Summer Vacation Not Debtcation

2016-06-20   minute read

David Gowling

Lifestyle Debt

The weather is warmer, people are coming out of hibernation from thelong winter and soon our children will be done with school. Once the summer months get into full gear, people naturally turn their attention to getting away to recharge, relax and (deservedly) unwind. Sounds pretty great right? Just remember, a vacation comes at a cost and if you’re not prepared, that cost could stick with you for months, if not years. Suddenly and unintentionally, your post vacation becomes about debt and stress. The best way to truly enjoy a vacation, is to spend as much time planning the cost of the vacation, as you do on the destination. By taking the time to consider the costs and how you will account for them, you can enjoy the full benefits of time with family and friends away from work and school. With a weakened dollar and increased unemployment in some provinces across the country, many Canadians are having to pinch their pennies. If you find money is tight this year, here are some considerations when planning a vacation:Try camping as a more economical, but still fun alternative. Not every vacation needs to be about how many stars a hotel ranks.Find a destination within driving distance. Make the drive part of the vacation.Stay in Canada. Once you cross the border, the costs increase substantially because of the current exchange rates. Even once the big details are sorted out, don’t forget to budget for small costs which can add up fast without proper planning.Meals. Budget how much you want to spend for every day on your vacation. Not every meal needs to be in a restaurant. For a family of four to eat in a restaurant, the cost can easily reach $200 per day. Consider picking up groceries and opting for picnics and prepared snacks while you’re out and about.Fuel. If you’re driving, you will want to consider how many tanks of gas it will take to get to your destination and back.Supplies. Make an inventory of what you already have for the trip and determine if there is anything you still need. If you buy supplies once you reach your destination you may find the prices are much higher than if you bought them before you left. If you plan on using credit to finance your vacation, make a plan as to how that debt will be repaid. If the debt is more than you can afford, you could end up spending a long time paying the interest on high interest credit cards. How do you know the debt is too high? If you just finished paying for the last vacation in time to start planning the next vacation, the time for action is now. Alternatively, if you find out you are unable to start planning the vacation as your credit cards and lines of credit are at their maximum, it might be time to contact a Licensed Insolvency Trustee. We can explain your options so you can decide what route is best for you and get back on track to ensuring your next vacation, is a debt free vacation! David Gowling is a Licenced Insolvency Trustees within our Hamilton. To learn more about how MNP Debt can help you, contact any of our local offices at: Hamilton (Downtown) 4 Hughson St S, Suite 200, Hamilton, ON, L8N 3Z1 T: 905.529.3328 F: 905.529.3980 Hamilton (Mountain) 1030 Upper James Street, Suite 402, Hamilton, ON, L9C 3A6 T: 905.529.3328 F: 905.529.3980 Hamilton (Centre Mall) 1184 Barton Street East, Hamilton, ON, L8H 2V7 T: 905.529.3328 F: 905.529.3980 ​ ​​

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