You want your gap year to be the time of your life, but if you leaving saving until the last minute, you’ll have to spend most of it working instead of travelling. That’s why you should follow these 9 tips to save money for your gap year. A little planning now can make all the difference.
1. Take a month between purchases
The urge to buy is strong. We’re bombarded with advertising every day and it’s hard to not go out and buy the things you want as soon as the impulse to purchase hits.
But if you’re serious about saving up for that gap year, then pulling back on the purchase trigger a little bit could save you plenty in the long run. Give yourself 30 days to think about a purchase. If you still want it, then make your move.
2. Make a grocery list
Failing to plan is planning to fail, even when you hit the grocery store. If you want to save money at the checkout, there’s a couple of tried and true things you can do:
- Never grocery shop on an empty stomach
- Always make a list
- Plan your meals and shop accordingly
- Stock up on staple items when they are on sale
Avoid snap purchases or letting your belly do the shopping. Think about what you need before hand, get in and get out. You’ll save money, waste less food and you’ll eat healthier too.
3. Switch up your utility provider
Saving for a gap year is a long-term goal, which means you have the luxury of looking for savings over time. Chances are, your current electricity and gas provider might not be the best value. Switching up could save you hundreds, even thousands, over a single year.
Not sure where to get started?
- First, gather up a few of your past bills so you know how much you’re spending.
- Now check websites like Compare the Market and Energy Made Easy
- Make sure you compare based on your usage during peak and off-peak times
- Make the switch and save in the long run money.
4. Move back home
Rent money is a considerable portion of your income, and it’s money that could be going into your gap year savings account instead. If moving home is an option, it may be something to consider.
After all, it’s not just rent where you’ll save, but also everyday expenses which can be shared with the family.
5. Move somewhere cheaper
If you’re used to living it up in the cool part of town, a move out to the suburbs might seem horrible. But a step down in rent could be the difference between a gap year and a gap 6 months. Even a saving of $200 a month is over $1k extra you’ll have after a year of saving. However, make sure you weigh up the savings against the cost of moving. If the savings are considerable enough, then it’s worth the effort of moving house.
6. Reduce fixed expenses
You might view fixed expenses as just that, but if you’re really keen on taking that gap year reducing some of your monthly expenses might be just the medicine you need. Determine whether you can:
- Cancel some streaming services you’re not using (do you really need Spotify, Netflix and Stan?)
- Reduce internet and phone bills (combine for more savings)
- Unsubscribe to magazines or blogs
Remember, what you actually need is different to what you want. Some fixed expenses can be reduced or finished up with very little impact on your everyday life. If you’re used to having large amounts of data on your mobile, try reducing it and see how your usage goes.
7. Pick up extra shift
During your gap year, you probably want to work as little as possible. By working more now, you can earn extra cash to help take the pressure off during your gap year.
The big economy provides plenty of opportunities for you to pick up extra work on an ad-hoc basis. But if you’re planning a gap year further into the future you might even try a full-time salary position, where you can generate leave and keep earning over the first few weeks of the gap year.
Working more also has the added benefit of occupying your time, so there’s less temptation to buy unnecessary items. This comes with a little sacrifice,
8. Make your own inexpensive fun
Reduce your expenses and save for your gap year by doing the things you love without breaking the bank. Instead of going out to bars and clubs and spending money on expensive drinks, why not get your friends together for a home-cooked meal over a bottle of wine? Other suggestions include:
- Watching a movie at home with homemade popcorn instead of visiting the cinema
- Doing some exercise in the park instead of paying for a gym membership
- Going for a picnic instead of paying cafe prices for food.
There are so many things you can do for next to nothing to keep yourself entertained and occupied, with the added benefit of knowing how to stretch a dollar when you’re travelling.
9. Take out a loan
Personal financing is another good way to ensure you make the most of your gap year. With the right loan, you won’t have to delay your plans for too long. Talk to SRG Finance about how a personal or secured loan can help you make the most of your gap year. You’ll be surprised at just how cost-effective a personal loan can be. Contact us today.
Saving for the trip of a lifetime
Taking a gap year can be one of the most exciting and unforgettable experiences you encounter over the course of your life. Don’t allow money problems to bring unnecessary stress and prevent you from making the most of the year. For more ideas on how you should be saving, check out our blog.
