Planning Holiday Travel? Make Your Budget Before You Book

Key Takeaways

• Set a total trip budget before booking flights or accommodations.
• Consider transportation, meals, parking and other expenses beyond the advertised travel price.
• Compare the total cost of different travel options, not just the initial fare.
• Avoid taking on more holiday travel debt than you can comfortably repay.

Main Article

The holiday travel season will be here before you know it, and flights, hotels, rental cars and other expenses can quickly turn a family visit or winter getaway into a significant financial commitment. Before you start making reservations, creating a realistic travel budget can help you make choices that fit comfortably within your overall holiday spending plan.

Start by estimating the entire cost of the trip. In addition to airfare or gasoline and lodging, include airport parking, baggage fees, rental cars, rideshares, meals, pet care and other expenses you’re likely to encounter. A flight that initially looks inexpensive may not be the best value once additional fees and transportation costs are included.

Flexibility can also make a difference. If your schedule allows, compare different departure dates, airports or travel times before booking. Driving may make sense for some trips, while flying can be more practical for others. Instead of focusing only on the least expensive ticket or hotel room, consider the total cost, travel time and convenience of each option.

Finally, keep your travel plans in perspective with the rest of your holiday budget. Gifts, entertaining and seasonal activities may all be competing for the same dollars. Deciding in advance how much you can comfortably devote to travel can help you enjoy your time away without bringing an oversized bill home with you.