When saving for a holiday, you’ll usually start by considering the main and more costly elements, such as accommodation and travel. With these bigger goals in mind, many holiday makers often prolong thinking about the day-to-day expenditure and additional upfront costs, from insurance to suncream.

Before booking a holiday, it’s a good idea to make a list of all the costs associated with your trip, so that you can factor these into your wider holiday funds.

Some of the costs you’ll need to consider before booking include:

• Accommodation
• Travel (whether that’s plane, train or petrol)
• Car hire (plus insurance)
• Travel insurance
• Money exchange and/or travel cards
• New clothes, swimwear or specialist kit (such as ski wear)
• Toiletries such as suncream, aftersun and insect repellent
• Travel adapters
• Data roaming charges and phone packages
• Travel vaccinations

Some of the additional costs you’ll need to consider before leaving home include:

• Food and drinks
• Day trips and excursions
• Public transport costs
• Entertainment
• Gifts, holiday treats and an ice cream fund!

Once you’ve established the type of holiday you’d like to have, and you have a clearer understanding of the additional costs associated, you should be able to calculate your total savings target.

At this stage, it’s time to start saving little and often towards that goal. If for example, you are saving for a honeymoon trip in two years’ time, try to work backwards from then. Work out realistically how much you’ll need to put away each month in order to reach your savings goal.

If your income tends to vary from month to month, you might wish to consider choosing a smaller but more achievable monthly goal. Don’t forget, you can always add to your savings pot after your monthly outgoings have been taken into account should you have remaining funds.

 

There are plenty of savings accounts that will suit the end goal of saving for a holiday. If you need your savings pot to be a little more flexible, offer easy access and regular savings deposits, you might want to consider an Everyday Saver or an Everyday Cash ISA.

If however, you’re saving for a bigger trip, further into the future, and you know you won’t need access to your funds, an option such as a two year savings bond might be a better choice for you.

At Furness Building Society, we have a great range of savings options which can help you achieve your holiday goals and help get your toes in the sand. Check out our savings accounts here.

 

Holidaying somewhere a little closer to home will usually be a more affordable alternative to a trip further afield. But when it comes to actually booking your holiday, there are a few things you can do to try and keep the costs down - and the savings you make can be used for a treat on holiday!

• Try to be flexible on dates (school holidays will always be more expensive)
• Make the booking yourself (this will save you agency fees)
• Turn off cookies when browsing tickets and package holidays. Website cookies will brilliantly personalise the service provided, but prices may start to creep up if you’ve entered a
• certain plane ticket multiple times.
• Book well in advance (some package holidays will offer early booking discounts)