5 Tips For Saving Up For Vacations

Some vacations cost a fortune, some you can take for a steal. One thing is for sure, though–all vacations will cost something. Regardless of what your budget is, awesome vacations don’t have to be daydreams. You simply need a plan in place for saving up for your trips. Here are five simple tips for saving up for your next dream vacation.

Open a travel fund.

The easiest thing you can do to save up for a vacation is to actually set up some type of savings fund that’s dedicated to your travel life. If you can set up an account that automatically withdraws from your main account, your saving can become an “out of sight, out of mind” activity and before you know it you’ll have a good chunk of change put aside for traveling. Another great option is to make use of an investment app like Acorns, which will round all of your credit and debit purchases up to the nearest dollar and invest that money into an investment account.

Make automatic deposits in your savings account.

As mentioned above, automatically pulling from your checking account (say, whenever you get your paycheck…) and depositing into your savings is a great way to invest in vacations without missing the cash too much.

Take a good look at your spending and adjust.

Taking a moment to assess your spending will show you where you might be throwing money toward something that would be better off going toward your vacation fund. Are you paying for services that you no longer use (e.g., Amazon Prime, premium cable services, mobile phone services, etc.)?  If you are, chop those services and put the monthly amount toward your travel fund.

Increase your retirement investing.

While investing in a travel fund will allow you to take trips more immediately, increasing your contributions to investment funds will help you take some truly epic dream vacations when you retire. For example, if your company offers matching 401K contributions, consider increasing the amount you take out of each paycheck.

Get smart with your credit card rewards.

Many of the credit cards on the market today offer some type of reward program that’s specific to travel. You can get insane discounts on flights and hotels, and utilizing those reward points can be a cheap and easy way to take one of your dream trips. Study up on your reward point system and make sure you’re taking advantage of it.