Many of us are also making sacrifices to afford our vacation plans. Forty one per cent of Canadians cut back on their grocery spending to afford travel, according to a survey by FlightHub Group. Plus, over one in four (28%) Canadians who can’t afford travel have taken on credit card debt to finance their trips, the survey found.
Nobody wants to come home from a relaxing holiday only to face a sizable credit card bill. (Yup, I’ve been there myself, and while I’m not proud, I’m not afraid to admit it.) Instead of taking on debt to pay for travel, try a combination of money-saving strategies and clever travel hacks from the experts. Here’s how to get started.
3 ways to save money on travel for Canadians
1. Choose an affordable destination
Where you go can make a big difference in cost. Danica Nelson is a personal finance influencer and avid traveller who’s visited 25 countries. When she’s not border-hopping, she maintains a home base in Toronto. Nelson says that choosing affordable destinations where she can stretch her Canadian dollar further—like Indonesia, Thailand and Vietnam, to name a few—has been key.
“In Vietnam, I could stay in a five-star hotel for as low as $55 Canadian per night. In Da Nang, you could get the freshest seafood available and a beer for $5 Canadian, or a banh mi sandwich for about $1 Canadian,” Nelson says. She’s even gotten a flower bath and one-hour massage for $60 Canadian in Bali. (FOMO-inducing, I know.) For more inspiration, check out four Canadian digital nomads who travel to, or live year-round in, affordable destinations like Panama, Costa Rica, Greece and more.
2. Use a travel credit card to save money and earn more travel points
Booking with a travel credit card can be a cheaper way to travel, since you may be able to get cheaper pricing on flights, hotels and rental cars through your credit card’s rewards program. With my co-branded CIBC Aeroplan Visa card, for example, I earn Aeroplan points on my purchases, and I can get preferred pricing on Air Canada flights. This means I can use fewer Aeroplan rewards points than the amount typically required to book flights.
Nelson adds that using a travel card can also help you avoid foreign transaction fees (typically around 2% to 3%) while you’re abroad, and earn more points to redeem towards hotels or flights for future trips.
3. Switch to carry-on luggage
Switching out your suitcase for a carry-on bag can help you save money and time at the airport. “Travelling with only a carry-on- has been a way that people have learned to save a lot of money by not having to pay for checked baggage fees,” Nelson says. She recommends investing in a small suitcase that fits the airline carry-on baggage size requirements and one personal item like a backpack, purse or tote bag. Check ahead of time whether your flight carrier charges for checked baggage, as in some cases, you could get a stowed suitcase for free with your ticket.
Personally, I’ve changed over to a small carry-on suitcase, and it’s saved me the hassle and cost of checked baggage. Some other hacks I use to save money on travel: I buy groceries for lunches and breakfasts. I also budget for dinners out ahead of time, and any other costs like coffees or treats here and there.
Margaret Montgomery
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