Holidays are a time of relaxation and disconnection from daily routines. However, the vacation period, as well deserved as expected, can have repercussions for the family economy if it is not managed properly, and end the account with zero after the trip. Luckily, there are a number of tips on how to save for travel and planning vacations without involving extra expense in the family budget.
Spaniards spend almost € 3000 a year on vacations
According to data from the National Institute of Statistics, the average expenditure per household for vacations was € 2,944.35 in 2019. This is a fairly important amount of the annual family budget, above everything allocated in the year to items of clothing, teaching and leisure together.
However, despite its relevance, the truth is that few families give vacations the importance they deserve within their family budget. Most of them prefer to use their savings or finance vacations to enjoy the trip and pay for it throughout the year.
But, Is it possible to assume the cost of vacations without involving extra expense for your family budget? The answer is yes, with planning.
How to save for family travel and vacation planning
Make an expense forecast
The first step to determine your objective is to prepare a sufficiently detailed budget of all the expenses of the trip, from the hotel, transportation and leisure expenses. The objective is that you deviate as little as possible from it, as it happens with other family games.
How much to save per month for a trip
One of the simplest options when saving for travel is to set aside a certain amount of money throughout the year in order to gather everything you need to pay for the trip. The longer you plan your vacation, less monthly effort you will need to achieve it.
To be able to pay for a € 3,000 vacation, you need to save € 250 per month for a year
Thus, for example, in the case of planning a trip of € 3,000, which is approximately the national average, you will need to save € 500 for six months. But if you plan with more time, let’s say 12 months, you will only have to set aside € 250 per month.
The current tools of banks facilitate the achievement of this objective. For example, a series of objectives can be set, their amounts and their deadlines, and the entity is in charge of transferring the amount necessary to reach the objective at the beginning of the month. And all this automatically.
Try to save when booking the holidays
When planning vacations, there are certain expenses that are difficult to reduce, such as a flight, the train ticket or the cost of car gasoline, unless you travel at another time of year, book well in advance or travel when gasoline is cheaper, something very difficult to predict.
However, in the case of hotel reservation, there is much more option to save, both for availability and for services offered. In fact, in most accommodations you can choose the regime (half board, full board, all inclusive …), and compare it with what it would cost you if you had to eat out every day.
For instance, Let’s say a ten-day vacation for two people, the difference between accommodation only and all inclusive is € 800 in total, € 80 per day. If within your forecasts the total of meals for the day is higher than that figure (including breakfast, lunch, dinner and drinks), it may be worth it to take the all-inclusive regime. If not, a cheaper regimen may be more interesting.
Investing can help you achieve the goal
Saving is not the only possible option for planning vacations. You can too invest part of your savings to obtain an extra return that facilitates the objective. The important thing is that you choose the instruments that best suit your risk profile and that have immediate liquidity to be able to reimburse the capital at the time of vacation pay.
One of these instruments is investment funds, a product that allows you to recover your investment in a few days, with total liquidity. What’s more, there are a wide variety of investment funds that fit the risk profile of each investor.
But, yes, it must be taken into account that, if the profitability is not as expected, you can lose part of the investmentEspecially if you choose a riskier equity product.
In short, despite its high amount, vacations shouldn’t be a problem for the family budget If you are far-sighted and you know how to save to travel as a family, you will be able to manage it properly.
In Orange | Vacation guide
Save on vacation