5 Tips on How to Manage Your Vacation Budget
You have worked really hard and have earned the right to go on a vacation. You might choose to go alone or with friends or family. However, what do you do when you realize that you are beginning to overshoot your budget?
Below are 5 ways to prevent your ideal vacation from becoming nightmarish:
1.HAVE A COST ESTIMATE WELL BEFOREHAND
Spend time researching how much the vacation would cost you. How much money you will most likely spend depends on your dream destination as well as the activities you’d like to engage in. Find out prices for airfare, hotel, transportation and food. The first step to creating a budget that is realistic is by knowing what to expect; it increases your chances of abiding by it.
2.CREATIVELY FIND WAYS TO REDUCE COSTS
Having a better idea of what the vacation will cost, the next step is to look for ways to cut those expenses. Outline all the vacation-related cost. After that, deal with each of those items. Begin with travel. Explore the option of travelling during low seasons. As for feeding and other activities, try signing up with discount sites online to make the most of the restaurant deals and discounted activities at your destination. Searching for deals will surprisingly go a long way in cost-cutting.
3.BREAK IT DOWN INTO SMALLER CHUNKS AND SAVE UP
Now that you are aware of how much it will cost you to go on a vacation, the next step is to further break it down into smaller amounts. Planning ahead and saving towards it is your best option. For instance, if the cost of the vacation is $2,000, begin to set aside money ($200 monthly or $50 weekly) at least ten months ahead of the proposed travel date. By so doing, you avoid incurring a debt and you are bound to enjoy your vacation better.
4.MAKE USE OF REWARDS AND LOYALTY PROGRAMS
Confirm if there are partners that are tied in with your loyalty and credit card rewards. There are cases where a discount will be applied if you reserve a hotel or rent a car through a loyalty program. In addition, you can also make use of your credit card rewards programs to accumulate points that can be redeemed for your vacation. Think about using a rewards credit card for grocery shopping or buying gas instead of making use of your checking account debit card. Provided your spending is kept within your usual budget and paid off at the end of every month, you still get to garner the rewards. These points can be utilized in reducing the amount spent on your vacation. Remember to utilize your rewards card and loyalty programs during your vacation. You can counterbalance more of the cost from the spending or use when next you go on vacation.
5.KEEP AWAY FROM PURCHASING ON IMPULSE
Buying things on impulse can really eat deep into your pocket without you realizing it. It can be very tempting though. One way to add flexibility in your vacation spending is to incorporate impulsive spending into your budget as a whole. Instead of planning for $2000, you can increase it to $2,500. By so doing, there’s a little extra for impulsive purchases.
You don’t need to break the bank because you want to go on vacation. All you need is a little planning and creativity!
Written by 3rd Independent Party
2017-40568 Exp. 10/17