How Much Should You be Budgeting for Your Family Vacation?

Have a savings account dedicated to your vacation savings — even if it means using an old fashioned piggy bank or empty coffee can to store these funds. This should be a separate account from your regular savings for emergencies, college funds, or retirement.

Ask all the family members for input on their dream vacation. This may mean a cruise, a trip to a beach, theme park, or a rustic ranch. Once all the suggestions are in, the adults can decide which vacation fits the budget and how much you can afford to set aside each month to pay for it.

Remember, the best time to start planning and saving for a family vacation is about a year before vacation date, or at least several months. This gives you plenty of time to save the necessary cash.

Think of all the variables. For instance, if you’re going to be staying at a hotel, determine how much it will cost to eat out every meal. If that adds too much to the cost, consider getting lodging that includes a kitchen. If everyone helps to prepare meals and clean up, it allows you to save quite a bit on food costs. Restaurant meals can be a special treat.

If you’re planning a road trip, take into account all the stops you will make at gas stations, diners, and tourist attractions. This are all places where you’ll likely spend money.

Cruising is an affordable way to take a vacation because your rooms, food, and entertainment are all included. But, like with any vacation, there are hidden costs. You must include port charges, taxes, and excursion costs in the total amount you will need to save for a cruise. Although cruises often have unlimited beverages, like tea, lemonade, and coffee, they charge a high price for sodas.

After thinking of all the scenarios of where you’ll spend money –including souvenirs — calculate the cost and divide it by 12 — or however many months you have until you leave. Now you can start saving for your memorable vacation!!