Family travel budgeting
Long-term travel is financially burdensome for us because we do not have millions in our accounts and we do not come from wealthy backgrounds. Therefore careful budgeting and financial planning are crucial to make the most of our journey. In this blog article, we delve into effective strategies for managing your family travel budget, taking into account factors such as trip duration, destination choices and travel style.
Note in advance: we approach money as a tool that flows in and out, working for us to create unforgettable experiences. Our goal isn't simply to accumulate wealth but rather to maximize the potential for adventure and incredible moments in our lives. Having a dedicated budget gives us peace of mind, knowing that our dreams can be turned into reality while staying financially responsible.
The first step in budgeting is to determine your trip duration. It’s obvious that your your overall expenses are impacted by how long you intend to travel. We took into account work commitments (Alpay is able to take off for a maximum of 12 months) and school schedules for Laila, Emmet & Malik (we think that finishing a school year and starting to homeschool with a new school year is easier than dropping out in the middle of a semester or term) when determining the optimal trip length.
We then had a long list of destinations after each family member was allowed to name the places he/ she would like to visit. And it was quite clear from the beginning that we can not visit all destinations in one year. So with family’s interests and priorities in mind, we researched different factors like cost of living, visa requirements and safety to select destinations. Opting for a mix of affordable and more expensive countries can help balance your overall travel expenses.
For example, we would have liked to visit China but know that we could run into difficulties getting a visa approved these days. We also left European destinations aside for they are easy to reach for us in our usual vacation times.
Choosing a travel style is crucial. Determine the level of comfort and luxury you are willing to invest in during your trip. Decide on accommodations, transportation and dining options that fit your family's preferences and financial capacity. We try to balance budget-friendly choices with occasional splurges because we know it helps create a memorable travel experience without breaking the bank. For instance, we would never even consider an expensive flight ticket if there is a more reasonable one available because transport only serves the purpose of getting us from A to B. Going out for dinner though is more for us than just getting fed up - it can also be a mean of indulging into a culture - so we might go out more than cook ourselves. And in accommodation, for example, the location is mostly more important to us than the design of the house.
Activities and attractions hold a significant place in our travel priorities, and we allocate a dedicated budget accordingly. Our kids’ fascination with wildlife and our own love for outdoor activities means that we often engage in experiences that don’t come with a hefty price tag. Maybe you value educational aspects or sustainability more? It’s important to consider the varying costs of activities in different countries and remain flexible within your budget to ensure a well-rounded and enjoyable experience.
Being mindful of the seasons in different countries can have a positive impact on optimizing your travel budget, we have observed. Visiting popular destinations during their off-peak seasons can result in lower costs for accommodations, flights and attractions. However, we also sometimes try to consider potential weather-related limitations or seasonal closures that may affect travel plans.
Another factor that initially caught us by surprise is the accumulation of necessary acquisitions. As a family, we require items such as electronics (for example, Laila, Emmet and Malik each need their own iPad for comfortable homeschooling), clothing and backpacks. To mitigate the financial impact, you may want to consider exploring second-hand marketplaces like eBay Kleinanzeigen, eBay or Momox to sell unnecessary belongings and generate additional funds. Another option might be to ask for specific travel gear as gifts for birthdays or special occasions, reducing the burden on you travel budget.
Supplementing your income by exploring side jobs or temporary income streams can be an effective way to boost your travel savings. Consider options such as freelance work, remote consulting, or monetizing a skill or hobby. Making temporary sacrifices, such as reducing the frequency of weekend trips to day-long excursions, or adjusting your lifestyle, like cooking at home more often instead of eating out, can significantly contribute to your travel budget. These small adjustments can add up over time and provide you with the extra funds needed to make your travel dreams a reality.
Terminating unnecessary contracts seem like an obvious factor but is often forgotten. We did review our current subscriptions, insurances and memberships to identify any that are no longer essential during your travels. By canceling or suspending these contracts, you can free up funds and reduce financial obligations.
Last but not least, we can recommend establishing a dedicated travel savings account. While Alpay and I have always had our individual accounts, we also opened a joint account specifically for our upcoming world trip. We have been consistently transferring savings into this account and now use it as our primary source for making reservations. Opening a separate savings account ensures that your travel funds are not mixed with daily expenses, helping you track your progress and resist the temptation to dip into the funds for non-travel-related expenses. Additionally, having a dedicated account may even allow you to take advantage of mileage programs or other travel rewards. It's a practical and effective way to manage your travel finances and stay focused on your journey.
In conclusion, embarking on a year-long trip around the world with children, like any long-term travel, necessitates meticulous budgeting and financial planning. By taking into account factors such as trip duration, destinations, activities, travel style, necessary acquisitions and additional income streams, you can ensure a successful and financially sustainable adventure. For us, it's not solely about saving money but rather about prioritizing experiences that will forge enduring memories for our family. We invite you to share your thoughts and any "perfect" solutions for family travel budgeting in the comments below. Your insights are valuable to us!
