Budget Travel Tips ( Written by Guest Blogger Marlana Salmon Letelier)

Have you ever found yourself using the excuse, “I don’t have money to travel!”  Worse….have you ever found yourself actually believing it?

Think again.  Traveling does not have to be an expensive extravaganza.   I actually spend less when I travel than I do when I’m home! 

After traveling to over 27 countries on a student and teacher budget, here are my tips for keeping travel affordable:

1.      Credit card points and airline alliance numbers

We all spend money, right?  You might as well get airline points for it!  I have already gotten two free international round-trip flights, two free domestic round-trip flights, and two free international one-way flights this year by using the United Airlines Mileage Plus Mastercard and the Southwest Airlines Visa.  Just by opening the credit cards, you will earn a huge chunk of points.  You will continue to earn points as you use the card.  In addition to this, I am a member of their loyalty programs so that when I fly on either one of these airlines or any airline in alliance with them I earn additional points. These points all add up to free flights!  Do be sure to pay your credit cards off on time so as not to incur interest fees, which would defeat the purpose of saving money.  To learn more about airline alliances, go to the following link: http://www.lowfares.com/blog/2010/05/07/understanding-airline-alliances-can-save-you-money/

2.      Affordable accommodation

The best deal I’ve ever had was a private room with homemade breakfast and transport from the train station included for $6! Try the following websites:

·         Hostelworld.com

·         Hostels.com

·         Airbnb.com (If you aren’t up for staying in a hostel, you can find a cheap apartment to rent and split with other people.  My best deal with this website so far has been a $13 stay/per night in Paris.  You can also go as luxurious or as cheap as you want with this page.  Highly recommend.)

·         Couchsurfing.org (For the VERY adventurous, this is your free option.   Get ready to open up your couch too and to meet some great people!)

3.      Grocery stores

Why go out to eat every day when you can grab something cheap at a local grocery store or market?  You can either get something easy to make like bread and peanut butter or get more creative and use your accommodation’s kitchen (often available).

4.      Research scams/prices before traveling

Be aware of common scams in the area where you are traveling so you don’t fall into them!  Also, know the exchange rates, tipping info, and typical pricing information BEFORE you end up in a new place.  Being informed can help you avoid being ripped off.

5.      Public transport and walking!

Why pay for expensive transportation when you could just figure out the metro/bus system and/or walk?  I see the best parts of cities by walking all around them, and I save a ton of money in the meantime.  If you are in good shape and limited on time, you can also do a running tour.  My husband and I have done this in Thailand and were able to run from tourist site to tourist site rather than pay for expensive transportation.  We were able to see a LOT, enjoy the city, and get some good exercise!

6.      Don’t get caught in tourist traps

Do you really need to pay for that tour guide?  Sometimes it IS worth it, and sometimes it is just as useful to use a good guidebook or print some information off the Internet before you go.  Research this and use your money wisely. 

7.      Bank ATM’s and international credit cards without fees

Check with your bank to see if it partners with banks in the countries you are visiting.  With Bank of America, I often have options for ATM’s where I can take out money without a fee and with a direct exchange rate.  Also, you can use an international credit card such as the United Mileage Plus card and the Southwest Visa previously mentioned.  Neither one charges an international fee.  You will also get a direct exchange rate when you use them around the world.  Just be sure that the store where you are using it doesn’t tack on an extra charge for credit cards.

8.      Sleeping while in transit

Want to save a night in a hotel and take full advantage of your travel time during the day?  Take overnight bus/train/airplane transportation and skip a night in a hotel.  Just be sure to sleep!

9.      Set a budget per day

If you are really tight on money, calculate how much you have to spend the entire trip, set a budget per-day and stick to it!

10.  Save free food for later

That airplane food that you think you don’t want at the time….SAVE IT!  You might need a snack later.  IT’S FREE FOOD….  And if you don’t want it later, give it to a homeless person you pass on the street. 

11.  Discounts (it never hurts to ask!)

Always be sure to ask for discounts at museum’s and tourist sites!  And always remember to bring your student card if applicable. 

12.  Refillable water bottle

In countries where tap water is safe to drink, I save SO much money by bringing my stainless steel water bottle and refilling it everywhere I go.  No $3 waters for me.

13.  Rent out your apartment/house while you are gone

You can also use airbnb.com to rent out your apartment/house while you are traveling.  You can pay your rent that way and get some extra travel money while you’re gone! 

Most importantly, just remember that extravagant does not equal memorable.  You can travel cheaply and simply and make some incredible memories.  There really is something magical about a dirt cheap backpacking trip!  Happy travels everyone!

 

Bio:

Marlana Salmon Letelier is an EdD student in the field of international educational development at Teachers College, Columbia University.  Her research focuses on post-conflict curriculum development and policy, cultural and religious presentations in curriculum, and peace and human rights education. She holds an MTS from Harvard University in Multiculturalism and Religion with a focus in Education.  Previously she has served as a Teach for America Corps Member working as a high school math teacher in an inner city school in Bridgeport, CT, USA.

She loves to travel and has been to over 27 countries including around the Middle East, Europe, South America, Central America, Africa and Asia.  Her favorite type of traveling involves adventure, cultural immersion, learning about history, genuine interaction with locals, time in nature and simplicity.  Traveling brings out the best in her, and each trip reenergizes her and gives her the space and experiences to grow.  She loves to see others experience the joy of traveling throughout their lives and discourages people from waiting to travel only after retiring.  Her motto is, “If you want to do something, do it as soon as possible….otherwise you may never have the chance.” 

How We Managed 9 Days in Alaska for Under $150 per Day

We just took a trip of a lifetime to Alaska. We flew from Houston to Anchorage on a direct flight. We spent 3 nights in Anchorage, 3 nights in Seward, and 2 nights in Denali National Park. Below is the cost break down that we incurred and then split to show a per person cost on a daily basis:

Category	Total	Per Person	PP per Day
Flight	$708	$354.00	$39.33
Transportation	$880	$440.00	$48.89
Activities	$114	$57.00	$6.33
Food	$409	$204.50	$22.72
Sleep	$386	$193.00	$21.44
Gifts	$110	$55.00	$6.11
Total	$2,607	$1,304	$145

Sharing is Caring

We shared this journey with another couple helping lower the cost (shared food, hotels, and activities). For example, we covered the rental car for the duration of the trip ($700) while the other couple purchased the 2-day kayaking tour in Seward. They used Groupon to find this great deal. This discount site allows easy searches by category, location, or keywords. They found a 2 for 1 deal on a 2 person kayaking trip for 2 days/1 night, saving us greatly. 

Glamping is Just as Good as Hotels

Showers, laundry and restrooms!

(Glamour Camping = Glamping) We also minimized cost on hotels by simply minimizing our hotel stay. The Groupon kayak trip included one night and we stayed at the campground owned by the dock (Miller's Landing) the night before for a discounted price. In Denali National Park, we popped up a tent at one of their many campgrounds. Many of these campgrounds provide all the same amenities as your standard hotel. Alaska has great summer temperatures that make it feel like you are in an air conditioned room. 

Cheapest Way to Stay Full

Restaurants and fast food can add up and wastes a lot of money (not to mention the healthy factor). We are an active couple and the couple we shared this trip with is like us. We knew we would be doing some hiking and kayaking and needed food to snack on. A local grocery store is a great way to cut food costs. We spent $100 between 4 people to supplement snacks and even meals (long car ride from Seward to Denali). Our Groupon kayak trip also had meals included to help save!

Enjoying our 4th of July hotdogs and s'mores

Mileage Programs

I am currently enrolled with a credit card company that gives me points for spending. I convert these points to airline miles since we love to travel. Everything outside of my mortgage and loans is paid with my credit card giving me optimal points. This can help cut down on flight prices.

Still making excuses? Well, you can reason that you will not be at home, so you will not be running your AC or taking long hot showers. Either way, you have to eat, whether you are away on vacation or at home... Maybe add in a night out at the bar$. So take the plunge and go travel! If you have any questions, leave a comment or e-mail us 10centtravels@gmail.com

Not worried about the spending while traveling, but more concerned how to save in order to travel? We can try to help with that too. Check out our tips to help save for a trip!

7 Tips to Save for a Trip

Want to save a boat load of money for a lavish trip? Maybe you have the perfect honeymoon planned or want to quit your job and spend the next 3 months on the Uruguayan Riviera, or maybe even a simple week long trip to the California coast. Whatever may be your cup of tea, every trip involves saving money. I am not going to tell you to sell your car, get rid of your phone, stop eating, or other crazy sacrifices. I believe you have to live your life, but every little bit helps.

1. Trends

The biggest issue I run across with people is when I ask, “Well what do you spend your money on?” They have no idea. How do you know where you can cut budgets if you have no idea where your money is going?! My credit card company offers me a year in review… but that is not frequent enough. Mint.com does exactly that. I know that my trend spending year to date is 40% on my home (loans, improvement cost, home purchases all lumped into one) while only 12% is spent on food. It has many added benefits also like tying in all your accounts (401k, loans, funds, checking account, etc) all while being 100% secure. You can also set budget limits for each category and get alerted when you get near or surpass this limit. Very helpful reminders!

2. Estimate

It is always dangerous to venture into the unknown with no expectations. This is how I tackled my first major trip to Germany in 2009. When I visited Italy a year later I was much better prepared. From my experiences traveling both domestic and abroad a good rule of thumb to use is take the cost of your sleeping accommodation and multiple it by 3 (hotel cost $100, your total day cost will be ~$300). This is all subjective to what you do, for example despite your hostel costing $50, you spend 8 hours on the beach, of course your daily cost may be lower.

3. Planning

Now that you know your spending habits and how much your trip will cost, the next logical step is to make a plan. No one wants to be stuck saving $2000 the week before you leave. I like to set long and short term goals. It helps break up the time and gives you a sense of accomplishment. Space out costs so they do not seem to rush you at once, like paying for the plane ticket 2 months before leaving.

4. Monitor

Begin to list the items you can cut back on and make it happen. Some ways I have been able to save is living with basic cable (or Netflix), limiting your fast food/eating out spending, and removing gym membership. Just those 3 can save over $150/month. Some major changes we have done is rent out a room in our house. If these seem unattainable, make it a challenge. If you think you have to eat out, make it so you have to ride your bike or walk to the restaurant. My buddy told me about his clause… love drinking booze? For every $1 you spend on booze or booze related items (Mexican food at 2am?) put $2 into your savings account.

5. Open an account

This is the most fulfilling way in my opinion. Opening an account purely for traveling allows you to physically watch your fund grow. Set up automatic transfers to diminish slip ups. Having the money go straight into the account will sort of make it seem like it was never an option to spend on anything else… right?

6. Pay off your debt

There is nothing more irritating than your bank making money off of you. Interest rates can set you back each month. My advice would be to get out of the red. There is a difference between loans and credit card debit. Loans can be as low as 3% interest (for homes), but credit cards can be in the teens or more.

7. Get a credit card

I know this seems counterproductive to tip #6, but credit cards allow traveling to be realistic. Get a card with great benefits. Let’s say before leaving, plane tickets and hotels have been purchased. This is a good portion of your trip. A credit card would be beneficial for all the costs accrued during the trip and paid off immediately upon returning. This is similar to how I did my trip to Peru after I graduated… except I put the entire trip on my credit card. :) 

Please keep in mind, all of this is pointless if you do not live within your means. We do both own cars, but they are not brand new top of the line, we both do have smart phones, but they are not the latest model, we both own nice clothes (guess who has more) but our closet isn't filled with them.

Do you have any comments or suggestions? Let us know, we are always open to new ideas!