With the summer holidays now behind us, it’s not too late to do your financial planning for the next holidays – or 2019. Here’s how to minimise your financial stress for a well-deserved break.
OK, at the risk of sounding like Captain Obvious, the earlier you start planning, the more money you can save. And when it comes to peak travelling times such as December, typically the earlier you book your flights and accommodation the better your account balance will be.
Create a budget
Whether you choose Bali, Barcelona, Brazil or the bush, create a budget. Account for expenses such as flights, petrol, food and activities, such as visiting museums or a spa. Research activities at your destination and see if you can book early – or if there’s some great free ones. The more you can book and pay for beforehand, the less you’ll need to worry about overspending.
I’m counting down until my 25th Wedding Anniversary next year and we’ve always dreamed of a trip around the Greek Islands. I’m already in overdrive looking at airfares and cruises… extensions and adventures. And ok, it’s dearer than any trip we’ve ever done, but hey! how many make it to their 25th? That’s got to be worth a splurge!
When you’ve worked out how much you will need, start saving. Even putting a small amount aside each week can add up, so you could enjoy some amazing experiences you may not have thought you could afford. A good tip is to open a high-interest savings account and set up an automatic transfer on your payday. Alternately, offset the funds against your mortgage to save interest on your loan and draw them back as needed.
I also use a travel money card that I transfer my spending money into each week as I’m preparing for a trip. It means I average in to the account depending on what the dollar/euro/ringgit/pound/kwatcha is doing on the day and means I have funds available in the local currency when I travel.
Hunt for bargains
There are lots of useful websites that compare deals on everything from flights to tours. Sometimes, a package deal is more effective – make sure to research well.
Just make sure you turn on private browsing when researching online. Warning!! Some travel sites track users and raise prices on the things you are researching if you return repeatedly. (The cheek!) I’m a bit of a fan of Trip Advisor and have made a few bookings via booking.com for hotels and Viator for adventures.
And don’t worry if you have left things to the last minute – there’s a website for that too: lastminute.com.au.
While you’re on holiday…
It can be easy to splurge – you’re on holidays after all. But to avoid spending the rest of your life paying it off, keep track of your finances while you’re away. And seriously, do you really need that Sombrero and yard glass?
Set yourself a daily spending limit – or use a travel app to help you stay on track.
But if that’s too much of a buzzkill, you can transfer the exact amount you’ll need into a bank account just for your holiday. This may help you stay out of your other accounts unless it’s absolutely necessary.
Talk to your adviser
Your adviser may help you create a financial plan tailored to help you achieve the holiday you want.
I’d love to help and as a travel junkie myself, may even have a few tips for you… so give me a call today to reach your financial goals for your holiday.