Australians love to travel. We love tropical beaches and historical sites. We love climbing mountains and Club Med. We love finding other Australians and asking them, “Are you Australian?”.
Returning to everyday life after an overseas adventure can be hard enough, but it’s even more challenging if you find yourself strapped for cash – or worse, facing a burden of holiday-induced debt or lingering high-interest credit. Here’s 5 ways you can keep your budget in shape while satisfying your wanderlust.
1. Set a daily spending limit.
There are so many ways to spend money when you’re travelling: historic places, floating bars and souvenirs with googly eyes. The last thing you want to do is arrive at Angkor Wat and realise your pockets are empty.
Fewer than half of us plan a daily spending allowance but saving for a holiday is so much easier when you work this out ahead of time. Be clear about what you can afford. Go online to find things like ticket costs, local food prices and any extra taxes you might be up for once you arrive. Work backwards from the sights you absolutely cannot miss, if that makes it easier.
Setting a daily limit might mean having to choose between an iconic deli sandwich and posing outside Carrie Bradshaw’s house, but at least you’ll know there’s enough left for tomorrow. Without a clear budget it’s all too easy to blow your travel money in the early days of your trip and then find yourself relying on the generosity of friends or high-interest credit cards.
2. Find out how much it will all cost.
Most of us underestimate our travel costs – a figure that rises among Gen Zs, who are more likely to be exploring the world for the first time. The answer to your budget woes is simple – jump online. The internet is full of info about how to save for a holiday. Whether it’s a chairlift in Chile or Xiao Long Bao in Shanghai, you can find out what you’ll be spending from the comfort of your living room.
If reviews and business websites don’t have what you need, jump on social media and ask your mates for recommendations. They might even be able to help with on-the-ground choices for local eateries and budget accommodation.
When travelling overseas, it’s also worth taking a look at any extra fees and charges you might be up for, like foreign currency conversion and international roaming for phone and data.
3. Save on your trip by paying in advance.
Airfares, train or bus tickets and accommodation are often cheaper when paid for in advance. Early bird discounts could save you a small fortune, and you might be able to find coupons or special offers when you have the luxury of time. That means more left over for buying every mouse-ear variation at the happiest place on Earth. Make sure you’re committed to dates and places, though – cheaper pre-paid options also tend to be less flexible.
4. Find cheap holiday tips online before you go.
People travel constantly, and they love to talk about it. Doing some research might help you discover places you wouldn’t otherwise have gone to, cost-saving alternatives, hidden gems and even friends to meet once you arrive.
5. Have a plan for when you get home
No, not “make everyone look at my holiday photos”, but a budget plan. Holidays can really throw out your usual expenses. Bills might have accumulated while you’ve been gone and even if they haven’t, it can take time to get back into the swing of real life.
Using a Savings Calculator can help you figure out exactly how much you need – both for your holiday and for what’s happening while you’re gone. For more saving for holiday tips and painless travel ideas, check out ME’s overseas travel guide and save the drama for your trip to Broadway.
This article is prepared based on general information. It does not take into account individual financial objectives or needs and is not financial product advice.