There are two basic ways to raise money for the trip – they can either save or take the credit. The only question is, what best to do.
Vacation loan: for and against
To get credit for vacation makes sense only in the following cases:
- you have no possibility to accumulate the required amount by a certain date;
- you have savings, but to implement all of the desired goals for them is not possible. While all targets are important and not one of them push back to a later date impossible (for example, tuition and treatment);
- in the near future you will be spending big, therefore, to use available savings is now impossible;
- you have a large amount of personal savings, but you plan to place it on more favorable terms (for example, to invest in stocks), so better to get a loan than to miss the opportunity to get a good profit;
- your income will soon increase, which will allow you to prematurely pay off the Bank and reduce the amount of overpayment on the loan;
- you take out a loan on a credit card and plan to repay the debt before the end of the grace period.
In all other cases, getting a loan for a vacation is hardly warranted. In addition, to take out a loan on vacation even dangerous for several reasons:
- on vacation does not want to save, so when applying for a loan on holiday often take the amount of 20-30% more, which leads to significant overpayment;
- on vacation most tourists spend their vacation "in full", so after returning home are either without means, or with minimal residue from the "holiday budget", while payday is still far. In this regard, many prefer to take a loan for a vacation for a long term (3-5 years) to reduce the monthly payment amount, which in turn leads to a significant overpayment.
- returning from vacation with a loan and no savings, there is a risk of deterioration in the financial situation of the family as a result of any emergency event (unplanned spending, delay or reduction in wages, job loss, etc.).
Deposit: instructions for use
The best option is early preparation for the holiday. Plan your expenses for the trip should start in about a year. Of course, this approach requires patience and more careful attention to the existing costs, but will save you from having to borrow money for holidays and significant overpayments in the case of processing the loan. The perfect way to saving money is their placement in a Bank Deposit. To choose a Deposit at the Bank should be given the following options:
- Deposit term – 12 months. Vacation usually happens twice a year, so one Deposit can be used directly on two trips, provided struggle with the desire to spend all the money at once.
- With replenishment. To Deposit immediately the full amount for many is a daunting task, and the contribution with replenishment will allow you to make regular payments in the amount of 10-15% of wages and gradually to accumulate the required amount.
- The partial removal. Usually on Bank deposits provided the minimum balance. Given that travel during the period of the Deposit may be more, the withdrawal from the Deposit, providing for a partial withdrawal will keep the accrued interest.
- With monthly interest capitalization. If quite simply, it is the interest calculated on interest. If you have not removed the accumulated amount at the end of the month, they are credited to the Deposit account during the current period interest will accrue to the already larger sum.
- In the currency in which you will spend money on the trip. This will allow you to lose some funds in the currency fluctuations, particularly in its appreciation against the ruble. If you are planning to relax in Europe, to open the contribution should be in Euro, if other countries in dollars, if the territory of the Russian Federation, respectively, in rubles. If you haven't chosen a place where I would like to spend the next holiday to save money best on multi-currency account or in several deposits in different currencies.
How much money you need on vacation
Holidays does not happen much, as expenses associated with them, however, to annual leave (28 calendar days) is recommended to stay within the limits no more than two of the monthly income of the family. So, if you get 30 000 rubles per month, to spend on vacation and can not exceed 60 000 rubles. Such a calculation allows you to set aside each month is comfortable for the family budget amount - 10-15% of income.
The accumulation of money is only half the battle, still need to learn how to properly dispose of patiently saving for a year means. Of course, on vacation, you can spend all you want, but with a limited budget, this statement loses its relevance. Laid on vacation it pre-split by major object of expenditure:
- cafes, bars, restaurants;
- other expenses.
Depending on the purpose of your vacation (beach vacation, sightseeing, shopping, etc.) the distribution of funds on articles will vary, but the overall logic will remain:
- about 30-40% will need to the main purpose of the trip;
- about the same (30-40%) will be spent on tickets and hotel accommodation;
- about 20% of the "holiday budget" will need to food;
- other expenses should leave not more than 5-10%.
Thus, pre-planning the family budget, not only by yourself to save up for a vacation, but to successfully control their spending during the trip.
Release: cash or card
Take a trip to the cash is inconvenient for several reasons. First, it must be declared when going abroad, if it exceeds a certain amount. Secondly, there is the likelihood that the money can be stolen. Thirdly, there can be problems with currency exchange, if the country to which you are going to rest, do not use the dollar and the Euro. And most importantly, if you take with you only the cash, in case of shortage of money there is quite logical question – "where do we get more?".
With a Bank card, no such problems. In the case of a lost or stolen card can be locked and to contact the issuing Bank with a request for urgent replacement of plastic. No need to look for exchange offices, as the card account provides for automatic conversion. If your card has a credit limit with a grace period, the question of the lack of funds will not disturb you during the holidays. In addition, funds placed on the card, do not need to declare.
However, the use of Bank cards has its drawbacks: plastic denies the owner the opportunity to hold the money in hand and understand how much is left, which in turn can lead to loss of control of the committed expenditure.
Ideally, it is desirable to use the combined options: cash and credit card. The ratio shall be determined on the basis of what you prefer to use and makes it easier to control the flow of available resources. It is also necessary to consider the peculiarities of the country where you are resting: if the banking system is not too developed, then there is a risk that your card will be useless, so better to bring more cash. If you are going to rest in a developed country, the most part of expenses it is better to carry out using a credit card.