Sticking to Your Budget on an Overseas Trip

It’s all too easy to use the “I’m on vacation” excuse to spend without reason on things you know you don’t necessarily need, such as that 5-star hotel, an expensive meal, or an indulgent spa treatment. If you find yourself using that excuse, however, you may just be surprised at how much money you will end up spending. Making a travel budget and sticking to it is the only way that you can enjoy your vacation without experiencing a financial hangover when you get home. As vacationing on a budget can be difficult, the following tips will help you stick to your budget and still have a fantastic holiday. Make a Detailed Travel Budget Making your travel budget as detailed as possible is the first step towards sticking to it successfully. When you make your budget, start with the obvious expenses like flights, accommodation, meals, transportation and travel insurance. Don’t forget about any travel-related expenses that pop up, such as immunisations, luggage, clothes, a camera and so forth. After you have covered all the necessities, plan how much you will allow for extras like drinks, souvenirs and tours. Obviously, you need to consider where you are going when making a budget, as a trip to Paris will set you back more than a trip to Thailand! Expect the Unexpected Even after preparing a travel budget, most people still underestimate how much they will spend on vacation. While extra expenses for health, lost luggage and missed trains are covered under your holiday insurance, you may still need to pay for these things upfront. Financial surprises can happen on just about any holiday, so it’s important to cushion your budget for these. A good rule of thumb is to inflate your budget by about 10 per cent to cover unforeseen expenses. Give Yourself a Daily Allowance After you have made your budget, you will know how much you will have to spend per day in addition to necessities like accommodation, transportation and meals. Giving yourself a daily allowance is a great way to keep yourself in check, especially when you are deciding whether or not to buy your 5th souvenir of the day. Keep Track of Expenses A large part of sticking to your budget is being aware of where you stand at the end of every day. It’s generally okay to go over budget a little bit, but the problems come when you aren’t aware that you are consistently going over budget. Set up a system for recording all of your purchases throughout the day, either with an application on your Smart Phone, on a spreadsheet on your iPad, or by recording your purchases in a notebook. It’s best to do this consistently throughout the day so that you can always make smart purchases. Don’t Spend It All on the Last Day Many people who stick to their budgets find that they have some left over money at the end of their trip, and it can be very tempting to blow it all on last-minute souvenirs at the airport. Remember, you need to stick to your budget all the way to the end. Just think about the things you can do with leftover money, including saving for your next holiday! Powered By iWebRSS.co.cc

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