It matters not if you work for big IT service provider companies providing large-scale corporate IT business solutions or an office secretary in a law office, you can in fact set aside money to help you plan and spend for a vacation getaway. The 2016 Consumer Expenditure Survey for 2016 revealed that the top three expenditures by Americans are on housing at 41%, transportation at 16% and food at 14%. The rest goes to healthcare at 8%, utilities at 7%, entertainment at 5%, clothing at 3%, college education at 2%, and incidental expenses at 3%. Looking at these figures, one can make adjustments in properly managing finances to help you stay on track of your savings to have that dream vacation that you’ve long been dreaming of.
Make a budget and stick to it: Make a list of your expenses and sources of income then create a budget. Write down your fixed costs such as housing, transportation, debt-servicing, and food. Once you have noted down your expenses and liabilities, you will be able to determine your disposable income from what remains of your money. This is where you can get a portion to set aside for your vacation savings. If you happen to earn a little extra on the side, you can increase your savings amount so you may be able to see the fruits of your savings when the time comes.
Live within your means: Make a conscious effort to stop relying on credit to live your life and reserve your credit card only for emergencies. Use cash and bring a calculator when you go to the market. Purchase things that you can afford with the money that you have and avoid buying things that you don’t need. You’d be surprised to see many of the purchases you regularly do could be for things that end up getting spoiled in the fridge or lie around collecting dust in your home.
Save up for the future: Make sure to include savings on your budget. Set aside a certain amount each time you receive your paycheck and resist taking anything out from this fund. You can set goals for this fund, but make sure that you resolve to set this aside for your vacation getaway.
Resist the urge to spend: Spending can be addictive especially if you can conveniently buy it using your credit card. Give yourself time to think things through before buying things. Imagine if you can save S10 on each of these four steps, you can have $40 dollars every time you get your paycheck. Think of other ways you can save up on money and before you know it, you will be able to have your well-deserved vacation getaway.