The Travel Savings Plan
Set the Amount Per Month to Save!
1. Start with Knowing Your Total Travel Savings Budget
example: $2500 total travel budget including daily expenses when in the destination
2. Calculate The Months to Your Travel Date
example: It’s about 6 months from the date you create your savings plan to your travel date
3. Divide the Months to Your Travel Date into Travel Budget to Determine the Amount to Save Per Month*
example: You would need to save $416.67 per month. This = $2500 total travel budget divided by 6
example2: $1800 is the remaining total travel budget after deducting the $700 saved. When you divide $1800 by 6, you would need to save $300 per month.
*If you already have some money saved, deduct this amount from the total travel budget. Then determine the additional amount you need to save. Note: It is a good idea to set aside money monthly for your budget for travel. This is especially true if you travel every year. This can reduce your monthly travel savings target needed to meet your annual travel needs.
How to Save For Your Travel Trip
1. Look at Where You Can Cut Your Regular Expenses
a. Do you need that Starbuck’s Coffee – Can you make your own coffee at home? Look to cut out or cut down on unnecessary expenses.
b. Identify your needed expenses (Mortgage/Utilities etc…) vs. you unnecessary expenses (Basic Cable vs. Premium Cable for example or bypassing those extra pair of shoes etc…)
c. Eating in more often and cutting down on eating out can SAVE a lot of money.
d. Actively look for coupons and discounts for your regular expenses- Buy your necessities when the price is right!
2. Get a Second Part-Time Job
a. About 20-25 hours a month – 5-6 Hours a week could earn an additional $250-$300 per month or more.
3. Come in Below Your Travel Budget With Your Trip Expenses
a. Plan and search for your travel early. Deals may come and go and if your looking early and often you can save.
b. Use travel search tips on this website or others that can save you money on your travel.
c. Check to see if any airline or hotel loyalty programs can get you free flights or free hotel nights. If you’ve budgeted to pay but now pay much less or free this is like earning money towards your trip!
For me, travel is an integral part of my life. Seeing new places, people and cultures is almost as important as air, bread and water for me. I plan, budget and save for travel annually. Prioritizing my travel in my life planning is important to me. Taking trips annually and feeding my lust for travel experiences is something I do. I believe anyone who feels the same about travel and time off should actively plan for it. They should actively plan for travel in a similar and focused manner as they plan for college and other expenses.
NOW THAT YOUR TRAVEL SAVINGS PLAN IS SET – NEXT STEP IS FIND YOUR AIR DEAL