So many people have bucket lists of dream destinations they want to travel to. However, these plans can often be extremely unrealistic from a financial point of view. Here are five ways to save money when you travel.
1. Travel Fund
It might sound obvious, but that usually means it’s important. Making a stash for travel purposes can be a useful way to guarantee that you have money when you eventually decide to see the world. Investment apps such as Acorns are a useful way of setting up regular deposits.
2. Traditional Savings
This serves a similar purpose to a travel fund, but in a more general way. Take a chunk of your salary and put it into a savings account. SuperMoney CEO Miron Lulic believes that it is a crucial thing for every aspiring traveler to do. For Lulic, budgeting around your paycheck is paramount. “Pay yourself first,” he says.
3. Alter Expenses
If you have a clear idea of what exactly your spending money on, then you can understand where you need to start making cuts. All you have to do is check your most recent month of expenditure. Apps such as Mint and Clarity are very useful for this. This way, you can work out which services are worth keeping and which are worth dropping.
4. Managing Raises And Bonuses
We are very happy for you if you are doing a good job at work and receiving bonuses and raises. However, many can get carried away with this good news and start making huge investments in light of these financial benefits. Instead, focus more on your retirement fund. Although it’s not directly linked to your travel goals, it’s still very important.
5. Card Rewards
There are many credit cards that provide rewards for travel purposes. You could be entitled to cheaper flights or hotel discounts depending on the bank you are with. If you have enough points on your card, it could practically fund an entire trip!