How to Plan Your Travel Budget

A Food Fun Travel Guest Post

You’ve finally gotten round to choosing your ultimate travel destination. But how much is this all going to cost you? The next step involves buckling down and establishing your travel budget. This is where solid planning and thinking ahead will work in your favor. 

Figuring out where to start can be overwhelming. That’s why we’ve put together a list of our top tips to help you plan a practical travel budget that works for you.  

Budget for Main Expenses

You’ll want to start with budgeting for the most obvious costs first. Create an Excel spreadsheet with transport, accommodation and food costs. Include costs for excursions and pre-planned activities where possible. It’s also vital that you check the currency in your chosen country. You’ll want to consider whether it’s better to change the money into cash in your country beforehand. Depending on which bank you’re with, you might encounter transaction fees using certain ATMs. These fees can quickly add up! If you do plan to use your credit card internationally, be sure to check there are no transaction fees associated with your account.

 

Plan for the Unplanned

Once you’ve decided on your basic budget, you’ll want to add at least 20% on top of the total calculated amount. You’ll generally want to account for items you wouldn’t generally budget for, such as unplanned events or emergencies. 

Depending on the cost of your trip and where you are going, you may also want to look into travel insurance. Travel insurance can save you a great deal if you need to make last minute changes to your trip, such as canceling or changing your travel dates. It can also provide cover for stolen items, and can cover costs for hospital treatment if you find yourself in an unlucky accident. 

Watch out for unnecessary overspending
Staysure’s Holiday Budget Report highlights how different demographics are spending their travel money, with 3 in 5 people guilty of buying things they don’t need at the airport. 35-44 year olds are the age group that choose to spend most of their money in this area, whilst 25-34 year olds have the highest tendency to splurge on expensive things from Duty Free. If you are going to buy gifts at the airport or during your holiday, make sure to choose items that you’ll actually need for the long-haul.

Look into City Passes

During your holiday, you might want to consider using a city pass for free admission, transportation and discounts. Research ahead of your trip and look into prices of the activities you’re most interested in. Once you’ve done the math, compare prices to the local city pass to calculate which is the better deal.  City passes can be a great idea, but might not always give you the best value.