Planning a holiday: Remember these 9 points to protect your savings

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People are coming out from their homes after almost two years. The tourism and hospitality industry is again waiting for an outstanding season. Both domestic and international tourist spots are opening their gates to welcome guests. But before going for a long-pending holiday one should keep money matters in mind. Money9 offers a nine-point guideline for managing one’s money while planning for the holiday.

Know your limit

Before planning for your long-awaited holiday season, check your limits. How much you can spend for your holiday? The pandemic has made us more aware of the significance of money. So always fix your spending limit before opting for your holiday.

Make your budget

Making a financial budget is probably the important step to begin with. While making your budget do not forget to be accounting for all foreseen expenses and keeping aside a certain amount for unforeseen expenses for your holiday.

Keep a buffer

Expenditure of holidays are never static. Hence, please ensure to keep a buffer to accommodate any change of plans or any last-minute addition to the shopping list.

Don’t cross your limit

If you have Rs 20,000 to spend, then try to manage it within Rs 18,000. Don’t spend Rs 22,000. If you cross your limit, then the debt burden can sit tightly on your shoulders.

Remain flexible

Experts always advise, while planning for a holiday, it is wise to be flexible. That might cost you less. If you travel on weekdays, the hotel accommodation is likely to cost much less than weekends.

Advance planning

Always try to make holiday planning a bit in advance. Advance planning will help you to avoid last minute surge pricing for airlines and hotels both. Planning two months earlier might save you some extra bucks.

Try to make a group holiday

If you travel alone with your family, it will cost more. Try to make it a group plan with your friends and family members. It will cut turn to be a pocket friendly one.

Don’t compromise

Given all the uncertainties around us, please avoid dipping into your emergency funds to enjoy one extra day on holidays. It is extremely important to remain financially prudent and keep priorities intact while enjoying the holiday.

Keep investing

While enjoying the long-awaited holiday season, please ensure you also stick to all your investment plans. Stopping or missing even one single SIP, STP or RD installment is never recommended.

Expert opinion

For most of us, this holiday season is expected to provide resemblance of normalcy to a certain degree in our lives after pandemic prone 2020-2021.

“We should be mindful of following our financial plan while making the most of the holiday season. It is extremely important to remain financially prudent in this tough time,” said Ankur Maheswari, CEO-wealth, Equirus.