4 tips to turn a staycation into a savecation

Has Covid ruined your plans for a summer holiday abroad? Here is how to convert a ‘staycation’ into a ‘savecation’ and save money all summer long.

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Covid restrictions have recently been eased to allow people in England to travel overseas on holiday. However, with only 12 destinations on the government’s ‘green list‘ and Covid cases on the rise in some parts of the world, many people are opting to stay at home rather than travel abroad. A staycation provides an opportunity to save a significant amount of cash that you would have otherwise spent abroad.

The makers of digital savings app Plum have calculated the costs of a typical week of staycation activities to determine how much money you could save. The Plum team also provided tips on how you can convert your staycation into a ‘savecation’ that lasts all summer long.

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What are the costs of a foreign holiday?

According to travel company Expedia, the average 9-day family holiday abroad costs £2,417. This cost is inclusive of everything from flights to sun loungers to day trips.

How much money can you save by opting for a staycation instead?

A staycation doesn’t have to be boring, according to the team behind Plum. They reckon that some of the activities and attractions of a holiday could be brought to your own backyard or enjoyed in your own city or town. All of this can be accomplished for a fraction of the cost of a real foreign holiday.

For example, for £88, you could transform your back garden into your very own mini-beach. The things to budget for here include:

  • 2 sun loungers – £50
  • 1 paddling pool – £18
  • 2 home cocktails for grownups – £20

Or you could plan a picnic in a nearby park with friends and family for only £38. The items to budget for here include:

  • Picnic blanket – £12
  • Disposable BBQ – £6
  • Boules set – £20

On the picnic, you can band together on foods to keep costs low while also guaranteeing a delicious and varied spread.

Other holiday activities that can be enjoyed from the comfort of your own home or within your local town or city for very little cost include:

  • A culture day (that includes a museum visit, a trip on the train and a meal at a restaurant serving foreign cuisine)
  • An at-home movie night
  • A home self-care package (scented candles, home foot spa)
  • Camping in your own or a friend’s garden
  • A local fun sports day (including egg and spoon and wheelbarrow races)

The total cost of these staycation activities is approximately £363.99.

When compared to the average holiday spend of £2,417 for a nine-day vacation abroad, this equates to savings of about £2,053.

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How do you turn a staycation into a savecation?

The following four tips from Jess Williams, product lead for growth at Plum, could help you convert your staycation into a savecation and save money all summer long.

1. Keep saving, little and often

Saving a set amount each payday is a good place to start.

You could also consider saving consistently throughout the month, even if it is only a few pounds per week. You can go a step further and automate this by using auto-savings apps that will set aside small, personalised amounts each week.

2. Set a summer budget

Williams recommends that you create a monthly budget, or better yet, a budget that covers the entire summer period to help you track your spending and stay within your limits. There are plenty of budgeting apps to help you with this task.

3. Save whenever you spend

Before you shop, whether online or in person, check out the vast array of cashback services on the market. For example, if you shop through cashback sites or pay with a cashback credit card, you will get some of your money back every time you make a purchase.

Another strategy is to round up all of your purchases to the nearest pound and save the difference.

4. Open a pocket in Plum for summer 2022

Plum uses artificial intelligence to analyse your spending and determine the best amount to save each week. When you create a ‘Plum pocket‘, you can personalise it with specific savings goals.

Having a savings goal not only puts you in a better position to stay on track in terms of saving but it can also help you reach your savings goals faster.

Should you invest, the value of your investment may rise or fall and your capital is at risk. Before investing, your individual circumstances should be assessed. Consider taking independent financial advice.

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