How to save money for travel

Travel is not about money – money is just an excuse people use not to travel. In order to get somewhere, you have to set your priority on the next destination you’d like to go see, and see what it would take to make that experience happen. You might have to spend a few dollars to have access to a certain experience, but there’s no direct relation to the amount of money I spend on a trip and the experience value I take out of it.

Travel is something I consistently save money for. I pay myself first: from every pay cheque I set aside an amount that I will only use for travel. Even if it’s a small amount or just a few dollars, from every pay cheque the first portion is dedicated to travel. Over time those contributions add up.

If you notice how your hard-earned money seems to slip away a little too easy every month, it’s time to rethink your finances by putting your spending habits under control. Sounds complicated? Well, not really. Once you realize the rewards of having money available to do what you want to do most, whether that’s travel or some other goal in your life, you’ll probably find the motivation to do what it takes to get there.

To help you get started, here are some helpful money saving tips:

1. The easiest method of building wealth is through saving money. Pay yourself first and save at least a small amount of money every month on a consistent basis.

2. Focus expenses on the things you need, instead of what you want. Live day-by-day knowing that you have enough.

3. Avoid buying on impulse. Take your time when buying something, especially expensive items. Do your research and decide if you really need it. Give yourself at least 24 hours to consider the purchase. If you realize you don’t want it as much after your “cool down period”, then it isn’t really worth the money.

4. Credit card debts are the number one reason for financial drains these days. Control your spending by using your credit cards as charge cards and pay off the balance in full every month. You’ll save a significant amount in interest payments, sometimes well over 20-30%. For emergencies when you really need access to funds right away, consider using a card that charges less interest, or use a cheaper line of credit instead.

Here’s something I use personally to manage my finances:

For those in Canada, consider setting up a (free) savings account with Tangerine. I save a fixed amount every month, which steadily builds my travel fund over time. When you use my referral Orange key they’ll give you a $50 welcome bonus – that’s free cash for opening a free account with at least $100. So why wouldn’t you? Here’s the code you need for signup: 17449185S1 – once you have it click here and get your free bonus.