7 Tips for Improving Your Relationship with Money While Travelling

by Editor

When most people think about vacations, they think about luxury, extravagance, and comfort. But this isn’t always feasible, especially with the International Monetary Fund forecasting global inflation to reach around 6.6% in 2023, which is still above pre-pandemic levels. 

Although this current climate dictates that travellers ought to be more frugal with their money, vacations are very much beneficial to one’s physical and mental constitution. It’s very much possible to maintain a good relationship with money while travelling. Here’s how: 

1. Start with a plan

As with all things in life, having a plan pretty much ensures a positive outcome. It can be very tempting to go with the flow – but this isn’t a great idea if you don’t have a bottomless bank account.

Start planning months ahead of your target dates. If you’re travelling for an extended period, you might even want to plan years in advance. That way you can enjoy options that are off-peak and less crowded.

The Travel suggests looking into locations like The Maldives, Cambodia, Nepal, and India as wonderful places to take an extended trip.

2. Do your research

No matter how near or far your destination will be, make sure to do your research for the best lodging, transportation, and food options. In doing so, you’ll find that many museums, parks, shows, and other attractions are free to access.

If you want to save even more money, consider going on walking tours to navigate these destinations while also learning about the local culture, history, and offerings. This will also help you avoid unnecessary spending.

3. Know your finances

Once you’ve done your part in researching, it’s time to set a budget according to your capabilities and set aside a financial buffer as an emergency fund.

Check your credit score and make sure to inform your bank that you’re travelling to avoid having your account frozen due to suspicious activity.

Another excellent tip for avid travellers is to apply for miles, cashback, and other travel credit cards because these points will accumulate and allow you to enjoy benefits like free flights and hotel nights. 

4. Avoid emotional spending

In a post by Upgraded Points on the psychology of spending money, they highlight emotional spending as something to look out for.

Returning recently bought items, competing with others, spending even though money is tight, and momentary instances of gratification are all signs of relying on emotional spending.

To avoid doing so, stick to your plan and budget, and determine the underlying triggers as to why you’re impulsively spending.

5. Earn back money

During long-term travels, it’s a good idea to try and earn back money you spend during your free time. For instance, an Insider article highlights house-sitting for absent homeowners as a popular way to enjoy lodging while on trips.

Handling deliveries, bartending, bookkeeping, or running a cashier are also some of the part-time jobs you can consider taking. If you’re already working remotely, however, then it’s a much simpler task to keep working while travelling.

6. Invest in travel accessories

If you keep purchasing items like bottles of water or toiletries on your trips, the amount spent will add up over time without you even noticing.

Here at Wander, we suggest stocking up on handy travel accessories such as utensils, hand towels, refillable bottles, and the like. This way, you’ll be able to save a considerable amount while reducing your carbon footprint.

It’s also wise to choose durable luggage, footwear, and gadgets to be sure that you can utilize them for the long term.

7. Track your expenses

In connection with planning your trip and knowing your finances, we also highly recommend keeping track of your expenses. While this can prove to be difficult, especially if you’re spending in multiple currencies, several phone apps and tools can help make this process easier.

By doing so, you can check how much you’ve spent, and how much you can still afford to pay. It’s also a fantastic way to learn from experiences and help you with budgeting the next time around.

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