Travel has become so common these days that people are ready to pack their bags at the drop of a hat and head out. It has also become an integral part of our lives and we all have various reasons to travel. While for some it is about exploration and understanding a new place, for others it is a means to get away from their hectic schedules of work. Money becomes a crucial factor while travelling and whether it is short term, long term or even weekend travels, if your finances aren’t managed well, you could end up overspending or might run out of liquid money. Here are a few pointers that have always helped me manage my finances while travelling.
1. In today’s world, plastic money such as debit and credit cards are widely accepted across places. I use my cards wherever possible as this makes sure that I do not run out of liquid cash which would be required at small shops or while buying from street vendors.
2. Many working people have their finances sorted with savings and investments such as life insurances and mutual funds that provide benefits for both your taxes and also gives interim returns. You can use the returns from your mutual funds for your travels without dipping into your savings. Talking about insurance, one could also opt for term plan insurance where the premiums are low and the coverage is high. This means in case of an unforeseen circumstance, such as a fatal accident during your travel, your family's financial future is secure. If you are wondering what would be the premiums for your term plan, you can estimate them by using a term insurance premium calculator.
3. I always carry additional cash which I stash in my backpack and make sure not to touch it even if I run out of cash. This is kept aside purely for emergency situations. While travelling any emergency can happen without a cue and this money would come handy then.
4. Having various payment methods are always handy. We live in times where e-wallets have become popular with even the road side tea stalls accepting e-money. While travelling there could be chances of running out of cash or the cards not working due to some reason. That’s when the e-wallets would be useful.
5. While travelling abroad, avoid converting currencies at airports as the conversion rates might not be favourable. I make sure to convert the currencies from any forex services before heading out.
6. Am sure all would agree that every penny is hard earned and though we make sure to spend wisely during travels, we often might not be able to stick to it. Noting down your daily expenses is a good way to track it and this turns out to be quite helpful during long term travels.
P.S.: This post is in collaboration with Aegon Life Insurance
About Aegon Life-
Aegon Life Insurance Company Limited launched its pan-India operations in July 2008 with a vision to be the most recommended new age life insurance Company. The fulfillment of this vision is based on having a complete product suite, superior technology, providing customized advice and enhancing the overall customer experience.This joint venture adopts a local approach with the power of global expertise to facilitate a direct to customer approach, leveraging digital platforms to bring transparent solutions to customers and to prioritize their needs.Aegon is one of the world’s leading financial services organizations, providing life insurance, pensions and asset management and Bennett, Coleman & Company, India’s leading media conglomerate, have come together to launch Aegon Life Insurance.