Moving abroad can be exciting considering the opportunities you have to travel and see the world. Finances, however, can be a buzzkill if not managed properly. This is why we bring you some of the top budget ideas for expats.
These simple and practical ideas can help you save money and manage your finances while you enjoy exploring the world as an expat.
11 Practical Budget Ideas for Expats Who Love to Travel
It doesn’t matter where you reside as an expat, you will get a chance to explore a number of unique travel destinations. While you do that, here are the top tips that will help you make the best use of your resources –
1. Understand Your New Home:
First and foremost, start by understanding your current geography. It is important because it will allow you to explore the travel opportunities that you have. Start by preparing a list of all the destinations that are nearby and easily accessible. This will ensure that you do not spend a fortune on your plane/ train tickets.
2. Create a Budget
Preparing a budget with all your expenses and earnings is your next step. This will help you create an effective savings plan. A good rule to follow while dividing your expenses is following the 50:30:20 rule. 50 percent of your income should be allocated to your basic necessities including rent, food, bills, etc. 30 percent can be allocated to things that you wish for to maintain your lifestyle and the last 20 percent is meant for your savings.
3. Get the Cheapest Deals
Flight tickets, as we know, form a major chunk of travel costs. This is why you need to make use of VPN, a popular tool for expats to save money. Booking and airline websites show you prices based on location. A VPN can help you get cheaper flights and deals by choosing a VPN server from a country that offers the lowest prices.
4. Maintain A Separate Savings Account
All your savings should be ideally kept in a separate savings bank account. This way you will resist the temptation of spending money spontaneously on the things that you do not need.
5. Avoid Unnecessary Expenses
Do not overindulge. Your new country of residence may have a higher cost of living than your home country, so adjust your expenses accordingly. Even in cases where your new country is cheaper, do not overindulge in unnecessary spending. You can always use the extra money in your travels
6. Get Insurance
Whether it is health or travel, insurance is very important especially for expats. While it may seem like spending instead of saving, it will help you in the long run. You don’t want to get stuck spending hundreds of dollars on medical bills or lost travel luggage.
7. Get into DIY
If you haven’t had a chance to do things on your own, being an expat will give you enough opportunities. Right from cooking at home to fixing small things, try to do these by yourself. You not only save money but also learn important life skills.
8. Maintain a Record
Among our top budget ideas for expats is maintaining a record of your spending habits. On a day to day basis, make note of all your expenses – big or small. At the end of the week or the month take a look at this record to see where or what can be reduced to save more funds.
9. Network With Other Expats & Travellers
There are many social platforms and forums where you can connect with travellers and expats. Travelling with a group can help you cut down your total expenses and can be a fun experience as well.
10. Choose Trip Dates Wisely
Time, day and date everything matters. Whenever making a plan, try to pick wisely the dates of your trip. For example travelling around the holidays can end up costing you more as opposed to other times of the year. Similarly, weekend trips can also turn out more expensive since hotel and flight costs are more. Preparing well in advance is therefore very important.
11. Pack Properly
Your trip should not be synonymous with shopping. Pack all that you need from home so that you don’t have to shop on your trip. Even while shopping for souvenirs and other things, look for the best deals. Avoid shopping near tourist attractions. Go to local markets instead.
We hope these budget ideas for expats will help you plan your finances in a better manner so that you can enjoy your trips without emptying out your pockets.