As much as some people may believe I was born into a life of luxury to be able to save £7,000 a year for my travels, I work at least 112 hours a month to afford to do this. It’s very easy to save anything if you know how and have a goal to focus on. If you break this down I only save around £600 a month from my paycheck which comes in at around £1,000 after tax and National Insurance contributions have been deducted each month. This money can vary depending on whether or not I do any overtime as well as if I have to take any sick days. Regardless my thrifty ways still allow me to save £600 a month which contribute directly towards flights, accommodation and activities when abroad.
When first starting my job I knew I wanted to save a lot of money to be able to travel around the world, this led me to creating my own budget from scratch as well as keeping track of my payments going into and out of my account. I bought a project book, which I used to write down every single transaction that went through my account and I then categorized them according to what category they would fit into. I made 7 categories in total: savings, bills, travel, meals, clothes, other and food. These categories each had a specific budget attached to them:
In total these seven categories total to £400.45, which deducted from my paycheck equal to around £599.55, in which everything has been deducted and accounted for. This leaves the rest of the money to be saved and put towards future holidays.
Example of My Budget Plan
The first image shows my plan in my project book that keeps track of the transactions coming out of my account. Some of these transactions don’t come directly from my wages, such as flights and money put towards booking up hotels but I note them down just to keep a track of what is coming out of my account. The second image shows the spreadsheet I made which gives an overall account of how the month went financially for me. In areas such as clothing I was way under budget with me spending £17.30 less than I had accounted for but then going over budget by £7.73 with food. These payments cancel each other out and even after going over budget technically overall I am still within my budget. The “Other” section of my budget accounts for money going out of my account that is for holidays, which comes directly from my savings as well as items such as “Shoes for Dad” comes out of the money I save up monthly for birthdays.
Tips and tricks for all aspects of travelling, most of which include saving money.