Friday, June 12, 2020

Tips on How to Afford to Travel!

Making the decision to start traveling is one seldom regretted but going into massive debt to do take your trip isn't always worth the effort. And let's face it, travel is an expensive hobby to have, especially solo travel when most travel agencies out there tend to plan their trips for couples and groups. The sad truth is that this world isn't very accommodating toward solo travelers.

Still, it is a hobby, and one you don't need to break the bank to make happen. I for one definitely fall under the poverty line but travel is something that can be achieved without breaking the bank if you're motivated enough.


So, how can you afford to take a trip if your finances aren't so great? Well, after doing some research on other methods I've come up with several different methods of finding the best deals on travel so that you can stay in the black even when you're returning from your trip.

Now a lot of research went into this post, and some of what I'll be posting about is from my own personal experience. If you have any other tactics for finding deals or saving money, feel free to comment below so we can get that info out to all potential travelers!


First: trim the fat in your finances

I spent several years working at Starbucks and most often heard the complaint of how high the price of coffee is. Out of curiosity, I started asking these people, "do you have cable?" The response almost every single time: "yes, why?" To which I would respond: "just wondering."

In reality, there was a reason for that question. At the time, I was going to university, working two jobs, and was actively involved in the entertainment community as both an actress on stage and in local films while also providing backstage assistance to other shows. My roommates and I had actively chosen not to add cable to our home services because all of us were far too busy to spend time watching TV and we didn't want to waste our money.


To this day, I have no streaming services or cable because I just don't have the time, and because I want to use that for my next trip. According to my searches, the most popular streaming services out there with the best quality available are Netflix, YouTube TV, Amazon Prime, and the Disney+ bundle that also includes Hulu and ESPN. If you are subscribed to all 4 of these top streaming services, you're forking out an estimated $80.96 per month. If you work full time and spend less than 10 hours a week watching TV and movies on your available streaming services, then you're using up $20.28 per week.

Now I'm not here to dock streaming services, but when people ask me how I'm able to travel, this is what I tell them: I have no streaming services. Based on the data I just used as the example, I'm saving $81 every month because I'm not watching TV or movies like that. Multiply that number by the months in the year and you come out to saving $972. You can book a mini vacation to Hawaii on that amount!


Something else you should take into consideration: coffee! I can't function without it, but I have a handy dandy coffee maker that I bought for a super discounted price and brew my own mug full every morning with my favorite creamer. If you're the type to go out and buy a coffee before work, there's nothing wrong with that, but you can save a buttload of cash with the one time purchase of a coffee maker with a timer.

Since I used to work for Starbucks and they're the most popular chain around, let's look at their numbers. Being in California, the prices are higher than most other states, so if you want to calculate these numbers by your location check out this site here. Let's start with the most likely option: a grande cup of coffee. In California, a grande coffee averages $2.69, not including a tip (*coughtipyourbaristascough*). If you buy one every workday, then you're looking at paying $13.45 for a 5-day work week, and a monthly total of $53.80.


Or, let's say that you are like me and prefer fancier drinks when you're out buying a coffee. For a grande mocha in California, the price averages $5.31, adding up a weekly total to $26.55, or a monthly total of $106.20. If a monthly price for a basic coffee is $53.80 and $106.20 for a mocha, you're looking at a yearly amount of $645.60 for your cups of coffee and $1274.40 for your mochas.

In the hypothetical situation of a year having the four main streaming services and buying a grande cup of coffee from Starbucks 5 days a week, we're looking at spending $1617.60 for those two extras in your budget. You can spend a weekend in Europe for that much!


Ultimately, if you want to make travel happen in the simplest way possible, take a gander at your finances. After you take a long hard look at what else you're paying for after taking care of your basic needs of rent/mortgage, utilities, cell phone, Wi-Fi, student loans or medical bills, pets, prescriptions or medications, car payments and maintenance, insurance, gas, and food, factor in how much you have left over and where you're spending it.

Remember that I'm not discouraging any activities or services that you employ in your everyday life, but if you want to travel without going broke you will need to make sacrifices. Ask yourself these questions: is going to the salon twice a month absolutely necessary? Can you cook instead ordering takeout every night? Do you need another pair of shoes? Is buying name brand clothes that important?


It's your call to choose how you want to finance your trip. The first step in making sure you can afford it is cutting back or out any activities or purchases that you can put toward your travels instead. You can always pick them back up when you get back! The sacrifice is worth it!!!!

Second: Factor in Expenses

Once you have an idea of how you can save money for your trip, look at your destination and the amount of time you plan to be traveling. There are going to be several factors to take into consideration before you start packing your bags.

The trip itself

How are you going to take this trip? Will you be entirely alone within your own country, or going abroad? Are you going through an agency? Will you be going with a tour group? Are you starting out with a tour and then going on by yourself? Are you booking all your hotels and flights on your own?

These are just some of the questions you first need to ask yourself when preparing to book that trip. I love traveling on my own, but then I must plan everything myself, and that can be costly. You can book a solo trip through an agency to save money, and they usually include insurance and trip protection (covered in a previous post) in the event of an emergency.

However, going solo means modifying your trip. Most companies book groups of two or more and charge accordingly, whereas if you are traveling by yourself, they would need to book you a separate room, and that would mean you pay more. Be ready for extra fees.


Booking through agencies also covers transportation, attractions, and often meals, usually breakfasts. It is more cost effective, but you're on a tight schedule and are only allowed to be at most sites and attractions for a certain amount of time. For example: I've been to Blarney Castle twice with two different travel agencies. Both groups I toured with only allowed 3 hours to tour the grounds, and the wait time (both times) to kiss the Blarney Stone was just under an hour, though the line still moved faster than a Disneyland ride. What most tourists don't know though is that the grounds at Blarney are huge. Aside from the castle, there are gardens, nature hikes, a manor, cafes, and even a Woolen Mills right outside the visitor's center. You could probably spend half a day at that one attraction alone and have an extremely full day.

MWAH!

The agencies you book through do tend to offer the best deals, but what you save in money sacrifices time. Creating your own trip and doing everything you want may be costly, but you're in charge of your schedule and can spend your time however you want. The agencies may be cheaper and include everything you need for an enjoyable trip, but they are required to adhere to their schedules. Both are worth the effort, but each have their pros and cons. For the cheaper route, go with agencies.

Food and beverages

If you do opt for a trip booked through an agency, you can expect at least breakfast to be included, and maybe a dinner or two. Going on your own means that you'll need to oversee all your food, so when booking your lodgings make sure they include breakfast. Either way, you will most likely be paying for your lunches and most of your dinners.

If you have an itinerary, find out which days you don't have dinners included and expect to pay at least $20 worth of whatever the local currency is per meal. Then put aside a little extra money for snacks, additional beverages, and indulging in local cuisine. What's my favorite thing to seek out when I'm out traveling? ICE CREAM.

Top: milkshake from Stax in NYC and gelato from Gelateria Conti in Florance, Italy
Bottom: cone from a sweet shop in Lake Windermere, England, and my favorite: Murphy's in Dublin!

I'm a total foodie and want to try as much food as I can when I'm traveling abroad, and desserts are something I want to make allowances for; so if you're like me, be prepared to keep a little extra cash on hand to indulge your sweet tooth. And drinks? Well, that's up to you. If you like an alcoholic beverage from time to time or make it a point to go to a bar every night, make sure to be prepared to buy your own drinks. Yes, I've had a few covered by both men and women when traveling, but never expect that you'll have locals buying all your drinks.

And always try the local drinks

In the event where you do have to provide your own breakfast, try booking your accommodations within walking distance of a grocery store or market depending on if you're staying more than one night in the same place. Buying groceries is far more efficient than ordering breakfast every morning. When I stayed in New York, the hotel I stayed at with my friends didn't offer breakfast but had a Whole Foods less than a block away. They offered breakfast options in the morning at a rate far cheaper than the restaurants nearby.

There are plenty of ways to skimp on travel expenses, but food should never be one of them. If you're going to travel, bring extra money for the food. You won't be sorry.

Clothing

I already covered shoes in my last post, so I won't revisit that point. When and where you travel can be a little costly depending on the weather. Let's say you want to visit Scandinavia in January, but you're from California where the winters are generally mild. You will need to invest in appropriate clothing before you leave.


Clothing can eat up a good part of your pre-trip budget if you don't take it into consideration. There's also the matter of checked luggage with air travel; not all airlines offer free luggage. In fact, even if they do allow for one free stow-away bag, they limit the weight you can carry to 50 lbs. and will slap you with a ridiculous fine for the amount of weight added over the limit. Make sure that regardless of if you're traveling with a group or solo that one of the hotels you stay at has laundry services so you won't have to pack as much clothing.

When shopping, try to find the discounted and wholesale stores to find the best prices. Or, if you're like me and love a deal, hit up the thrift stores!

Thrift stores can be truly magical places!

Only buy what you need; if your trip agenda has fancier places on the list, bring a dress or some nice shirts and tops to dress appropriately. Dress for the weather but don't plan on wearing more than one outfit per day unless the trip agenda has an upscale event planned. And if your agenda will have a hotel or lodging that offers laundry services, lighten your suitcase with a few less items so that you can wash what you brought and wear it again after it's clean. Believe me, everyone else will be doing it too!

Souvenirs 

Bouncing off the previous point, you will probably bring back a few knickknacks home with you. You should set for yourself a certain amount of money you plan to spend on souvenirs, and always remember that they will add extra weight. If your suitcase, full of clothes, shoes, toiletries, and other personal items weighing 45 lbs., adding more than 5 lbs. of souvenirs will add extra fees to your luggage unless you can include them in your carry-ons.


Keeping yourself limited to, say, $15 USD per day, for souvenirs is a good way to keep from going broke. You can also bring a backpack for your carry-on only and use that for bringing heavier souvenirs, but remember that when heading home you'll have had an adventure and will probably be sore and tired and don't want to add to any strain on your back and shoulders. Buy sparingly and try to buy light.

Third: Booking Your Trip

We're finally to the part you probably wanted to get to the most. So how exactly do you get the best possible deal when it comes to booking your trip? I did briefly mention booking through agencies, so I will go deeper into that option here. But how are you going to pay those agencies? Let's take a look!

Pay Up Front

This is the most obvious answer, and the option least likely to happen if I'm being honest. If you're making a paycheck that puts you above the poverty line so that this is a viable option for you, I applaud you! Seriously, that's impressive.

So if it's at all possible for you to pay off your trip with one payment, DO IT.


Credit Cards

Even if you can pay off your trip in one payment, you will still need to use a card of some kind. If you aren't able to pay it off all at once and opt to use a credit card for several payments instead, first make sure you don't have any outstanding debt.

As someone who used to work with loans, I can tell you that debt can really stack up fast if you already have long-standing bills, contract payments, or loans of any kind. Adding another few thousand dollars to your credit card statement can be a mistake that could affect your personal credit. Make sure that adding credit card payments to your budget isn't going to take too much out of your paycheck before confirming your trip.


There are also certain cards out there that are issued by credit card companies or banks that do have excellent rewards programs that can be put towards hotels and airlines based on the purchases you have made. If you want to see if any of the cards you already have qualify for any of these programs, speak with a banker or representative about the rewards and make sure you ask about the fine print, particularly interest rates. Accruing interest is something few people consider when booking their trip, so double check on what your current rate is so that you don't end up paying an extra 10% in interest alone.

Something else major to consider is your credit score. Having too many credit cards open under your name can bring your credit score down.


If you want to open a new one for travel specifically for the rewards offered, try speaking with a financial advisor first who can examine your current credit history to see if it's a wise economic decision. As wonderful an experience as traveling is, you shouldn't do anything to hurt your credit score to make it happen.

Groupon

Do you remember that I mentioned that I went to Ireland for the first time on a Groupon? I wasn't kidding.


It's crazy, but sometimes you can find amazing deals on vacations and trips on Groupon! Now, the only downside to this is that they usually offer trips that are meant to be for two people, so what looks like one price is in actuality half price with the expectation that the person you'll be traveling with will have bought the same deal too. Check the fine print!

Despite this, they still have some great deals. Look at the Groupon deal, find out what's included in the package, and see if you can still save if you buy two deals if need be. You can also live chat with a Groupon representative to ask any and all questions about their vacation and trip packages to see if you've found a steal of a deal!

And if you're not ready to solo travel but want to take advantage of this deal with a friend, family member or partner, give this option a try! And if you're traveling domestically, make sure to use Groupon as your guide to see what discounted restaurants or attractions you can purchase in the area you're visiting!

Financing

Most travel agencies will offer some kind of financing option, in which you set up a payment plan that you will continue paying even after you have taken your trip. With credit cards, you generally pay a deposit first and then the full amount at least a month before your trip begins. Financing is a contract between you and the travel agency to pay them an agreed upon amount directly until the entire trip is paid off.


However, every agency will offer their own financing and travel loan options, and they will have their own interest rates in their contracts. These rates can be around the same amounts of what your current credit card company is set at, or it can be more. It may seem like a great option in order to get out of town fast and have more cash to use on the trip for all necessary expenses, but you may come up with more to pay in the long run than if you used your credit card.

Again, check with a financial advisor, or ask the travel agency you're booking through to go over the best options for paying off your trip and discuss the fine print of the financing option. Every agency will have different policies, so it is entirely possible that you could find one that has a good deal.

Independent Travel Sites

It's best to book directly through the agency site of your choice in the event you choose to go that route. However, there are some third party sites out there that are completely legit and can find you a trip that's cheaper than the agency you're looking to book through.

As always, there are pros and cons to this option. First, you do need to make sure these sites are legit. For example, if you wanted to book through the third party website of Affordable Tours, then I can tell you that they are one of those legit sites that I have successfully booked through. What you want to look for is the Better Business Bureau accreditation because that will mean the company is willing to be a trustworthy source. You will also want to see that the company has a link to a review site so that you can see what others are saying about them. If you find a site with nothing but glowing reviews, that may be a bit suspect, so keep an eye on the number of positive reviews as opposed to the negative. If their positive reviews are numerous and has a small number of less than perfect reviews, they may be worth booking through.


However, booking through a third party won't always include all the possible extras that the direct agency offers. They normally book you the trip and the insurance, which is fair enough. Still, there are often offers for additional activities you can add to your trip before paying that are offered directly from the source. When buying through a third party, they may not be able to offer those extras, leaving you to book them when you're on the trip itself if it's still available.

Sometimes with these third party sites, you simply get what you pay for. If that's what you can afford, go for it! Even if you can't add on all the activities you can find other things to do.

Talk to your friends!

In this digital age, a lot of people are finding other means of earning income, and one of those opportunities comes through booking trips! In fact, one of these friends helped me out with the previous section!


When you have friends who work with travel, they can help set you up with some pretty awesome deals. Sometimes they can be involved in booking cruises, Disney adventures, or overseas tours of varying lengths. Your friends will not only want to help you find the best deal available, they will also want to promote their services so that they can make profit.

So if you do have friends who can book you on an amazing trip, they're not only helping you, but you're helping them build up their business. Support your friends!

Speaking of which, much thanks to my friend David of Explore Travel LLC for helping me understand how financing a trip works.

Fourth: Transportation

How are you going to get where you're going when you reach the country you're visiting? If you've booked a trip through an agency, you'll likely be on buses or trains, or even ships if you've booked a cruise. However, if you're going at this solo, how are you going to get around?

Some vacation packages include a car rental, but if you book everything by yourself you'll need to decide if you want to rent a car yourself, or if you'd like to rely on public transit. In places like Europe, where public transit is the main means of getting around, you can easily go all over the country or countries for relatively cheap. Sometimes you can even purchase reloadable transit cards so that you can have cheaper access to trains and buses.


Now I covered car rentals in my post about road trips but driving in a foreign country is much different than driving in the US. Different countries will have different driving laws for starters, such as Paris, France not having any stop signs while the rest of the country does. So, keeping up to date on these traffic laws is important because you don't want to be pulled over and have to pay a fine!

There's also insurance to take into consideration. For instance, insurance rates for Americans driving in Ireland are particularly high. And why would that be? Well, to quote Patrick Murphy of the band Gaelic Storm: "they're called roundabouts, not over-and-out-abouts!"


Insurance premiums for Americans in other countries are going to vary but can be costly. Also, many roads are toll roads! Some countries will have toll plazas, while others will have cameras set up at specific areas on the roadways and you'll have to pay at local gas stations, hotels, or even apps for your phone within a certain amount of time. And if you miss one of these tolls, you can incur some nasty penalties.

While I highly recommend renting cars for road trips in your home country, renting a car in a different country is a completely different ball game. Having complete control over your itinerary by driving a rental is a wonderful freedom to enjoy, but make sure you are aware of what the cost of transportation is versus the cost of rentals.

Finally: Airport Parking

Airport parking fees are ridiculously exorbitant.

Let's say that you've purchased a trip to Canada and will be gone for 9 days, and you're flying out of LAX. All parking at LAX is $40 per day unless you get the economy parking, which is $12 per day. That's $360 if you do the regular parking, or $108 for the economy lot. Now let's look at ORD: their parking fees are $42 for daily, $22 for the first economy lot, and $15 for the secondary economy lot, even more expensive than LAX. If we stick to the LAX economy rate, $108 can take care of your food budget for at least half of your 9-day trip.


Many people don't take this into consideration which is why I'm mentioning it here. If you want to save money, you can either check with a friend to drop you off and pick you up with you return and pay for the gas. Or ask a family member and offer to pay for the gas as well or to bring them back something extra special from the country you're visiting. 

If you're lucky enough to have public transportation that leads to the airport, use that instead of driving. In the end, you want to have as much money as you can spare for your trip and that alone. Anywhere you can cut corners safely and economically, do it.

The Final Word

If a single lady like me can travel both internationally and domestically without being overwhelmed by debt, then you can too! Always remember that if you are motivated enough, you can make it work. I gave you a lot of information here to process so if you're going to walk away with a few points, take a moment to remember these:

1. Any extras that are not part of your living expenses can be sacrificed for a short time
2. Always check the fine print
3. Avoid making financial decisions that can affect your credit
4. Interest rates can be sneaky!
5. The pros and cons of your choices often whittle down between cost and time

Don't let the prices for your trip scare or discourage you from traveling. If this is something you really want to do, you'll find a way to make it happen. 

Thanks for reading this post, and I hope you were able to learn some valuable information! Coming up in my next post, I chose to go with something a bit more upbeat instead of advice and counsel on travel. I'll be sharing stories of my adventures!

Stay safe out there, and start looking at your budget!

Images courtesy of Giphy.