Summer in Greece brings sunshine and vacations, but also increased financial challenges, according to a new study by Plum in collaboration with Palmos Analysis. The study reveals that Greeks spend more during summer, often without planning, while savings take a backseat.
The findings shed light on changes observed in financial behavior during the summer months. The mood may be lighter, but so are the wallets, and for many, financial planning takes a seasonal break.
Budget adherence takes a backseat
Early vacation planning isn’t always part of financial management. 28% of participants don’t budget or save in advance for their vacations, while only a small minority (13%) starts planning more than six months ahead. Residents of Northern Greece and the islands are least likely to plan early, with up to 1 in 3 stating they don’t prepare financially.
Even when a budget exists, sticking to it isn’t guaranteed. Only 26% stay within limits, while 25% exceed their budget and 22% maintain only a general sense of financial boundaries. Men have a greater tendency to exceed their set budget (28%) compared to women (22%). The most consistent age group in adhering to vacation budgets are those between 45 and 54 years old (34%), while the highest percentage of those who report exceeding their set budget appears in the 25-34 age range.
“Our data shows that not only do many people fail to plan their vacation budget in advance, but they often lose control of their expenses during summer,” states Mairily Mitropoulou, Country Marketing Manager of Plum in Greece. “This is where Plum comes in. By helping you build the habit of monthly saving, it puts you one step ahead. By automatically saving money all year round, you can enjoy your vacation, even if your expenses are higher than expected.”
When vacations don’t materialize
While summer is usually associated with escape and relaxation, financial pressures often keep plans “tied up.” Half of respondents (50%) report having postponed or canceled summer vacations for financial reasons, with nearly 1 in 3 (32%) having done so more than once.
Unexpected expenses
If an unexpected expense arises during summer, most people turn to their emergency fund if they have one. 42% use their savings, 32% reduce spending in other areas, 18% seek support from family or friends, and 16% resort to credit cards or loans. Mairily Mitropoulou adds: “It’s important to strengthen your financial resilience by setting aside enough money for unexpected expenses. Using credit can often prove expensive, while paying it off usually takes longer than you calculate.”
