As the summer winds down and families prepare for back-to-school season, many people are reminded of the financial pinch irregular expenses can bring.

Here are some financial wellness ideas for you to share with your members/employees.

Why Saving for Irregular Expenses Matters

Unlike mortgage, car payment, or utility bills, irregular expenses such as annual insurance premiums, vet visits, taxes, or kid’s school costs can take us by “surprise” when they become due. Without planning ahead, these expenses often tend to land on a credit card or 401-K early withdrawals.

Here are few strategies for getting ahead of Irregular expenses:

o    Plan ahead for total annual costs. Break large, annual/bi-annual/quarterly expenses into monthly savings goals.

o    Treat savings like a bill. Set up automatic transfers to ensure you are consistently contributing, even if it’s a small amount.

o    Look back (or estimate ahead). Review las year’s out-of-pocket costs for irregular expenses to guide your savings goal. If it’s a brand-new expense, use today’s market prices to make an estimate. The most important thing is to plan ahead to avoid being caught off guard when the bill arrives.

Student Loans – What is Happening

With the recent legislation (HR1) signed into law on July 4, 2025, important changes are coming to student loans. For many borrowers, “simpler” repayment options may feel more complicated in practice. Starting in 2026, new student loan borrowers will have two options: a Standard Plan or the new Repayment Assistance Plan (RAP) which bases payments on percentage of income but extends repayment up to 30 years.

Here is a list of important dates to keep in mind:

Change	Starting
Interest starts for borrowers in the SAVE Forbearance	August 1st, 2025
SAVE Forbearance projected to end	October 31st, 2025
Ability for Parent Plus borrowers to get into an Income Driven Repayment plan ends	July 1st 2026 (Parent Plus loans must be consolidated and enrolled in an Income Driven Repayment plan prior to this)
New RAP payment plan goes into effect	July 1st, 2026
PAYE & ICR payment plans end	July 1st 2028 – borrowers must enroll in either IBR or RAP

What does this mean for your budget? For some payments will increase under RAP, and loan forgiveness may take longer. Interest will also resume later this year for many borrowers. If you haven’t done so yet, this is a good time to speak with a student loan counselor or start taking steps to prepare.

For the full article visit our blog Major changes to federal student loans [what they mean for you]  

Financial Education Workshop Spotlight:

Successful Steps to Saving

Seventy-two percent of Americans struggle to pay for a surprise $1,000 expense without taking on debt. Beat the odds with this workshop – you will set your savings goal and create your step-by-step plan to reach it!

Learn more about our other workshop topics here. Let us know if you are interested. We recommend scheduling workshops a few months in advance – spots fill quickly! Our interactive virtual workshops cover a wide variety of topics – financial wellness, money management basics, credit, student loans, paying down debt, and important conversations about money with our loved ones. 

Call 888.577.2227 to set up a free, confidential appointment, or get started by creating a financial profile.

North Star Credit Union members have access to six free and confidential financial counseling sessions. Let them know that you are a member when you call.