Holidays make us splash out

Budgets go out the window when we book, as reports

COST of living concerns are taking a back seat when Christmas holidays roll around, with a new study revealing four in five families will break their budgets these summer holidays.

The survey of 1076 parents, commissioned by HotelsCombined.com.au found that while household bills are on the rise, 79 per cent of respondents go over their budget on family holidays.

Meanwhile, rising costs of living are not getting in the way of travel, with 55 per cent still planning a trip in the next year.

Other telling statistics were that 36 per cent of parents do not budget for their holidays in advance and more than half (53 per cent) were prepared to borrow for their holiday; either by taking out a loan or racking up debt on their credit card.

Comparethemarket.com.au spokeswoman Abigail Koch said take care of essentials.

“Travel insurance gives you peace of mind your holiday won’t cost thousands more because you got sick, injured or your luggage was stolen or lost,” Ms Koch said.

“Travel insurance can also cover delays and cancellations, so it’s important to take it out early on.”

Financial planner and travel presenter Lynette Bolton believes parents can enjoy a holiday at any budget, as she did recently with husband, former AFL star Jude and two children Siarra, 5, and Piper, 3.

“Accommodation is likely to be one of the biggest expenses of any holiday, so that’s what Jude and I looked at when (booking) our recent family holiday to Fiji,” Mrs Bolton said. “Many people book flights first and that can really hamstring you on accommodation.”

Mrs Bolton’s tips include:

1. BOOK IN ADVANCE Knowing upfront costs before you leave gives you a better idea of what you’re spending on.

2. USE PRICE FILTERS

Most booking sites have a price filter so you can set a budget and hide anything that (exceeds it). This removes the temptation of a “bargain” five-star room.

3. MONITOR HOTEL SITES Hotel meta-search websites SMART WORK: Harmony Domaille consolidated her bills to get credit card debt under control. aggregate prices and availability from all the major travel sites to help find you the best price, while saving you hours of research time.

4. EXPAND YOUR SEARCH Rather than searching for the most common airport to fly into, look into lesser-known airports or a different city.

Using public transport to your destination allows you to see more sights and visit a place you may not have considered.

5. READ THE FINE PRINT People get tripped up on paying more by not reading the details and fine print …Pay particular attention to cancellation terms and travel booking changes.”

6. STICK TO A DAILY CASH ALLOWANCE

Set a daily spending budget for food, drinks, activities, and souvenirs, and factor in another 10-15 per cent for the unexpected … Research the tipping customs in your destination so that you can factor this into your budget.

7. EAT LIKE A LOCAL

Ask the locals about where to find great restaurants at reasonable prices. Locals will know about hidden gems away from the tourist hot spots.