It’s been a long year and most people are longing to take a break, get away from it all and spend quality time with their loved ones. Whether your family craves action and adventure or takes a more laid-back approach to travel, it’s important to plan well in advance to get the most out of the experience. Planning the ‘where’ and the ‘when’ of your next getaway is probably the most enjoyable part but working out how you’re going to pay for it is no less important.
Picking a destination and committing to a time period will create a tangible goal for you and your family to save towards. The internet really has revolutionised the way people plan their travels and a little online research will give you a good idea how much you’ll need to set aside for a stress-free break. Flights and accommodation will be your big ticket expenses but also keep in mind things such as meals, excursions, shopping and transport to avoid any unforeseen surprises. If you’re planning an overseas holiday, also factor in the exchange rate as well as the cost of applying for visas, if needed.
Once you’ve determined how much you need to save, head to the Old Mutual website and try out the handy Savings Calculator. This free tool will help you calculate how much you’ll need to put aside each month and how long it will take you to save the full amount.
An Old Mutual financial adviser will be able to advise on the next step – deciding on the best savings option for your needs. A Tax-Free Savings Plan, for example, allows you to contribute R36 000 per tax year without paying any tax on the growth or proceeds... If your overseas holiday is going to cost R70 000, you and your spouse could each take out tax-free plans to save what you need.
Holidays are definitely more relaxing when you’re not worrying about how much debt you’re stacking up from your beach chair, so start saving today for a family holiday you’ll remember for all the right reasons.