2023 VACATION Costs
our take on THE 2023 Vacation Costs
In 2023, vacation prices are on the rise due to the continuing travel demand and the global impact of inflation. The travel industry accounted for $1.2 trillion of spending nationwide last year, representing a return to pre-pandemic levels.
Statistics have been released through the travel industry with clear indications of holiday spending numbers rising drastically in 2023 from 2022 despite the present issue of the cost-of-living crisis.
The Numbers
In the US a solo traveler could expect to spend around $1,400 on a trip lasting 5-7 days. This would include a round-trip economy flight within the United States, three nights in a mid-range hotel room, a three-night car rental and breakfast, plus daily lunch and dinner in a restaurant.
A family of four will need a higher vacation budget, with the average vacation costs coming in at a total of about $3,600. This assumes all four travelers share a single hotel room. Additionally, discounts for children’s meals at restaurants or flying free as a lap child are not included.
European hotels are averaging $205 per night, up 37% from this time last year. Prices in some top cities have risen even more compared to last summer, including Rome (+63%) and Madrid (+41%).
Since late April, demand to Europe has outpaced 2019 growth rates by as much as 20%.
About 24% of European travelers are worried about the overall rise of trip costs (up by 6% vs 2022), while 17% are concerned with the economic situation and their finances.
5 tips to help Minimise the ‘SQUEEZE’ on your Money
So how do we enjoy our vacations without the fear of emptying out our savings accounts or worse still taking on unnecessary debt?
As someone who is also on vacation in Europe at the moment (enjoying one too many pastries in Paris), I have had learn to strike a balance between sticking to my budget and making the most of my vacation.
This means that It is important to determine how much you are willing to spend, whilst also taking into consideration the experiences that you want your vacation to give you as you may only be in Bali, Tahiti, Paris,or London once in this lifetime.
This is my personal advice to help you manage that vacation spending and avoid the fear of looking at your bank statement on your return home.
Avoid the souvenir shops
Usually, friends and family members expect you to return homebearing trinkets from your destination. DON’T!!! This is an outdated and expensive custom that can take you over your budget while you run through your list of family members, besties, and the neighbour that your mum insisted on you bringing back a fridge magnet for. If you must buy something, make it something you or they will actually appreciate or use when you get home.
The destination determines budget
Choosing a budget-friendly destination will minimize those expenses, East Asia offers some wallet friendly options (think: Thailand, Vietnam, Cambodia). South America also has some good options – and both continents offer plenty of breathtaking scenery, amazing adventures, affordable food, transport, and accommodation in comparison to several European countries.
If you are aiming to travel on a budget, avoid the European hotspots, in particular the Scandinavian countries – which although stunningly beautiful, and well worth a visit, have some of the world’s highest cost of living index scores.
Pack smart and travel light
Travelling with just a backpack or carry-on luggage will save on expensive check-in baggage fees. Plus, the flexibility of travelling with only a carry-on backpack can give you greater freedom when exploring new destinations. Although for longer distances or longer periods of travel this may not be an option.
If you’re packing a bag to check-in, remember to pack smart, only take what you will really need and remember your personal essentials, – this will avoid you having to spend money buying them abroad for higher prices.
Use local public transportation
Taxis, even when booked via apps, are usually significantly more expensive than taking buses, trains, or even travelling by bicycle or motorbike. So, to save those pennies, embrace public transport wherever possible and most importantly if it’s safe to do so. Google Maps or a local travel app can help you plan your routes – and you’re likely to enjoy a more authentic experience, often with great views.
Avoid domestic flights and Rental cars
Remember, even domestic flights and car rental prices can really add up. So, if you are travelling to different parts of the country, try exploring overnight buses or train options. That way, you can travel while you sleep or are enjoying the beautiful scenery of the journey.
