FI­NAN­CIALLY SPEAK­ING

Here’s how to spend re­spon­si­bly on travel, ac­cord­ing to money ex­perts.

Good Housekeeping (Philippines) - - Your Money -

PRI­OR­I­TIZE NEEDS

Shelling out for trips shouldn’t get in the way of more im­por­tant ex­penses. “Travel is a want,” says Rowena Suarez, fi­nan­cial plan­ner and char­tered wealth man­ager. “Make sure that your needs are ful­filled first... If trav­el­ing will af­fect your bud­get for your chil­dren’s ed­u­ca­tion, or fu­ture needs, then it is not ad­vis­able.”

CRE­ATE A SEP­A­RATE FUND

You don’t have to wait for your in­vest­ments to earn be­fore you travel, as some ex­perts ad­vise. “That is not nec­es­sar­ily true, as long as you have dis­ci­plined your­self to set aside money for travel over a pe­riod of time with­out hurt­ing your monthly bud­get,” says Suarez.

Jeremy Jess­ley Tan, fi­nan­cial plan­ner and colum­nist at The Manila Times, ad­vises, “Set up a travel fund and set aside a cer­tain amount, ei­ther weekly or monthly, so that when there is an op­por­tu­nity to travel, it won’t im­pact your sav­ings or in­vest­ments.”

IT SHOULDN’T GET YOU INTO DEBT

Us­ing your credit card? Don’t just charge on a whim—first make sure you ac­tu­ally have funds to pay off your credit card bill. “A seat sale is not a sale when you in­tend to get into debt just to be able to pur­chase a ticket. When you plan ahead, then a seat sale be­comes a bonus, be­cause you get a dis­count from your planned bud­get,” says Tan.

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