How to Make a Travel Budget

Lots of people love to travel around the world. Who doesn’t? Traveling enables people to see fabulous world-renowned sites, remnants of civilizations gone past, and magnificent natural scenery. It allows us to experience new cultures, sample exotic cuisine, learn new dialects and languages, and interact with locals. In other words, travelling is a real eye opener.

The best thing of all is that travelling is not at all expensive. Well, it might have been in the past, but with the proliferation of budget airlines, eco-hotels, and travel packages, travelling has become increasingly affordable and accessible to many people. Add to that the popularity of discount coupons, price cuts, and excellent deals. Plus, there are new, popular low-cost forms of travel and accommodations such as backpacking, couch surfing, staying at bed-and-breakfasts, and camping. There’s no excuse for someone with a modest budget to go out and explore the world.

Furthermore, if you surf around the Internet or read travel guide books, you would find hundreds of articles that provide you useful tips in lessening travel expenses. Yes, these articles are practical lifesavers; however, cutting travel expenses actually begins at the first stage, which is, planning a budget. This is one aspect that many travellers forget, and they end up paying more than they should. Many travellers, excited on the prospect of visiting another region, have the tendency to pack up, purchase tickets, and tell everyone they are travelling the last minute without considering how much they plan to spend.

So how do you make a travel budget? It’s actually easy, and with a bit of analysis and prediction, you can work out a budget that allows you to enjoy your vacation at the least amount of money.

1. Determine an absolute maximum that you will be spending for your vacation. To do this, you first need to check out the estimated prices of the elements of your travel. How much is the hotel? Are you renting a car, and if so, how much? What about the zip line adventure that you wish to experience? Sum up all rates and add around 20 to 40 percent of the total. That should be your absolute limit; do not spend past it even if you have extra money in your wallet.

2. Break down your expenses by its elements: airfare, lodging, food, admission fees, shopping, personal items, etc. This will allow you to segregate and monitor your spending. You can even further split it down to daily spending. Say you are planning to have a one-week vacation in Dublin. Determine how much you are going to spend for accommodations, transport, sightseeing, shopping, and other activities in a per-day basis.

3. List down items that you are willing to sacrifice. For example, you may put in your list that you won’t ride taxis during your trip; you’ll just take the bus. Or you may decide to skip on buying souvenirs to bring back home. However, don’t be too zealous. Remember that you want to enjoy your travel, and by skipping out on what you truly enjoy, well, you might as well stay home.

4. List down things that you think you can get a price cut with. Hotels, restaurants, and bazaars are examples of establishments that can provide you discounts when you avail of their products or services. Consider the discounts that you’re eligible to have: senior citizen perks, student discounts, freebies from your frequent flyer program, etc.

Now that you have a budget, go ahead and see the world.