6 simple hacks to save money on your next holiday

Estimated reading time
 5 min

Learn all about

• What you need to consider in your travel budget
• 5 money-saving hacks for your holiday

Travelling overseas can be a great time for solo self-reflection, adventure or hanging out with those nearest and dearest to you who live far away.

When you’re financially ready for a big holiday, the trip will be more enjoyable because you won’t have to worry about where your money’s going. And that’s what we like to see!

Dive in to discover simple tips and tricks on how you can make a travel budget and save for your globe-trotting adventure.

So, how do you save and budget for a holiday?

To start saving for your big holiday, come up with a goal. Whether it’s a simple $10k that can cover most expenses or another, specific amount, having a savings goal (and a dedicated savings account to boot) can help you bring your travel dreams to life.

As you’re slowly reaching your savings goal, it’s important to build a travel budget that includes:

• Flights and other modes of transport for getting around.
• Your passport, visa and other important documents to help you travel from one country to another.
• Accommodation and food – you know, the everyday stuff.
• Travel insurance, just in case something happens to you (or your luggage).
• An emergency buffer for any unexpected expenses, like rebooking a flight or finding new accommodation on the fly.
• Expenses you’ll need to pay while you’re abroad. For example, add two months of expenses into your budget if you’re going to be away for that length of time.

And don’t forget to consider exchange rates. Travelling to a country where the exchange rate isn’t ideal might cut into your holiday savings and budget. So it pays to do your research into how much it’ll cost to convert currency and how it will impact your finances.

How to budget for overseas travel

  Brain hack

Mental accounting is when we categorise and treat money differently based on factors like where it came from, how we’re going to use it, or how it makes us feel. So you might allocate money in ways that don’t consider the big picture. When planning a holiday, you might focus on the money you’re using for your trip because you’re excited about it (naturally) while neglecting other financial considerations. By building a strong budget and factoring in all of the costs – even the not-so-exciting ones – you can plan smarter knowing your holiday will be stress-free because you’re not neglecting your other financial obligations.

5 money-saving hacks for your overseas adventure

If you’re ready to go galivanting across the globe and save some money along the way, then we’ve got some handy hacks you can follow:

1. Keep track of your spending as you travel

Whether it’s through your bank app, a spreadsheet or a note on your phone, tracking your spending while travelling can help make sure you don’t accidentally overspend. Plus, it can help you stay on top of the budget you made before you hopped on a plane. It could save you from having to buy an additional suitcase because you bought one too many souvenirs!

2. Bring a reusable water bottle

Bottled water might be a convenient solution if you’re thirsty and need a drink straight away. But buying bottled water, especially from tourist hot spots like amusement parks, can quickly add up. So why not bring a reusable water bottle with you instead? Not only will you be saving money (that you can spend elsewhere), you’ll also be doing your bit for the environment.

3. Think about when you want to travel

Travelling during the off-peak season can help reduce overall costs for flights, accommodation and even tickets to events and experiences. And to sweeten the deal, there might also be fewer people travelling at this time, meaning you can explore without worrying too much about crowds. You can also plan your trip around tax time, so you can plan around coming home to a hefty tax return for an instant cash boost when you land on home soil. And if your trip overlaps with tax time, you can get all your ducks in a row before you go so you can submit from overseas and hopefully get a return.

4. House-sit for a local

If you want to have your own private space (and a comfy bed) while overseas, then consider house-sitting. You’ll be doing a good deed for someone and possibly their pets. And it will likely be cheaper than staying at a hotel. Sure, you might need to pay a sign-up fee to register as a house-sitter, but subscriptions to services like this often last for 12 months meaning you can take multiple trips to different destinations.

5. Be savvy about where you eat

Instead of dining at a restaurant, you could opt for local eats from street food vendors. This will give you an inexpensive and authentic taste of the country’s culture. You can also shop at local grocery stores for snacks and simple meals to take with you. Still want to eat at a local restaurant? Then try out a restaurant in an area that isn’t tourist dense. Another tip is to buy local ingredients and cook from the comfort of your accommodation.

Read more about budgeting for a pet