CHRISTMAS HOLIDAYS on a budget!
YOU DON’T NEED TO SPEND A FORTUNE TO HAVE A MEMORABLE GETAWAY!
Let’s face it, Aussies are itching to travel again now that most of the borders have reopened. We’re so keen, it may be very easy to go beyond our budgets. But according to finance expert, Helen Baker, we shouldn’t let our next vacation break the bank. “Holidays are meant to be fun and relaxing,” she says. “However, if you blow your budget, you end up more stressed than before you left. What a waste!” Follow Helen’s tips for a fussfree break that won’t leave you in debt.
In COVID times, planning takes on a new importance. As we’ve seen, the situation can change quickly with restrictions and border closures.
Consider not just where you want to go, but where you can go. Which places are most popular? You can stretch your budget further and support local businesses by going somewhere quieter. Do you need to quarantine at your destination or on your return? Maybe both? If so, that adds to your costs and the amount of leave you will need.
Book ahead and lock in cheaper rates – even a 5 per cent discount saves you $250 on a $5000 holiday! Perhaps a travel agent can assist you with itinerary savings. Comparison sites are useful, but try contacting operators too – they may offer better prices or free upgrades for booking with them directly. Also, booking ahead means you should miss out on disappointments – for example, campervans and caravans are hugely popular right now, but demand is outstripping supply.
This year, many state and territory governments are offering incentives to support local hospitality and tourism businesses. Why not take advantage of these and holiday close to home. It’s essentially free money, so check the eligibility criteria to see where they are valid. And don’t forget to claim for everyone – some incentives are available to each adult within your household.
Explore what you can do to safeguard your travel budget in case things go wrong, including COVID outbreaks, general sickness, accidents and natural disasters. Ensure that you can cancel or alter bookings without incurring extra charges. This goes for any flights, accommodation, vehicle rentals, equipment hire and tours. Also consider getting travel insurance, but read the fine print carefully – is Covid/public health restrictions covered by the policy?
What costs are and are not insured?
USE YOUR POINTS
All that shopping online during lockdown may mean those credit card points have accumulated. You could redeem them to pay for part or all of your trip. The same goes with any unused frequent flyer points from previous holidays or work trips. Many schemes offer better value if you spend points on goods or services, instead of redeeming them for cash.
KIDS TO EARN SPENDING MONEY
You’ll be paying for your kids’ holiday adventures anyway, but you can teach them the value of money by having them earn their spending money beforehand. Weigh the value of jobs against their degree of difficulty. Have them start now to save dollars over time, rather than a mad dash days before you leave. Not only does it help you spread the cost of your holiday over several months, but you also get some odd jobs around the house done for you!
Helen Baker is the author of On Your Own Two Feet: The Essential Guide to Financial Independence for all Women (Ventura Press, $32.99). Visit onyourowntwofeet. com.au