Saving Money on Vacations

You don't want your vacation to follow you home the next time? Do you want to keep from having to pay for this year's vacation all next year? You can keep your vacation from breaking the bank if you plan wisely, and above everything else pay for it with cash--not credit.

It's easy to see why a vacation could cause enough expenses you could end up paying off on a credit card for a year--if you don't plan ahead, if you use credit rather than cash. Suppose your plane tickets cost you $700-$800. What if you have to pay $500 for meals and entertainment? Expenses can add up in a hurry for any vacation, even though some vacations cost less than others.

Financial experts agree it all starts with planning. If you don't save enough for your vacation, or if you go somewhere you really can't afford to visit, it's no wonder if you add to your credit card debt. According to the article, Pay For Your Vacation With Cash, Do Not Gamble More Than You Can Lose at http://www.favstocks.com, McDonald's found a person who might pay $4 for a meal would spend $7 if he uses a credit card. Do you think that could be why casinos in Las Vegas only let people play games with chips, not cash? People are much less likely to spend $50 or $100 bills on such games than a harmless looking chip.

You can save cash for your vacation by saving your spare change every day. You might be surprised how much the money will add up. You can start a vacation savings account at your bank. You can use some of your income tax refund to pay for your vacation. You really don't have to use credit.

Noted financial expert Dave Ramsey, in an article on his website, Daveramsey.com, How to Keep Your Vacation From Following You Home, said the key to avoiding debt from a vacation is to plan ahead of time. Ramsey is a noted advocate of everybody using a budget in planning to use their finances.

He says families should review their budgets and determine how much they can afford to spend. They should count the costs of travel, lodging, food, entertainment, and activities. He said people should not spend beyond their means and should have enough cash for whatever they plan. How much a month will you need to save to be able to afford your vacation.

When planning, you should make a list of all the things you want to do when you go on vacation. Use online research to better know how much you vacation might cost you.

Look for great travel deals. Are you a member of AAA? You might be able to get great deals that way. Use priceline.com or similar sites to look for other deals. If you can be flexible with the time you go on vacation, you can save as a result. Some times of the year offer lower rates for accommodations and activities. If you wait until the last minute before your vacation to try to find online discounts for activities you might save a lot of money.

There are other ways you might save on your vacation that you've never thought of. You might be able to stay in exotic locations on your vacation at a cheap cost, if you use that as a time to volunteer for a worthy cause. Are there fun things to do on a vacation in a nearby town to where you live? Do you have friends or relatives you could stay with when you are on vacation, to avoid costly motel bills?

There are a lot of things you can do to be prepared financially for your vacation. You don't need to spend next year paying for this year's vacation.

Citations: How to Keep Your Vacation From Following You Home, Dave Ramsey, Daveramsey.com

Pay For Your Vacation With Cash, Do Not Gamble More Than You Can Lose, by Hank, Favstocks.com