How to Save Money for Traveling?
Regardless of numerous ‘how to save money” in the Internet, people forget that the most natural and effective way to save money is self-control. Let’s have a look at our practical advice:
How to Actually Save Money for Travel: 7 Steps
Step 1: Analyze Your OutgoingsPrint out your credit card history and find out what unnecessary things you pay for every day. Keep your cash flow on track.
Step 2: Categorize Your Outgoings, Needs and LuxuriesTake two highlighters of different color and highlight only necessary things, such as rent, bills, gas, food etc, using the green one. With red one, highlight things for comfort: clothes, drinks, watches etc.
Step 3: Calculate Your Current Net Income and Your Ideal Net IncomeMake the list of the outgoings. Then subtract them from the income. That’s what called net income. If it’s positive – good. If not, you might take some actions.
Step 4: Figure out Travel CostsLook up the information about prices for food, tickets cost and housing prices. Sum it all up and add 20% to overall sum. Just in case. While calculating, take into consideration the following:
- Off-Seasons Traveling. By using Airlines in the spring or fall, you can get up to 60% discount on your flight.
- Strategic Placement. You need to know whether you can stay around one place and be able to reduce transportation costs.
- Couchsurfing? Find cheap ways of traveling by using services, such as Couchsurfing or WOOFing.
- Track Free or Low budget attractions around your place.
Step 5: Explore Your OutcomeWhat are your highlighted luxuries? Are you able to stop eating out? Or there are some subscriptions you can cancel? If you’ve already shortened your budget to a limit, we have a couple of ideas for you:
- Share: Try finding compromises while, for example, catching a taxi to work, split the cost of gas, etc.
- Fun: Of course, we all love to have fun, but fun is usually expensive. Host, for example, a ‘bring your own cookies’ movienight with people sharing their favorite snacks.
- Smart: Find this index on Living Well Spending Less source. You will explore lots of ways how to save up on everything.