Summer’s Coming: Let’s Sort Out Childcare Without Breaking the Bank
Summer’s rolling in and that means two things: the kids are buzzing with excitement and you may be wondering how to keep them busy without spending a fortune on childcare. Whether you’re working full-time or just need a few hours a week to tackle your to-do list, figuring out summer childcare can be a big puzzle. Here’s how to plan your summer childcare budget so you can relax and enjoy the sunny days as much as the kids do.
What Do You Really Need?
First things first, take a moment to think about how much childcare you actually need. Are you working 9-5 and need daily coverage, or can you get by with something more flexible? Consider your kids’ ages too—older kids might be busy with camps or friends, which can ease your childcare needs.
Quick tip: Chat with friends and family about their plans. Sometimes you can team up to share childcare duties and save some cash.
Check Out Your Options
There are loads of childcare options each summer, and they all come with different price tags:
Daycare Centres: Great for regular hours and reliable care, but they can be pricey.
Home Daycare: Usually a bit cheaper and cozier, which might be just right for younger kids, but it can mean less interaction with other kids.
Summer Camps: This can be a fun option for older kids. They keep the kids active and there are lots of opportunities to make new friends. Prices vary a lot based on what kind of camp it is.
Nannies or Babysitters: Super flexible and convenient for you and a good option for the kids to be in the comfort of their own homes. If you’re thinking about hiring a nanny, NannyTax can make your life easier. We offer comprehensive payroll services to help you manage payments, taxes, and year-end documents. It’s a hassle-free way to ensure everything’s above board and your nanny is paid correctly and on time.
Set Your Budget
Once you’ve got a handle on what kind of care you need, it’s time to make a budget. Think about all the costs—not just the basic fees but also extra stuff like sign-up costs, travel, and any special gear the kids might need.
Budgeting Tips
Monthly Planning: Divide your summer childcare costs by month, so you can see how it fits into your regular spending. This makes big expenses seem less daunting.
Use Budgeting Apps: Several budgeting apps can help you track your spending and savings goals in real time. Apps like Credit Karma (https://www.creditkarma.com/), previously known as Mint, or YNAB (https://www.ynab.com/) are user-friendly and perfect for managing specific budgets like childcare. Credit Karma is a free forever app while YNAB charges a monthly subscription fee. We’re not affiliates with either of these apps. Make sure you give them a good look-over to see if they fit what you need and keep your info safe.
Cut Back on Non-Essentials: Temporarily reduce spending on non-essential items. Maybe swap a few takeout meals for home-cooked dinners or skip the movie theater in favour of movie nights at home. Our past blog with tips on fighting inflation can give you other ideas for saving on everyday expenses: https://nannytax.ca/how-to-better-manage-everyday-household-expenses-to-fight-the-impact-of-inflation/
Keep an Eye on Every Penny: Make it a habit to jot down all your spending. It’s like keeping a diary, but for your wallet! This way, you’ll spot any sneaky expenses that could be trimmed.
Set Clear Money Goals: Nail down some solid targets for your childcare stash. For example, you could decide to save a certain amount by June. It makes reaching for those goals feel more like a game.
Cash Envelopes to the Rescue: If you’re slipping into overspending, try the old-school envelope system. There’s something about seeing money that can help change our behaviours. Each part of your budget gets its own envelope of cash each month—when it’s empty, that’s it!
Automate Your Savings: Set up your bank account to automatically transfer funds to your savings each month. It’s like setting up a playdate for your paycheck.
Monthly Money Dates: Once a month, have a sit-down with your budget. A little time to adjust and tweak ensures you stay on track without major wallet surprises.
Earn While You Spend: If you’re going to shop, why not make it count? Use a rewards card that gives you cashback or points towards fun stuff or more savings.
Clean Up Your Wallet and Junk Drawers: You may be sitting on a mountain of gift cards that you can spend instead of your cash. Square, a payments company, reports that a whopping 45% of gift cards sold through their system in Canada just sit unused. How many might you have hidden away somewhere that can help pay for the next birthday gift or new summer clothing for the kids?
Plan Your Pantry: With the kids home all summer, snack attacks are real. Planning your meals and snacks can keep you from emergency grocery runs, saving you time and money.
Team Up on Costs: Get together with other parents to share the load and the costs. Whether it’s swapping babysitting nights, sharing rides to camp, or buying snacks in bulk, it’s all about teamwork.
Find Deals and Discounts
A little digging can uncover ways to trim down those childcare bills:
Early Bird Specials: Many camps offer discounts if you sign up early.
Tax Breaks: Get familiar with any tax credits for childcare that you can snag when tax time rolls around. And don’t forget, NannyTax can help streamline this process if you’re using a nanny.
Local Gems: Community centres can have budget-friendly camps and activities—a less pricey option than fancier private camps.
Expect the Unexpected
Summers are full of surprises, sometimes with extra costs—like a sudden need for more childcare or unexpected camp supplies. Put a bit of money aside just in case.
Tip: Try saving an extra 10-15% of your planned childcare budget to cover any surprises.
Fit Childcare Into Your Year-Round Budget
If there’s still time (or for next year), consider working your summer childcare costs into your overall yearly budget. This way, it’s less of a financial hit when summer rolls around.
Tip: How about setting up a savings account just for summer childcare costs? Tuck away a little money throughout the year to spread out the cost.
Stay Flexible and Keep Checking In
Keep your plans flexible and keep an eye on how things are going throughout the summer. Sometimes plans change—a camp might not work out, or maybe a relative offers to watch the kids for a week. Regularly revisiting your plans helps you manage your budget better and snag opportunities to save.
To Sum it All Up
Planning your summer childcare doesn’t have to be stressful. With a bit of early planning, smart saving tricks, and the right support like nannytax.ca for managing your nanny’s payroll, you can make sure the financial side of things is sorted. That way, you can kick back and enjoy those precious summer moments with your kids, worry-free. Remember, it’s all about planning—and sometimes, a bit of improvisation!
Credits: Photo by Emma Bauso: https://www.pexels.com/photo/girl-standing-beside-white-flower-field-2253898/
