Financial Traveling Tips 

Taking a vacation can be a great way to reset. Whether you want to visit the beach, relax in a remote resort or hike through the mountains, vacations support your well-being and productivity, allowing you to feel more refreshed once you return.

It's no secret that traveling can be expensive, which is why you'll want to implement strategies for managing your finances. This guide explores the importance of financial planning for travelers and seven key financial traveling tips.

Importance of Financial Planning for Travelers 

Organizing your finances before a vacation can help you save more money and allow you to enjoy your vacation without concerns about overspending. Going on a trip is exciting — but you don't want to get caught up in the rush and spend more money than you should. Between flights, accommodations, dining, transportation, experiences and souvenirs, it's easy to get carried away.

Financial planning involves researching, setting a budget, making the necessary arrangements and saving accordingly. These steps can help you save money for your trip and spend it a bit more wisely while you're away. As a result, you can enjoy your vacation to the fullest without any financial worries.

7 Tips for Saving Money While Traveling

Here are seven financial planning tips for travelers to help make vacationing even more enjoyable:

1. Create a Budget

Budgeting while traveling is crucial for managing your expenses. First, establish the overall probable cost of your trip. Break this down into categories to set an accurate budget for things like travel, activities, accommodation and food.

For example, you might decide to cook your own meals on your trip to avoid dining out too much. Creating a budget for your grocery shopping trips will help you spend even less. A spending limit can also help you avoid spontaneous temptations like visiting an extra tourist attraction or buying expensive drinks. Keep track of your travel spending to hold yourself accountable to the budget.

2. Save and Plan

One of the best ways to make the most of your trip financially is to save beforehand. With a dedicated vacation savings fund, you can set aside money to make sure you have enough for everything you want to do while you're traveling. Some important money-saving travel tips include:

• Transferring funds automatically: Once you know how much money you need to save, set up an automatic transfer from your checking account to your travel savings account to ensure you save enough leading up to your trip.
• Research ideal tourist attractions: Research free tourist attractions and activities you could explore while traveling. Alternatively, you can look for cheaper things to do and places to go. Booking tickets for transportation and experiences in advance can also help you reduce costs.
• Spend on inexpensive alternatives: From the moment you begin saving for the trip, consider your existing budget. Spending more frugally in your daily life, such as choosing generic brands at the supermarket and cutting down on your “wants,” can help you set aside more cash to enjoy on vacation.

3. Learn About Exchange Rates

Exchanging your money for a different currency is often part of managing finances abroad. If you're going to another country, your money will likely have a different value, and the cost of basic items and food may differ from that of your country. These differences will affect your budget.

Before traveling, research prices in the area you plan to stay and tourist attractions you plan to visit. This way, you can see how much your travel savings will be able to cover. It's also important to double-check that your debit and credit cards will work properly in the country you're visiting. Some options aren't accepted internationally, and others may have international spending fees.

4. Travel During Off-Peak Seasons

Consider traveling during the off-season for a more affordable vacation. During tourist-heavy months, flights, hotels and restaurants tend to cost more than usual. Vacationing in off-peak seasons usually means you can access better deals — all while avoiding large crowds. 

Research shows that the average post-holiday prices in January and February are 10% cheaper compared to summer. Visiting certain places during shoulder seasons, which are just before or after peak seasons, can also be a great way to spend less while still enjoying nice weather and experiencing fewer closures.

5. Maximize Travel Rewards and Savings

Consider investing in a travel credit card to cash in rewards for travel-related expenses. Some credit cards give you points for every dollar you spend on eligible travel expenses. Then, you can cash in those points to book travel and accommodations or use them for other expenses. If you're in the market for a new credit card before your trip, look for promotional bonus point offers for new cardholders. Just remember to use your credit card responsibly and only spend what you can afford.

6. Consider Travel Insurance

When going on vacation or traveling for a short period, travel insurance can be valuable for covering potential medical costs if you get injured or become sick. Coverage may also offer protection for lost baggage and trip delays or cancellations. Insurance benefits vary depending on the provider, so read through your coverage options before selecting one.

7. Book Transportation Wisely

One of the most expensive parts of traveling is getting around. Whether you're flying, driving or taking a train, transportation costs can make up a large part of your budget. Fortunately, you can use a few different strategies to lower these expenses and have more to spend elsewhere. Try some of these tips for saving money on travel:

• Book flights on certain days — flying on a Tuesday may be less expensive than flying on a Saturday.
  Look into all-in-one travel passes for the country you're visiting.
• Choose the least expensive rental car option that suits your needs.
• Consider walking more often and taking public transportation instead of booking taxis.
• Research transportation deals or rewards offered through your credit card.

Why Trust First Commonwealth Bank 

Are you considering setting up a travel savings account? At First Commonwealth Bank, we offer a holiday and vacation club savings account for you to grow your travel savings secured by measures like ID theft protection and FDIC insurance. We work to understand your unique savings goals and background and use this information to recommend a financial solution that can support your goals. Our club savings account holds your funds and prevents access until a specified withdrawal date, called the disbursement date.

The club account allows you to contribute to your savings throughout the year and earn interest on that money, which is added to your balance on the disbursement date. Our online banking features facilitate automatic transfers from your checking account for monthly savings contributions. We also allow you to deposit money into your account online, through our app or in person. If you prefer a more accessible option, our personal savings accounts allow convenient access to your money when you need it.

Enhance Traveling Savings With First Commonwealth Bank 

Are you ready to start improving your financial stability while traveling? Whether you prefer a vacation club savings account or a personal savings account, our team at First Commonwealth Bank can help you find a financial solution that helps you save efficiently.

We provide promotional offers when opening a new bank account and meeting our promotion criteria. And, if you're transferring money from your existing savings account, our ClickSWITCH tool creates an easier bank transfer process. 

Ready to get started? Open an account with us today.