After careful consideration, you’ve decided to throw caution to the wind and travel long-term. Maybe you’re a recent graduate who would like to explore before pursuing a career, a retired couple looking to cross some destinations off your bucket list, or a millennial who likes the concept of a nomadic lifestyle. As ready as you are to pack your bags and hit the road, the financial pressures of this extended journey cause you to put things on hold.
It’s true. Long-term travel is more expensive than taking a weekend or even a week-long vacation. At the very least, you’ll be responsible for making sure that you eat, bathe, have clean clothes, and a decent place to stay. Not to mention the cost of transportation and entertainment. Essentially, if you’re going to travel long-term successfully, you’ll need to prepare in advance.
Reduce Debt
You’re going to need as much money as you can to travel long-term. You can free up some cash for your journey by reducing your debt. Whether you have student loans, credit card bills, car notes, mortgages, or medical bills, getting the total balance as close to zero as you can before going on an extended trip is recommended.
There are several debt management practices you can try. You can start paying off your debts from lowest to highest balance. You can contact creditors and try to negotiate settlement amounts, payment arrangements, and interest rates. If necessary, you can also consider debt management services to consolidate your loans to get them paid off faster.
Improve Your Credit History
When you’re traveling abroad and you don’t have cash, credit is king. You never know when you may need to take out a short-term loan or apply for a line of credit to stay afloat while you’re on the go. The better your credit history is, the easier it becomes for you to gain access to quick funds when you’re in a jam. Besides reducing your debt, you can improve your credit history by paying on time, keeping balances low, and eliminating old accounts.
Start Saving for Travel
The next financial move to make before your extended journey is to start saving. Any money that’s not being dedicated to everyday expenses and debt needs to be set aside to fund your experience. Even if you already have personal savings, open a separate account for your trip so that you’re not tempted to touch the money.
When trying to find extra cash in your budget to save, you’ll have to make some sacrifices. For example, instead of going to your favorite coffee shop, learn how to make iced coffee and lattes at home. Other ideas might include ditching your cable services, cutting out unused subscriptions, and finding more affordable means of entertainment.
Line Up a Job
Unless you have a ton of money in savings, you’ll need to come up with ways to earn a living while you’re away. If you’re a business owner or work a remote job, then you’ll have your paycheck or profits to rely on. If not, you’ll need to find options that allow you to generate an income no matter where you are.
Thanks to modern technology, there are a lot of ways to make money while traveling. You can start a travel blog, become a freelance writer, design websites, manage social media accounts, or sell merchandise online. It is best to start these ideas before leaving to ensure they’ll generate the type of income you need to survive.
Long-term travel is a great way to take a break from everyday life and explore the world around you. The exposure to different places, people, and cultures can transform your life in ways you never imagined. Extended travel can open your eyes to new perspectives, experiences, and opportunities that you wouldn’t otherwise access. To ensure your extended journey is one to remember, it is vital that you’ve considered and completed the financial moves listed above.