How To Not Go Broke While Traveling | Budget Travel

Yesterday I arrived in America. I’m back from one of the most exhilarating vacations I have ever had. In one week’s time, I’ve traveled to THREE countries and been on EIGHT flights! Carmen Sandiego has NOTHING on me! My travels took me to Indonesia, Singapore and Thailand. Boy am I EXHAUSTED! I think I flew more miles this past week than I have done in all of 2018!

This journey on the other side of the world will always be memorable. I have learned so much in such a short amount of time. Aside from learning about different cultures, I picked up some additional budgeting tips!

As I was quickly running out of the cash that I withdrew, I started noticing that I was about to go over my budget. I hit the RED! Not by much but still something that I’m not proud of! My friend and travel partner Tyler helped me brainstorm tips that helped us during this trip and ones we now know to use for future travels. This list will be of great use to help you NOT GO BROKE during your next travels!

1. Keep Track of Your Spending’s

Okay, I know this one sounds obvious but its not! When traveling, you can start to lose track of how much you’ve been spending. Sometimes, it can even be daunting to check your bank account. However, keeping track of your spending is essential in making sure you’re staying within your budget and not overspending.

If you’re tracking your spending, it can help you say no to meals, excursions and other expenses that aren’t needs for your trip. You can then make decisions such as walking to the destination versus taking a cab, cheaper lodging and grabbing fast food versus sitting and dining.

Avoid Using Your Debit/Credit Card

Foreign transaction fees apply to card transactions that are made abroad. These fees can add up FAST! They’re often between 1% to 3% of the amount of your purchase. Be mindful of whether your bank charges these fees and consider using cash if they do. Most banks will also charge foreign transaction fees from ATM withdrawals.

Setting a Budget

Determine what you want to spend in each category. It is best that you create your budget before leaving for the destination in order to avoid being tempted to increase it. Typical vacation expenses fall into one of these five categories: Food, Lodging, Entertainment, Transportation and Shopping.

🌟PRO TIP: Spend from one account and use cash when possible. Spending from multiple accounts can cause you to forget about some of the purchases made. Using the cash option helps you to be more cognizant of your spending.

2. Book Early!

My travel partner Tyler and I both work for an airline and booking early is not something we’re always able to do. Oftentimes, we fly standby and with standby you’re flying on the unknown. Are you going to make it to your destination? Are you not? Will you make it there in the time that you expect to make it? Sometimes, standby travel costs more overall due to the last minute bookings.

We elected to travel standby on this trip and got hit by additional last minute costs. Some of this costs would have been steep had we not had the benefit to fly on other airlines for a small fee. We looked at buying tickets from Singapore to Indonesia. A last minute flight between these two countries was $152 compared to buying it two weeks in advance for $41! Hotels and lodging can also offer steep discounts for advanced bookings.

3. Practice Bartering

No you don’t have to be a swap meet pro but bartering can save you a hefty penny when traveling. For me, if it doesn’t have a printed price, its up for negotiation. Even if it does have a printed price, its up for negotiation. In previous trips and even my recent vacation, we found ourselves bartering for souvenirs, excursions, taxi rides and even meals! Getting discounted prices helped our budget significantly! Think of it this way, you have something they want (the cash and the demand) and they have something you want (the product).

When bartering, oftentimes I like to see what price the merchant offers first. I counter with a significantly lower price, one that I even think is absurd! The merchant usually gets a good laugh from that price and I slowly work my number higher while the merchant slowly works their number lower. Until eventually we meet in the middle.

It doesn’t always go as smoothly! Sometimes the merchant is resistant and refuse to drop their price. This is when I walk away! Yes! Don’t be afraid to walk away even if you really really want it! Majority of the time, the merchant will call you back with a lower price. When you sensed that they have gone as low as they can, then that’s when you agree.

It’s helpful to know what others are offering for the item. While I was once vacationing in Cozumel, Mexico, I saw a knit backpack that I wanted priced at $28. I thought I could get him down to $14. When I didn’t, I walked away and another merchant offered me the same backpack at $5! Much less than I would have negotiated for! Most excursions and souvenirs can be found at multiple locations so shop around and use another merchants offer to your advantage.

4. Choose Your Lodging Carefully

Lodging can be the most costly expense for your trip especially if you’re staying for a lengthy time. Minimizing your lodging costs can make a significant dent in your overall expenses for your trip. There are a few things that can help when it comes to booking:

Not Booking Around Holidays

Hotels typically get extremely expensive around holidays! General economic rules apply here; The Higher the Demand, The Higher the Price. EVERYBODY is traveling around holidays! One thing my friend and I learned during our recent trip is to also be aware of holidays in the region that you’re traveling to. We unknowingly traveled to Asia during Chinese New Year. Which is an extremely big holiday! Hotels and flights are more expensive during holidays. Sometimes twice as much!

Airbnb

Airbnb has been my friend! For those who aren’t familiar, it’s a site that you can rent rooms or homes from other users. Oftentimes, the rates are better than those that you will find in a hotel. If you do find yourself booking last minute or around a holiday, these rates won’t be as volatile. Many homes and rooms provide access to a full kitchen that allows you to also save money on food by cooking meals instead. What hotel provides pots and pans?! In addition, your host will often act as your concierge and provide information on the city.

Hostels

Hostels can be another affordable way to cut lodging costs. You can usually find a hostel in most cities that you travel to abroad. Some offer private rooms while most will offer shared rooms. Hostels are a great way of getting to know other travelers and to minimize expenses. Many will provide a lock for your belongings.

5. What’s In Your Suitcase May Save You

One of my biggest pet peeves when traveling is having to buy something that I already own! Nothing is more annoying and it happened on this recent trip! I found myself buying another pair of water shoes! I knew I was going to be doing water activities such as snorkeling but why didn’t I pack them? Lack of organization? Probably. Not being sure what our itinerary looked like? Yeah that too!

Being organized and having a list of activities you’ll be doing will help you save money. This will help prevent buying things that you already own. The following items are often missed:

• Toothbrush
• Sunscreen
• Sunglasses
• Water Shoes
• Over the Counter Medicine
• Outlet Converter (Make sure the country that you’re visiting is supported)

6. Saving On Activities

No vacation is complete without a few activities! Whether traveling internationally or domestically, you may want to purchase excursions, visit museums and parks, take a city tour or maybe just eat! Here are a few tips to save on your activities:

• Consider Free Activities; Walking Tours, Parks, Beaches and even giving yourself a day of rest can be beneficial and save you money!
• Buying Activities In Advance May Cost More; When you book online, you don’t get the chance to barter. Therefore, some excursions can be significantly more when purchased online.
• Packages May Cost You More; Some activities in a bundle may be things you’re uninterested in. It could be cheaper to pay for the activities individually.

7. Transportation

Getting around your destination is the cost that can creep up! It’s the budget leaks that seem small but can add up over the course of the trip. Initially, taxi rides, shuttles and Uber’s may seem cheap but at the end of the week you’ll be trying to figure out how those rides added up to $200! Here’s a few ways to save:

• Consider walking: Walking is free! Choosing hotels in active areas can help or consider activities that are close to your hotels or ones that offer to pick you up. Use your GPS or Google Maps to understand the distances between destinations.
• Ridesharing: Ridesharing can save you tons! Consider airport shuttle options or other ridesharing options thats offered in the city. Common apps are Uber and Lyft and other countries may have their own version of these apps (in Singapore and Thailand, we used an app called Grab)
• Public transportation: Most cities have a public transportation options such as buses and trains. When traveling abroad, this may seem daunting and confusing. Its easier than you think! You can grab a map at the station or even use your phones’ GPS for directions.

8. Food and Drinks

I’m a foodie and there is nothing I love more than eating when I travel. Exploring different cuisines and tasting different spices. Let me be the first to tell you that eating gets expensive! There are a few ways to save:

Breakfast Options

Consider hotels with breakfast options. Some offer continental breakfast between certain hours. Breakfast can be as simple as fruit and cereal to a full buffet. Hotels that include breakfast can save you in meal costs which can add up over the course of your trip.

Limiting Alcohol

While in Bali, I ordered one glass of wine and it was just as expensive as the meal I ordered. Alcohol is expensive domestically but can be just as expensive abroad. Not drinking can keep dollars in your pockets. If you feel that there is no vacation without some “liquid courage”, then consider buying bottles of alcohol from the duty-free stores found at the airport.

All-Inclusive Options

All-inclusive resorts can save tremendously if you find a good deal. All the food and drinks you want! Lodging included! Sign me up! These are great because they bundle everything and oftentimes you won’t spend too much over what you paid initially.

Another all-inclusive option comes with excursions. Some all-day excursions offer meals which can help you save in the food and beverage category.

9. Be Prepared

Being organized is essential in saving money in your travels. If possible, start months before you plan on traveling because this can save you in lodging and flights.

Research can save as well! When you research and read reviews, you may find things that are not obvious such as additional fees and things that may be unpleasant that you will not want to spend money on. Reading reviews helped us with things like breakfast options, cheap excursions and better suggestions.

10. Know Your Currency

Know your money! Using other countries currency can get confusing and you may not know what activities are really costing you. You also want to know this in order to ensure you’re getting the correct change back. Using currency conversion apps make this quick and very simple.

Money Exchange

Exchanging currency can incur additional fees. If possible, try to exchange money before you start your travels as your bank will generally have the cheapest exchange. If you’re unable to complete this before leaving, be sure to shop rates. Hotels, airports and currency exchanges can be found along the way.

11. Cheap Flight Deals

During a google search, you may come across advertisements offering a round-trip ticket to Mexico for $120! Score! Now, of course this comes with some restrictions like BLACKOUT DATES! These are dates where you’re unable to commence travel. Some deals restrict dates to traveling only on certain days of the week and during certain periods. The goal here is BEING FLEXIBLE. If you’re flexible for dates and destinations, then you can find awesome deals!

🌟PRO TIP: Be aware of airline baggage terms and baggage weight restrictions. Not knowing these can cost you hefty last minute fees.

12. Check Your Phone Plan

So now you’re back from your trip! You spent within your budget and you’re proud of yourself! Then three weeks later you’re hit with a $400 phone bill for roaming charges!

To avoid this from happening to you, be sure to check your phone plan for international coverage. Charges can be steep. Pay-per-use costs can be as high as $2 per MB of date and $1 per minute phone call.

Consider changing your plan to one that offers international coverage or look into an international SIM card.

Are there any tips that I missed? Comment below and tell me of some ways that you saved while traveling!