4: Fall-proof your budget
Why: Expenses don’t tend to ease up in September, they often increase. Back-to-school costs, insurance renewals, and subscription price hikes tend to land during this time. All of this happens while general cost of living and inflation continue to drive up other costs.
How: List out every fixed cost you know is coming in September and October: Tuition or school supplies, auto or home insurance renewals, property tax instalments, or annual membership fees. Build these into your September budget now, rather than discovering them on a statement later.
Tip: If you know a big expense is coming, split it into weekly amounts to set aside for the rest of August, rather than absorbing it as one lump sum in September.
All in all, don’t feel guilty about your summer spending. Instead, close the loop before fall brings new expenses and start September with a clear picture of your finances.
This article is not intended as financial advice, and you should not make financial decisions based solely on the information presented.
Nelson Soh, CPA, CA is a TEDx Speaker, best-selling author of Life Literacy and the 100 Day Money Mindset Journal and financial literacy champion. Nelson is also the co-founder of FSQ Consulting, a business consulting firm, and one of CPA Financial Literacy Program volunteers. You can follow Nelson on LinkedIn, Instagram, TikTok, or visit his website to learn more about his work.
