Looking to stretch your travel budget during the holidays? With some smart planning, you can avoid the high costs and still make the most of your time off. From flexible booking strategies to maximizing points, these tips will help you save while enjoying your holiday getaway.
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Planning travel around the holidays can be tricky—prices tend to spike just when you’re hoping to take advantage of your extra time off.
But don’t worry, I’ve got you covered. Whether you’re looking to make the most of your PTO or just want to escape for a few days during the busy holiday season, here are some practical tips to help you save money while still enjoying a memorable trip.
1. Be Flexible with Your Travel Plans
Flexibility is your best friend when it comes to saving money on holiday travel. If you’re flexible with your travel dates or destination, you’ll have more room to find deals.
For example, my husband’s family is Jamaican, so we know we’re going to Jamaica for Christmas, which limits our flexibility.
But if you’re just looking to get away for the holidays and don’t have a specific place in mind, having an open-ended destination or a date range can work in your favor.
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Use Flight Alerts
Set up price alerts on flights as soon as possible to catch price drops. Platforms like Google Flights, Skyscanner, and Hopper will notify you when fares for your chosen routes drop.
Check out the top 9 apps and websites that we use to find cheap flights here.
Compare Nearby Airports
If you’re flying into a major city, it’s worth checking flights to nearby smaller airports.
Sometimes flying into a regional airport just outside the city can save you a lot of money, even after factoring in ground transportation.
For example, instead of flying into LAX in Los Angeles, you could look at Burbank or Long Beach for cheaper options.
Early Planning is Key
Holiday travel gets expensive quickly, so the earlier you can book flights and accommodation, the better.
If you’re waiting for a better deal, book something that’s refundable. Many hotels and some airlines allow free cancellations up until a certain date, so mark your calendar and keep an eye on deals.
Fly on the Holiday Itself
One of the best-kept secrets for saving on holiday travel is flying on the actual holiday. While it might sound inconvenient, flying on Thanksgiving Day or Christmas Day can result in much cheaper fares compared to the busy days leading up to the holidays.
Plus, airports tend to be less crowded on those days. We’ve flown on Thanksgiving Day before, and let me tell you, the airport was so easy to get through.
If your family spends the whole day cooking (like mine does), flying on the actual holiday is perfect—you can arrive just in time for dinner and the celebrations!
If you’re not celebrating, it can be even better since flights are usually much cheaper on those days, whether you’re flying out or coming home.
2. Use Credit Card Points to Offset Costs
This isn’t for everyone, but if you know how to manage your credit responsibly, using a travel credit card can help offset or even cover your holiday travel expenses.
We’ve used our everyday expenses (groceries, gas, shopping etc.) to rack up points throughout the year, and by holiday season, we’re able to redeem them for flights and accommodations.
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Maximize Points for Expensive Travel Times
If you’ve been accumulating points throughout the year, the holiday season could be the ideal time to use them. Flights, hotels, and even rental cars booked with points can reduce or eliminate the higher costs of holiday travel.
When it comes to making the most of our travel rewards, we love combining our free night awards from our Hilton credit cards to stay at some of the best hotels in the world. If we’re getting a free night, we want to make sure it’s worth it!
That’s why we’ve used ours for luxury stays like the Waldorf Astoria on Platte Island in the Seychelles, the Conrad Bora Bora’s overwater bungalows, the Hilton Bali Resort, and the Waldorf Astoria Pedregal in Los Cabos.
It’s a great way to turn a free perk into a high-end experience, especially during pricey holiday travel.
So if you’ve been accumulating points all year, the holiday season is the perfect time to cash them in and save on flights, hotels, or even rental cars.
Choose the Right Card
Some credit cards offer great sign-up bonuses if you meet spending requirements, which could give you enough points for a flight or hotel stay during the holidays.
Others give cash back or rewards on purchases like gas and groceries, which can still be used to reduce travel costs.
Cards with flexible points systems, like Chase Sapphire or Amex, are great for redeeming on various travel purchases.
When choosing the right credit card for travel, don’t forget that some cards offer perks like a credit to cover the cost of TSA PreCheck or Global Entry. These can be extremely beneficial, especially during the busy holiday season, when airport lines are longer than usual.
My husband and I both used our credit card benefits to get Global Entry, which also includes TSA PreCheck, and it’s made our airport experience so much smoother—especially when we’re rushing to make those holiday flights.
The number one thing to keep in mind when it comes to using credit card points to offset the costs of holiday travel is to only do this if you’re responsible with your credit. It’s never worth it to go into debt to travel.
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3. Find Budget-Friendly Accommodations
Accommodation prices also soar around the holidays, but there are ways to save while still enjoying your stay.
Stay with Friends or Family
If you have the option to stay with friends or family, this could be the easiest way to save on accommodation.
It might not offer the same privacy as a hotel, but the savings can make it worth it, especially during peak holiday times.
Opt for Package Deals
Sometimes booking flights and hotels together in a package can save you more than booking separately.
Travel websites often offer discounts for package deals during the holiday season, so it’s worth comparing the total cost to see if you can get a bargain with packages from sites like Priceline or JetBlue Vacations.
Book a Place with a Kitchen
Cooking your own meals can save you a lot of money, especially in tourist-heavy areas where restaurants might be pricier.
But do your homework: in some destinations, eating out is cheaper than buying groceries. For example, in places like Southeast Asia, local food is often so affordable that eating out makes more sense.
Check Refund Policies
When booking, especially during the holidays, try to choose accommodations that offer free cancellations or changes.
That way, if you spot a better deal closer to your trip, you can adjust your plans without losing money.
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4. Cut Transportation Costs
Getting around in a new destination can be one of the sneaky expenses that adds up, especially if you’re traveling during peak holiday seasons. Here’s how you can keep those costs down:
Rent a Car or Use Public Transport
Renting a car can be affordable if you’re staying in an area where public transportation is limited. Just remember to check traffic patterns and which side of the road they drive on.
Also, make sure to specify if you need an automatic car—manual transmission is often cheaper but might not be what you’re used to driving.
But you’ve got to be real with yourself—if you’re usually a ‘passenger princess’ at home, chances are you won’t suddenly love driving in a new destination. And that’s okay!
If the idea of navigating unfamiliar roads or driving on the opposite side of the road stresses you out, there are plenty of other ways to save, like using public transportation or rideshares.
It’s all about choosing what works best for you without unnecessary headaches.
Use Local Guides for Excursions
Booking excursions directly with local guides can save you a lot, as you’ll avoid third-party booking fees. Plus, you’re supporting local businesses!
If transportation is included in the excursion price but you have your own rental car or can use public transport, ask if they can offer a discount.
When we visited Chichen Itza, we decided to skip the expensive guided tours and do it on our own. We rented a car, drove ourselves, and paid the entrance fee—saving us quite a bit compared to booking an excursion with a tour company.
Plus, having our own car gave us more flexibility to explore other spots nearby.
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5. Pack Light to Avoid Extra Baggage Fees
Airline baggage fees can sneak up on you, especially during the holidays when people tend to travel with more gifts and winter clothes. Avoid those extra charges by packing light.
Know the Policies
Make sure you’re familiar with your airline’s baggage rules, especially for international flights where fees can get steep.
To avoid surprises, weigh your bag before you leave and ensure you’re under the weight limit.
Stick to Carry-On Only
Whenever possible, stick to carry-on luggage. You’ll save on checked bag fees and also avoid the potential of lost luggage during the busy holiday season.
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6. Take Advantage of Free Activities and Holiday Festivals
One of the best ways to save money while traveling is to take advantage of free things to do.
Many destinations, especially during the holidays, offer festive events and activities like holiday markets, parades, and light displays.
Research Local Events
Before you go, look up what’s happening in your destination during the holiday season. Many cities and towns host free or low-cost events that let you experience local culture.
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7. Save with Tax Rebates and Duty-Free Shopping
If you’re traveling internationally, take advantage of tax rebates and duty-free shopping to save on big-ticket items.
VAT Tax Refunds
Many countries offer VAT (Value Added Tax) refunds for tourists. If you’re making a big purchase, like electronics, designer bags, or jewelry, you could save a significant amount.
Just make sure to ask for the receipts and necessary paperwork at the time of purchase and have it ready for processing at the airport before you leave.
Duty-Free Shopping
Stock up on gifts or personal items at duty-free shops at the airport to save on taxes. It’s especially useful for alcohol, perfumes, and other luxury goods.
8. Travel Off-Peak for Cheaper Deals
Holiday travel doesn’t always mean flying out on the exact holiday. Sometimes leaving a day or two earlier, or coming back a day or two later, can save you big on flights and accommodations.
Book Shoulder Season Flights
If you have the flexibility, try traveling just before or after the peak holiday days (like Christmas or New Year’s). Prices tend to dip slightly, and you could avoid the crowds.
9. Maximize PTO by Planning Around Holiday Dates
Maximizing PTO isn’t just about getting more time off—it’s also about saving money. Here’s how:
More Time = Better Deals
When you have more time to work with, you’re not stuck booking flights on the busiest (and most expensive) days. This flexibility allows you to choose cheaper travel dates, which can significantly cut costs.
Extended Stays
With more time off, you can opt for longer stays, which sometimes come with discounts. Many hotels or Airbnb hosts offer lower nightly rates for week-long stays compared to shorter stays.
RELATED ARTICLE: How to Find the Best Deals on Airbnb
Final Thoughts
By using these strategies, you’ll be able to See the World, Save a Dollar during your holiday travel.
Whether you’re jetting off for Christmas or ringing in the New Year somewhere new, planning carefully and staying flexible will help you save money and make the most of your trip.
FAQs
How can I save money on Christmas flights?
Book as early as possible, set price alerts, and be flexible with your travel dates. Consider flying on Christmas Day or mid-week for lower fares, use points or miles if available, and check smaller nearby airports for cheaper options.
Is it better to book holiday travel early or last-minute?
Booking early is usually best, but if you’re flexible, last-minute deals may pop up. For flights and hotels, book refundable options early and adjust if you find something cheaper.
Is it cheaper to fly on the holiday itself?
Yes, flying on the actual holiday (e.g., Thanksgiving or Christmas Day) is usually cheaper, and airports are less crowded.
How do I find the cheapest flights during the holiday season?
Set flight alerts on apps like Hopper or Google Flights early. Be flexible with dates and consider flying into smaller airports near your destination.
How can I save money on accommodations during holiday travel?
Stay with family or friends, use points for free hotel stays, or book refundable rates early and look for better deals later.
What are the best ways to use credit card points for holiday travel?
Use points for flights, hotels, or rental cars to offset holiday prices. Free night awards from loyalty programs are great for booking luxury stays during the holidays.
Are there any hidden costs I should watch out for during holiday travel?
Watch for resort fees, baggage fees, and parking or Wi-Fi charges. If traveling internationally, look into VAT refunds.
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