Roberto Martinez will reportedly be given £20million to pursue a number of new players this summer.
The Toffees are currently in fifth position in the Premier League meaning they are highly likely to be competing in Europe, whether it be Champions League or Europa League, next season.
The Daily Mail is reporting that Martinez will be handed a transfer kitty in order to bolster his squad as the Spaniard prepares to go after six players if they do happen to find themselves in European competition.
"We've got money but I didn't think spending in January was the right thing to do," said Martinez.
"If we get in Europe I think that makes a difference of six players. I always found you can work on a squad of 21 players in the league and for domestic competitions.
"You need around 27 players plus keepers for Europe. It doesn't have to be 27 senior players, it can be young players too, but 27.
"We have identified what we need for next season in terms of the areas, and then you start working on your wish-list. If you get into the Champions League you can look for your number one choice. If not, you're going to number four, five, six and maybe seven or eight. But we have got the money and it is there to be spent."
The Toffees will go after Romelu Lukaku, who is on loan from Chelsea, Manchester City loanee Gareth Barry and former Everton midfielder Jack Rodwell who is currently contracted to City.
