Bible Money Matters

Christian personal finance

Menu
    • About
    • Archives
    • Contact
    • Close
  • Making Money
      • Popular Articles

        • 50 Ways To Make Money: Maximizing, Creating And Increasing Your Income
        • 10 Weird And Unconventional Ways To Make Money
        • Making Money With A Blog (e-Book)
        • 10 Places To Sell Or Trade Your Unused (Or Broken) Electronics
        • Ways To Make Extra Money Series: 20 More Income Generating Ideas From Our Readers
        • Making Side Income Can Help Blunt The Impact Of Becoming A One Income Family
        • Earn Cash Back With Discover it® Credit Card
      • Recent Articles – Making Money

        • Best Sites Like Fiverr To Make Money As A Freelancer
        • 13 Of The Best Independent Contractor Jobs
        • 25 Of The Best Gig Economy Jobs
        • How To Make Money Blogging: Turn A Blog Into A Business
      • Categories

        • Making Money
        • Investing
        • Retirement
        • Jobs & Work LIfe
        • Money
        • Income
    • Close
  • Saving Money
      • Popular Articles

        • 50 Easy Ways To Save Money Every Month
        • 10 Weird And Unconventional Ways To Save Money
        • 10 Practical Ways To Save Money And Increase Your Net Worth
        • How To Save Money On Just About All Of Your Regular Monthly Bills
        • Ways To Watch TV Without Paying An Arm And A Leg For Cable TV
        • Save Money On Your Hospital Bill - Just By Asking
      • Recent Articles – Saving Money

        • How To Save $100k In 7 Practical Steps
        • Stairs App Review: Save And Invest To Earn 4-6% Interest
        • Honey Review: Save Money Automatically When You Shop Online
        • 9 Convincing Reasons Why You Need An Emergency Fund
      • Categories

        • Saving Money
        • Frugality
        • Planning
        • Finance
        • Saving For Retirement
        • Savings Accounts
    • Close
  • Banking
      • Best Rates For 2019

        • Best Credit Cards
        • Best Savings Accounts
        • Best Mortgage Rates
        • Best CD Rates
        • Best Brokerages
        • Free Credit Scores
      • Recent Reviews

        • TradeStation Review: Commission Free Stock And ETF Trades
        • Firstrade Review: Commission Free Trades on Stocks, Crypto, And Options
        • Cadre Real Estate Investing Review: Commercial Real Estate Investing
        • Axos Self Directed Trading Review: Invest, Trade Stocks For Free
      • Categories

        • Bank & Software Reviews
        • Investing
        • Credit
        • Banking
        • Mortgage
        • Insurance
        • Family Budget
    • Close
  • Recommended
  • Video
    • Close

Wish You Could Travel More? Create a Travel Fund

By Miranda Marquit 3 Comments - The content of this website often contains affiliate links and I may be compensated if you buy through those links (at no cost to you!). Learn more about how we make money. Last edited April 27, 2018.

Share32
Pin5
Tweet1
Share
38 Shares

Many of us, when asked what we wish we could do more of, list travel. I know I like to travel.

But travel is one of those things we perceive as “too expensive.” We read about traveling on a budget, but we’re not always sure how practical it really is.

How To Create A Travel Fund

One thing I did to make more travel a reality is to create a travel fund. With the help of a travel fund, it’s possible for me to enjoy small getaways or plan for bigger trips. Here’s how it works:

Quick Navigation

  • Figure Out How Much You Can Set Aside Each Month
  • Where Should You Keep Your Travel Fund?
  • Now, Use Your Travel Fund
  • See More of What You Want

Figure Out How Much You Can Set Aside Each Month

The first step to a good travel fund is figuring out how much you can set aside each month. Think about your financial priorities and figure out if you want to be able to travel. You might decide that travel is more important than eating out or buying an extra knick-knack.

Look through your expenses and your spending and cut out the items that don’t help you reach your financial goals. Shift some of that money toward your travel fund. Don’t forget to add up how much a vacation might cost and estimate when you want to take it. That will influence your initial contributions to the travel fund.

Each month, automate a contribution to your travel fund so you don’t have to think about it. Over time, you’ll start to see the fund grow — and you won’t have to worry about paying for your trips. You still need to be frugal and find the best deals if you’re on a tight budget, but some of the stress of finding the money will be gone.

Where Should You Keep Your Travel Fund?

Once you know how much you plan to set aside each month, it’s time to figure out where to keep your travel fund.

Many people like the idea of keeping the travel fund in a high-yield savings account. However, in some cases, that might not be the best plan. After all, there are limitations to withdrawals, and you could be stuck with fees and minimums.

Another option is an interest-bearing checking account, like the Radius Hybrid account. Checking accounts have more flexibility in terms of withdrawal. Plus, a good account doesn’t charge you minimums or monthly fees. Compare options before you make your move.

Finally, you can try what I do with my travel fund. I keep my travel fund in a taxable investment account with Betterment.

In order to make this work, you need to have the risk profile — and the stomach — for it. So far, I haven’t had a problem. I have my asset allocation set up as 77% stocks and 23% bonds. It’s worked well for me. My account has grown more quickly, giving me more flexibility for trips. However, I do know that at some point I’ll probably sell at a loss. But if the capital is there, and I can use the money, I can offset the loss (to some degree) with a tax deduction.

Before you decide where to keep your travel fund, take a few minutes to consider your goals, and your risk profile. Then set up an account in a way that works for you.

Now, Use Your Travel Fund

Everyone has different preferences for using their travel fund. If you have it in an interest-bearing checking account, you can just take that debit card on a trip and use it.

Even if I used such an account for my own travel fund, though, I’d be reluctant to follow this method. Instead, I like to use a credit card. I use a rewards credit card for all my travel costs, from booking airfare and rooms to buying food.

Once I get back, I sell the number of shares I need to sell and move that money to my main checking account. Then I can just pay off the credit card bill. I’ve earned rewards that go toward my next trip, and I haven’t paid interest.

This is a great way to reduce your overall travel costs while using your travel fund to best effect. Even if you use a checking account or savings account for your travel fund, you can use it in conjunction with your credit card. It’s even easier if you have a checking account for your travel fund because you just have to pay off the card.

See More of What You Want

You might be surprised at how effective it is to start a travel fund. I got mine started because I wanted to go on a trip across Canada with my son. I estimated how much I needed to put in the account each month to reach the goal, and opened my taxable account.

After the trip, I had a good chunk still in the account, and I was used to the monthly contribution. So I just kept it. That fund has allowed me to go on spontaneous weekend trips with my son, and it even helped us take a Viking River Cruise up the Danube last summer.

Even if you don’t have a lot to start, begin setting aside money for travel. As your account grows, and you see what you can accomplish, you’ll find more money to put toward the cause.

This is a sponsored post, part of a campaign with Radius Bank.

Related Posts

  • frugal travel tips
    5 Tips For Traveling On A Budget

    My wife and I love to take trips and usually go on a nice vacation every year or so. We try to keep the costs…

  • 10 Tips For Saving Money While You Travel

    My wife and I are currently planning a trip for our 10th anniversary, and in the midst of all the planning, we're trying to find…

  • An Emergency Fund Is More Than Just Money In The Bank: You May Have More Money Available Than You Think

    If having a small emergency fund of $1,000 or even $3,000 makes you nervous, keep in mind that you probably have much more money available…

Share32
Pin5
Tweet1
Share
38 Shares
Last Edited: 27th April 2018 The content of biblemoneymatters.com is for general information purposes only and does not constitute professional advice. Visitors to biblemoneymatters.com should not act upon the content or information without first seeking appropriate professional advice. In accordance with the latest FTC guidelines, we declare that we have a financial relationship with every company mentioned on this site.

This article is about: Travel

About Miranda Marquit

Miranda is a freelance writer and professional blogger. She writes for a number of personal finance blogs, including the AllBusiness Personal Finance Corner. She has a M.A. in journalism, and is the main author of Planting Money Seeds. Miranda lives Utah, where she enjoys spending her free time reading, traveling and playing with her son and husband.

Comments

    Share Your Thoughts: Cancel reply

  1. Kacie says

    This AND travel credit cards and using points. Responsibly, of course.

    Reply
  2. Peter Anderson says

    We have a travel fund that we put money in every month. You’d be surprised how quick the fund grows. We have used the fund to go on multiple trips, and once it reaches a certain dollar amount any extra just goes into retirement savings. Great idea!

    Reply
  3. Janeen says

    Having an area for travel in our budget has been HUGE. We just increased this category this year (after having paid off our mortgage last year) and it’s compiling for a fun family trip this fall. Every time I run the numbers for the trip, I start to think, “How are we going to pay for this?” Then I realize, with our fund in place, we already are paying for it! ;)

    Reply
Previous Post: Stretch Your Money Further With This Unique Spending Freeze
Next Post: Ibotta Means Easy Savings Of $240 A Year For The Average User
Discover Investment Platforms

Popular Posts

  • 21 Easy Ways To Earn Free Amazon Gift Cards
  • 10 Best Free Tax Filing Services And Software Online
  • 21 Apps That Pay You Real Money Fast
  • 17 TV Apps And Live TV Streaming Services To Watch TV Free
  • 30 Legit Online Jobs That Pay Well
  • 37 Easy Ways To Get Free Gift Cards
  • How To Get Free Stock
  • 40 Easy Ways To Get Free Money Fast
  • 21 Places To Read Free Books Online
  • 24 Legit Online Jobs
  • 17 Best Work From Home Jobs: A List Of Legit Online Jobs That Pay Well

Recent Posts

  • How To Save $100k In 7 Practical Steps
  • How to Save Money When Remodeling A Home
  • How To Hire A Contractor For Your Remodeling Project
  • Remembering 9/11 Years Later: Where Were You On That Fateful Day?
  • TradeStation Review: Commission Free Stock And ETF Trades
  • Firstrade Review: Commission Free Trades on Stocks, Crypto, And Options
  • Cadre Real Estate Investing Review: Commercial Real Estate Investing
  • Best Sites Like Fiverr To Make Money As A Freelancer
  • Axos Self Directed Trading Review: Invest, Trade Stocks For Free
  • 30 Quotes About Easter And Resurrection: He Is Risen!

Disclaimer

The information contained in BibleMoneyMatters.com is for general information or entertainment purposes only and does not constitute professional financial advice. Please contact an independent financial professional for advice regarding your specific situation.

In accordance with FTC guidelines, we state that we have a financial relationship with some of the companies mentioned in this website. This may include receiving access to free products and services for product and service reviews and giveaways.

Any references to third party products, rates, or websites are subject to change without notice. We do our best to maintain current information, but due to the rapidly changing environment, some information may have changed since it was published. Please do the appropriate research before participating in any third party offers.

Amazon and the Amazon logo are trademarks of Amazon.com, Inc. or its affiliates.

We respect your privacy: Privacy Policy.

Thanks for visiting!

Bible Money Matters - Seen On These Sites and more..
Bible Money Matters is a personal finance, entrepreneurship and investing community. Give more, save more and live more.

Copyright © 2023 · Bible Money Matters | Sitemap | Advertise | Privacy Policy