'Maycember' is almost over — here's how to recover financially after a string of end-of-school-year activities

CNBC

28-05-2025

It's officially "Maycember," a term making the rounds on social media to sum up the chaos and high costs of May — which mimic those of December, minus the holiday cheer.
Although May is typically a month of endings and new beginnings, inflation and social pressure have helped drive up the prices for many of the expenses that fall within its 31 days.
From graduation gifts and prom attire to camp payments, dance recitals and sports tournaments, the gauntlet of events has left parents feeling particularly strained.
"May often feels like a second December because so many expenses pile up at once," said Isabel Barrow, executive director of financial planning at Edelman Financial Engines. "Graduations, school events, weddings and summer travel plans all converge, creating a storm of financial stress."
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The key is not to panic, Barrow said. "It's important to remember that a long-term plan requires long-term perspective, and one month of overspending doesn't have to derail your financial goals."
Most financial experts recommend going back to a basic budget. "The first step towards recovery is to take the time to review your spending and reassess your financial plan," Barrow said. "Financial well-being begins with awareness and the feeling that you are regaining control."
If you've racked up credit card debt, start addressing that immediately, Barrow said. To stay motivated, try picking a repayment strategy, such as the avalanche method or the snowball method, which respectively prioritize paying off the highest-interest debt first or paying off your debt from smallest to largest balance.
At the same time, automating your savings is one of the best ways to rebuild after a heavy spending period, Barrow said: "Set up a recurring transfer to your emergency fund or savings account." If your employer offers direct deposit splitting, use that to route a portion of your paycheck directly into savings, she advised.
The start of summer is also a good time to scale back, according to certified financial planner Lazetta Rainey Braxton, founder and managing principal of the Real Wealth Coterie. Pack a picnic lunch for a day at the park, or "find free events such as museum days and public events."
There may also be more opportunities to pick up a side gig this time of year, she added, such as babysitting or tutoring over the long break from school. Those funds can help turbocharge debt repayment.
"Know that Maycember is a stretch month that doesn't represent the pace of your entire life," said Braxton, who is a member of CNBC's Financial Advisor Council. "Use your experience as a guide with a rearview mirror."
Tally what you've spent on activities and celebrations such as Mother's Day, graduations and vacations, as well as any payments towards camps or summer activities. Use that total to make a plan for next year, she advised.
"Start a Maycember fund by creating a separate savings account and setting aside $25 a month or more," she said. That advance planning can also come in handy to make the most of sales holidays later in the year, such as Black Friday and Cyber Monday, she added.
Still, "It's important to remember that you don't need to overspend or go beyond your budget to give meaningful gifts," cautioned Kelli Smith, a director of financial planning at Edelman Financial Engines. "Thoughtfulness and creativity can make a big impact."