The hotel itself may hit you with an unexpected, per-day "resort fee" for use of the pool and other amenities. Beach passes, parking, cab rides or buses are other costs you might not have thought about when you planned your itinerary.
Especially in tourist areas, tipping is more common -- and expected by more people -- than might be the case at home. Be prepared to part quickly with any dollar bills and fives tucked in your wallet.
These extra expenses won't net you much in terms of lasting value and certainly won't be precious memories. But they will exact a toll on your household savings.
3. You'll gladly overpay
There is a vacation mindset that makes even the most frugal sort overspend willingly.
Would you pay $100 for dinner or $150 to see a live show? Maybe not at home, but the minute you hit the Las Vegas Strip or hunker down on a cruise ship, you might not give it a second thought.
Souvenirs can quickly add up, even if the folks at home are likely to get only a momentary kick out of those snow globes and oversize T-shirts.
Would you ordinarily shell out $7 for a candy bar or $80 for a bottle of cheap vodka? Hitting the minibar or calling for room service will impose a hefty surcharge. You may not be thinking about a child's college savings account, however, when the craving for a nightcap or midnight snack strikes.
4. Vacation planning distracts us
Getting away from it all for a week or two is one thing, but the amount of time we spend planning our trips and jaunts is distracting us from more important decisions and work.
A survey last year of 2,897 consumers who got or refinanced a home loan in the past five years, conducted by Harris Interactive for Zillow, found they typically spent only five hours on research. An equal amount of time was spent planning a vacation.
When calculated as time spent per dollar spent, Harris Interactive determined that Americans spend almost 80 times more time researching their vacation than a home loan.
"The last few years should have driven home the lesson that understanding one's home loan is critically important, but mortgages continue to be something that most people don't want to spend time thinking about," says Stan Humphries, the chief economist for Zillow, a real-estate website that provides price estimates on 70 million U.S. homes.
Given a diversion from interest-rate crunching, bill paying or portfolio rebalancing, most will choose the diversion of vacation daydreams.
5. No vacation from debt
Even if you have dedicated savings to provide for your vacation plans, odds are that you'll still plunk down plastic along the way. Those who finance their trip entirely on a credit card have even more to be concerned about.
According to CreditCards.com's Weekly Credit Card Rate Report, the national average for credit card APR is around 14.75%. Unless you pay off those vacation charges immediately upon returning home, that interest will continue to accrue. Making only minimum monthly payments will turn that week at the beach into many months of bills.
Even if you have cash in hand for your trip (or staycation), applying that money to pay down debt would pay off in the long run by reducing the principal (and, as a result, interest) on your other loans. Throwing frugality out the window for one or two weeks a year could keep your cycle of debt going strong.
This article was reported by Joe Mont for TheStreet.
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why would you do this ? death may be your next move so get out there and enjoy. If you were to put that $1,200 a year of vacation money into a retirement plan for 30 years and stay home and have no fun or memories like a coworker of mine did. he always bragged how he is saving all of the vacation money just like the ding bat who wrote this . why would you even write something like this ? anyway one year shy of my coworkers retirement he got brain cancer and died in three months .(assuming a 5% average rate of return), you would amass more than $84,000 by the time you retired. my coworker had way more than this and stayed home for 35 years and never saw it .so pick up the phone get reservations some where and have a great vacation and take lots of pictures so you can look back at years of fun . my coworker never left his little town. and always said we were fools to spend money on a vacation . he was also always grumpy and he always worked on his vacation and never missed a day or took a day i remember he got called for jury duty and he was so mad because he had to drive to the other side of town and he was only worried about if the boss was going to pay him for the day.
I have an uncle now in his mid 80's who was the family miser. Never went on vacation, never went out to dinner much etc..... Now he's laying in a nursing home shitting himself getting ready to die with three million dollars in the bank worried about who is mowing the lawn that he won't own when he's dead
I started my first job at 15 and will likely have to work till 60+. I mean retirement is a goal but so is life. Yes you need to save for retirement but don't store up treasures here on earth where moths eat them and rust destroys them, and where thieves break in and steal. Store up your treasures in heaven where moths and rust cannot destroy, and thieves do not break in and steal.
Life is more than just making and saving money. At the end of your life, you will have your experiences and the loves you made along the way. You may or you may not have money, but money will not be important and it certainly will not be holding your hand at your death bed.
My father worked all his life and rarely took family vacations. He accumulated millions of dollars by the time he retired at 68 finally enjoy the good life and promptly died at 72 of cancer. He worked and saved more than 50 years, but couldn't spend it all in the three short years of retirement and the nearly year in cancer treatment.
My brother spent money like a sailor - traveling the world, going on cruises, spending money as he made it. The rest of us siblings worked and saved. With the economic crash we all lost much of our savings. Now, at middle age, we are all almost equal in our equity, although my brother lived his life to the fullest while the rest of us stayed home to work and save.
Don't believe this crap about how much vacationing will cost you. Don't fret that your career is threatened if you take off for two weeks. Screw 'em. Live life NOW. You only have today once in your life. Use it wisely. No matter how bad the economy gets, you will surely die with more money in the bank than time on your meter.
Someone got paid to write this? What is the point of living if you can't enjoy yourself?
How do you you even know you will live to see retirement? How do you know you won't get sick and spend your "retirement" money for a nursing home? Save all your money for what? To take it to the grave with you, I don't think so. Spend, save, give a little a way to charity.
All things in balance. What a stupid article and as a cancer survivor, I'm going on vacation this year and every year to enjoy what time I have left. The future is never certain.
What a terrible article. Yet another news source telling us to stay inside and "play it safe". If we lived this kind of life, we'd all die anonymous, leaving behind wasted and meaningless lives. Take a month long trip around the world to discover new things, cultures and even yourself, then come back and tell me that it was money wasted.
Incredible. Really, really incredible advice.
This article is pretty rediculous. Everyone needs vacations so they remember what they are working so hard for in the first place. I'm in my early 30's, work 55+ hours a week, and take a trip at least once a quarter. Some are more elaborate like my vacation to Europe this fall, others are 3 day excursions over a holiday weekends. I contribute to my 401k and am on track to meet my retirement goals, have cash savings, and live within my means.
As long as you are planning for your future, travel on America! It's a big world out there and I intend to see it while I'm young enough to enjoy it!
I'll continue to save my money for that annual trip abroad and enjoy those photos and memories for the rest of my life.
Remember that most of the things you dream of doing today, you won't be able to do when you retired, you will be to old. The ONLY thing we have are our memories and it is up to use to decide if they will be good or bad. I would hate to think that in my old age the only good thing I could say about my life is " I worked hard and saved all my money." I want to think about the sunrises over the mountains and the sunset over the oceans. I want to think about the laughter of my children and grandchildren as we rode the rollercoaster.
Oh I hope you know by now that you will NOT take one single penny with you when you go, lol.
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