Introduction
For as quickly as I fell in love with travel, I just as quickly learned the threat to my wallet that travel can be. So, as stubborn as I am, I put years of time and energy into forming a sustainable relationship with money: One rooted in balance and, inevitably, sacrifices that have enabled me to pursue the adventures that fuel my soul.
I can now say that with efficient planning and creative problem-solving, I’ve managed to simultaneously make my wanderlust dreams a reality while safeguarding my life savings.
In this blog post, I dive into some of the ways I navigate the cost of travel, and share insights on how I’ve been able to embark on unforgettable journeys while keeping my finances intact.
A Moment of Transparency
I want to start by stating that I secured a job that allows me to contribute to a 401K. My company also has a generous PTO plan and a flexible work environment with the option to be remote sometimes.
Without these job benefits, I would not be able to travel nearly as much while still meeting all my aggressive savings goals. I recognize how conducive my current job is to traveling and how that’s not an option for a lot of people.
That being said, this wasn’t always my situation. I’ve done shift work where I sacrificed pay to travel and had demanding jobs that paid me barely enough to cover all my necessities. So this blog will focus on strategies I used during the time in my life where I had a lower income and just as many travel dreams.
Contribute to a Travel Fund
Since graduating college, I’ve started each year setting myself up for financial success by creating a budget based on my current income and expenses.
I always figure out a way to include automatic deposits from my checking account into a savings account dedicated to travel. When I started out, it was just $25 a month. As my income shifts, so do my allocations for trips. Either way, I consistently contribute to this travel fund so that every few months or so I can take a trip without sacrificing the other financial responsibilities I have.
Travel in the Off-Season
I bundled up and hit the streets of Lisbon in February 2023.
Don’t get me wrong, like most people, I have fantasies about a summer in the south of France, but I also have bills to pay.
Traveling during the off-season can be a budgeting game-changer.
First off, what is considered the off-season? Well, in the northern hemisphere it’s roughly November to February. In the southern hemisphere it’s roughly June to August. You’ll notice that these ranges coincide more or less with the “winter” months in whichever hemisphere you’re referencing. Of course, holidays like Christmas or New Year’s are exceptions and costs tend to spike around these times.
Airfare, accommodations, and activities often come at discounted rates during the off-season. Destinations also tend to be less crowded, which the introvert in me appreciates.
I’m a huge fan of travel like this as it creates the opportunity for more authentic, intimate, and enjoyable experiences.
For example, my friend Emma and I visited Lisbon, Portugal…in February. Sure, I wore jackets and pants the whole time, but I was in Lisbon. I still got to see the Castelo de S. Jorge at sunset and bite into a glorious bifana at 11 pm. I was living large.
The whole trip, including airfare and a hotel for the weekend, cost me around $1,000. That is less than the average cost of a domestic vacation. So I call that a major win.
Eat Like Locals
Eating out can quickly add up, especially in touristy areas. If I’m somewhere for more than three days, I usually swing into a grocery store or farmer’s market at some point. This is especially convenient if you can book accommodation with a kitchenette, like through AirBnB.
Eating this way also opens the door for authentic connection with the local community. You can explore grocery stores and food stalls to buy ingredients or lower-cost meals. Not only will you save money, but you'll also get to peruse aisles full of unfamiliar cuisine.
I spent 4 days hiking in Iceland and primarily ate tuna salad sandwiches and snacks that I bought at the grocery store or the corner market by my AirBnB. I don’t feel like I missed out on anything because I designed this particular trip to get me outdoors. And that’s exactly what I did. If I really want to try fermented shark (an Icelandic delicacy) then I can go back and reprioritize my budget to focus on dining at a restaurant rather than adventuring through the mountains.
This ties beautifully into my next point (almost like I outlined this article or something.)
Prioritize What You Want, Forget the Rest
Like financing for anything else in life, a travel budget sometimes forces you to sacrifice getting everything so you can focus on getting what you want most. If you are someone who really cares about luxury accommodations, then book the 5-star hotel and forgo a spree at the souvenir shops. If your stomach guides your travels, first off I can relate. Secondly, consider purchasing a private food tour and walk or take public transit rather than Uber everywhere.
Rarely in life do we get to live frivolously without consequence, and travel is my constant lesson in moderation. It forces me to ask myself hard questions like, if my budget only allows for one museum visit in NYC, do I choose the MoMa or The Met? I view these scenarios as positives. They are opportunities to truly consider what I value most in that moment.
As cliche as it sounds, sometimes, less is more.
Free and Low-Cost Activities
On the flip side, you would be surprised at how many cost-effective tourist activities exist in the world. Especially with walking tours, you can find a lot of free options through sites like GuruWalk and Free Tours By Foot. Further, if you’re outdoorsy like me, hiking (and parking at trailheads) is often free. Beyond walking tours, a lot of local attractions, parks, and museums offer free entry or discounted rates on specific days (the museums in Boston are one example).
I recommend developing a list of the attractions you're interested in before you leave on your trip. You can usually find out if they offer free days or discounted rates.
Dave and I at Red Rocks Amphitheatre in Colorado, where it was free to park and walk around.
When it comes to transportation, flexibility is your best friend. Look for low-cost flights and consider using fare comparison websites like Skyscanner to find the best rates.
Multiple contradicting sources claim to know the most cost-effective time to book a flight, but I haven’t found consistency there. Instead, I set up flight tracking through Google Flights and the CapitalOne travel portal, which are the two main places I buy airfare. These tools notify me when flight prices drop on specific days I select. So I can hop online and buy my tickets at that time.
Alternatively, consider taking buses or trains, which are more budget-friendly than Ubers and allow you to witness the destination up close. Cities around the world are experimenting with free public transit programs so it’s always worth a quick search to see if that’s offered at your destination.
Embrace the Sharing Economy
The sharing economy has revolutionized the way we travel. Group trips not only enable you to make amazing memories with your loved ones, but you may also get to split the cost of major expenses like housing and food.
Beyond travel with people you already know, platforms like AirBnB or Couchsurfing offer cost-effective and unique lodging options for couples or solo travelers. If you're comfortable with communal living, hostels can be a great budget-friendly housing option.
Along these same lines, if you’re looking for more long-term travel opportunities, consider Worldwide Opportunities on Organic Farms (WWOOF). Through this organization, you can get free room and board in exchange for volunteering your time and labor on small-scale farms around the world.
Be Aware of Avoidable Fees
Fees are a main source of revenue for banks. These charges can rack up and quickly get out of control. However, I’ve found some creative solutions to minimize the amount of fees I have to pay. For example, if I need to withdraw cash from an ATM, I try to do so in one larger amount that can cover all my needs during the trip, rather than multiple smaller ones. That way I only have to pay the ATM fee once.
When traveling internationally, I use credit cards that don't charge foreign transaction fees so I can avoid additional costs when making purchases. I use this travel credit card because it also includes travel insurance coverage, which is one less expense I have to worry about. This card does have an annual fee of $95, but the perks far exceed the cost for me since I travel fairly regularly. This travel credit card is an option without an annual fee, which I used when I first started out. With both these cards, I’m also able to accumulate points or miles with my day-to-day purchases, which I can then redeem for flights, hotel stays, or upgrades. Full transparency, the links to each of those cards are referral links so, if you decide to apply for either card and are approved, I may receive some bonus points.
Beyond banking, free Wi-Fi is available at most public places like cafes, hotels, train stations, and libraries. This way you can communicate with friends and family for free through messaging apps like WhatsApp or Skype instead of making costly international calls. When I spent two weeks in Fiji, I relied solely on Wi-Fi to keep my family up-to-date on where I was. It worked really well for me, and I didn’t have an excuse to stay glued to my phone.
Conclusion
With a combination of prudent planning, flexibility, and creativity, sticking to a budget during your globetrotting adventures is possible.
By adhering to these money-saving strategies, you can explore the world without compromising on the quality of your experiences.
Remember, traveling on a budget may require flexibility and an open mind. So embrace the adventure, immerse yourself in the local culture, and you can make the most of your cost-effective journey! The key is to strike a balance between budget-conscious decisions and enjoying the richness of your travel experiences.