Maximize Your Travel Budget with iBestTravel

Starting 2022 with the intention of embarking on that bucket-list trip, only to find your pockets don’t run as deep as you had hoped? Don’t despair – there are countless ways to save money, from home swaps to being savvy about food choices.

Here’s our guide to making your travel money go further, so you have more to spend when you reach your destination.

Join Loyalty Programs & Credit Card Bonuses

“It may seem tedious, but it’s worth joining every loyalty program you can find,” says Toronto-based financial and travel expert Barry Choi. Most hotel loyalty programs will instantly give you early check-in just for signing up, and you can earn points with airlines as long as you’re a loyalty member. For instance, Expedia offers holidaymakers up to two points for every $1 spent on flights, hotels, cars, packages, and activities.

Now is an excellent time to utilize your points, according to Clint Henderson, Senior News Editor at The Points Guy: “Use those points and miles you’ve been hoarding during the pandemic.”

Some credit cards also offer generous bonuses. “If a bonus is worth at least US$200, it’s a good card,” suggests Choi. Consider choosing a credit card that doesn’t charge the typical 2.5% fee on international purchases, as this can accumulate significantly over time.

A golden-hour photo taken on Westminster Bridge in London. — Business-leisure travelers can save by including a Saturday night in trips to business hot spots like London © Samot / Shutterstock

Consider Package Deals

You can access deep discounts by booking vacation packages instead of purchasing flights and hotels separately. Packages streamline your travel planning and save time. Many travelers flock to price comparison sites, but some of the best deals are found by booking directly with airlines, many of which now offer vacation packages.

Avoid Unnecessary Frills

While low-cost flights may be appealing, evaluate whether you truly need priority boarding, extra legroom, or seat selection. Similarly, avoid indulgent hotel add-ons that can inflate your total bill.

Setting aside ‘fun money’ from alternative sources can help you cover some extra travel expenses. For example, earning cash back from online purchases can aid in building a handy vacation fund.

Stay at Someone Else’s Place

Imagine a getaway without hotel expenses. Some might find it daring to open their homes to strangers, yet the financial benefits of home swapping are noteworthy. It allows you to live like a local and enjoy home comforts.

Members of home exchange websites have reported savings of up to US$3500 on accommodation alone. Yes, the experience may require some cleaning, but the financial rewards are significant.

A man at a train station looking at his phone. — Using different operators for separate legs of your journey can effectively reduce costs © kiszon pascal / Getty Images

Utilize Price Comparison Websites

Gone are the days of toggling between numerous browsers to find the best flight prices. Price comparison sites can simplify your search by guaranteeing the lowest price.

If you’re not in a hurry to book airfare, consider setting up price alerts on platforms such as Google Flights or KAYAK, which notify you of price drops. Be mindful of excessive card fees that may lead to seemingly cheaper deals.

Optimize Your Travel Dates

The mantra of booking early still applies post-COVID. The optimal time to reserve a short-haul flight is 70 days in advance. Keep an eye on airline deals, particularly around national holidays, when flights are often cheaper.

Booking during off-peak seasons can significantly lower your costs, so conducting a little research on seasonal trends for your chosen destination is worthwhile.

Consider All-Inclusive Options

The terms ‘luxury’ and ‘affordable’ can pleasantly coexist in all-inclusive stays. While you might mingle with fellow guests, paying upfront can prevent unexpected charges at the end of your trip.

Barry Choi also recommends considering booking a tour, which typically includes accommodation, guides, and meals, allowing for a more organized and stress-free experience.

Experiment with Split Ticketing

There’s no rule dictating loyalty to a single airline or train operator. Two one-way tickets can sometimes be cheaper than a round-trip fare. Mixing and matching can yield additional savings, and ensure your reservations are linked to minimize the chance of being separated.

Street food stall vendors. — Being savvy about your dining choices while traveling can significantly benefit your budget © Mchiche Younes / Shutterstock

Explore Budget Meal Options

If breakfast is included in your rate, take advantage of the buffet and load up on snacks for the day. However, hotel dining costs can be steep, so consider booking an Airbnb to prepare your own meals.

A short stroll from tourist hotspots may lead to more affordable and authentic dining experiences, including local street food.

Invest in Annual Insurance

If you travel three times a year or more, consider purchasing annual travel insurance, as it may be more economical than individual trip policies. Many travel credit cards include travel insurance, trip cancellation, and baggage coverage, so be sure to review your policy for adequate coverage.

Monitor Price Trends

Price tracking tools like Google Flights can alert you to exceptional flight deals for your chosen destination. Setting alerts can help you time your purchase for the best possible rates.

Additionally, Google Flights offers flexibility in searching for flights to various locations, allowing you to discover great deals without being tied to a specific destination.