According to NationalDebtRelief.com, the average American consumer racks up over $1,000 in additional debt after a typical summer vacation. I don’t want that to happen to you, so here are 6 ways to save for vacation!
1. Create a Travel Account:
This is a separate bank account designated for travel to which you’ll contribute monthly. Don’t go on your vacation until you have that amount saved up. The key is to set up automated contributions. Think about your travel budget so you can calculate how much to contribute to this savings account on a monthly basis. Make sure to include the costs for souvenirs if you tend to buy those for friends and family.
2. Travel Rewards:
If you pay off your credit cards in full on a monthly basis, consider utilizing a travel credit card so that you can earn points for your vacation on your everyday purchases. As the months go on, and you’re paying off your card responsibly, check your rewards points and see how you can leverage those to book your travel.
3. Set your Financial Travel Goal:
Research the trip you would like to take, including all details (accommodations, transportation, excursions, meals). Once you know the approximate cost of your trip, it’s easier to know what your savings goal is, to then plan accordingly. Finally, once you have your number, round up! This will leave you some wiggle room for souvenirs, etc.
4. Commit to your Dream:
Post photos of your dream destination in places you are likely to see it every day. Keep in mind why it’s important to you…do you want to immerse yourself in other cultures, take a service trip to give back, live your life to the fullest? Whatever it is, visualizing your dream can make the drag of cutting back on expenses to achieve it, more appealing.
5. Set a Travel Deadline:
Setting a realistic and specific timeframe for when you will go on your vacation can encourage savings action! Plan your trip far enough in advance so that you have enough time to save without losing the ability to maintain a happy lifestyle now.
There are so many ways to enjoy a financially stress-free vacation without going into debt, as long as you are willing to plan in advance, and do your research.