Those of us with friends and family a plane ride away or those who just like to take a weekend away once and a while, may wonder how to save for these ad-hoc trips. They generally aren’t as expensive as a dream vacation, or a full family vacation, but airfare, ground transportation, and hotel fares can certainly add up. Creating a “travel nest egg” is a good way to have some money available for whenever you decide to take one of these spontaneous trips!
If you are serious about creating a true travel nest egg, I’d suggest that you open a separate savings account for your travel account. ING Direct offers an online account with a decent interest rate, or if your savings grow enough, you may want to look into opening a money market account.
Then, set up a routine investment into the account. If you have more revenues than expenses in your budget, you may be able to save a large amount. Otherwise, choose an amount that is large enough to make a difference, but small enough that you won’t notice it. I’d recommend $5-$20 per week as a starting point.
To increase your savings, choose a few money saving ideas and implement them on occasion, putting the money you save into an account. One idea is to bring your lunch to work a few days a week. You could also decide to purchase store brands or clip coupons when shopping.
Do you get a bonus or commission check? If so, make a commitment to save a small percentage of any windfall in your travel account. Even 5% of any extra money you receive can make a difference.
With just few changes in your spending habits. you’ll easily be on your way to creating a nice travel nest egg for that next spur of the moment trip!