Does the idea of affording a vacation for your family seem overwhelming? Don’t fret! Being on a budget doesn’t mean you have to skip taking your family on vacation. Here are five tips for saving for a family vacation.
Open a new savings account. One of the best ways to save money for your trip is to set up a separate savings account that you don’t have easy access to. It’s ideal to start an account with a bank that you don’t already use or open an account that isn’t linked to your current account so that you can’t spend any of the funds. Make a commitment to not touch the money that you deposit in this account.
Figure out how much money you need to save per week. Research prices ahead of time to get an idea of how much money you may need to deposit into your vacation fund each week. If you can put aside just $30 a week, you can save $1,560 in a year’s time. Since hotel and airfare rates are subject to change, it’s better to aim to save more.
See where you can cut costs. Take a look at your overall expenses and see where you can save small amounts of money. There are a number of easy ways to save money. For example, you might consider skipping your Starbucks coffee a few times a week or going out to eat with the family less often. Instead of going to the movies, why not wait until you can rent the movie instead? Using coupons when you go grocery or department store shopping can also go a long way.
Encourage children to save their allowance. Since the cost of souvenirs can really add up, why not have your child start a savings plan too? Have them determine how much they want to spend on souvenirs and put a little money per month aside to meet their goal. There are other ways your child’s allowance can be used when you take a family vacation. Arcade games, mini-golf, and snacks are all things you may want to consider letting your child pay for.
Take advantage of credit card rewards. Using your credit card more often may seem counterproductive, but it’s an easy way to save for a family vacation. Apply for a credit card that offers cash back rewards or frequent flyer miles. Be sure to pay off your credit card balance at the end of every month to prevent debt and interest from accumulating.
These are just some tips for saving for a family vacation. No matter what you do to save money, it’s important to start planning early on. The more time you have to prepare, the more money you’ll be able to save in the long run.