Are you planning on taking a vacation during the summer? Most of us would jump at the nearest opportunity available, but it takes a lot of effort to save for a nice vacation.
But it doesn’t have to be difficult! Saving a little every week will ensure you can have that quality downtime you deserve.
Here are 5 ways to start saving for your next trip:
1. Open a Dedicated Savings Account
Whether you are planning for a large, extravagant vacation, or a short weekend getaway, it is always a good idea to open a specific savings account dedicated for that purpose only. Things won’t get jumbled together, and you can track exactly how much you have saved.
In most cases, there is no cost to set up an account. And while you’re at it, set up an automatic transfer to that new savings account for each week or month. Auto-transfers make it easier to save while bumping that balance over time.
2. Make a Budget
We talk a lot in previous blogs about budgeting and updating those budgets every few weeks. It is critical to write down exactly what the predicted expenses will be for your trip and then plan accordingly.
Seeing these written down will help you gauge where you are with your savings goal and how much further you have to go. Making a realistic budget will still allow you to enjoy yourself leading up to that vacation, because you will have prepared.
3. Buy Travel Insurance
You might have done a double-take here. Buying travel insurance when you’re trying to save money seems counterintuitive. But in the long run, it will help immensely.
We can’t predict what will happen but baggage gets lost, credit cards get stolen, and weather emergencies catch us off guard. It’s always a good idea to be prepared, just in case. Travel insurance will give you peace of mind that you are prepared for the worst possible scenarios. And when something unexpected happens, you won’t be shelling out thousands of dollars to cover those costs.
4. Pick Up Extra Work
If you know you have a trip coming up soon, that should give you some incentive to put in some overtime.
Ask your boss if there is anything more you can be doing. Pick up an extra shift somewhere. Offer to dog sit.
Every little bit helps, and will eventually add up.
5. Cut Spending
Slashing unnecessary expenses should be one of your top priorities. Do you need to eat out three times a week? Do you have to have a latte on your way to work each morning?
It may seem small, but these are daily expenses that you may be able to cut and put towards saving for your summer trip instead.
Some easy fixes include eating out less frequently. Reviewing all your subscriptions. Trying to cut your utility bill for the next few months.
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