Everyone needs a good holiday from time-to-time, but these can also be incredibly expensive and difficult to save for. There are many key costs to cover when planning a holiday, including flights, accommodation, travel, food, activities and insurance, so what are a few savings tips which will help to make this slightly easier?
Book in Advance
One of the best things that you can do is to book your holiday as far in advance as possible. Not only can you make savings by booking in advance, but this will also give you a longer period to save so it will make less of an impact on your finances. If you are planning a unique trip like small group tours in Croatia, booking early will give you something to look forward to and incentivise you to keep making savings.
Set Up a Savings Account
Following on from this, it is also a good idea to set up a separate savings account for the holiday (many banks offer special accounts for this). Then, it is a case of tucking away a percentage of your income each month into this account and letting it gain interest. In addition to a regular payment, you can also put any odd savings that you make or extra income in here – every little helps.
Cut Luxury Items
Next, you should create a list of your regular household expenses. There will be some essentials here (more on this below), but there are likely to be a few luxurious which you could either cut out entirely in order to save for the holiday or you might be able to make savings. As an example, you could switch to non-brand on a few products for a few months which could help you to make significant savings.
Make Savings on Essentials
When it comes to essentials, you might find that you can make some savings here too. A good example is switching energy provider as you might be able to save around £300 a year – not only will this help you to tuck money away from the holiday, but it could also make a big difference to your overall financial situation.
Download a Money Saving App
Working through your own expenses is an effective way to make savings for your holiday, but you can also download a money-saving app which could highlight other savings that you could be making which would be hard to spot otherwise.
Watch Your Savings Grow
You should also keep an eye on your savings account as there is nothing quite like seeing this grow. In addition to helping you with your holiday, hopefully seeing how you can make savings in a short time period will inspire you to continue with this.
Hopefully, this post will help you to save for that special trip and encourage you to make positive financial changes in the long-term.