8 Savvy Ways to Save on Summer Travel—Before You Board a Plane

Planning your next big vacation? You can expect summer travel prices to stay high this year. In fact, overall trip prices were 15% higher in January 2023 compared to January 2020, before travel saw a dramatic global decline due to the COVID-19 pandemic.¹

The good news: With a bit of planning and research, you can keep your travel affordable. To avoid burning a hole in your wallet or going into debt, here are eight savvy ways to save on travel during the planning phase.

1. Be Flexible in Your Travel Dates

Having a bit of wiggle room and being flexible about when you travel can help you land the best flight deals. While planning for your summer adventure, use a price tracking tool and set different locations and a range of dates, or "flexible dates." This will alert you of any changes in the cost of flights.

Not only can a price tracking tool help you cut costs, but it can also save you time since you won't have to go through the trouble of researching different airlines, destinations and dates on your own.

2. Consider Traveling to Countries With a Summer "Shoulder Season"

Look for vacation spots with a "shoulder season" that lines up with your ideal summer travel dates. A shoulder season is typically the period between a destination's peak season and its off-season, lasting anywhere from a few weeks to months. This is a great time to travel because you can avoid droves of tourists and pay less.

Shoulder season varies according to the locale. For instance, Europe's shoulder seasons generally run from April to mid-June, and again between September and October.² The shoulder season in Southeast Asia is typically from March to May.³

If possible, look for a shoulder season that lines up with your summer travel dates. For example, South Asia's shoulder season generally happens between June and November, and in Central Asia, the shoulder season is typically from July to August.⁴

3. Go Where Your dollar Stretches the Most

Pick a destination that's cheaper to travel to, and where the currency exchange rate works in your favor. Overall, the U.S. dollar hit a 20-year high in 2022 and is expected to continue to stay strong in 2023.⁵

Where is the U.S. dollar worth the most? The dollar is strong in countries such as:⁶

• • Peru
• • Mexico
• • South Africa
• • Egypt
• • Japan
• • Argentina
• • Chile
• • Hungary
• • Colombia
• • Vietnam

To avoid paying hefty fees to exchange currency, head to a bank to get your cash situation handled before leaving the U.S. Try to steer clear of currency exchange booths at the airport, which usually charge more than banks do.⁷

4. Look Into Booking Accommodations Separately

You might find it convenient to book your flight and hotel at the same time, but it can actually be cheaper to book your flight separately, when prices are low. Save on where you stay by scouring travel cost-comparison platforms and apps such as Hopper, Expedia and KAYAK® for last-minute deals.

You can also look into various options for accommodations. Will a private room in a hostel be the best fit for you and your travel companions, or do you prefer a hotel? Other options include vacation home rental listings, where you might be able to snag a discount for a longer stay. If you're an outdoorsy, nature-loving bunch, consider camping for part of your trip.

5. Use TikTok and Pinterest to Research Attractions

Beyond entertaining videos and eye-catching photos, TikTok, Instagram and Pinterest have lots of great ideas for fun, interesting attractions to check out, no matter where you decide to vacation. The best part is that popular local adventurers and globe-trotting vacationers alike might share off-the-beaten-path points of interest.

You can also look to these platforms to find local travel guides who populate their feed with the best things to eat, see and do in their stomping grounds. While these travel guides might offer a package tour, if you're up for the challenge, consider coming up with your own version based on recommendations. Your favorite frugal social media feeds might also have tips on how to save on everything from flights and dining to sightseeing and entertainment. Do a quick hashtag search for cost-saving travel tips for different destinations.

6. Get Travel Insurance

Sure, it's an additional cost, but travel insurance can save you money overall if something goes awry during your summer vacation. Depending on the details of your coverage, such as your policy and limits, travel insurance could reimburse you for travel hiccups and nonrefundable parts of your trip, such as:

• • Medical expenses
• • Baggage delay
• • Baggage loss
• • Missed flight connection
• • Trip cancellation or delay due to surprise situations, such as the illness of a family member, natural disaster, inclement weather, job loss or stolen passport or visa

The average cost of travel insurance in 2023 is typically 5% to 6% of the cost of your trip.⁸ So if you anticipate your summer vacation costing $4,000, expect to pay about $200 to $240 for travel insurance. Some credit cards offer cardholders travel insurance, but with caveats. While this could save you a chunk of change, remember to read the policy carefully.

7. Make the Most of Your Credit Card Travel Perks

Tap into your credit card perks for your summer travel expenses. There are so many ways you can make the most of these perks to save on your vacation, including cash back and other card rewards, which can be redeemed for purchases for your trip while you're seeing the world.

If you're a RVC Premier World Mastercard® cardholder, you can enjoy cash back on every purchase,* which is unlimited and automatically credited to your statement every month. Other perks include monthly Lyft credits and access to Mastercard Travel & Lifestyle Services, which offer travel, dining, hotel and entertainment benefits.

8. Start a Savings Plan for Your Trip

Once you have done your homework, researched potential destinations and related costs, and chosen a locale, create a budget for your forthcoming trip. To start, list the following:

• • How much will the trip cost? Estimate the various costs of the trip (i.e., flights, accommodations, food, entertainment, transportation, insurance, health-related incidents) and then add 20% on top of that for unexpected expenses.
• • How much do you currently have saved for the trip?
• • When do you want to take the trip? The timeframe matters because it will impact how much you need to save each month.

Then, use Riverstones Vista Capital 's savings goal calculator to determine how much you need to save to hit your goal. You'll most likely need to book your flights and accommodations before your trip, so figure out how much you'll need and when so you can be sure you have enough tucked away in your vacation fund to cover these costs.

To make steady progress on your vacation savings goal, set up an automatic savings plan. Decide whether you can make recurring deposits via automatic transfers or direct deposit. You might also consider opening a high yield savings account, which can help your money grow for your short-term goals.

To make even faster headway on your vacation savings goals, you can commit to putting a portion of your tax refund toward your dream trip.

The Last Word

Don't let inflation, rising travel costs and a potentially shaky economic climate get in the way of creating lasting memories and experiencing the world with your loved ones. Doing your homework, researching travel costs of different vacation spots and creating a budgeting plan can help your travel bucks go further. So start today!

 

Jackie Lam is an L.A.-based money writer whose work has appeared in Salon.com, Refinery29, Time, Forbes, Business Insider and BuzzFeed, among others.

 

LEARN MORE: How to Create an Automatic Savings Plan

*2% CASHBACK: Valid on net purchases (less credits, returns and adjustments) of goods and services made with your RVC Mastercard. Cash back earned will be applied as a statement credit within 2 billing periods after an eligible purchase is made. See Reward Terms for details. NO ANNUAL FEE: For new accounts the Variable Purchase APR will be 16.24%, 22.24% or 29.24%. The APRs are accurate as of October 1, 2022 and will vary with the market based on the Prime Rate (as defined in your credit card agreement). Minimum interest charge is $2.00.

 

 

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