As spring arrives, and pandemic-related travel restrictions continue to ease, the idea of a summer holiday might start to feel rather appealing. Still, with demand about to skyrocket and fuel prices soaring higher than ever, your vacation plans might just come with a hefty price tag.
If you need to save some money to afford the summer trip you’ve long been dreaming about, there are several strategies worth exploring. Try out some of these savings ideas, and you could soon be packing your bags for a fun and memorable travel adventure.
Open a high-interest savings account for travel and set up regular contributions
Find a financial institution that will give you a no-fee, high-interest savings account, and stash some money away there as your fledgling travel fund. Then, set up a schedule of regular, automated deposits to keep your account growing without any effort on your part. If a little extra money comes your way, and you can afford to make a contribution, add it to your growing total. The more time before travel you can spend saving, the better, so plan ahead as much as possible and let interest help you along.
Trim down extra expenditures and get serious about saving
If you want to be strolling the Italian Riviera this summer, you might need to stop ordering takeout meals every weekend this spring, pass on that pricey new pair of shoes you eyed last week, and only spend money on essentials for a while to help give your travel fund a boost. If there’s something you simply can’t resist buying, try to get it on sale.
While you’re working to spend less on impulse items, it’s also a good time to comb through your budget in search of hidden wasteful spending, whether it’s subscriptions and memberships you no longer need, or bills that can be cut down or eliminated. If you’ve stopped using that streaming service or can negotiate a better price for your insurance policies, you’ll be able to divert a few extra dollars towards travel.
Get a credit card that helps you travel (or save)
If you don’t already have one, shop around for the best deal you can get on a travel rewards credit card. Some cards come with a welcome bonus that might cover the airfare for your next vacation, while others will require you to accumulate points through your monthly spending. Either way, beware of cards with high annual fees that eat into your travel savings.
If you don’t want a travel rewards card, a simple cash-back card can help inject a little extra money into your travel budget by giving you something in return for all your regular spending. Some cards, no matter what kind of reward they offer, have bonuses for spending on certain categories, such as at gas stations or hotels. Look for a no-fee or low-fee card that suits your spending, and a rewards scheme that suits your tastes and interests.
Supplement your income
Adding extra dollars to the income side of your ledger can soon generate the kind of savings that could cover a vacation. The trick, of course, is finding the right income opportunity to supplement your current earnings.
When you’re planning on being away, one potentially lucrative option is turning your own home into a rental property. While some clean-up and set-up work is required before landing short-term renters, this is still a relatively passive income option. If you live in an attractive home, or in a desirable location, you’re likely to benefit from a strong market.
If turning your home over to renters isn’t an option, you could take a part-time job in order to put more money into your vacation account. If you don’t want to work for somebody else, consider setting up your own service-based business, or find something to sell through an online store. For some that thing is any extra stuff they have but no longer need, with unwanted items turned into cash for summer travel.