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Budgeting 101 – Post-trip math

Here, do what I say, not what I do.  It’s very important, vitally important, to your long-term travel schemes that you learn to do post-trip math.  Basically it’s easy, just take a plastic zipper envelope with you when you travel and always ask for receipts.  Stick them in the envelope and keep them for later.  Once you get into the habit, this is the easy part- if they can’t give you a receipt, just write a note of the total and what it was for.  Also make sure that you write on the receipt what it was for if it doesn’t automatically print.

Once you get home is the hard part.  Pull out your computer and open Microsoft Excel or a new Google Spreadsheet.  Input all your receipts with the amount, the date, and the category.  Make the categories broad, things like sightseeing, food, lodging, shopping, etc.  Once you’ve done this, you can create a total for each category and each day. 

It’s painful.  I know.  Especially if you’re like me and constantly go over-budget by a bit while traveling.  But it’s vitally important.  Once you’ve got this post-trip math down you can figure out where you over spent, what was worth it and not worth it, and how much your initial budget was off.  Then you can prepare better next time.  Once you’ve paid back the credit cards that is…

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Budgeting 101 – Pay for tour or go it alone?

Ok, so you’re traveling.  Congratulations!  Now what do you do?  You know you want to see the ruins of Bath, the town of Shakespeare’s Birth and the Loch Ness monster, but how to make it happen?  Do you strike out on your own or take a local tour company’s trip?  How can you get the most bang for your buck? 

I’ve had many different experiences with taking local tours but most have been very positive.  If you’re naturally independent, it can be fun to try and find your way around alone, but mostly it can end up being frustrating if you’re on any type of a tight schedule.  If you’ve got any sorts of time restrictions, I have found that choosing the right local tours can help you see the things you want while allowing you to still travel independently. 

Of course, the trick comes in choosing your own local tour company.  When you’re in Los Angeles, there are thousands of street hawkers offering tours of the ‘Star’s Homes.’  Which one to choose?  I always look for the following:  Inclusion of admission to the site in your tour price.  Knowledgeable and interesting guide.  Reputation (look for fliers with listings of their tours in other cities) and stability as a company.  Good transportation (find a fun-looking bus, but be wary of the boat-looking busses!).

If your tour company includes the admission fees to sites and the transportation fees it is frequently less expensive to use a local tour than to arrange transportation and entrance fees yourself.  They can include both because they buy admission in bulk from locations for their customers so they get a discount (not that they’ll tell you this) and therefore they’re still making money.  Plus, if you get a good guide you can get some free sight seeing and information in that you wouldn’t have gotten in otherwise.

Also, there are several sites that you can check out before you go for great reviews on tour companies.  Kango.com has a whole ‘what to do’ section that is immensely helpful.  Viator.com will actually book your tours ahead of time for you.  Lonely Planet.com has reviews from other travelers.   

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Budgeting 101 – How to Fly Cheap

Ok, so flights are one of the biggest parts of any travel budget.  It doesn’t matter how much you can skimp on your room and board if you can’t get to where you’re going in the first place.  So here is how I get cheap airfare when I need (read: WANT!) to go abroad:

10. Shop around. Use the internet, call travel agents and call airlines themselves to check prices.  Frequently one might have access to a better fair than another.

9.  Flex your days. Tuesdays, Wednesdays, Thursdays and Saturdays are the cheaper days to fly anywhere because business travelers and weekenders aren’t flying them.  All airlines and travel agents can check these dates for you and now many search engines can as well.

8.  Fly location specific airlines.  Air Lingus frequently has the cheapest flights to Ireland, but not to Saskatchewan.  Which makes sense. 

7.  If you’re flying within a country or region find out what airline the locals fly.  Many times these airlines don’t list their flights anywhere but their own websites, for instance if you’re flying in the western part of the United States, Southwest Airlines is a very cheap way to fly but you’d never know that they existed checking Travelocity or other airlines. More »

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Budgeting 101 – Using your groceries to finance your next trip

Ask any family of 4 and you’ll probably find that one of their largest regular expenditures is the weekly trip to the grocery store.  Most people (who aren’t single) swear that they can’t get out of the grocery store for less than $100 each week.  I’m here to tell you that this just isn’t necessary!  There are many ways that you can cut your monthly grocery bill drastically, without cutting the style of eating or amount that you eat each week.  If you currently spend $100 a week or $400 a month feeding your family, you might consider taking the challenge to cut that in half.  I did so about a year ago when my husband and I started trying to pay off all our debit.  Saving $200 a month was GREAT!  Frankly it also made grocery shopping more fun because, for me, it became a game to try and get the most out of my grocery budget for the least amount of money.  My goal for 2008 is to cut it in half again to only $100 a month for the two of us.  Here are my tried and true secrets to cutting my bill: More »

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Budgeting 101: Creating a realistic budget

Any time you travel, it’s important to have a realistic budget of how much you will spend on your vacation set up ahead of time.  It’s important because unless you understand exactly what things will cost (or a very good estimate) you may continue to put off travel as ‘something I can’t afford.’ 

The way to construct a realistic budget is to use the most current travel guide that you can get, an up-to-date currency converter and a good calculator to just simply do the math.  Once you’ve gotten your ‘math’ realistic budget worked up, multiply it by at least 1.5 and that’s a good realistic budget.  I usually try and multiply by 2 if I can afford it without waiting till the 2nd Coming to go on vacation.   

Don’t skip over the over-estimating part.  That’s the surest way to end up broke when you get home, trust me- I’ve been there.  I had my budget figured out down to the dime when I went to England for the first time and I still ended up blowing it.  If you’ve over-estimated then you will have a little bit of wiggle room when you need it.

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