Learn how to budget for a vacation

Over two years of lockdown have made people long for an adventure more than ever. This is why the term "revenge travel," or making up for the lost years of traveling by going on a huge or lavish vacation, has become so popular these days.

If you want to finally take the vacation you've been longing for, don't forget to budget for it! Whether you have a long, domestic trip or a grand 'round-the-world tour in mind, having a budget is key to stopping yourself from overspending.

Budgeting for a trip can be tricky, but it's important to make the most of your travel experience. The last thing you want is to suddenly run out of money in the middle of your trip!

Here are a few tips on how to budget for a trip:

• Set a budget
  It's important to set a budget for yourself and stick to it. This way, you won't overspend on your trip. Your budget should cover everything from flights, accommodations, food, access to attractions, and even pasalubong. Don’t forget to include a buffer for any incidentals you might need to pay. A good margin would be 10% of your total budget.

• Plan ahead
  Budgeting for a trip involves some serious planning. The earlier you plan your trip, the more likely you are to find good deals on flights, hotels, and other activities. Ticket and hotel prices tend to become more expensive the closer it is to your booking date, so make sure you plan and prepare adequately.

• Consider your travel style
  If you're someone who likes to spend a lot of time in hotels and tourist areas, your trip expenses will be higher than if you're lodging at hostels or staying at friends’ houses. If you’re traveling alone, it is easier to plan because you don’t need to consult others about your trip. If you are traveling with friends or family, you need to make sure you are all aligned about the kind of trip, destination, and accommodations where you are all comfortable.

• Compare prices
  There are a number of websites and apps that allow you to compare prices for flights, hotels, and other activities. This can help you find the best deals. There are even sites that give you airline ticket alerts for when the lowest rates on your chosen flights.

• Use your rewards points
  If you have credit cards with rewards points, see if you can use them for travel-related expenses. This can help reduce the overall cost of your trip.

• Wait for travel deals
  Many airlines and hotels partner with credit card companies. Throughout the year, they offer travel sales where credit card holders can avail of special prices. Make sure you’re on the lookout for these major discounts!

• Travel during off-peak season
  If you can travel during off-peak seasons, you'll likely find cheaper rates for flights and hotels. Apart from being able to save, you’ll also have less people to contend with at popular tourist spots! If you can, try to avoid traveling during the summer months (March – May) or around Christmas (December) which is when prices are at their highest. If you’re traveling locally, consider planning your trip for some time in June, July, or August. For international destinations, the lean months are anywhere from June to November.

• Pack light
  If you’re flying on a budget carrier, keep in mind that your ticket price is based on how much luggage you bring with you. For most budget airlines, the limit is one carry-on luggage weighing 7 kg. Double check with your carrier what their free baggage allowance is so you don’t overpack. If you want to stay within budget, travel light and make sure you weigh your luggage before heading to the airport.

• Bring your own food
  If you're travelling to a country where the food is expensive, bring your own food to save money. You can also book an apartment or an Airbnb so you can cook your own meals at home. Budgeting for a trip is easier this way and you can even control what kinds of food you get to eat.

• Use public transport
  If possible, use public transportation instead of taxis or private cars. This reduces your transportation costs. Apart from this, traveling via public transportation is a great way to truly experience life as a local! Research the routes and lines you’ll need to take in advance to save you some time when you get to your destination. Also look up ways you can cut down on your transportation fees. For instance, some metro lines offer cheaper fares if you purchase round-trip tickets or ride-all-day passes.

• Avoid tourist traps
  Many popular tourist spots are often overhyped online and turn out to be underwhelming in real life. These tourist traps do a good job of drawing people in without really offering much for the public once they arrive. Do your research and read reviews on which tourist spots are really worth visiting.

• Have fun
  Budgeting for a vacation doesn't have to be all about saving money—make sure to enjoy yourself too! Don’t forget to include a “fun” category in your travel budget. After all, you travel so you can enjoy yourself and experience more of what the world has to offer. Treat yourself to a few luxuries while on vacation – whether that’s a meal that’s more expensive than the others or a souvenir you’ve been eyeing for ages.

Traveling is one way you can make your life richer. If you know how to budget for your travel plans, you can enrich your life while staying financially responsible.

Let Metrobank help you stay within your travel budget by using your Metrobank credit card to score huge discounts from our partner merchants.