Planning the perfect debt-free family holiday
Nothing kills a holiday glow like a holiday debt. And it’s not just the travel costs and accommodation that can be the culprit – eating every meal out, entry tickets to see the sights and souvenirs for the kids all take a chunk. Here’s how to keep that holiday buzz and avoid the blowout.
Planning and persistence are the key – do your research and don’t be afraid to ask for a better deal, but there are also clever tools to help you plot your finances towards a sanity-saving vacation.
Eyes on the prize: Narrow down your ideal destinations to three choices, then use savings goal calculator to see how long it will take you to get together the funds.
Investigate discounts: Credit card and car/home insurance membership often entitles you to discount entry tickets, meals and accommodation – don’t leave home without seeing if you can take advantage of one of these offers.
Don’t count your chickens: If you’re counting on a tax refund to help you find some holiday funds, get a good estimate so you aren’t caught short. You can’t plan your holiday budget with a crystal ball, so use an income tax calculator for a clear idea of what’s up your sleeve.
Look into low-cost attractions: Are there museums, parks or historical sites you can visit for free? A great day out doesn’t need to involve an entry fee.
Reap the rewards: Used wisely – that is, by paying it off every month – a credit card with a good rewards system is an excellent tool. The best deals are often to be had with frequent flyer points, so if a holiday is on the cards, resist that hand-held vacuum you can get for free and put the points towards a plane ticket. Compare rewards programs to see which card can take you furthest.
Give the kids some fun money: Offer a set allowance each day for the kids to spend on whatever they’d like – treats, souvenirs etc – but once they’ve spent it, that’s it. By giving them a little financial freedom, you won’t have to enter into pleas for extra expenses.
