Saving for your trip of a lifetime
11 December 2018
You’re drifting through Venice on a gondola. You’re watching the sun rise over the Taj Mahal. You’re breathing in the lush wonder of the Amazon. You’re sipping an expresso in the bustling streets of Paris.
Whatever stage of life you’re in, you more than likely have a trip-of-a-lifetime you’ve spent some time daydreaming about. But with wage growth flat and the cost of living climbing, how can you make it happen?
Luckily, with a little bit of thought, saving towards your epic adventure is easier than you might think. Here are our top five tips on how to save for a trip and make your dream holiday a reality.
Top five tips on how to save for a trip
Using these 5 tips, you might be able to turn that dream holiday into a reality sooner than you think. Use all or just some of them; whatever works best for you in getting you closer to finally jetting of on that trip of a lifetime.
1. Keep your eyes on the prize
Psychologists say that we tend to save best when we keep our long-term intentions in mind. Focusing on your trip will help you stay on track. It’s also important to work our how much you’ll actually need to save, and make sure it’s a realistic target given the time you’ve got.
Here are some tips for thinking about the cost of your trip:
- Research the prices of food, accommodation, transport and recreation by looking online and speaking to others who’ve been to your destinations.
- Are you hostel-hopping on a shoestring budget or touring the world in five-star luxury? Deciding the kind of lifestyle you want will help you know how much you’ll need.
- Don’t let optimism be your undoing. Things often cost more than we hope they do, and it pays to leave some leeway in your budget.
- Work out which destinations and experiences are priorities, and which would be nice but don’t mean as much to you. That way you’ll have some flexibility and know what to cut if you don’t hit all of your goals.
2. Make a plan
Once you’ve worked out your overall target, it’s time to get budgeting. Whether you’re an organisation junkie or the thought of a spreadsheet makes you tremble, planning out your saving goals makes them a lot easier to achieve.
You may want to use our Budget Planner Calculator, which can make it easier for you to set out your spending and work out the best way to save for your dream holiday. Using this information, you can more easily see how much is feasible for you to put aside each time you get paid, and whether that will be enough or if you’ll need to make some adjustments to where your money is going.
Make sure to congratulate yourself every time you hit a milestone – no matter how small it might seem. This might feel silly at first, but it’ll make it a lot easier to meet your next goal.
It’s also important to not beat yourself up when you realise the piggy bank’s lighter than you want it to be. Failure is part of the process of achieving success. Pick yourself up, remember your dream and get back on track.
3. Choose what to sacrifice
The best way to save for a trip is living on gruel with the lights off, right? Not necessarily. It’s important to make sacrifices you can stick to, and to keep enjoying your life while you’re in saving mode.
There’s no point committing to a Spartan lifestyle that won’t make you happy and will be hard to keep up. It’s a lot better (and more realistic) to choose two or three expensive luxuries that you can do without and stick to cutting them out.
4. Find a side hustle
A little extra income can go along way to helping you pay for those flights. Some ways to make extra money include:
- Teaching private clients a skill you have, like a language or language or musical instrument
- Working for a ridesharing app, like Ola or Shebah (you may want to check out our Comprehensive Car Insurance to make sure you’re covered out on the road)
- Selling some of your stuff online, like clothes you don’t really use.
Of course, it’s important to remember that there are only so many hours in a day, and your mental and physical health is your number one priority. If you’re going spend more time working on extra job, you might have to give up something else to avoid getting overwhelmed.
5. Give your travel savings a lift
Saving up for a big trip? By selecting a higher interest account like the Growth Saver Account, you could be rewarded for your regular saving with bonus interest, and you can apply online in just a few minutes.
- Planning a holiday on a budget
- Do I really need travel insurance?
- Safe money management for travellers
Deposit Products are issued by Suncorp-Metway Ltd ("Suncorp Bank") ABN 66 010 831 722 AFSL No 229882. Please read the Product Information Document before opening an account. Fees, charges, terms and conditions apply and are available on request.
Information is intended to be of a general nature only and any advice has been prepared without taking into account any person's particular objectives, financial situation or needs. You should make your own enquiries, consider whether advice is appropriate for you and read the relevant Product Disclosure Statement or Product Information Document before making any decisions about whether to acquire a product.