5 Tips to Stick to Your Budget When You Are on Vacation

It’s that time of the year, work has been stressful, and you notice that you’ve not taken a few days off. So, you open your calendar and start planning a vacation. The wide landscape and then change in scenery is the better part of the holiday, but often, there is something that keeps eating away at you, “THE BUDGET!” Now the last thing we want that ruins your walk on the beach or your meal at a restaurant is the fact that your savings account plummets crashing down because of a vacation.

Without a doubt, vacations are well-deserved treats and money shouldn’t come in the middle of that precious times away from the mundane life. We would all love going on vacations twice or thrice a year if the time permits and if we can grab exciting deals on flight tickets.

However, let us see how you can make the most of your vacation without burning a hole through your pocket.

Planning for any vacation comprises of a two-step procedure: planning and budgeting. They say that you should look to spending between eight and 10 percent of your yearly budget on a vacation. Now when it comes to budgeting for you vacation, split your costs in this manner.

1. Where you are going
2. Getting there
3. Activities you will indulge in
4. Eating out

So, start planning early and yes, always have a budget in mind. So, let’s get right to it:

• Create a daily cash allowance

Other than your hotel, attraction and transportation costs you should still set aside some money for daily use. Maybe you’d go and pick up a memento or just shop for something you do not get back home, for that you need to carry pocket cash. You can go a step ahead and then divide that total amount by the number of days and put it in separate envelopes. Try sticking to one envelope a day and only use your credit card for emergencies or if there is an actual reason worth doing so.

One of the things that people who are vacationing abroad have to remember is that, foreign money doesn’t feel like real money. It’s a psychological thing! So, just so that you don’t blow through half an envelope on a restaurant or cab tip, we recommend jotting the total amount of money in your home currency on the envelope and keep changing it to make sure you have a proper track. Or just keep looking at the envelope to see how much is left for the day!

• Let Santa bring the gifts on Christmas

When most people are travelling, from nowhere a long-lost friend, relative or for that matter a person you just met will suddenly ask you to bring things back home. We understand how tempting it is to pick up knickknacks for family and friends, but we also advice that you keep a tab on what you get and for whom.

We highly advice you to make a shopping list before you leave. Obviously we all will deviate from the list, but an idea won’t hurt. Be smart when you go shop, after all how many snow globes does a person actually need. When we plan a holiday, our main priority is how can we make the moments spent memorable? When purchasing a souvenir, question yourself about whether it is absolutely necessary or does it suit your home decor? Instead, go for items that suit your purpose and also are in sync with your home interiors. Opt for things that become a part of your daily life rather than lying on a cabinet top catching dust. A better option that you can choose is capture memories in the form of pictures rather than spending cash.

• Live Like a Local

Why go to an exotic destination when you end up trying its local cuisine in a posh restaurant? The fun lies in trying out the local food at its street stalls and even inexpensive cafes or sandwich shops. It may not be ‘over the top’ like you would find in a plush hotel, but it will surely satisfy your hunger and keep you wanting more!

• Stay Space-Efficient

To avoid spending money on a new suitcase, always leave room for additional luggage in your current bags. This way, you don’t have to buy another luggage piece on your trip and get stuck with additional baggage fees. To make things easier, add newly purchased things to your handbag luggage.