Kovar Capital: How Do I Travel and Not Break the Bank – Pampa News

By Taylor Kovar

Hey Taylor – My family is planning a summer trip down to Mexico. Normally, halfway through our vacation we just start spending money we don’t have and blowing up our credit cards. Any tips for how I can avoid that this year?

Hey John – That’s the problem with vacation—once you get to your destination, it becomes so easy to spend recklessly and pay for your mistakes when you get home. The way to avoid this is to plan ahead as much as possible. You can leave a little room for spontaneity, but that has to be budgeted for just like everything else. 

No surprise meals. Beyond airfare and lodging, food is the thing that will blow your budget up the fastest. If you and your family are walking around, tired and hungry after a long day of sightseeing, you’re going to put immediate gratification over financial practicality. To avoid this, you should make a daily spending plan and have a good idea of what your eating options are for every meal. Find the affordable taqueria when you’re mapping out your day so you know where you’re going to end up having dinner. Whenever possible, buy food in grocery stores to eat back at the hotel or as a picnic. If you do that consistently, you’ll cut your eating expenses in half. 

Use rewards. In this day and age, anyone who travels even once a year should have a credit card that helps pay for that travel. Whether it’s a hotel loyalty program, sky miles, or just cashback, you can save a ton of money by racking up these reward points. It’s too late to earn a bunch of points by spending, but it’s not too late to sign up for a new card and get that signing bonus. I don’t advise you do this if you already have five credit cards and a bunch of debt (that’s another problem to solve another time), but if you don’t have a rewards card you can absolutely get one and cash in immediately. Most airline credit cards include a sign-up bonus that’s pretty much equivalent to a roundtrip ticket. 

Pack smart. You don’t want to bring too much stuff and be weighed down by a huge backpack your whole trip. That said, you don’t want to spend hundreds of dollars on supplies and accessories you should have brought from home. Remember to bring sunscreen, toothbrushes, bathing suits, hats and sunglasses, etc. You can fit all of those things in a little pouch; if you don’t bring them and buy them at the hotel/airport, you’re already down over $50. It’s those “oh, well” purchases that make an expensive trip really expensive, so make a detailed packing list and save yourself some cash. 

It’s all about thoughtful planning, John. The more foresight you have, the more money you can save. Try not to wing it when it comes to daily activities and meals and you can hopefully have an awesome vacation that doesn’t break the bank. Safe travels!