Saving tips – Economics for travelers

Unless you are extremely rich, if you want to travel for long periods of time you will need to finance that trip and be financially conscious. You should be aware that as a couple, traveling and being financially independent has always been a priority for us. We are aware that not everyone puts traveling, going around the world, meeting new people and new places as a priority. Some people prefer having a huge house, party everyday, fancy clothes or fancy cars. There’s nothing wrong with that, we are just different… But as I said initially, you would need to be quite rich (or have big monthly incomes) to afford all that without prioritizing. Unfortunately, it’s not the case for most of us.

I will leave the financing part to other posts and focus on our tips to saving tips for travelers, both short and long-term trips:

Flexibility

If there’s something that has to go together with traveling on a budget, that is Flexibility. If you really want to cut your travel expenses you will need to be able to adjust your holidays. The price of flights and hotels varies considerably depending on the month, a day of the week and even time of travel. Also, despite being very counter-intuitive, you have enough time usually indirect flights are cheaper, so if you don’t mind losing a few hours you can take advantage of that. Finally, you may consider changing your destination. For example, If you want to go to Southern Europe, but the vacations to Spain are expensive in those weeks, try Portugal, Croatia, Malta, Greece, Turkey… There an endless number of possibilities in terms of Holidays don’t stick to the first 2 or 3 that come up to your mind.

Saving tips

Buy in advance but not too much

You should always start your search for your holidays as early as possible. But don’t reserve your (flights, train trips, cars, hotels) right after. Some websites allow you to create an alert on your search and will send an e-mail when price changes. According to our experience, the prices vary very much. Usually, they start high and then drop until a few weeks when they start to increase again… Although reading about people getting good prices on last-minute deals, I could never catch one that was better than buying near the bottom, so I don’t suggest betting on that…

The beaches of the Big Perhentian Island

Always compare prices

Shop around! Don’t just find a good deal and keep. Almost never your first great find is the best, just continue your search. When we say compare, really compare on multiple angles:

– The same service in different sites or even through direct contact; there are sites like Hotelscombined (great for hotels) Skyscanner (great for flights) that do this job easier for you.

– Then compare similar services, e.g. similar hotels; same destination different airline; different cars when renting; If the train is expensive, try bus, plane, ferry…

– Finally, compare the same service for different dates. The price you found may seem good, but you should ask yourself if I went in another date or schedule with different timing would it better? Try the exact same thing but a week/month later and earlier and find out. You will be surprised…

What to know about transports in Thailand

Don’t always go for the cheapest one

This may seem weird in a saving tips article, but you should always consider other factors besides the final price. Factors that will both make your holiday more pleasant and cheaper. I mean you should consider the location and the amenities (wi-fi, parking, breakfast etc) when choosing a hotel. You should check for excess insurance when renting a car. In other words, reducing one cost to the most may increase another more or can make your trip much less pleasant. Finally, don’t ever forget that being frugal is different from being miserable. If your savings are preventing you from enjoying your life, your holidays, your trips, you aren’t saving in the correct way or in the right things.

Remember the concept of value for money

Value for money is one of my favorite concepts. To fully learn what it means you should also understand these three notions:

  • Economy – careful use of resources, expense, time or effort;
  • Efficiency – the relationship between the return and the cost, time or effort – spending well;
  • Effectiveness – the relationship between intended and real cost, time or effort – spending wisely;

The concept implies that when you are making choices you should take in consideration if they are economic, efficient and effective. Think of it like this, for every purchase you make you want to maximize the utility (pleasure) derived from it, or for the same utility you want to minimize the cost.

Saving tips

But what does this mean for us travelers? When we travel, we want to have fun, meet people and places, enjoy life the most we can, in economic lingo, maximize the utility... For example, if you are in Milan and want to go to the Alps, you can rent a car or go by train/Bus. If renting a car(and every expense derived from it) cost barely same as going by Bus/train, you should consider if the driving (among other things) would be a bonus or a sacrifice. For me driving the Stelvio pass was amazing, so I would always drive – maximizing the utility for the same price.

Get Paid to travel

Instead of spending money to travel you can… earn money traveling… What do you think about that? Instead of being stuck at home working your ass out in a job you don’ like, longing for travel, get a job that pays you to do yo what you love… travel! So what are these jobs?

Teaching English as a Foreign Language (TEFL)

One of the most popular jobs that pay you to travel is English Teacher. Many countries are looking for English teachers, but note that often these jobs require some sort of TEFL (Teaching English as a Foreign Language) certification. This can easily be done online.

Cabin Crew

Becoming part of the cabin crew is easier than you think. There are thousands of flight attendants worldwide and companies are always looking for more. It’s a bit of a romanticized job but if you are a people person and don’t mind working in services, this can a great option. The cabin crew travel the world for free!

Ship Cruise Staff

Quite similar to Cabin Crews but on ships, and with a big advantage: You may not even need to change your career path. There are countless types of jobs dealing with the cruise ship industry, so, if you don’t get seasick this could be a great option for you.

WWOOFing

This is a more extreme option and not really a career path but it will help traveling cheaper and in some situations, you may even get paid! So, what’s WWoofing? WWoofing stands for Worldwide Opportunities on Organic Farms, which means you’ll work for accommodation, food and sometimes pay. This is very popular among backpackers traveling in Australia.

10 thoughts on “Saving tips – Economics for travelers”

  1. Awesome tips, you nailed it! People tend to forget that there are also costs associated with the cheap one (flight or accommodations).

  2. I would love to read more posts like this! Money is what is keeping us from traveling right now, so any tips on saving up for travel, ect. would be great!
    Thanks!

  3. Hi Jorge,

    I found this post of your’s from FB, we share a group Travel Blogger Tales. This post is too good man… I like it… Getting things in economical budget is everybody wants but a few only know the logic behind and the “catch” that also comes with cheapest of price. Nice that you enlightened the viewers. Good luck 🙂

    • Thank you. It means so much to us that you liked it. We will be doing more economics posts in future.

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