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Five Biggest Summer Spending Blunders

Its that time of year again. You're feeling carefree and in the mood to spend. Hang on to your wallet and beware of the following, according to MSN Money:

Weddings
On average, there are 2.5 million weddings celebrated each year, many in the summer. If you're on the guest list, plan ahead and budget for gifts. If you see something on sale now, pick it up. The bride will never know you got it for half price.

Garage sales
Warm weather inspires many people to drag out the junk they don't want and sell it to someone else. Block the temptation--don't stop at a yard sale unless you're really looking for something.

Camping
This year you'll forego the fancy hotel and plane trip and rough it in the woods. Be careful, that $450 sleeping bag that will keep you warm down to -10 degrees Fahrenheit might not be what you need--in the summer. Outdoor sporting goods retailers know consumers want the coolest equipment. Also keep in mind park entrance fees, campsite fees, and other items you'll need such as firewood and food.

Don't be taken by the Old Ball Game
Statistics show that for a family of four to attend a major league ballgame including tickets, hot dogs, souvenirs, and so forth, it will cost about $150. Consider watching the game on TV, or, if you do go, eat before the game and set a limit as to what you'll spend on extras.

Credit cards
Consider leaving the credit cards at home. Its easy to use plastic, but your worst nightmare could be paying for that summertime fun after your tan has faded. If you think you will need to use a credit card, talk to someone at FCFCU.  Credit union credit cards interest rates generally are lower than bank credit card rates.

Basic Steps to Financial Fitness

Your finances and the decisions you make about them change over time and are different from your neighbor's, your boss', or your parents'. Still, some broad guidelines may help you get a handle on your financial plans.

* For mortgages, lenders expect your payments to amount to no more than 28% of your monthly gross income (income before taxes, Social Security, and other deductions). Another method says that your PITI--the phrase for principal, interest, property taxes and insurance--plus your total long-term debt (say, for car payments, college loans, installment payments) should not exceed 36% of your gross income.

* How much should you be saving? The conventional wisdom is to accumulate three to six months' take-home pay (income after taxes, Social Security, and other deductions) in a liquid savings vehicle. That can take time to build up, and you may need to raid your account even while you're adding to it. Still, if you consistently put aside 5% of your take-home pay, using payroll deduction, you'll reach your goal.

* For long-term retirement savings, at minimum put a percentage into your 401(k) that equals what your employer will match. Anything less and you're actually giving up free money. Ideally, contribute the maximum your employer allows, typically 15%, into your 401(k). Can't swing that much while you're saving for your child's future education expenses? Keep this in mind: You can borrow to meet higher education expenses, but you can't borrow for retirement expenses.

Talk to the professionals at your credit union to learn about all the services available to help you meet your goals.