May, lovingly referred to as the unofficial second December or “Maycember”, is the blitz of the end of school year filled with parties, exams and final projects, sports tournaments, graduations, and all the things. Summer is around the corner, and with it comes sunshine, pool or beach days, BBQs, and the urge to hit pause on your financial planning. But while it’s easy to get caught up in the carefree vibes of the season, it’s also the perfect time to check in on your long-term financial goals. From retirement planning to estate documents to keeping your cool during market turbulence, summer is a golden opportunity to refresh and refocus your financial future.
Here’s how to stay financially chill—while laying the groundwork for a better tomorrow:
1. Soak Up the Strategy: Revisit Your Financial Plan
Like your beach umbrella, your financial plan needs to be opened, adjusted, and reinforced from time to time. Use the slower pace of summer to review:
- Your values (what provides your sense of fulfillment and purpose)
- Your long-term goals (retirement, college savings, home buying, etc.)
- Investment strategy and asset allocation
- Life insurance needs and beneficiaries
- Your emergency fund and savings health
Think of this as a mid-year financial tune-up. If your goals have changed or your portfolio is out of balance, now’s the time to adjust.
2. Don’t Sweat Market Volatility
When markets get stormy, it’s tempting to make impulsive moves. But emotional investing rarely pays off. Instead:
- Revisit your long-term strategy: Are your investments aligned with your risk tolerance? Do you have enough to cover your short-term needs within the next 2-3 years?
- Avoid panic selling: downturns are often followed by rebounds, as we’re already seeing this year
- Stay diversified to spread risk at a reasonable threshold
- Talk with your financial advisor before making major changes
Remember: heat waves come and go—and so do market swings. Keep your cool and stick to your plan. When in doubt, press snooze on the media headlines as fear sells, and focus on what you can control.
3. Chill with Retirement Contributions
The ultimate hallelujah goal is to save 15% of your take-home pay for retirement; based on your season of life, you may be able to do more or less. Summer’s a great time to boost your future beach days—by reviewing or increasing your retirement contributions. Ask yourself:
- Are you maxing out your 401(k), IRA, or other retirement accounts?
- Could you bump up your contributions by even 1–2%?
- Are you getting the full employer match, if offered?
Use any mid-year bonuses, tax refunds, or side gig income to give your retirement accounts a little SPF (Smart Personal Funding) protection. When in doubt about how to best put your hard-earned cash flow to work in line with your values, reach out to your financial advisor.
4. Dust Off Those Legal Documents
No one wants to think about estate planning while sipping a cool, refreshing beverage —but reviewing your legal documents now can save you and your loved ones stress later. At least every 5 years, make sure you’ve reviewed or updated:
- Your will and any trust documents
- Healthcare directives and powers of attorney
- Beneficiary designations
For those with young adults going off to college, make sure you have the necessary powers of attorney for your college-aged children. Universities will not share information about their students with parents (even while footing the bill) without the appropriate legal documentation.
Summer’s slower schedule makes it an ideal time to meet with your estate planner or attorney. And once it’s done, you can get back to relaxing.
5. Keep a Cool Head About Big Purchases
That new home, car, or shiny new grill might be calling your name—but take a deep breath before diving in. For major purchases:
- Reassess your needs vs. wants
- Review your cash flow spending plan
- Consider future opportunity costs
Financial freedom often comes from what you don’t buy. Delayed gratification is often more fulfilling than the immediate quick fix. Keep your long-term goals top of mind before making a splash.
6. Educate While You Elevate
Long summer evenings are a perfect time to build your financial literacy. Pick a personal finance book, follow a new podcast, or better yet:
- Schedule a mid-year meeting with your financial advisor
- Talk to your kids or grandkids about saving, investing, and budgeting – it’s never too late to get started
- Set up regular “money check-ins” with your partner or spouse – in addition to addressing challenges, be sure to acknowledge and share appreciation for things that are going well
Financial knowledge is the best sunscreen—it protects your future from unnecessary burns.
Final Splash: Plan Smart, Stay Cool
Just because the sun is out doesn’t mean your financial planning should take a vacation. With a little intention and some strategic shade, you can enjoy the season while laying a stronger foundation for the future.
So, slather on that SPF, pour yourself an iced coffee, and remember: Suns out, funds out… and that means thinking long term.
Here’s to a financially fit—and refreshingly chill—summer!
