Are you looking for the cheapest way to travel during the upcoming holiday season? After several years of elevated inflation and high interest rates, many Americans are pinching pennies.
But that doesn’t mean you have to stay home. Here are five ways to keep your travel costs down.
1. Comparison Shop
Before you rent a hotel, book a flight, sign up for a tour or even stop for gas, check to see where you can get the best deal. Here are popular tools that can help:
— Gas: GasBuddy and Google Maps show you the current gas prices at stations throughout the U.S.
— Flights: Skyscanner, Google Flights, Orbitz, Cheapflights, Kayak, Expedia, Hopper and CheapOair track and compare flight prices.
— Trains and buses: Kayak, Wanderu and Busbud compare train and bus ticket prices.
— Vehicle rentals: Kayak, Rental Cars, Expedia, Orbitz, Skyscanner, Travelocity and HotWire compare rental car prices.
— Hotels: Trivago, Hotel.com, Priceline, Kayak, Orbitz, Expedia and Skyscanner compare hotel pricing.
— Activities: Expedia, Viator, Airbnb Experiences, Groupon and TripAdvisor list a variety of activities with varying prices and reviews.
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“Check the ‘vacation packages’ or ‘bundle’ sections of travel sites like Orbitz and Travelocity, and on your airline’s website,” Tanya Peterson, a vice president at Achieve, a personal finance company, said in an email.
Flexible travel dates can also help you save. “If possible, try to travel on less popular days, like a mid-week Tuesday or Wednesday, and avoid the days leading up to big holidays to avoid surge pricing,” Maddie Bourgerie, the director of communications and a travel expert at RVshare, said in an email.
A few quick searches can reveal deals on pretty much anything you need while traveling. Plus, they can help you compare the costs of various modes of transportation to see which is the cheapest for your particular trip. For reference, according to Hopper’s Q3 2024 Consumer Travel Index, here’s what a good deal looks like for the rest of the year:
— Good deal airfare: $270 or less per domestic roundtrip airfare ticket
— Good deal car rental: $44 or less per day
— Good deal hotel: $161 or less per night
2. Beware of Surcharges
It can be difficult to estimate travel costs when companies offer a budget-friendly price up front but add surcharges on the back end. In many cases, you won’t know the full cost of a stay, rental or activity until it’s over and the dust settles.
When you reserve a hotel room, for example, the hotel may require a deposit of several hundred dollars on a credit card, which remains on hold until a few business days after your stay.
You can also encounter a slew of hidden costs such as resort, pet, additional person, gym and parking fees. Car rental companies also typically require a deposit and may tack on toll fees, insurance, refueling costs and more.
To reduce the chance of being hit with surprise costs, read the fine print, contact companies to ask about surcharges or deposits and check out reviews from past customers.
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3. Consider Alternatives to Renting a Car
If you need transportation upon arriving at your holiday destination, weigh your options. A rental car is often the go-to choice, but consider if it’s the most cost-effective.
If you’re visiting a friend or family member, see if they can pick you up and provide transportation while you’re in town. If they can’t or you prefer more independence, consider other options like public transit or a ride-share service.
The best solution will depend on your situation and preferences. If, for example, you just need a ride to and from the airport, it can make sense to hire a ride-share driver because you won’t need the car for the entire trip. No reason to pay for a vehicle to sit at your destination unused.
On the other hand, if you plan to drive to various places and explore your destination, a rental car may be worth it.
4. Plan for Food On The Go
Buying food throughout your trip can get expensive fast.
If you’re driving to your destination, pack a cooler with meals, snacks and drinks. Once you arrive, you can stock the fridge so you don’t have to go out or order every time you get hungry or thirsty. You can also get creative with when you choose to eat out.
“Switch lunch and dinner. Because lunches are often less expensive than dinners, make lunch your main dining-out experience, and eat breakfast and dinner in your lodging, or outside as a picnic if possible,” Peterson said.
If you’re flying, you can save money by bringing solid foods and a drink container on the plane.
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“Consider buying high-protein stacks in bulk that are packaged individually. The best food to pack are things that don’t need anything else but the food itself – no utensils, don’t need to be heated up and don’t need to be kept cold,” Bobbi Rebell, a certified financial planner and the founder of Financial Wellness Strategies, said in an email.
She added that you can bring an empty water bottle and fill it after passing through security so you don’t have to buy the pricey bottled water in the airport.
You can also save by choosing to stay somewhere with a kitchen. “Hotels oftentimes don’t offer kitchen space, so other accommodations like an RV or vacation rental can help save dollars so you can prepare meals at home. This is often cheaper than eating out and can be healthier, too,” Bourgerie said.
5. Utilize Credit Card Travel Perks
Lastly, take some time to review your credit card benefits. Many card providers offer perks that translate into meaningful savings, such as:
— Auto rental insurance: Collision, theft, towing and loss-of-use coverage for rental cars so you don’t have to buy insurance.
— Trip cancellation and interruption insurance: Reimbursement of non-refundable travel fees if you suffer a covered loss that results in the cancellation or interruption of your trip.
— Baggage insurance: Compensation if your luggage gets lost or delayed.
— Airport lounge access: Free access to airport lounges, which often offer complimentary drinks and snacks.
— Free checked bags: No charge for a certain number of checked bags.
— No foreign transaction fees: No fees on transactions with foreign merchants, which otherwise cost 1% to 3% of the purchase amount.
— Hotel perks: Credits and room upgrades at certain hotels.
— Companion passes: Two-for-one deals that allow a guest to fly free of airline charges.
— Roadside assistance: Complimentary or discounted roadside assistance services such as lockouts, jump starts, fuel deliveries and tows.
— Rewards on travel-related purchases: Higher reward amounts on travel-related purchases like flights, gas, restaurants and hotels.
Genni Franklin, travel blogger at Traveling Franklins, says her favorite way to save on travel during the holiday season is by using points and miles. “I earn the bulk of my points with credit cards from banks like Chase or Capital One. These points are transferrable to different airline and hotel loyalty programs giving me a lot of flexible redemption options,” Franklin said in an email.
The Bottom Line on Holiday Travel
The cheapest way to travel for the holidays depends on factors like where you’re going, the length of your trip, if you’re visiting someone and what you plan to do.
In some cases, it’s cheaper to drive. In others, it makes more sense to fly or take a train. No matter the case, these budget hacks can help you find deals and take advantage of savings that will minimize your travel costs this holiday season.
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What’s the Cheapest Way to Travel for the Holidays in 2024? originally appeared on usnews.com
Update 11/13/24: This story was published at an earlier date and has been updated with new information.
