Most adventurers know that traveling is expensive. Alongside flights, you must also pay for accommodation, food, activities, and transport. The costs can quickly add up, and it can sometimes feel like you have to save for several years just to afford a short holiday. However, part of the issue is that many travelers don’t know how to manage their money and make it work for them as they travel. Here are some of the many money mistakes you might like to avoid.
Not Having a Money-Making Plan
If you’re going on an extended holiday to see as much of a country as possible, you might find yourself running low on funds. If you have a plan to make money, that might not happen. For example, if you travel to Australia, you could choose to study for your RSA certificate online and pick up casual work in the hospitality industry. As long as you have the correct visas for working while vacationing, you can enjoy your trip without having to make every penny count.
Not Considering Exchange Rates
While the United States Dollar (USD) is the most traded currency in the world, it’s not an accepted form of currency everywhere. Make sure you’re aware of the money each country uses and how much you’ll have to spend once you factor in exchange rates.
If you’re traveling to Europe, you’ll need to exchange your USD for Euro, which typically fluctuates from $0.80 to $0.96 to the dollar. American travelers venturing to Australia will also be pleased to know they can receive between $1.30 to $1.50 for every US dollar.
Forgetting Hidden Fees
You might have saved enough money for accommodation, transport, and food on your travels, but many people forget about the hidden fees often associated with overseas travel. For example, there might be extra fees with airlines and hotels, and you might even have to pay a foreign transaction fee on your credit card. This can be up to 4% on each transaction. Don’t budget your money down to the dollar. Instead, make sure you set aside funds for unexpected costs.
Not Researching the Cost of Living
You might know how much money you’ll have to spend in a new country, but that doesn’t mean you know how far your money will go. Research the cost of living to ensure you’re aware of how much everyday items cost to purchase.
For example, restaurant food might be affordable in your home country, but it might be vastly more expensive in the country you’re visiting. Many online calculators are available to help you work out your purchasing power across multiple countries to ensure you save enough money for your upcoming vacation.
Failing to Look for Deals
There’s no harm in treating yourself to the best food and accommodation while traveling, but it sometimes pays to look for special deals. Some accommodation and activity providers offer package deals and weekend specials to encourage more visitors. Don’t be afraid to seek out deals when there’s potential for you to save your hard-earned cash.
You shouldn’t need to worry about money when you’re trying to enjoy your vacation, but it doesn’t hurt to be aware of what you’re spending. These money mistakes above might be worth avoiding if you want to get the most value out of your vacation.