Fall is here, and while the summer travel rush has settled, a new season of vacation deals is just taking off. Airfares are down about 3 percent from last year, and hotels are offering extra perks and discounts, making international getaways more tempting than ever for budget-conscious travelers. 

However, as you enjoy these savings, it’s important to keep a close eye on your finances. Even with deals, it’s easy to overspend if you’re not cautious. To help you navigate the fall travel season without derailing your budget, Head of Retail Foreign Exchange at TD Bank Anthony Herceg — a frequent traveler himself — has put together some tips and tricks to ensure your adventures remain both enjoyable and affordable

Build a budget that you’ll stick to

Get started on building out your travel itinerary and budget right away. Do your research on the destination beforehand to make sure you’re considering local money habits. Consider your interests and preferences to prioritize what you need and leave what you can live without. This way you can mindfully plan out your budget and tailor it specifically to your needs.

Of course, plan out your typical expenses like food and transportation, but be sure to factor in miscellaneous and splurge costs. Think: expenses associated with your excursions, the cost of a fancy dinner and impromptu shopping trip, or a spontaneous night out on the town.

While thinking about splurge costs in your travel budget and itinerary, consider planning for a limited-spend day to balance your spreadsheet. This can look like a rest day where you lounge by the pool, enjoy the sunset, and cook a meal for yourself if your accommodations allow it. It can be a challenge, but it’s a good opportunity to practice mindful spending. If you’re feeling adventurous, plan for a zero-spend day instead and see what adventures you get into while staying out of your wallet.

Ensure your peace of mind and plan ahead 

Before booking your international hotel or rental, consider paying the full costs of your accommodations in advance. That way you can take advantage of today’s conversion rates and not worry about the potential of less favorable rates once you arrive at your destination — which means you can probably save some cash. Luckily, there are several tools to help keep track of conversion rates including TD’s Foreign Exchange Calculator. 

With tons of people traveling this year, flight delays are not out of the question. Put aside some funds for international travel insurance for any unexpected cancellations and emergencies that may arise. Depending on the insurance you select, travel insurance typically covers injury and illness, unexpected cancellations, and lost baggage among other protections. 

Crossing your t’s and dotting your i’s ahead of time by planning and budgeting early allows you to have control over your finances and feel good about keeping your budget in check while traveling.

It’s all a balance: cash or card?

In addition to your budget, determining your cash and card mix is a balancing act. Depending on your destination, it may be more advantageous to carry cash or vice versa.

Before you head out for your trip, check in with your bank about ATM and cards’ foreign transaction fees, especially those applicable to credit and debit card purchases. This way, you get a good idea of how much cash to carry, and which payment methods may be the best option throughout your trip.

Have cash on hand when you arrive. A general rule of thumb is to take the equivalent of $50 to $100 USD per person per day. Ahead of your vacation, you can buy local currency from your neighborhood bank as many banks, including TD Bank, offer more than 55 currencies at competitive exchange rates for their customers. By preparing ahead of time, you help eliminate stress that could arise from last minute planning.
In the event that you do run out of cash while away, several banks, like TD Bank, offer same-day exchanges with common currencies for their customers. If the currency isn’t available same-day in-store, customers can order it online and pick it up within two to three business days.

Benefit from thoughtful travel budgeting 

Before you whip out your passport and beach towel, remember that building a travel budget that stays within your means can allow you to unwind even more on vacation. Planning ahead and strengthening your understanding of conversion rates, transaction fees, and currency exchanges help to equip you with personal finance tools and knowledge necessary for an easy going trip abroad.

Now, you can focus on simply enjoying your international getaway without the added stress and ensure you’re prioritizing your financial wellness.

This article is for general informational purposes only. It is not intended to provide specific financial, investment, tax, legal, accounting, or other advice and should not be acted or relied upon without the advice of a professional advisor. A professional advisor will recommend action based on your personal circumstances and the most recent information available.