How to Be a Frugal Traveler and Still Have Fun

That first post-vaccine vacation is finally a possibility for many, but after more than a year without travel, the sticker shock is no joke. In general, travel prices are increasing to reflect higher demand. According to the U.S. Travel Association Travel Price Index for May 2021, airfare is up 24.1% and lodging prices are up 10% year over year.

Nothing will stamp out that after-travel sense of bliss like getting a credit card bill full of vacation splurges. With some creativity and advanced planning, your trip can be budget-friendly without feeling cheap.

Use credit card perks

Airline and hotel credit cards can provide valuable VIP treatments for those with good credit. Some offer free checked bags on flights, which can be worth around $60 each round trip you fly with the airline. Other cards offer discounts on in-flight food and beverage purchases, complimentary airport lounge access and hotel room upgrades that can enhance your trip at no extra cost. These cards usually come with an annual fee, but the value they offer can be worth the cost for many travelers.

Think outside the big brands

If you’re not loyal to a well-known hotel chain, co-branded credit cards aren’t as helpful. Instead, look for deals on rates at independent hotels. Becky Pokora, founder of the travel blog SightDoing, finds that independent hotels can be 20%-30% cheaper than equivalent chain brands.

“In past years, everybody kind of had to play on the same level to attract travelers, but this year there’s so much demand,” she says. “The obvious answers get booked up fast, leaving these independent places having to compete more.”

Save money on getting around

Ground transportation is increasingly expensive. According to the U.S. Bureau of Labor Statistics, the consumer price index for car and truck rentals increased 109.8% from May 2020 to May 2021. Because of COVID-19, the number of drivers working for ride-sharing services is down, affecting availability and pricing. To save time and money, consider other ways to navigate your destination:

Save money on souvenirs

Bringing home souvenirs and gifts can get expensive, and your minimalist friends may not want another trinket that will just collect dust. This is where grocery stores come in handy. They’re great places to find local foods and snacks for a reasonable price (and consumable gifts don’t take up space for long).

Pokora offers a creative way to spend less: Instead of buying food and drink items for all your friends, buy a few things, then host a tasting when you get home. You’ll bring people together for a cost-effective shared experience.