Don’t give yourself a budget when planning a vacation, advise certified financial planners. Here’s how to enjoy an unforgettable trip without depleting your entire life savings.
Decide at the beginning of the year how you’d like to spend your time off. Think about where you want to go and out flights, hotels, and discount sites for any available deals. Calculate the total and make that your savings goals.
Start saving money.
Put cash into a separate vacation savings account at regular intervals. Make squirreling away money a daily, weekly or monthly habit.
Save for a special treat.
There’s probably a reason you picked out your travel destination. Are you going to Italy for the food? Research and find that special restaurant you’ll remember forever. Have you always wanted to go to the Chelsea Flower Show in London? Do you hanker to go trout fishing in Wyoming? Make sure you save for that special event.
Research says people who spend money on experiences instead of things are happier and feel better about the money they spent. You know you’re going to spend more than the planned amount, so relax and have the time of your life. You planned, you’ve saved enough, and you won’t spend much more than your stash.