If you’ve shopped for hotel stays and airfare, you may have been shocked by the sharp spike in pricing over the last few years. From revenge travel to treating yourself, you will probably have to work a little bit harder to get more joy from your travel spending. Paying a ton of money won’t guarantee perfect weather or a dreamy resort vacation.
Who among us couldn’t use a little more money and a little more happiness? Previously, I had the pleasure of hearing Elizabeth Dunn speak about the science of happier spending at a financial conference. I thought I’d share some tips from the book she wrote with Michael Norton, Happy Money: The Science of Happier Spending and how they could potentially help you find more joy in your travel spending. Since I’m a fabulously frugal financial planner, hopefully, these tips can help save you a few dollars while traveling.
Happy Money And Travel Spending
Are you getting optimal happiness from your travel spending? You may be surprised by how little things can add to your happiness when you spend money wisely. Don’t worry; I’m not going to tell you to book a center seat on Spirit Airlines to save a few dollars.
While on vacation during the last holiday season, I realized my trip highlighted each of the five principles Dunn and Norton wrote about in one way or another. Spending strategically helped my husband and I find more joy during our travels. For example, when booking directly with the resort, where we had already stayed, we were entitled to a 25% discount on the nightly rate. Same room, lower price. Not to mention, they threw in airport transfer. Also, shifting flights back 1 day saved a few hundred dollars each. We were able to save money in some categories, which allowed us to spend more on other parts of the trip that brought us the most happiness.
For The Maximum Happy Money Buy Experiences
According to the book, happiness research shows that material things provide less happiness than experiential purchases. In 10 years, will you remember that experience you had or the new pair of tennis shoes you purchased?
During our vacation, we had the opportunity to visit Easter Island, hike up a mountain, pet a Llama and have breakfast overlooking a volcano. What could be cooler than that? While we had some nice meals, wonderful hotel rooms, and business-class flights, these things aren’t likely to bring lasting memories like the ones that were spent with friends.
Happy Money Tip: Keep Travel A Treat
I admit that even though I live in Los Angeles, I still haven’t visited all of the top tourist destinations around town. Many of the sites I visited were with friends who came to town as tourists. To be fair, many things like museums or hikes are more fun when done with others.
Look for ways to turn your favorite things into a treat again. This may mean cutting back on them for a while. This may mean trying something new or trying to get out of your routine.
There are quite a few current and former road warriors amongst my clients. If you are flying multiple times per week, constantly, you are likely to burn out on spending time in an airport. Look for ways to spend your personal travel time and dollars on something different and away from where you normally have to travel for work.
Happy Money Tip: Buy Back Your Time
As I age and get busier, this might just be my favorite tip. We can all clean our homes; hand wash our cars and iron our clothes. But do we really enjoy it? If you do, more power to you. But I’m guessing you’d be happier buying back that time. Dunn and Norton assert you should outsource your dreaded tasks in order to have more time to follow your passions.
If money is an issue, consider outsourcing things like cleaning the house so you can work more and earn more money to pay for the house being cleaned. When you focus on time rather than money, you will likely choose more activities that bring happiness.
This tip can apply to travel as well. On my first trip to Europe (for a year abroad in college), I booked the cheapest flights possible. They weren’t even into Salzburg, my destination. Three flights from LAX, seven trains, a ferry and a taxi and 24+ hours later, I finally arrived. At the time, this travel plan made sense. Ok, the seven regional trains were just travelling stupidity on my part. At the time, I had more time than money. Today, I would prioritize getting there with less stress and wasted time, even if it costs a bit more.
On the flip side of this, there are times we’ve extended a vacation a day or two when flights were cheaper. When coming home a day later saves me enough to pay for a hotel stay and experiences, sign me up.
Pay Now, Consume Later For The Most Travel Joy
Everyone reading this likely has a credit card, which means most of you buy now and pay later. Even if you pay your bill in full every month, you still owe money for all the things you enjoyed during the past month. According to Happy Money: The Science of Happier Spending, you can reverse this process. “By paying up front and delaying consumption, you can buy more happiness even as you spend less money. Because delaying consumption allows spenders to reap the pleasures of anticipation without the buzzkill of reality, vacations provide the most happiness before they occur.”
My recent trip was planned in advance, and most of the major expenses were paid in advance. This meant every time I checked out of a hotel, we only received a small bill for incidentals. Our excursions and activities were prepaid, so we avoided potential hassles along the way. Another prepaying benefit was that I didn’t come home to a huge credit card bill. All of those things were paid for in full before the trip.
Another nice thing is when food is included in your hotel stay. I like to order exactly what I want. A recent hotel stay included food. Don’t judge. I like to eat, and I order my own perfect breakfast each morning. I didn’t have to worry about the price of eggs, a side of bacon or an avocado. Let me tell you, the prices were on the menu, and they weren’t cheap. While I knew I was paying for all the food one way or the other, it was nice not having to worry about a huge bill when checking out.
Happy Money Tip #5: Invest In Friendships
Research has shown that spending money on others provides a bigger happiness boost than spending money on yourself. Look for ways to include friends in your travel or adventures. This might mean chipping in to help a friend get upgraded on a flight or paying for the private tour for your group. Your spending may go up, but you will have more fun and joy with other people who will enjoy it with you.
For optimal happiness, it’s not just the amount you spend but how you spend it. The Four Seasons Koh Samui is the setting for season three of The White Lotus. I had the pleasure of staying there back in 2019, and let me tell you, it is an amazing property. Without giving away any spoilers, if you watch the show, you will know that spending lavishly on a suite at an uber luxury resort does not guarantee a joyous trip without any problems. That being said, your odds of a fabulous trip at a Four Seasons property or a Relais and Chateaux resort are probably better than a motel with one star on Trip Advisor.
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