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2. Turn one big goal into multiple smaller goals<\/h3>\n\n\n\n
Once you\u2019ve established how much your trip will cost, determine the amount you need to save on a monthly, bi-weekly, or weekly cadence until you can fully fund your goal, Lent says. For example, if you\u2019ve figured out that you need $1,000 for a trip coming up in five months, you\u2019d want to save $200 a month. Or if you wanted to break it up into even smaller chunks, you could have a savings goal of $50 a week.<\/p>\n\n\n\n
Breaking your goal into smaller steps makes it appear more manageable, Lent says. Saving $200 a month feels much more attainable than trying to put away $1,000 all at once. Psychologically, splitting up a large goal into multiple smaller ones gives you a sense of accomplishment every time you cross one of your funding milestones.<\/p>\n\n\n\n
3. Keep your travel fund in a separate savings account<\/h3>\n\n\n\n
There are ways to make your money work harder for you. With a savings account<\/a>, you\u2019ll earn a specific percentage of interest on your money, known as an annual percentage yield (APY). That interest is compounded, too, so you\u2019ll grow your savings even faster. \u201cThe ability to put cash aside into a different account labeled with a goal motivates me to call it \u2018my precious\u2019 and protect it,” Lent says. “I\u2019m also a firm believer in making your money work for you.\u201d<\/p>\n\n\n\n Making a plan and budgeting for travel is a critical first step, but if you want to make your dream vacation a reality, you\u2019ll need to stay on track. To keep your momentum going, consider these three tips for how to save money for travel:<\/p>\n\n\n\n Looking for some low-hanging fruit? Lent says to try reducing nonessential spending first. While that might mean spending less money on things like dining out or new clothes, it doesn\u2019t mean you need to live like a hermit to achieve your financial goal.<\/p>\n\n\n\n \u201cCutting back on your discretionary spending can seem brutal when all you want to do is live your current lifestyle,\u201d says Lent. \u201cMy advice is to cut spending in small amounts at first and then look for cheaper ways to do the things you want to do. As you begin to cut back while still doing the things you love, you won\u2019t be depriving yourself, which makes it easier to stick to your budget.\u201d<\/p>\n\n\n\n <\/p>\n\n\n\n Just because you\u2019re budgeting for travel doesn\u2019t mean you have to give up on fun entirely. These days you can find coupons or discount codes for almost any activity, from festivals and sporting events to restaurants and bars. \u201cFor example, if you want to go to a concert, look for it on a group coupon site,\u201d says Lent. \u201cPlan on drinking with friends? Ask your friends to check out a happy hour with you.\u201d<\/p>\n\n\n\n
Keeping your travel fund in a separate savings account<\/a> is another helpful strategy. It can streamline your efforts, making it easier to track progress and know exactly when you\u2019ve reached your goal.<\/p>\n\n\n\nTips for keeping your travel fund on track<\/h2>\n\n\n\n
1. Curb your spending habits<\/h3>\n\n\n\n
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<\/figure>\n\n\n\n2. Take advantage of freebies and discounts <\/h3>\n\n\n\n