Travel In 2010

4 / 01 - Category: Blog

Happy New Year!  Many of us have started back at work today, with others returning in a week or so.  So, what better time than now to staart thinking about your next holiday!

Chances are that you will travel somewhere in 2010. Maybe it’s a trip interstate to visit your mum.  A road trip down to the coast with a few mates. A quick flight across the ‘ditch’ to ski the slopes of New Zealand.  Perhaps Europe beckons you and your backpack. The exotic flavours of Asia tickle your fancy?  Or is it finally time to hire that open-top Mustang and drive across the US of A; from the Golden Gate Bridge to the Statue of Liberty and every glorious mile in between.    That’s the beauty of travel – regardless of your destination or your budget, it can be anything you want it to be.  So if that’s travelling the length and breadth of the sub-continent on a few bucks a day, or living it up in one of the world’s most expensive hotels (does US$65,000 per night sound reasonable to you?), all you need is the dream and a focus on the end goal. Oh, and the funds to get you there.  The rest, as they say, is all part of the journey.

Well mostly. As any traveller will tell you, it doesn’t matter how well organised you are, the occasional problem can strike.  Good planning can only take you so far and then fate takes over!  You know the story: your connecting flight is cancelled; you get sick; you lose your credit card; you are robbed. But, as Backpacking Blogger Ben Groundwater says, most of these things can be pretty easily avoided, or at the very least, solved with a simple fix.  Ben’s even listed his top ten tips for surviving the holidays (with a specific focus on the joys of summer) which includes such sage advice as ensuring you have the ‘necessary evil’ of  travel insurance – just in case you’re robbed, lose your luggage or get sick or injured.  It may seem like a hefty cost to outlay before you even pack your bag, but just imagine the consequences of not having it.  Hardly bears thinking about.  Anyway, do yourself a favour and check out Ben’s blog. 

Another one to be really conscious of is mobile phone charges (if you plan to take one with you).  While most of us would generally appreciate that it’s not a great idea to be making mobile phone calls back home when you’re in another country (international roaming rates can be frightening so stick to SMS!), it’s great to know that if you (or your family back home) desperately need it, your phone is there.  Just be warned and keep your conversation short!  However, the real trap can be in data roaming charges, eg to access your email or services like Google Maps. With carriers charging around $15 per Mb, it seems your best solution may be to turn data roaming/location services off!  Buy yourself a local guide book instead – it’s much more authentic.

Finally, even the best prepared of us often neglect the realities of home when drawing up our travel budget.  That’s the trouble with holidays, they always come to an end and before you know it, you’re back in routine with nothing more than a pile of dirty washing, a few souvenirs, a tan and a camera full of priceless memories to remind you that it really did happen.   And if that’s not enough to give you the post-holiday blues, just wait until your credit card statement arrives!  If ever you needed reality to slap you fair and square in the face, this is the way to do it.  Line after line of spending on absolutely, cannot live without, must have purchases, now laid before you in black and white.  But before you start reconsidering your next adventure, there are ways to avoid the stress of the post-holiday bill blowout. 

• Remember to consider your post-holiday expenses in your travel budget too. This means doing your sums before you leave.  So will the gas or electricity be due by the time you return? How many mortgage or rental payments do you need to make while you’re away? And how far away is your next pay day? It could be a very long month otherwise.
• We all know travelling with a credit card makes life pretty easy, especially when you’re booking travel and accommodation online.  But don’t let all your great savings work come undone on your return courtesy of an overstressed credit card.  What’s the point of having a great holiday if you’ll still be paying it off for years to come, with interest!  So if you must use your credit card, make sure you’ve budgeted enough to pay it all off when you return.  And beware of the international exchange rate fees imposed by your friendly credit card provider on every transaction.  This should be factored into your holiday budget.
• You could avoid using your credit card altogether by taking up the option of a travel card (ie, like a ‘plastic’ version of travellers cheques) or debit card (linked to your savings account)?  They’re a great alternative to keeping a handle on your holiday budget as you can ONLY spend what you’ve actually got. 
• The Aussie dollar may be doing brilliantly at the moment, but just keep an eye on the exchange rate so you have a reasonable idea of how much your purchases will be when they’re converted back.  Prices may look cheap in the heat of the moment, but by the time you work out the exchange rate AND add any fees and charges (if you’re using a credit card), how much of a bargain will you actually be getting?

So next time you pack your bags and head off on a great adventure, prepare for the unexpected, then sit back and enjoy the ride.

Happy Travels!

ANZ MoneyManager Team