Money: How To Save How Much?

How Do I Afford It?

Ok, so this one isn't so easy. But travelling probably doesn't cost as much money as you think. Don't write off a trip due to financial reasons until you have actually made the educated estimates.

Most often, the true traveller travels on a budget. This means cutting costs wherever possible: travelling independently making your own plans and arrangements, choosing lower end accommodation, furnishing some meals at inexpensive snack stalls and supermarkets, travelling economy class on buses and trains, taking self-guided walking tours rather than bus tours, divorcing air-conditioning, looking for discount options on activities and entertainment, being as self-sufficient as possible and actively seeking freebies. Having a budget-minded guidebook helps point you in these directions. As well, if you can prove eligibility, student discounts abound in certain parts of the world.

To come up with the money for travel takes some will power, determination and time. Schedule your trip far enough in advance. To help yourself save, try determining your estimated total trip cost (more on that in a minute) divided by the approximate number of days of your trip for an approximate daily trip cost. Then try to save your money incrementally, rather than saving for that large lump sum that seems eternally unreachable. For example, try to save enough money over a three day period for one day of travel, or whatever is feasible for you. This way, you will feel like you are making money-saving progress. Think along those terms too, when tempted by that sweater at the mall or that newly release CD box set, remind yourself that that same C$50 is a whole day in Amsterdam, or three in Sumatra, Indonesia. Could CD's and sweaters possibly be as rewarding? I travelled with a friend through Nepal. Her money saving rationale in the months before departure was this: If it is of no use to me in Nepal, I will not buy it. She never did buy that new stereo�

Living day to day with your belt tightened not only helps you save money, but also prepares you for life as a budget traveller. Some people also find that setting up a separate bank account for their travel funds is useful too. I recommend a high-interest, low convenience type of savings account without an ATM card or cheques, so that it is harder for you to access that money in moments of weakness.

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The initial airfare to fly to the other side of the world is (hopefully!) the hardest financial travelling pill to swallow, and it unfortunately comes first. Also unfortunate is the fact that the destinations with the lower daily costs of living often have higher airfares associated with getting to them. Make sure you do your research on airfares and ask for student discounts . A few phone calls asking the right questions can save you literally hundreds of dollars. Flights from Canada to outside of North America generally cost between C$500 and C$1800. For more on air fares and tickets, see Getting There and Getting Around.

Depending on what you already have and what you can borrow from your friends, you may need to buy gear. As a budget traveller, it isn't necessary to have the latest in technology or the niftiest travel gadgets, but you will need and want certain things. Include these in your budget and shop around for the best prices on new and used gear. If you are travelling with someone else, you may be able to share certain things thus lightening both your physical and financial load. It may be a good idea to be self-sufficient on life-or-death or non-replaceable items though, just in case you and your companion decide to separate. For ideas on what to take, essential and otherwise, see Gear Shop: What to Take. Although you will need to budget for gear on your first trip, take heart, your investments, if made wisely, will last you several more expeditions, or may be worth something to someone else when you get back. Gearing up can cost several hundred dollars, but certainly doesn't have to.

There are a few other things for which you need to part with your money before you even get to the airport for your departure. It is a little disheartening, but not in vain. Planning and paying up front can save you in the long run.

Medical insurance is a must. Medical care of any sort overseas can be exorbitant, or at least it will be relative to your budget. Having to take care of costs associated with unexpected turns in your health can end your trip. In some cases, emergency care may be refused if you have no proof of insurance or the ability to pay your bills - and then the issue can be life or death. Shop around for the right insurance plan for you. Depending on the length of your trip, where you plan to go, your insurer and the extent of your coverage, insurance plans can cost between C$0.50 and C$12 per day of travel. In general, the longer the trip, the less money you pay per day for insurance. There are lots of things to know about medical insurance coverage, see Prepare for Your Best Health.

Vaccinations and medications are important to protect your health, and the former may in fact be required for entry in to certain countries. Certain vaccinations are routine and/or beneficial to wherever you are in the world. Some are recommended for many parts of the world, others cover diseases present in regions smaller in scope. Medications to be considered include anti-malarials as well as a cornucopia of remedies and antibiotics. What shots and pharmaceuticals you need depend on several factors - see Prepare for Your Best Health and then consult your local travel medical specialist. Getting your shots can not only make you feel like a pin cushion but can also set you back anywhere from C$100 to C$800. Outfitting you own personal travel drugstore can also cost a couple of hundred depending on what you need, how long you are planning to travel for and how much of a hypochondriac you are. Don't forget you may have to front the costs of stocking up on any other medications you take on a regular basis. Check to see if any of these costs are covered by any benefit plans you are eligible for before your trip.

If you are leaving your own county, you will require a passport for your travels. Make sure yours is valid for at least 6 months past your planned return date as some countries will deny you entry if your passport will expire within 6 months from that date. In Canada, a passport Canadian valid for 5 years costs C$87. You may also incur photography, registered post and courier fees in the application process. Applications can be picked up at your local post office.

Entry visas may be required for some of the countries you plan to visit. Make sure before you plan your trip that you are in fact eligible for entry into a country, and then determine which countries require a visa for people of the nationality of the passport you carry. Some visas can and should be arranged from your home country before your departure, others can be left for arranging on the road. Visas for individual countries can run between C$40 and $120, plus photography, registered post and courier fees, and costs for long distance phone calls. Check with the embassy of each country you plan to visit for their entry requirements. For more on passports and visas, see Paperwork: Travel's Bureaucracy.

Finally, pre-trip costs may include nominal fees for a guidebook, a student card, a GO 25 card and/or a Hostelling International membership. The full package will run you around C$80.

And then you are ready to go!!

Money. Yes, it costs money to spend your money in a foreign land - little bits here and there. First, it may cost you service fees to buy your travellers cheques from the bank before you leave. Along the way, you can lose a lot with poor exchange rates and you will probably incur additional small fees for changing travellers cheques, withdrawing money from automated bank machines and using your credit card for purchases and payments. Taking money out against your credit card can be costly later on with high interest rates on cash advances. These costs don't have to add up to too much if you play your cards right. See Arrange Your Money for some money saving tips. Bargain for 1% to 5% of your total cost.

Once you have arrived in your initial destination, chances are you plan to be on the move. Depending on how ambitious your schedule is in terms of covering distances, and how much time you have to spend (or waste!), your non-local transportation fees will vary incredibly. In some areas of the world, you are better served to arrange for your transportation as you go, in others, you may benefit from a prearranged travel pass such as the Euro-Bus or Eurail passes. Such passes may be available only from your home country, or may be available as you travel. Passes vary incredibly in their scope and can cost between C$100 and C$2000. Check with your travel agent and do your research as well, some passes are available overseas but your agent won't want to tell you about them, or may not know about them. For more on prearranged transport, see Getting There and Getting Around. Non prearranged transport costs depend on how often and how far you go, your mode and speed of transport and the level or comfort and service your choose. Don't assume you will always be able to choose the lowest fares either, these services may be infrequent, unsafe or painfully slow. Use a local, budget-minded guidebook and an idea of your itinerary to estimate your transportation costs. For more on transportation, see Transportation.

Guidebooks generally talk about travel in terms of daily costs. I include accommodation, food, local transportation, admissions and entertainment in this calculation. There are lots of ways to keep your costs down in these areas. Budget accommodation (like youth hostels) is available almost everywhere, snack stalls and grocery stores offer low cost meal alternatives and many cities have comprehensive public transportation systems. Admissions such as those to museums and churches can sometimes be free or reduced at certain times of day or of the week. Entertainment should be budgeted for so that the traveller can afford the occasional (or frequent!) luxury. It is only the pitied travelling soul who sits on a barstool next to new found friends and claims to not afford a beer. Depending on how expert you are at cost cutting and where you are travelling, daily costs can vary from C$15 to C$60. Browse through the on the road section for tons of suggestions of daily travel life.

Travellers are often content with roaming the cities and countryside, watching life go by from a caf� patio or striking up conversation with a local fisherman. But even the most natural, independent and budgeted traveller will be tempted by the many activities and tours offered in far away places. Travelling offers unique opportunities to participate in things you can't do back home, and more than likely you have the time, energy and spirit to do so. Many activities can and should be experienced independently, such as renting a bicycle to ride to the local waterfall, or a kayak to explore the mangroves. This is the way to keep costs down. But other activities require the use of more complicated equipment, instruction and guides. For example, a first time scuba diver can't just jump in and try it out, and some forests, caves or mountains around the world can indeed be dangerous, or in fact illegal, to explore without hiring a guide. Budget enough cash to not let the opportunities that entice you pass you by. From bike rentals in Laos to organized adventure tours in Switzerland, a day of activity can vary in cost between C$2 and C$100. Depending on your destination, goals and interests, budget on about one to four of these days per week of travel.

Consider your needs and those of your doting family and friends at home to calculate your costs of communication - mail, email and long distance phone calls. Consider how and how often you plan to contact home as well as how often you will need to call ahead to arrange your travels (i.e. accommodation and transportation reservations). You may need to figure in communications to take care of the life you are leaving behind - such as bill payments or arranging where you will live, work or study upon your return. Don't forget sending thank you letters to people who have helped you out on your journeys! Postcards can often be purchased, written and sent for around C$1, semi-local travel related calls generally cost between C$0.50 and C$5. Calls home vary on the methods you use but can run between 10 cents and C$2 per minute plus service charges in some cases. E-mail costs vary depending on your locale and the service - between 3 and 50 cents per minute of internet connection time. For more information on preparing to open your communication lines while away, see Prepare to Keep in Touch, and for more on making it happen while away, see Communication.

Let's face it, you are going to go shopping while you are away. Whether it be a bar of soap or a new carpet, you will more than likely be incurring some consumer costs. Budget for gifts and souvenirs, and for longer trips, consumables (shampoo, toothpaste, pens, etc.), books to read and clothing - you may just get sick of the two t-shirts you brought with you.

Don't forget your photos. Buying film and paying for processing costs a good chunk of cash, depending on how shutter happy you are. Budget for this ahead of time, and do so generously; your photos can make your best souvenirs and will bring back precious memories. There is little more tragic than arriving home after 10 months travelling through Africa and not being able to afford to develop your pictures. For more on photography tips and ideas, see Photography.

Finally, budget another chunk for the unexpected, good or bad. Think in the range of 10% to 20%.

If in the end, after concerted effort and consideration, you truly can not afford to travel, look into other opportunities such as volunteer or employment postings.

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