# How to determine travel allocation?



## MasterCard (Aug 2, 2013)

I've probably spent very little on travel, somewhat of a good thing as people get a little too carried away with it and a bad thing as I have had to say no to things I want to do as I felt like I have spent too much on other trips.

As I go to most trips by myself, I usually end up spending alot on hotels as I cannot split the costs. I also try to eat out once a day and grocery shop in between, but even then...costs add up quick for a simple 3-4 day trip. 

Having said that, what if I have been skimping out all these years as people are spending 2-3x what I spend on travelling?
Hard to say...right?

Anyway, my goal next for 2015 is to go to LA and Dubai. 
For LA I figure I need around $500 for the flight, $500 for the hotel and $200-$300 for entertainment and dining - all in around $1300. 
For Dubai, I need around $800 for the flight, $500-$600 for the hotel, and $300-$400 for entertainment/dining - it'll add up to $2000 with transportation here and there. 

That's about $3300-$3500...which is about 2 paycheques out of 26 for me. Is this alot? Too little?


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## indexxx (Oct 31, 2011)

The best thing to do is go to the library and take out Lonely Planet guidebooks for your desired destinations; all your daily costs will be in there and you'll find bargains and ideas you would not have otherwise discovered.


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## OurBigFatWallet (Jan 20, 2014)

Here is a small writeup on the topic as well as the opinions of other readers. I think it depends on the individual situation but in general most people try to set aside a bit each month for some travel. 

http://www.ourbigfatwallet.com/what-percentage-of-income-do-you-spend-on-travel/


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## Ag Driver (Dec 13, 2012)

Next year, I plan to put aside $100 a month for a travel fund. I think this is too little, but it is a start. Annually, this is less than 2% of my average wage. Historically, I have never put money specifically aside for travel. I think you are sitting around 3.8%, and this to me is a reasonable amount. I plan to eventually up my travel fund to 5%.


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## heyjude (May 16, 2009)

To travel, or not to travel? That is the question. My point is that there is no "right" travel budget. When I was working, I travelled a lot for work, and most of it was reimbursed. I didn't spend much on personal travel. I am now retired, and I want to travel several times a year while I am physically able to do so. I like to go on a mixture of road trips and overseas trips. I have budgeted about 20% of my lifestyle expenses for travel. On the other hand, there are lots of things that I don't spend money on, for example, cable TV or designer clothes, and I am not paying down a mortgage. Your circumstances are probably different. The one piece of advice I have is never to go into debt for a trip. If you don't have the money to pay for it, you can't afford it.


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## Nemo2 (Mar 1, 2012)

heyjude said:


> The one piece of advice I have is never to go into debt for a trip. If you don't have the money to pay for it, you can't afford it.


And when you're on a trip consider your priorities....are you there to see/experience things, or just to continually eat and booze it up? (The latter two can be done locally, which saves airfare. :wink: )


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## Barwelle (Feb 23, 2011)

Nemo2 said:


> And when you're on a trip consider your priorities....are you there to see/experience things, or just to continually eat and booze it up? (The latter two can be done locally, which saves airfare. :wink: )


+1. If I go somewhere, I hardly drink, get my meals from the grocery store, dont go to movies. What's the point in flying around the world to do the same things you do at home?

To OP, since you're concerned about cost, I would suggest lowering your standards. Stay in hostels, take public transport rather than renting a car or using taxis, eat out less. If you can, consider one longer trip to one place where you get to see the area, rather than two short trips to two completely different places. 

Dubai has a reputation for being expensive. Why there? Is there somewhere similar that you could go to instead that would be less expensive, flashy, touristy? You might find something a little off the beaten path that you would have a great time visiting.


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## gibor365 (Apr 1, 2011)

Barwelle said:


> +1. If I go somewhere, I hardly drink, get my meals from the grocery store, dont go to movies. What's the point in flying around the world to do the same things you do at home?
> 
> To OP, since you're concerned about cost, I would suggest lowering your standards. Stay in hostels, take public transport rather than renting a car or using taxis, eat out less. If you can, consider one longer trip to one place where you get to see the area, rather than two short trips to two completely different places.
> 
> Dubai has a reputation for being expensive. Why there? Is there somewhere similar that you could go to instead that would be less expensive, flashy, touristy? You might find something a little off the beaten path that you would have a great time visiting.


Good post!
First of all , you don't need to book expensive hotels.... just check websites like home-away, booking.com .... you can find nice apartment rentals/aparthotels./small family hotel - with kitchen,,,and you don't need to go to restaurants.... 
I don't agree about booze  I like to try different kinds of beers or wines.... but again, you don;t need to go to restaurant for it.... 

If you rent car (and rent it from 3rd party websites like autoeurope.com) , you can rent accommodation in suburbs that usually much cheaper and just drive and explore.... 
P.S. Your travel choice is pretty wierd... why are you going to LA and Dubai at all?! Go to former Czechoslovakia , Germany, France, Spain, Ecuador, even Turkey .... much more interesting and cheaper


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## brad (May 22, 2009)

MasterCard said:


> Having said that, what if I have been skimping out all these years as people are spending 2-3x what I spend on travelling?
> Hard to say...right?


Not only hard to say, but it's worth asking yourself why you'd want to evaluate your travel spending based on what others spend. Why not use your own personal yardstick? If it feels like you're spending too much for your own comfort, spend less. If you want to treat yourself, spend more. I wouldn't care what other people spend on travel, because other people aren't you.


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## none (Jan 15, 2013)

Priceline permutation methods can save you a load of cash when booking hotels


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## gibor365 (Apr 1, 2011)

> I wouldn't care what other people spend on travel, because other people aren't you.


 It depends on your priorities ... we spend a lot on travel, sport and recreation ....but we spend very little on jewelry, fashion stores or fancy cars  I really...we don't care about other families spendings...



> Priceline permutation methods can save you a load of cash when booking hotels


 It all depends on country you are travelling to.... for example for France there is perfect website under government surepvision where you can find thousands of apartments etc


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## banjopete (Feb 4, 2014)

I'd add a second to the lonely planet guidebooks, borrow them from the library and take notes! Also don't ignore hostels, despite the connotations people often think of, you can get private rooms for reasonable rates in most of them where you are essentially in a cheap hotel. My lady and I like to travel and do the hostel thing most places, you get the odd dud, just like you would a hotel, but for the most part it's great.

Enjoy the trips, I'm sure you'll have fun. One of my favourite things to do now when I travel is find great restaurants. If you're going to LA I'd suggest San Fran first if you hadn't been, it's a very cool town with lots (more) to see, easy walking, cheap hostels abound, and the food is great all over town with lots of ethnic influence food wise. Mmmmm just thinking of that town makes my mouth water.


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## brad (May 22, 2009)

banjopete said:


> If you're going to LA I'd suggest San Fran first if you hadn't been, it's a very cool town with lots (more) to see, easy walking, cheap hostels abound, and the food is great all over town with lots of ethnic influence food wise. Mmmmm just thinking of that town makes my mouth water.


A friend of mine owns one of the best pizza places in the world, Pizzetta 211, in San Francisco. It's not just the best pizza I've ever eaten, but some of the best food I've ever eaten. It's tiny, only a few tables (a few more outside if the weather's nice), but it would be worth going to San Francisco just to eat there, it's that good.

In general, if I were going to California I'd take San Francisco over LA in a heartbeat, no contest.


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## indexxx (Oct 31, 2011)

banjopete said:


> I'd add a second to the lonely planet guidebooks, borrow them from the library and take notes! Also don't ignore hostels, despite the connotations people often think of, you can get private rooms for reasonable rates in most of them where you are essentially in a cheap hotel. My lady and I like to travel and do the hostel thing most places, you get the odd dud, just like you would a hotel, but for the most part it's great.
> 
> Enjoy the trips, I'm sure you'll have fun. One of my favourite things to do now when I travel is find great restaurants. If you're going to LA I'd suggest San Fran first if you hadn't been, it's a very cool town with lots (more) to see, easy walking, cheap hostels abound, and the food is great all over town with lots of ethnic influence food wise. Mmmmm just thinking of that town makes my mouth water.


Yes, I always look for a single room in hostel- most have them. You get your own room for 1/2 the price of a hotel, plus usually good cheap food, access to fun tours and activities, and instant friends/sightseeing buddies in the hostel bar. Generally good locations too. Lonely Planet has served me well in over 2.5 years total of independent budget travel in over 40 countries. (sorry- didn't mean to sound like an ad...)


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## Plugging Along (Jan 3, 2011)

I think you base your budget on what is important to you. 

I will spend a little more (not that much more) to get a direct flight because I have young kids. We try to drive if possible, if not then we rent a cheaper car. We spend a lot on food, as we for us trying different restaurants is what we consider the experience. Anywhere from whole in th walls, to five star, no chains though. 

When we travel, we don't skimp on the activities or food, but we have saved in the scariest motels because we are out so much. 

I say if you want to travel, go for it.


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## Money We Have (Mar 20, 2014)

Airbnb is a good option for those who want to save but don't want to book a hostel.


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## My Own Advisor (Sep 24, 2012)

I think you can only determine what is "too much" on travel.

My wife and I have travelled a fair bit and in some cases, we go cheap, others more frugally, others still more luxurious. It all depends what we can afford at the time to be honest. 

International flights for one person under $1000 are usually pretty good, under $750 are great.

I think for most of our international trips, after flight costs, we try and budget about $100 per person per day for everything else (accommodations, food, tours, spending, rental cars, trains, etc.)


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## fraser (May 15, 2010)

What to budget and what you spend depends entirely on where want to go and how you wish to travel.

We travel frequently and select on value. That could be five star or no star, shoulder season or high season. We look for value bookings on air/ cruise and on land trips. Next month we will be staying at a 5 star in Bangkok @ $85. then at a no star family run B&B in Chiang Mai @ $25. night. Both are highly recommended and great values. But they are different. We could find less expensive accommodation in Bangkok if we wanted but our rate includes a fabulous buffet breakfast....a great value stay.

It is all about choices.


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## NotJustDreaming (Oct 20, 2013)

This is a great conversation. Thanks for starting it.

Travel is the biggest line item in our budget. Or rather it has been. I recently got into travel hacking and now we have at least quadrupled our travel for the same budget. We're a family of five. I'm a dubious consumer and was opposed to alot of the things I'm doing now, without having known anything about them. Sound too good to be true? ... it must be?!?

I'll check out shopping portals for any online purchase I make, not just for travel. Just like many things I eventually take the time to learn about, I regret having ignored shopping portals all these years. I categorized them as too good to be true. It's not! They're just sharing the jackpot they get for having directed us to a specific website and making a purchase.

I collect hotel and air mileage points points and try to stay on top of bonus offers. This nets us several free nights per year if we pay attention to how we book our paid stays.

And then there are credit card sign up bonuses. The penultimate point earning and cash back cow. Who would have thought!?! Now between my husband and I we make a few strategic credit card applications each year, and are swimming in points. The big thing is learning how to use them for maximum value. 

Combine this with all the amazing tips people post on this forum, like relocation cruises, as long as we're flexible, we are spending a quarter of what we used to on travel.

That said, I have not taken a relocation cruise yet. But I removed it from my too good to be true list.


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## fraser (May 15, 2010)

When we travel we very, very seldom bring anything back with us besides photos and memories. It can create an odd stare when we come back through Canada Customs. Last few trips were each 2-3 months long....with nothing to declare when we came home other than dirty laundry. 

We do mostly carry on so there is not much room for souvenirs....or should I say future garage sale items. Prior to retirement I used to buy most of my suits and dress shirts in the US. No need to buy these any more!


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## Nemo2 (Mar 1, 2012)

fraser said:


> When we travel we very, very seldom bring anything back with us besides photos and memories. It can create an odd stare when we come back through Canada Customs. Last few trips were each 2-3 months long....with nothing to declare when we came home other than dirty laundry.


My lady purchased a scarf at a market in Paris, and we both bought one from a stall in Rome........now you're making me feel like Little Orphan Annie's _Daddy Warbucks_. :biggrin:


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## gibor365 (Apr 1, 2011)

fraser said:


> When we travel we very, very seldom bring anything back with us besides photos and memories.


We always bring back alcohol and tobacco from duty free  and when we travel to Europe , sometimes we buy there good shoes...


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## fraser (May 15, 2010)

If we wear it we seldom declare it. Did pick up a very nice shirt at Marks and Spencers in Prague this past Sept. On sale of course. They were getting rid of their summer stock. I don't bother with booze as it never seems to be that much of a saving and not worth the hassle and we don't use tobacco products.


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## gibor365 (Apr 1, 2011)

> If we wear it we seldom declare it.


 Except alcohol and tobacco we don't declare anything..... just write in declaration some reasonable amount.... We bought very nice and cheap shows when visited Spain.... but last year when we went Germany, France, Swiss - we bought nothing....


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## indexxx (Oct 31, 2011)

I rarely buy souvenirs aside from small flat items, as I travel as a backpacker. I have shipped home a few packages of stuff on occasion; sometimes people forget that other countries do have mail service to Canada!

The one thing I usually go out of my way for is old currency, particularly from countries that no longer exist. I've got a pretty cool collection. I don't use alcohol or tobacco, fragrance, or buy expensive watches etc so duty free is lost on me.


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## nobleea (Oct 11, 2013)

Between my wife and I, we have probably spent somewhere between 100-150K on travel over the past 15 years (we're mid 30's). We spend very little on shopping. Duty free is useless as we're not big drinkers (though there was 60's of Jim Beam at the Costco in Maui for $21) There is no right amount to be spending on travel, it's not like a retirement savings plan. Travel if you want to. If there's somewhere you want to go, see, do, then do it (assuming you can afford it). Spend money on experiences. Whether that's whitewater rafting down the Zambezi (done it) or driving to seattle/buffalo/new york/closest NFL town to you to watch an NFL game in person. It's best done with friends or loved ones.


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## fraser (May 15, 2010)

We are doing a fair amount of independent travel now while we have the health, the inclination, and the resources to do it. We have arranged our lifestyle to enable this travel. 

We do not want to look in the rear view mirror and wish we had done those trips on our bucket list. Leaving in two weeks for three months of independent travel and a short cruise. We are frugal travellers but we also want our creature comforts. There may come a time where we are restricted to cruises and elder tours. Hopefully that is a long way off because our bucket list is growing and we want to revisit some places that we have crossed off!

Travel is a large part of our life and we budget accordingly. We have friends and relatives who do not have the travel bug. They budget and save for other wants in their respective lives.


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## RBull (Jan 20, 2013)

Our plan is similar to yours. We left work early for the exact reasons you outline, plus we'd had enough of it. We're finding so far we want to travel even more than planned and are arranging our lifestyle to try and accommodate this, although with our home it is a little more challenging. We do not plan to move though. There will come a time when it's too much work, trouble, cost to travel and home will beckon us to stay. But that's well down the road...we hope. 

Your travel style also sounds similar. We're very budget and value minded, but sure don't mind some nice things if they come at a good price. We're leaving in 30 days for a couple of cruises, independent travel, and R&R at a seniors park for a bit- to get a flavour of that.


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