My Kinda Obsession

How to Save for a vacation - Travel Fund | My Kinda Obsession

Saving for a Vacation: My Tips and Tricks – Travel Fund

There’s a pep in my step when I feel the enjoyment of knowing I have a vacation coming up! Traveling is something that I LOVE to do. There’s nothing quite like visiting a new place. It’s exciting to get to know a different culture, check out a new scenery, try out different food, and for me, share the experience with people I love. Now we all know that traveling can be expensive. It can be difficult to start saving for a vacation. Depending on where you’re going and staying, when you’re going, and what you’re planning to do, the costs can add up. 

I’m not a travel hacker by any means. As traveling is something I love to do though, I’ve found many ways that have helped me save for my vacations. Read on to learn the apps, websites, and tips I’ve found helpful!

Steps To Start Saving For A Vacation:

  • Establish a travel fund

One of the first things I did to help me save was to establish a travel fund. To start a travel fund, you can do this in one of two ways. A lot of banks nowadays let you have subcategories within your savings account. What I suggest doing is creating a subcategory in your savings account that is only for saving and using for travel. Call it ‘my travel fund’ or even better to get you motivated, ‘My [insert the desired destination] travel fund 20XX’. It should look something like this:

Saving for a vacation

Having a dedicated travel account will make it easier for you to separate out what you’re putting in and what you’re taking out of this fund!

Personally, I have a completely separate bank that I use for travel. My primary bank is Capital One 360, but for my travel fund, I use is Charles Schwab. I choose to make this my travel bank for one simple reason:

Saving for a vacation

Yes, you read that right, no ATM fees worldwide. I can attest to this. Any ATM that I have withdrawn from here in the states and abroad, I’ve been reimbursed for every. single. fee. Those ATM fees add up, so don’t let the banks make money off of you, that could be money better spent on your travels!

  • Fund your travel account

Now that you have your travel account set up, it’s time to start funding it! How much to put in each week/month is totally up to you but even small amounts can add up:

$50 each month for a year = $600

$100 each month for a year = $1,200

You get the idea. Set up an automatic direct deposit to your travel account if you don’t have the willpower to transfer the money yourself. 

  • Ensuring you can fund your account

Another tip I have if you don’t have automatic deposits, is to deposit money with the first paycheck you receive every month. We all know life happens, and if you wait to deposit money at the end of the month, you might not have any money left over.

Using myself as an example, I get paid weekly. I know that when I get my first paycheck every month, I’ll deposit X dollars into my Schwab account. Since I also make a budget every month I know that because I used X dollars for my travel fund, I’ll have to re-adjust my budget and re-prioritize what I can spend on with the remaining amount. It may not be easy at first, but think about how future you will be lying on the beach with a cocktail in your hand and it will make the ‘sacrifice’ that much easier.

I hope some of these tips help! This is part one of a mini-series as I share with you the rest of my tips and tricks.

Let me know if you have any tips and tricks in the comments!

XX

     Valeria 

All opinions are my own, to learn more, please see my disclaimer policy.