Summer Spending Balancing Act
A new survey conducted for Chartered Professional Accountants of Canada (CPA Canada) finds more than half (56 per cent) of respondents plan to spend more this summer compared to the same season last year.
Taking into consideration household spending, 30 per cent of those surveyed say their expenditures will increase between $500 to under $2,000 this summer compared to 2017. Meantime, 45 per cent say they have less money this year compared to the same time last year after paying for their monthly household essentials.
Other key findings of the survey comparing summer 2018 with the previous year:
• 62 per cent are spending more on transportation fuel costs.
• 50 per cent are paying more for food.
• 37 per cent are spending more on home energy costs.
Almost four in ten (38 per cent) say they find it stressful to pay for their expenditures during the summer months.
"With spending anticipated to heat up over the summer, the need for individuals and families to effectively track their expenditures is amplified, especially for those who call the season stressful when it comes to money management," explains Doretta Thompson, Director of Corporate Citizenship, CPA Canada. "This is especially true since a significant number of survey respondents say they are entering this summer with less money than at the same period a year ago. For many, tough decisions lie ahead on how to best enjoy the summer months but not overspend."
How much Canadians plan to spend on summer vacation
Nearly two thirds (62 per cent) of respondents say they are planning a vacation this summer, with 21 per cent revealing they expect to spend less than $1,000. One quarter plan to spend $1,000 to less than $2,000 and 20 per cent expect to spend $2,000 to less than $3,000. Another 19 per cent plan to spend $3,000 or more.
For those planning to take a vacation outside of where they live:
• 46 per cent say they will stay within their province or territory.
• 39 per cent plan to go to another province or territory.
• 28 per cent are opting to head to the U.S.
• 22 per cent are planning a trip elsewhere in the world.
Just over half (56 per cent) of survey participants planning to take a vacation say they will use their general savings to pay for their holidays. Of those, 40 per cent are using savings put aside especially for a vacation and twenty per cent say they will borrow the money for their holiday.
The survey revealed summer is the season where the second most amount of money is spent overall, cited by 21 per cent of respondents. Winter was the most expensive, according to 41 per cent of those surveyed, followed by spring and fall at six and five per cent respectively. Twenty-five per cent noticed no difference in cost between all four seasons.
The 2018 CPA Canada Summer Spending Survey was conducted by Elemental Data Collection Inc. via telephone between June 4 and June 10, 2018 with a national random sample of 1,000 adult Canadians aged 18 years and over and is considered accurate to within ± 3.1 per cent, 19 times out of 20. A survey summary report is available online at cpacanada.ca/summerspending2018.
Note: The summary report contains a breakdown of the anticipated spending projections of the respondents. In some categories, the findings do not add up to 100 per cent because of rounding.