A weary traveler knows the necessity of a good night’s rest. But, for the budget conscious individual who is trying to get out of debt, the price of a hotel room can make them think twice about staying an extra night.
And, according to a recent study by Hotels.com, the price of a hotel room is getting more expensive. The examination of hotel expenses data saw a price increase in many Canadian cities for the first six months of 2014 compared to the same period in 2013 – meaning extended trips could make the dream of living debt free a little bit tougher.
|Most popular domestic travel destinations||2014 Price of a hotel room||% increase year-over-year|
|1. Toronto, ON||$152||5%|
|2. Montreal, QC||$168||9%|
|3. Vancouver, BC||$157||9%|
|4. Edmonton, AB||$144||3%|
|5. Calgary, AB||$166||2%|
|6. Ottawa, ON||$149||0%|
|7. Niagara Falls, ON||$145||8%|
|8. Quebec, QC||$151||5%|
|9. Victoria, BC||$148||12%|
|10. Banff, AB||$176||9%|
Jeff Schwartz, executive director of Consolidated Credit Counseling Services of Canada, says knowing how to budget is the key to a successful trip –
“What’s the point of a trip if it is just going to lead you into debt?” asks Schwartz. “Budgeting before a trip is essential if you want to have a good time without any financial regrets.”
As Canadians start to plan their next vacation, Consolidated Credit has compiled the following tips to ensure the trip of their dreams doesn’t turn into a financial nightmare –
- Avoid spontaneity – Buying a plane ticket on a whim is an easy path to a credit card debt problem. Instead, start planning and saving months, if not years, before you hit the road. Saving money bit by bit with a goal in mind is easier than making credit card minimum payments, and it’ll help your bank account in the long run.
- What’s the plan, Stan? – Not only does a trip need a geographical plan, it also needs a financial one. Thinking about how to budget your money before you start booking transportation and lodging is necessary to avoid a financial shock. Start with your accumulated savings and work backwards from there. Factor in all the extras and leave a buffer for unexpected costs. Sticking to this kind of budget is the best way to stay financially healthy.
- No hotels (or at least get a discount) – Not every trip needs to be a once in a lifetime journey. There are loads of great attractions in your area which won’t require you to stay overnight in a hotel. But, if the plan calls for you to stay overnight, great discounts are just a few clicks away. Sites like HotWire.ca and Priceline.ca offer big discounts on hotel rooms if you take the time to search around.
If you want to learn more about making responsible financial decisions, check out Consolidated Credit’s free Personal Finance educational section. It you’re struggling with debt, call one of our trained counsellors today at 1-888-294-3130 for a free debt analysis.