Overseas travel: how to curb your mid-year getaway costs

AIR fares are falling and the time is right to book a trip overseas. Here are some tips on how to get away without blowing your budget.

WE’RE heading into winter and for many it’s time to plan a holiday.

More than a third of us are thinking about leaving the chill behind for second summer holiday overseas, says travel site Wotif.

The Aussie dollar has shot up in recent weeks, but there is more than just currency to keep in mind if you want to avoid a costly trip.

“As the dollar claws its way back against the Greenback, Aussie travellers will continue their love affair with North America helped in part by discount fare pricing by airlines at the moment,” says Wotif travel specialist Kim Stockham.

Last year 9.2 million of us made short-term international trips. New Zealand was the most popular country followed by Indonesia, the US and the UK.

You can’t beat the value for money in short haul destinations right now.

Choosing your destination based on how far your Aussie dollars will take you is one way to save. While we are most familiar with how the dollar compares with the $US, rates vary from country to country.

“You can’t beat the value for money in short haul destinations in particular ... Bali and Thailand,” Stockham says.

But before you reach for your credit card, it’s never too late to set out a savings plan, says AMP financial adviser Darren James.

“Earmark a specific account that you can start saving from as far out as you can,” he says. “Put the money away so you aren’t tapping into it.”

Prepay for as many costs as you can as the more you pay now the less there is to pay when you go.

Escape Travel Australia’s general manager Darren Lloyd says flights and hotel bookings will hit the budget hardest, but there easy things you can do to save.

New Zealand was the most popular country for Australians travelling overseas last year.

“Look out for early bird deals which are still around and also look at packaged airfare deals,’’ he says. “You can save anywhere from $100 to $500. All you have to do is book your flights and a tour together as a package, or book four nights accommodation and you’ll be eligible for a package deal.”

He also says 12-month interest-free deals are available, but hefty interest rates apply if the fares aren’t paid in full over this period.

It’s a good idea to buy some foreign currency now and then a bit more before you leave, says the Currency Shop director Justin Rampono. He urges travellers to compare exchange rates online and to ask for a better deal before making any purchases.

Some foreign exchange services, including Travel Money Oz and American Express, offer an exchange rate price guarantee.

Also check what fees and charges apply to any cards you plan to use: prepaid travel cards can be more cost-effective than using existing bank cards.

Experts say if you can’t afford travel insurance you can’t afford to travel. Lloyd says it’s essential you have insurance and even book it well before you leave in case something goes wrong. Sometimes it is included with your credit card.

Originally published as Overseas travel: how to curb your mid-year getaway costs