About traveling the world, one question is asked frequently to the travelers. The question that is disturbing in its own rights, about the cost to travel around the world! How much did you save? How much did you spend? And at times, the opportunity cost.
I intend to write this blog post to urge nomads to be practical when it comes to expenditures. And spend responsibly to enable long term travel dream to become a reality. It is often said, travelling don’t cost your money! That is not truth though. Truth is traveling will cost you money but not as significant as your other activities. Tweak a little here and a little there about your cost to travel around the world and voila, you are equipped with the best financial health!
Before we round up the cost to travel around the world, we need to point out the major areas where you shall be spending money. Also note, around the world travel in a year will mean you traveling to a new destination almost every other week. Since slow travel style does not suit this purpose, you may have to spend much for air-tickets. And do not forget to get yourself a reliable insurance policy.
Preparation
When you are planning for a trip around the world, the primary focus should be how to prepare your finances for it. Even after you prepared your finances, I would suggest you to have backup plans such as ULIP’s or mutual funds which can be liquidated easily in case of emergencies. A term insurance policy is also much required during unforeseen emergencies. A term plan from Aegon Life Insurance Company is what I opt for. A term Insurance plan is one that gives your loved ones security in case something happens to you. It is essential for travelers to be getting a term plan to get their family’s finances secure.
Travel
As we pointed out, your large chunk of expenditure shall go towards flights. Try to get a one way ticket. Fly on the weekends, at the off hours and use plenty of websites and apps to get the best deal. Be flexible with your destination.
The Time To Travel
In case you are visiting a place that has historically experienced huge tourist footfall at a certain point of time (example, Summer in Paris or Festivals in Brazil or World cup in Russia) be prepared to shell out extra money. Everything will be priced higher up. That said, do not be disheartened. Try and balance your travel destinations. Choose off season destinations more just to save some money.
Activities
We suggest the best way to get acquainted with a city is by taking the walking tours or travel by public transport. In case you love activities and want to indulge in p. Skydives, snorkeling, dune buggies, and ski slopes daily, be prepared to spend more.
Accommodation
For cheaper suggestion, try couch-surfing. You shall get the opportunity to gel with locals as well. For a different way, look for Dorm or hostels. If your budget enables, you can always opt for four seasons or higher brands. Airbnb is another great option if you a tight cost to travel around the world.
Food
If you are renting out a place, you will have the option to cook your own meal which is not only healthy but also cheap. For inexpensive regions like South East Asia, your daily meal cost should not be more than 1 to 5 USD. That is if you manage with street-food options. For expensive regions in Europe, price shall go up to 15 USD. However fine dining shall burn a hole in the pocket too.
Emergency
For anything unprecedented, be it a political turmoil or a local situation or medical emergency, do have some savings handy. A credit card which is accepted by international payment gateways would not hurt either.
We have listed down all the possible expenditures and their occurrence. We have omitted the occasional indulgences every traveler opts for every now and then. With a detailed discussion with any veteran on the road, you get an estimate of expenditures ranging from 20,000 to 30,000 USD every year. Roughly, be prepared to shell out 2,000 USD every month for a comfortable journey. If you are skilled and can work on the go you do not have to worry for long term travel either.
In case you have been a world traveler and been exploring in a pre-fixed budget, let us know your tricks about the budgeting of cost to travel around the world. Every suggestion adds value and helps us travel and experience the world a lot better.
About Aegon Life Insurance Company
Aegon Life Insurance Company Limited launched its pan-India operations in July 2008 with a vision to be the most recommended new age life insurance Company. The fulfilment of this vision is based on having a complete product suite, superior technology, providing customized advice and enhancing the overall customer experience.
This joint venture adopts a local approach with the power of global expertise to facilitate a direct to customer approach, leveraging digital platforms to bring transparent solutions to customers and to prioritize their needs.
Aegon is one of the world’s leading financial services organizations, providing life insurance, pensions and asset management and Bennett, Coleman & Company, India’s leading media conglomerate, have come together to launch Aegon Life Insurance.
About Term Plans
If your insurance needs are specific and time-bound, term insurance plans are perfect for you. These plans are ideal for policy holders looking for life insurance cover with benefits for a specified period that can be availed by paying a small amount of premium. Term plans are economical, and offer high life coverage. They are also designed to take care of your loved ones in case of disability or any critical illnesses.
