How To Save Money On Travel In Your 20’s

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Travelling in your 20’s can be tough. You want to see the world, but quite often, you don’t have the budget to do so. To complicate things further, COVID-19 has pretty much put a stop on international travel, so who knows when you’ll be able to go abroad again.

When it comes to travelling on the cheap, you need to have a plan in place. You might not be travelling anytime soon, but that doesn’t mean you shouldn’t be taking the steps to achieve your goals.

How To Save Money On Travel In Your 20’s

By focusing on ways you can save money on travel, you’ll be ready to take off when the opportunity presents itself. Here are some easy ways to save money on travel when you’re in your 20’s.

Study abroad

If you’re still a student and your school has a study abroad program, it’s a good idea to take advantage of it. It’s not like your expenses will drop significantly, but you might end up spending the same on accommodations and food while you’re away. The real difference is the fact that you’ll be in another country so you can go explore when you’re not studying.

Work abroad

Many countries offer work visas for people under the age of 30. If you’re able to get one of these visas, it’s an excellent way to see the world. Ideally, you’ll want to pick a country that’s appealing to you and you can get a job in the field of your study.

That said, getting any job to pay for your bills and travel expenses is perfectly fine too. Some people may want to start building their careers, but some people just want to explore. Go the route that makes the most sense for you.

Choose your destinations wisely

For many people, travelling around Europe is a must after graduation, but you need to be smart about where you go if you’re on a budget. For example, Portugal is cheaper than visiting Italy.

Alternatively, your flight to Thailand may be expensive, but you’ll be shocked to see how little you’ll spend on the ground. Make your travel budget stretch by choosing destinations that are reasonably priced.

Set up automatic savings

Unless you’ve got very generous parents, the odds are you’re going to need to fund your trip on your own. While some people reading this may be comfortable using credit to pay for their travels, it’s a better idea to use your savings. The problem is, most people in their 20’s have limited income so saving for a trip may feel like a lifetime.

To simplify things, set up an automatic transfer from your chequing account to a savings account that’s dedicated to travel. Start with $100 a month, but see if you can increase the amount over time. Since these savings are automatic, you’ll eventually not even notice the money missing from your account, but you’ll have a sweet fund for your future vacation.

Use a high-interest savings account

Since you need to set up a dedicated vacation savings account, you might as well do it with one of the best high-interest savings accounts in Canada. As the name implies, these accounts will earn you a high-interest rate.

Okay, it may not seem high right now, but anything close to 1.5% is considered good. EQ Bank is a great choice since they charge no fees and allow you to set up multiple accounts so you can save for all your various goals at the same time.

Monitor deals

Keeping an eye out on any travel deals is an excellent way to save money. Due to COVID-19, there have been some incredible ways to save as of late. Marriott Bonvoy had a promotion where you would get 20% off gift cards.

Aeroplan gave back 50% in miles when you booked a reward flight. Those who collect Westjet Rewards had the chance to book flights at 25% off. So how do you keep track of everything? Simple, sign up for every mailing list as travel companies always alert their subscribers about any deals.

Get a travel rewards credit card

Without a doubt, getting one of the best travel credit cards in Canada is the easiest way to save money on travel. Why? Because of the welcome bonus. Many travel credit cards come with a sign-up bonus worth at least $250.

Quite often you can get even more value out of the bonus depending on how you use your miles/points. To get the bonus, you need to spend a certain amount within a set period of time. E.g. $1,500 in the first 90 days. Premium cards also typically have a higher income requirement to qualify such as $80,0000 (individually) or $150,000 for the household.

Besides the welcome bonus, you’ll also earn points/miles for every dollar you charge to your credit card. Those points/miles add up over time and can be used later to offset your travel expenses.

If you want to travel, you’ll want to save money on travel

There is no quick way to save money on travel, but if you follow a few tips, you can take a trip without worrying about how you’ll pay for it after. Remember, travel is a luxury, not a right. While it would be great to take a few trips a year, that’s not possible for everyone.

This post was written by Barry Choi of Money We Have.

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