Family vacations are a great way to create lasting family memories and really bond as a family. Plus, you can explore new parts of the country, or even the world, and have some incredible experiences.
Saving for a family vacation is like saving a down payment for your first time (but on a smaller scale). What do they both have in common? You start by making the decision to save money, and then you create a savings plan.
For some people, taking a spending vacation is a way to kick-start their savings account. This is when you choose a specific amount of time and do your best to eliminate extra spending (or avoid spending on non-essential purchases).
If you prefer to do your vacation spending throughout the year, here are some ways you can build your vacation savings. (These tips can also help you start to save a down payment over time if that is one of your financial goals).
- Open a separate account for your vacation fund so you don’t accidentally spend your savings
- With every paycheck, transfer a set amount to your savings account (you can even set this task up as an automatic transfer so you don’t have to remember to do it!)
- When you’re getting rid of items from your home, list them on local buy/sell groups and put that money into your savings account
- Shopping for something specific? Remember to do some research to see if the item is on sale anywhere. Apps like Reebee can help you easily search local flyers. And browser plugins like Honey can help you find online coupons.
- Pay attention to where you spend your money every month. By reviewing your bank statements on a regular basis, you’re more likely to discover unnecessary spending habits. This may include automatic monthly subscriptions you completely forgot about.
- Plan your meals on a weekly basis. By planning your meals ahead, you can ensure you have everything you need so you don’t quickly opt for take-out.
- If you find yourself with a bit of extra money (an unexpected payment, money that went unspent in your chequing account, etc.) transfer a portion of it into your savings account. Every dollar counts!
- Consider budget-friendly options for entertainment. Are you a big reader? Choose the library over buying new. Do you love movies? Is there something you can watch on a streaming platform you’re already paying for?
Making little changes over time can help you save for a great family vacation. And now the fun part begins. Where are you going to go?