How to save for a big holiday*
The thing about big holidays (or any holiday really, for that matter!) is that they can be super expensive and require a huge amount of saving prior to going away. I’m currently saving up for my trip to Australia in February so I’m definitely no stranger to saving up for big holidays. Here are my top tips for saving that extra money to make the holiday amazing.
Cutting back and budgeting are the first (and most boring!) steps in saving for a big holiday. Look at things like the food shop and go for the more basic range than you usually would, cut down on your clothing budget so that you’re only treating yourself when you need to and try to cut down on your socialising spend by having people round to your house rather than going out for expensive dinners. Cutting back is definitely the most difficult step in saving but just try to think to yourself, “do I really need that?” before buying anything. Believe it or not, you can actually cut back your bills too. There are websites like Simply Switch that compare all energy bill deals in your area and gives you the cheapest. You can put that extra saved cash in a savings account.
Set up a savings account
A savings account where you can’t easily get to the money is a good way of saving any extra cash that you have. At the end of the month, put all your leftover money into here and don’t touch it until you need to pay for something for your trip. If you have a second income, like I do for this blog, then put all the money you earn from this into the savings account – you don’t need this money to live on, so put it away!
You could also transfer money at the beginning of the month, as soon as you get paid. Work out what you don’t need to spend and can afford to put away and then stick to this each month.
A moneybox works really well for me. Whenever I have spare change (anything below 50p) I pop it in here and it soon builds up. You could also choose to save a certain coin, like £1 or £2 and every time you get one, put it in the moneybox. There are apps that will do similar things (I think one is actually called Moneybox!) so say you spend £2.75 on a coffee, it will round it up to £3 and therefore save you the 25p.
Set yourself a target
I would never like to let a little thing like not being able to afford it get in the way of a life-changing trip as life’s just too short for that! I usually book first and save up later so it’s good to estimate how much money you’ll need and then save up to that target. If you need a little bit extra and you just haven’t managed to save it by the time you’ve been away, a payday loan could be a good idea, just make sure that you’ll be able to pay it back without getting yourself deeper into debt.
What’s your next big trip and have you got any tips for saving for it? Let me know in the comments below!