-
Louis: No. I've got toothpaste. How many socks do I have? I can't handle this. My berets?
Jade: Maybe you’re missing a good budget.
Louis: Oh – Jade, what are you doing here? Scared, but also help me. I'm so stressed.
Jade: I'm here to help you pack. Well, at least help pack your mind full of knowledge about exchange rates, travel cards, budgeting and travel insurance.
Louis: Where do we start?
Louis Voiceover: ANZ presents How to budget for overseas travel. It's okay. I didn't know either.
Louis: I haven't gotten my travel insurance yet. I feel guilty. But is it 100% necessary? Do I need it?
Jade: It's highly recommended to get travel insurance and make sure you're covered with health insurance when you're traveling, too. We know that travel insurance usually covers things like cancelled flights or lost baggage, and it may even cover medical care if you need emergency treatment overseas.
Louis: I just wish I hadn't left all of this to the last minute. I feel so silly.
Jade: Well, it is usually better to do it prior to leaving and do it in advance. In fact, the more things you can pay before you go, the more likely you are to get good deals and you won't run the risk of blowing your budget while you're overseas. Things like flights and accommodation can end up getting more expensive as time goes on.
Louis: Honestly, that does make a lot of sense. Like paying a little now to avoid paying a lot later.
Jade: That's right. And if you have a credit card, it's worth checking if there's any travel insurance attached to that as well. Remember to check what it covers and what it doesn't.
Louis: Come to think of it, credit cards. Should I be using my Aussie bank card when I'm overseas? Or just convert everything into cash before I leave?
Jade: There's a couple of ways to take money over. You could keep using your bank card, but it's worth checking if there are any fees or charges that might apply and what kind of exchange rate you'll get. Some cards might hit you with extra costs every time you use it. And don't forget to notify your bank if you travel. Otherwise, they could flag it as fraud and then you’re without access to your money and you'll have to call them to unlock your card.
Louis: We wouldn't want that.
Jade: Your other option is to load money onto a travel card, and that locks in your exchange rate before you go. So you won't risk losing value if the exchange rate fluctuates. Most cards let you load multiple currencies onto the card if you're visiting multiple destinations too.
Louis: Oh, so kind of like a card that speaks multiple languages? Un peu français, peut-être. Oui, oui? Non non? Baguette.
Jade: Oui! But remember, it can be good to have a bit of cash on hand just in case you lose your card or you're in a situation where you need physical cash.
Louis: Oh, and when it comes to budgeting, what sort of things should I be looking out for?
Jade: Remember to budget for visas, flights, accommodation, and it is probably good to have an emergency fund as well because travel can be full of surprises. What if you lose something valuable while you're there?
Louis: The only thing I plan on losing right now is the stress, all of the anxiety hanging over my head. Good vibes only.
Jade: Yes. Another tip is to set a daily spending budget, for example, $100 a day for food and for fun. Some days you might spend less, and some days you might spend more. But overall, you get a good sense of what you need and it's also a lot easier to keep an eye on your everyday spending.
Louis: Well, honestly, this has been so helpful. I love you. Are you sure you don't want to come? I wish I could pack you in my suitcase and just take all this advice with me.
Jade: Oh, I'd love to come
Louis: I think there's a little bit of space above the rainbow unicorn. But also, where does one go to get help? Because a lot of people won't be as lucky to have you next to them.
Jade: ANZ have a couple of helpful guides on their website and you can also hop on to SmartTraveler.gov.au to get some government advice on each destination.
Louis: Well Jade, this has been amazing and you know I love chatting with you, but there is a lot that I need to do in terms of packing. While I do that. If you found this helpful, subscribe to our channel and watch me as I upskill on a whole lot of other financial wellbeing topics. Oh, and don't forget to click the links in the description for some more handy resources. Shall we try?
Jade: All right, let's go. Yeah.
Louis: Okay, great. So what you’ve got to do is just... Put a foot in?
Jade: Yeah, foot first, right?
Louis: Oh, yeah no, we're onto something.
Jade: Yeah.
Louis: Yeah. Oh, come on. Do you trust me?
Jade: No. -
Estimated reading time
5 minLearn all about
- Going on an overseas or local adventure without draining your savings
- Cost considerations of adding a furry (or feathery or scaly) friend to your family
- What to think about when purchasing a new set of wheels
- Planning for a wedding without breaking the bank
- Budgeting and buying your first home
No matter where you are in the world or who you are, life comes with big spends.
They can be huge expenses that can change your life, like paying for a wedding or buying a home. Or maybe they’re the purchases you make once in a blue moon such as buying a new car or getting a pet. The big things in life look different to everyone but no matter what you’ve got planned the best thing you can do is to have a plan.
While the current cost of living situation might make these big buys feel out of reach, there are different ways you can budget or hack your way to make these life goals a reality. Want to know how? Let’s dive right in.
1. Budget before you globe-trot
You’ve picked a country, pulled out your favourite suitcase and are ready to go on a global adventure. Great! But are you financially ready for your big trip?
Planning for an overseas holiday can be an exciting time. However, there are a few things you’ll need to budget for in the lead-up to take-off.
So how do you budget for a holiday? Well, you need to factor in the costs of things like a visa, flights and travel, accommodation, food, and an emergency fund. Doing the prep work now – and having a good budget – means you can immerse yourself in your trip and enjoy it without worrying about your bank balance.
How to budget for overseas travelLouis: No. I've got toothpaste. How many socks do I have? I can't handle this. My berets?
Jade: Maybe you’re missing a good budget.
Louis: Oh – Jade, what are you doing here? Scared, but also help me. I'm so stressed.
Jade: I'm here to help you pack. Well, at least help pack your mind full of knowledge about exchange rates, travel cards, budgeting and travel insurance.
Louis: Where do we start?
Louis Voiceover: ANZ presents How to budget for overseas travel. It's okay. I didn't know either.
Louis: I haven't gotten my travel insurance yet. I feel guilty. But is it 100% necessary? Do I need it?
Jade: It's highly recommended to get travel insurance and make sure you're covered with health insurance when you're traveling, too. We know that travel insurance usually covers things like cancelled flights or lost baggage, and it may even cover medical care if you need emergency treatment overseas.
Louis: I just wish I hadn't left all of this to the last minute. I feel so silly.
Jade: Well, it is usually better to do it prior to leaving and do it in advance. In fact, the more things you can pay before you go, the more likely you are to get good deals and you won't run the risk of blowing your budget while you're overseas. Things like flights and accommodation can end up getting more expensive as time goes on.
Louis: Honestly, that does make a lot of sense. Like paying a little now to avoid paying a lot later.
Jade: That's right. And if you have a credit card, it's worth checking if there's any travel insurance attached to that as well. Remember to check what it covers and what it doesn't.
Louis: Come to think of it, credit cards. Should I be using my Aussie bank card when I'm overseas? Or just convert everything into cash before I leave?
Jade: There's a couple of ways to take money over. You could keep using your bank card, but it's worth checking if there are any fees or charges that might apply and what kind of exchange rate you'll get. Some cards might hit you with extra costs every time you use it. And don't forget to notify your bank if you travel. Otherwise, they could flag it as fraud and then you’re without access to your money and you'll have to call them to unlock your card.
Louis: We wouldn't want that.
Jade: Your other option is to load money onto a travel card, and that locks in your exchange rate before you go. So you won't risk losing value if the exchange rate fluctuates. Most cards let you load multiple currencies onto the card if you're visiting multiple destinations too.
Louis: Oh, so kind of like a card that speaks multiple languages? Un peu français, peut-être. Oui, oui? Non non? Baguette.
Jade: Oui! But remember, it can be good to have a bit of cash on hand just in case you lose your card or you're in a situation where you need physical cash.
Louis: Oh, and when it comes to budgeting, what sort of things should I be looking out for?
Jade: Remember to budget for visas, flights, accommodation, and it is probably good to have an emergency fund as well because travel can be full of surprises. What if you lose something valuable while you're there?
Louis: The only thing I plan on losing right now is the stress, all of the anxiety hanging over my head. Good vibes only.
Jade: Yes. Another tip is to set a daily spending budget, for example, $100 a day for food and for fun. Some days you might spend less, and some days you might spend more. But overall, you get a good sense of what you need and it's also a lot easier to keep an eye on your everyday spending.
Louis: Well, honestly, this has been so helpful. I love you. Are you sure you don't want to come? I wish I could pack you in my suitcase and just take all this advice with me.
Jade: Oh, I'd love to come
Louis: I think there's a little bit of space above the rainbow unicorn. But also, where does one go to get help? Because a lot of people won't be as lucky to have you next to them.
Jade: ANZ have a couple of helpful guides on their website and you can also hop on to SmartTraveler.gov.au to get some government advice on each destination.
Louis: Well Jade, this has been amazing and you know I love chatting with you, but there is a lot that I need to do in terms of packing. While I do that. If you found this helpful, subscribe to our channel and watch me as I upskill on a whole lot of other financial wellbeing topics. Oh, and don't forget to click the links in the description for some more handy resources. Shall we try?
Jade: All right, let's go. Yeah.
Louis: Okay, great. So what you’ve got to do is just... Put a foot in?
Jade: Yeah, foot first, right?
Louis: Oh, yeah no, we're onto something.
Jade: Yeah.
Louis: Yeah. Oh, come on. Do you trust me?
Jade: No.How to budget for overseas travel03:56Here are some simple money-saving hacks you can follow when planning for that big adventure:
- Travel in the off-season, if you can, and use a flight comparison website to compare deals and get the best bang for your buck.
- Find free things to do in the country you’re travelling to. Chances are there’s probably a festival or street event you can go to without paying a cent.
- Investigate travel passes for public transport. Explore the country you’re in like a local and save money while you’re at it.
Read more about budgeting for your holiday
Hot tip:
Set a savings goal to help you work towards a specific amount for your holiday. Staying on track with your money goals and having a good time at the end? That’s what we like!
2. What to think about when adding a pet to your household
Whether it’s furry, feathery, scaly or comes with a shell, adding a pet to your family can be a fun time. They can make a positive difference in your life and provide companionship and love when you least expect it. Plus, they’re cute to look at. Yep, even the reptiles and amphibians.
But getting a pet is a big financial commitment. While the upfront costs might not seem like much in the grand scheme of things, the ongoing costs of owning a pet can make this a big life purchase. A good budget, however, can help you navigate one-off and ongoing expenses that come with owning a pet.
So what do you need to budget for when you buy a pet? Here’s a quick breakdown of the different expenses you can include in your budget:
- Buying or adopting the animal.
- Vet visits and procedures the animal might need. For example, getting a dog or cat desexed.
- Pet healthcare products and insurance.
- Daily essentials like food, bowls, a kennel or tank, and toys.
- Council registration or any other licenses you may need to keep the pet at your home.
Read more about adding a pet to your household
3. Be financially ready to hit the road
Buying a car can make cruising around town easier. You get a set of keys, a cool set of wheels, and you can add as many bobbleheads as you like to the dashboard.
Like any big purchase, there are lots of different factors you’ll need to consider before you take the plunge:
- Think about the different types of cars, each with their pros, cons and costs. For example, hybrid cars might be pricier upfront but could save you money in the future.
- One-off and ongoing costs, like stamp duty and fuel, are a must-have in your budget. This can help you feel prepared when it comes time to buying and using your vehicle.
- The different options for financing your car – you can use your hard-earned savings, take out a personal loan or maybe sign a lease agreement. Make sure you do your research to find the right option for you!
At the end of the day, being smart about your savings, having the right mindset and creating a detailed budget can go a long way when it comes to buying a car.
Read more about budgeting for a car
4. Say ‘I do’ without worrying about your finances
Marrying the love of your life is a huge step to take in your relationship. You get to celebrate your love and make a life-long commitment to each other. But after you’ve proposed or said yes (or both!), how much do you need to save for your wedding?
The average Australian wedding costs around $36,000Superscript: 1. And while the amount will depend on you and your partner’s preferred style of wedding, it’s important that you make a wedding budget (ideally together) that captures what you both want from the big day.
Whether it’s an extravagant affair or a lowkey wedding on a budget, planning for your nuptials and understanding the different costs involved, like hiring a celebrant or paying for the wedding outfits can help you get married without feeling the financial pinch.
Read more about saying ‘I do’ without breaking the bank
5. Hop on the property ladder with your first home
Buying your first home is one of the biggest purchases you can make in life. But it’s not just a case of saving that big deposit and buying décor – there are upfront and ongoing costs you’ll need to consider. Think stamp duty, any inspections you need to make, your mortgage and more.
A good budget that factors in these costs can be a game changer. It can help you map out what your finances will look like when home loan repayments and other home-owning costs come into the picture.
Buying your next home?
See our home loan tools, articles and resources to help you explore your home loan options. We'll help you get to a good place.
