Vacations come with a lot of planning. Whether it is a serene getaway in the hills or an international island escape, holidays often demand power packed pre-planning. And financial planning should top your checklist. The monetary aspect is involved right from the time you begin to aspire for your holidays.
From ticketing to insurance, sightseeing to shopping, food and beverages to ad hoc expenses, your vacation budgeting and spending requires proper management.
This begins with an appropriate assessment of the total expenses of the trip, which we also call as the goal amount. Once the goal is set, it is important to fix the duration in which it will be achieved. Finally, the last step involves beginning to divide the goal amount into months and start saving accordingly.
So for eg: If you aim to save 1 lac rupees for your vacation, it begins with saving 8,000 rupees per month, for the next 12 months.
The saving part also becomes easy and seamless when you decide to invest the same. The avenues are vast with debt funds, mutual funds, recurring deposits in the bank, low duration funds. This will not only give you some interest amount to splurge but also make you more disciplined towards achieving that dream holiday of yours.
So, the next time you come across a destination on the internet and have stars in your eyes, make sure you begin your planning right in advance. After all, with correct planning and management every dream is achievable.