So you've decided when and where you want to take your dream vacation. Maybe it's a trip with friends, a honeymoon or a long-term solo adventure. But one thing remains they same: every trip costs money! If you're like most people, trips require a bit of budgeting and planning to make it all come together; but sometimes our everyday spending habits make the process a bit difficult. Here, we run down a few tips to help you reach your savings goal to take that dream vacation!
Cut unnecessary expenses
Do a full calculation of your monthly expenses and find a way to reduce what you can. Stick to the bare essentials for a few months and see how you fare. Unused magazine and service subscriptions, gym memberships, phone bill add-ons, entertainment, buying work lunches, brand name purchases vs. generic are all things you can look at when making your calculations and cuts. Also, don't be afraid to ask for the best deal, bundle services, use coupons, get fees waived and rates reduced. Many products and services will say yes simply because you asked, especially if you're a long-time or returning customer.
Sell some stuff
Go through your closet and storage to start deciding what can get the boot. A good rule of thumb is; if you haven't used an item in over a year, you probably never will (with a few exceptions). As you're going through your items, create "toss", "keep" and "maybe" piles to keep track of the items and go through them a final time so you don't regret any of your decisions. Once you've decided what to get rid of, start selling! Have a yard sale if you have the space, or take online avenues such as Ebay, Craiglist or Kijiji to get it done the virtual way.
Keep a change jar
The saving power of this method may seem minuscule when you start, but it will really start to add up as the months go by. In a year, you could conceivably save $1000 by dropping just $2.75 into the jar each day. Use the change you would normally spend on your morning coffee and dump it in the jar; and instead bring your own brew with you to work in a reusable mug. After just a few months, you should have at least a few hundred dollars to go towards spending money on your trip.
Create a savings account specifically for travel.
It's always good to have multiple savings accounts for different things like emergency savings and your future home, so one dedicated to your next getaway only makes sense. Be sure to choose an account type that is easy to deposit into via online banking, but not so easy to withdraw or spend from; so an account that you're unable to access from your debit card that also has a 1-3 day transfer process so you're not moving the funds for compulsive spending.
Set up pre-authorized transfers to said savings account
Set up your pre-authorized transfers to coincide with your pay cycle so you can save without having to think about it. This "out of sight, out of mind" tactic prevents you from having to second guess the amount you need to save and forces you to structure the rest of your spending around the savings amount. Be sure to allot an amount that works with your monthly expenses.
With these tips, it should be easy to save for your trip in just a few short months. Make sure you're well-prepared and pack all your essentials using one of our Rise Gear
Good luck saving and happy travels!