12 Biggest Money Mistakes You Make When Traveling and How To Stop Wasting Money 2024

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Traveling is an enriching experience that allows you to learn more about different cultures, meet new people, and make memories that last a lifetime. However, getting away can be pricey, especially when travelers continue to make the same traveling mistakes.

Occasionally, travel mistakes can lead to spontaneous adventures and experiences, but more often than not, they just cost you money. To help you avoid pitfalls, we’ve compiled a list of the 12 biggest money mistakes you make when traveling. These mistakes can take a big bite out of your budget without you even realizing it, so avoid them if you want to travel for longer and experience more.

Traveling at Peak Times

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One of the biggest mistakes travelers can make is traveling during peak season. Not only are tourist destinations busier, costs are inflated. Explore your destination in the off-peak season to save your money wisely. You’ll find great deals on flights and accommodation and enjoy a more authentic experience when you get there.

Avoid booking flights on the priciest travel days, too. Tuesdays, Wednesdays, and Saturdays are generally the cheapest days to fly. Checking the dates of any celebrations, festivals, or sporting events in your final destination is a good idea, too. During celebrations, festivals, and major sporting events, it isn’t uncommon for prices to increase dramatically.

Purchasing Currency at the Airport

If you decide to purchase currency for your trip at the airport, you’ll almost always pay a premium for the privilege. Exchange rates at airport bureau de changes can be pretty terrible, unless you order your currency online in advance.

The same can be said for using ATMs at an airport. Airport ATMs typically offer a poor exchange rate. You’ll also be charged for withdrawing and doing so in a different currency. In any case, most countries no longer require you to carry cash on arrival. You’ll likely be able to use your card at most places you visit, so save yourself some money.

Only Choosing Package Deals

On the face of it, booking a package deal is the most cost-effective option. However, while package deals offer convenience, they aren’t always the most affordable. You might be surprised to learn that it’s often cheaper to book your flights and accommodation separately.

For instance, some airlines and hotels offer discounts if you book directly with them rather than through a third-party website. You’ll have to be organized when planning your trip, but you could save hundreds of dollars.

Eating in Tourist Hotspots

Eating in expensive tourist areas is one of the biggest budget killers when traveling. You’ll be amazed at how much more costly cafes, bars, and restaurants are just because they sit in a more favorable area. Take Rome, for example. Restaurants overlooking the Trevi Fountain or the Colosseum are almost always more expensive than similar restaurants two or three streets back.

Don’t eat close to tourist attractions to avoid food with a tourist markup. It’s also a great idea to avoid anywhere with a queue of tourists. As a guideline, find the popular tourist area, then walk three or four blocks away. Then, Bingo! You’ve found an affordable restaurant where you can eat with the locals.

Neglecting To Take out Travel Insurance

Forgetting to take out travel insurance ahead of a trip can be a costly mistake. Even leaving it late to arrange cover can be a huge mistake, as you risk not being covered for cancellation costs during your vacation.

Travel insurance can be costly, but you’ll likely lose a lot more money if your trip gets canceled or you have a medical emergency during your trip. Considering that, it’s worth taking out travel insurance when you book your vacation. To save money when taking out travel insurance, use a comparison site to find the deal that best suits your needs and requirements.

Not Understanding Local Tipping Cultures

Tipping cultures vary across the globe. Some countries observe it, and others don’t. Meanwhile, some countries even find tipping rude. Therefore, you must understand local tipping cultures before arriving at your destination.

In some countries, tips are already included in the check, so read your bill carefully or ask to avoid overpaying. Tipping percentages vary, too, so don’t fall into the trap of tipping too much. For example, you’ll spend a lot more money than you need to if you tip 20% everywhere you eat when the country’s tipping culture is only to tip 10%.

Paying for Water

Majestic Waterfalls Around the World to Add to Your Bucket List Skogafoss, Iceland — © biletskiyevgeniy.com / Adobe Stock

Buying bottled water isn’t only bad for the environment, it’s also bad for your budget. Bottled water might not cost much, but when you buy two or three bottles daily, every day of your trip, the costs quickly add up.

You can avoid wasting money on water by simply carrying a reusable bottle. If you purchase a clip-on bottle, you can easily attach it to your backpack. Instead of buying a bottle of water, you can refill it at water fountains or your hotel. If you’re traveling somewhere with unsafe drinking water, invest in some filtration tablets, too!

Not Being Aware of Roaming Charges

Unfortunately, most phone providers don’t allow us to use our plans everywhere. Therefore, not being aware of roaming charges could result in a hefty unexpected phone bill that will eat into a large piece of your budget. Luckily, there are a few ways to avoid any roaming charges.

The most straightforward way to avoid roaming charges is to turn off data roaming and use WiFi whenever possible. However, that isn’t very convenient. Therefore, your best option is to add a roaming package to your deal or purchase a SIM. An eSim is a fantastic solution as it lets you activate a mobile plan without using a physical SIM.

Taking Too Many Taxis

Sure, taxis offer an incredibly convenient way to get around. However, they’re usually the most expensive form of local transport you can take. Taking taxis everywhere will take up a large part of your budget when, in reality, there are more affordable options.

Public transport, i.e., buses and trains, is usually more affordable. Admittedly, getting from A to B will likely take you longer, but you’ll save money. To save money on public transport, consider purchasing a local travel pass. Alternatively, you can save even more money by walking. Walking takes longer, but you’ll save lots of money, experience more, and discover hidden gems.

Taking Checked-in Luggage

Checked-in luggage can be a real burden and budget killer for any trip. Not only can it be expensive to travel with checked-in luggage, but you usually have to wait a significant amount of time at your destination while it’s taken off the plane. Sometimes, it even goes missing, leaving you with the added costs to replace what you’ve lost.

An easy solution is to travel with a carry-on. Carry-on luggage is usually included in the price of your flight ticket, so you won’t incur any additional charges. This won’t work for half-year or year-long trips, but it can be an affordable option for smaller week-long or two-week-long getaways.

Drinking Foreign Alcohol

Alcohol prices around the world are generally reasonable, so you don’t need to worry about grabbing a refreshing beer here and there. However, you should avoid drinking foreign booze. Alcohol import taxes vary worldwide, but it’s almost always cheaper to drink local alcohol.

For example, Japan’s local beer (Asahi) costs less in Japan than Heineken, which originates in the Netherlands. Therefore, simply ordering whatever the locals are drinking is a surefire way to save some money for an extra night in a hotel or another beer later in the week.

Not Keeping Valuables Secure

It may sound obvious, but you’ll be surprised by the number of travelers who lose valuables because they simply don’t care for them. Failure to secure your valuables can cause a financial nightmare, so it’s important to use caution.

Two of the biggest threats travelers face are pickpocketing and room theft. Luckily, there are things you can do to reduce the risks of any robberies. Easy ways to keep your valuables safe include using hotel room safes, keeping wallets and phones in a zipped-up pocket, and never leaving your devices on show.

This ties nicely back into travel insurance. It’s essential to have travel insurance in case any valuables go missing or get stolen. That way, you can claim and recuperate the money you’ve lost.