By: Sarah Keller
Planning to go on a holiday anytime soon? Whether you plan to go overseas or on a road trip close to home, a holiday is a fantastic way to reset and unwind from the stresses and mundanity of ordinary life. And let’s face it, we probably need one!
With that said, it’s not uncommon for travelers to find themselves short of affording five-star resorts, fancy dinners, and a life of fleeting luxury.
But no matter! While those perks are nice in their own right, it’s more than possible for cash-strapped travelers to create happy and lifelong experiences even with a limited budget.
If you’re a traveler who wants to make the most out of their holiday despite your meagre savings, here are some tips to maximise your time away from home without breaking the bank.
Let’s get right into it!
1. Prioritise Free or Cheap Attractions
Here’s a fun fact: several monuments, landmarks, and attractions around the world won’t cost any more than the cost to get there to see them. Many of the world’s most iconic monuments, like the Eiffel Tower and the Statue of Liberty, can be viewed from afar—and they’re often more photogenic and mesmerising from a distance.
In addition, some public parks and spaces are free for anyone to use. In some cases, you can even enter historical establishments like museums, religious grounds, and old buildings that are rich in history and beauty.
If you’re a budget-strapped traveler, consider prioritising these places on your next trip. This way, you won’t have to spend much of your pocket money on expensive activities and deplete your bank account.
Follow this link to learn more about how to build positive money habits to prepare you for your next holiday.
2. Ride Public Transportation
If you don’t plan on hiring a car, then the best option to go around is to take public transportation. Hopping in a taxi is often expensive in most urban cities, and if your goal is to save money, it’s best to save that choice as a very last resort.
The good news is that most traveller-friendly cities have extensive public transportation options that connect most major and notable sights. It doesn’t matter whether you’re in New York City or Tokyo—there’s likely a train or bus network that can take you from one end of the city to another and everywhere else in between.
The reason public transportation is optimal is that it’s significantly cheaper than hailing a taxi and booking a private tour. The slight downside is that it takes longer to reach your destination, but if cost savings is important to you, then it’s something you have to factor in on your next holiday adventure.
3. Book Accommodation in Advance
Your accommodation will likely be a big fraction of your expenses when on holiday, so it’s essential to keep it as lean as possible for your wallet’s sake. This doesn’t mean you have to compromise on your comfort or preferences; it simply entails being strategic and having the foresight to make preparations in advance to keep costs low.
One of the most effective ways of scoring a lower-than-usual deal is by booking in advance. Typically, hotels may offer 10—15% discounted rates on a nightly stay if you have made an advanced reservation a month or more beforehand. This can save you upwards of several hundred dollars if you’re planning a long-term (say, a week-long) trip.
Furthermore, by booking in advance, you also have a lot more options regarding the type of accommodation you’d want to stay in. It’s likely that all accommodations—including cheap ones—still have availability a few months out, so booking in advance is a great way to ensure that you’ll pick the best of the bunch.
That said, just be sure to choose hotels or hostels with free cancellation policies. This way, you can adjust plans if needed and not be locked into a deal that you can’t utilise.
4. Monitor Your Budget Closely
As a cash-strapped traveler, it’s in your best interest to create and follow a standard budget closely. Before the trip, set a realistic budget that covers all the categories of expenses associated with traveling, such as accommodation, food, and transportation.
From there, create cap limits using a spreadsheet or an expense-tracking app. A spreadsheet budgeting template helps people visualise where their money is going. It can be used in conjunction with one’s financial goals during and outside the trip, granting people the right information regarding the viability of purchases.
If there are areas where you can cut travel costs, then don’t hesitate to do so, especially if your money is tight. This way, you’ll stay within your budget and be stress-free once you’re done with the trip.
5. Don’t Skimp on Travel Insurance
Travel insurance may seem like just another expense, but getting one before a local or overseas trip can be a true lifesaver in the event of surprises. For instance, if you get hospitalised in Thailand or Colombia, then having a travel insurance policy will provide you first-hand assistance and ensure that you can undergo a claims process.
When picking travel insurance, consider your lifestyle and the purpose of the trip. If you plan to do a lot of sightseeing, then you may not need a very comprehensive travel insurance policy. There are also several add-ons you can consider if you feel that your policy’s coverage is limited but you do not immediately need a fully comprehensive travel insurance plan.
However, if you plan to do any extreme sports, then having a reputable travel insurance on hand can be handy in case you or your teammate enter an accident. This is because this insurance type covers the cost of medical treatment, enabling policy owners the chance to save money in case of emergencies.
6. Set a Shopping Limit
Lastly, it’s important to set a cap that you must not exceed to ensure that you’re not spending more than what’s necessary. It can be easy to get carried away and order food, souvenirs, and the like without looking at how much you’re spending. But if you want to ensure that you’re not breaking the bank, then setting a shopping limit is crucial for your saving success.
Your financial shopping limit may differ from others, so it’s important to assess your income, expenses, travel expenses, and other financial matters to come up with a realistic shopping limit for you. Moreover, it’s important to be mindful of your spending on the days leading up to the holiday. This way, your extra savings can return and remain in your wallet, reserved for future use.
We hope these tips will help you in your next holiday adventure!
About the Author
Sarah Keller is the Content Specialist at Visiting.com.au. From Sydney, Australia, Sarah specialises in tech, finance, and travel writing. She loves staying up to date with industry news so she can bring well-researched, timely, and accurate information to her readers.
Frayed Passport is a participant in the Amazon Associates Program, an affiliate advertising program designed to provide a means for sites to earn advertising fees by advertising and linking to Amazon.com. We also may share links to other affiliates and sponsors in articles across our website. If you have questions or concerns, please contact us.