5 Tips For Saving Money For Your Next Vacation
Do you have an epic vacation idea but aren’t exactly sure how you’re going to come up with the money? Perhaps a simple family trip that everyone’s been wanting to do but just can’t figure out how you’re going to fit it into budget?
Well, it’s a good thing you’re reading this because the following tips will show you how to save money for your next vacation in just 5 simple steps.
However, before you read on, remember that the most important thing is having the right mindset and cultivating a discipline to stick to your goals. The actual steps are easy.
The hard part is developing a disciplined approach to handling your expenses. It can be rough at the start. But once you get the hang of it, you’ll empower yourself with ways not only to save for your next vacation but also for becoming a financially independent.
Start a Vacation Fund
It all begins with tracking your expenses. As the popular saying goes, “What gets measured, gets managed”. Before you build a nice little stash for your next vacation, you have to know exactly how much you’re spending on a daily basis.
By having a dedicated vacation fund, you will have somewhere to redirect the savings you’ll get once you start applying the tips we’ll mention later. Make the process of sending funds to it easy, same goes for checking its status. It will inspire you to build it up even more once you see it growing. Utilize an online savings account or a smartphone app (i.e. Acorns) to make it as easy as possible.
Get a Side Hustle
One of the fastest ways you can grow your travel fund is by getting a side job. It doesn’t need to be difficult or complicated. Spend a few hours during weekends doing side jobs, or even an hour or two after work.
With the right job, you can easily earn a couple hundred bucks without much difficulty. And who knows, it just might lead to even something more fruitful in the long run. It could help you realize the stuff you really want to do or a job you’re truly passionate about. In fact, a lot of globally recognized business you know today started as a side hustle.
Some freelancing sites like UpWork and Fiverr offer easy ways for getting gigs from various clients around the globe. Build a portfolio, offer something that you’re good at, get the job done—rinse and repeat. Even better, you’ll start landing gigs with higher pay as you improve your skills and get more work.
Sell Your Stuff
Let’s face it, we own a lot of stuff. Most of it, admittedly, are things we don’t actually need. So why not sell them? Getting rid of unnecessary junk not only gives you a source of cash to fund your travel, but it also frees up precious space in your home.
And, if you’re the type of person who has tons of stuff sitting inside storage that actually costs you money, getting rid of them frees you from rental expenses and gives you even more money to pay for that dream vacay.
Dine out less often and cut back on expensive coffee
“But I deserve it!” you might say. I get it, there are some pleasures in life that has been embedded deeply into our routine that are just plain hard to stop. However, there are some expenses and activities that might look non-negotiable now, but in reality, are actually things you can definitely live without.
Take, for example, those daily lattes from Starbucks. It might seem like they’re absolute essentials needed to start your day. However, try replacing it with more cost-effective alternatives even just for a couple of days, you’ll be surprised the transition is easier to bear. I was amazed at how great of a barista I became after getting a coffee grinder. Fresh ground coffee was a life changer for me.
If you eat out twice a week, why not cook up an extra special meal at home instead and save the trip to the restaurant for the weekend? You still get to dine outside, you’re just cutting it down to once per week.
The trick is to not go cold feet, rather, ease into the change by having something to replace it with in your routine. And, did I mention that cutting back on those sweet lattes is also healthier? Save on money and trim those excess calories with just one step!
Cut back on monthly expenses
There are tons of recurring bills you can trim down if you do an honest assessment of the stuff you actually use. Ask yourself, how often do I use these services? Are they worth what I’m paying for? Here are some of the most common ones you should consider:
- Cable TV (I cut the cord and completely forgot what it was like in just a couple weeks…plus I read more and it might just be making smarter J)
- Utilities (check if you can reduce usage or at least get on level bill pay)
- Shopping expenses
- Phone plan
I’m not saying to deprive yourself of some of the essentials or activities you like doing. Just urging you to make an honest reassessment of the things that you’re paying for. There are lots of opportunities in saving a few bucks monthly by simply being more mindful of your current expenses.
Saving for your next dream vacation will be easier if you follow these simple tips. The simple practice of cutting back on unnecessary spending and being more mindful of your expenses will work wonders in building your vacation fund. And, if you turn these into daily habits, you’re unlocking the gates to building true wealth.
This is a post from Clint Haynes, a Certified Financial Planner® and Financial Advisor in Kansas City, Missouri. He is also the founder and owner of NextGen Wealth. You can learn more about Clint at his website NextGen Wealth.