How You Can Take a Vacation In 2026 Without Breaking the Bank
Key Takeaways:
- Start your vacation planning with a budget, not a destination, in mind to avoid overspending from the start.
- Traveling outside of peak season can lead to more affordable accommodations and airfare.
- Use your existing memberships, like AAA or Costco, to save on lodging and car rentals.
With travel costs rising, affording a vacation may feel out of reach. In fact, 37% of Americans
But taking time off to reset isn’t a luxury—it’s important for mental wellness and avoiding burnout. The key is planning so your vacation doesn’t derail your financial goals.
Here’s how to budget, save and travel smarter in 2026 without going into debt.
Work backward from your budget
Plan your trip in reverse. Instead of starting with a destination in mind, consider how soon you want to travel and how much you can realistically save between now and then.
A simple way to estimate your vacation budget is:
# of months until proposed trip x how much you can save each month = travel budget
If your trip is eight months away and you can save $150 a month from your disposable income, that gives you a vacation budget of roughly $1,200 before any existing savings.
If you’re starting from zero, you might consider cutting spending from categories like eating out or rarely used subscription services to save more before you travel. Setting up an automatic transfer each month from your checking account to your savings account makes it harder to spend the money before your trip.
Saving up for a big trip in the future? Consider opening a Vacation Club Account dedicated to saving up for your next vacation.
Choose the right time and destination
Once you know your budget, you can make smarter decisions about where to go, how long to stay and what tradeoffs are worth making.
Flexibility about where and when you travel can lead to significant savings.
According to Kayak, if you’re planning a domestic flight, the most affordable day to fly out is Monday and the cheapest day to return is Wednesday. Avoid coming home on a Friday or Sunday, when flights are most expensive.
For international travelers, Wednesday is the cheapest day to depart and return. As a general rule of thumb, midweek flights are typically more affordable no matter where you’re headed.
If you’re flexible around the time of year, consider booking travel during “shoulder season" — the period from post-Labor Day to mid-fall, right after peak tourist season. Travelers pay 33% less, on average, for international flights than they do in the summer, and domestic airfare falls by 21% on average.
Before booking travel, compare the costs of alternative modes, like a train vs. a plane or a bus vs. a car. In the case of shorter trips with closer destinations, driving may save money (despite gas prices), especially when you factor in add-ons like baggage fees or parking.
If you do have to fly, look at fares from nearby airports, traveling with only a carry-on or using public transportation at your destination instead of renting a car. Small transportation choices can add up to major savings over the course of a trip.
Lower your biggest travel costs
Lodging and transportation tend to be the most expensive line items. You might even be sitting on travel discounts you didn't know you had. Memberships at AAA and Costco often include discounts on rental cars, hotels, cruises and vacation packages. Home swap services like Home Exchange and Kindred can reduce lodging costs, and staying with friends or family can lower your budget even further.
If you’re staying at a hotel or resort, check to see if it's running any promotions like "book 3 nights, get the 4th free," or packages that include dining credits. And never overlook a free breakfast — it can mean real savings for your daily food budget.
Plan daily spending before you leave
Nothing derails a relaxing trip faster than stressing about every dollar once you're there. Before you pack your bags, create an average daily budget using this formula:
Total travel budget - upfront costs (airfare, lodging) / length of your trip = average daily spend
So, if you have a $2,100 travel budget for a 7-day trip, with $1,100 toward upfront costs, you can spend an average of $150 a day on dining or activities.
Identify the pricier meals out or activities, then seek additional, more affordable options to balance spending. If you have a spa day planned for a day of the trip, look for free activities and eat meals on another day. If you're on a group trip with pricey activities, you might consider planning more affordable alternatives for those of you on a budget.
But it doesn't have to feel like a sacrifice. For example, going out for every meal can quickly blow a budget. Aim to replace at least one meal a day with a grocery run, hotel breakfast or a simple picnic. That frees up room for the experiences that matter most to you, whether that's a museum, a live performance, or an outdoor adventure.
Budget travel doesn't mean a budget experience. It means spending with intention.
Ready to make your next vacation a reality?
Whether you have a trip on the horizon or you want to plan a getaway in the future, you shouldn’t take a vacation from saving for your next vacation.
Our team of experts can help you build a personalized savings plan that fits your timeline and your budget, so your next vacation is something you look forward to, not something you stress about.
