Holidays or savings

LegacyUser

Hi guys, just looking for impartial opinions!
I just started my first graduate roll at the start of October. Prior to this, I spent the last 4 years in college, so my earnings went on putting myself through college. At present, I have about 600 euro in my savings account, and no outstanding debts.
My parents have drummed into me from a young age the importance of saving, especially now while I'm young and have no dependents, so I always wanted to start as I mean to go on, and put aside a few hundred every month into a rainy day fund. At the moment, I can afford to save around 500 euro per month, so that's what I had planned to do for the next year, hoping to have the guts of 5000 saved by next year.
The problem is that I have serious itchy feet, and have several areas of the world I want to see. I have spotted a package deal which would cost me the guts of three grand. Its about 10 days long and would involve seeing several sites which are on my bucket list. I know I could afford to take the holiday, but my parents are insisting that its mental to spend such a large amount on a short holiday, and that I should wait a couple of years.
I'm totally financially independent, and my only regular outgoings are my monthly bus ticket and rent, so its not as if I have to worry about potential car break downs which could cause unforeseen costs etc. My parents aren't telling me how to spend my money, they know I am a grown man and am free to do with what I want, but they just cautioned me that it may be a bit reckless.
In theory I know I could wait a couple of years until I have a few more thousand saved, I suppose part of me always has it in my head that we don't know whats around the corner so we should take these opportunities when we have them, like I said I would prioritise saving for this trip over other things like nights out etc. as I prefer to spend money on experiences which give me lifelong memories. I could go on a cheaper holiday to europe I know, but I feel like I'd rather spend money on a big trip which would be a once in a lifetime thing.
Do you think I'm being silly for not trying to establish serious savings now? I am paying into a pension in work at the moment too so its not like I havn't got that covered. Any outsider perspective would be great.

edeldonlon

You never know what is going to happen in the future. If you have the money now I think you should go for it.

mapaca

Could you get the holiday cheaper? Instead of a package, if you organised the different elements yourself (flights, accommodation, tours, etc) it may work out more economical. Look out for deals. Even going at a different time of year could affect the price. Just something to think about.

In any case, you could always separate your savings into two accounts, one for life savings and one for your holiday fund. Your parents are right, it's a good idea to get in the habit of saving, but you're entitled to have some fun too!

bp

Myself and my OH spent the guts of 20k on a four month package deal....Have never regretted it for a second....even coming home to a recession. Yes we could have had a bigger deposit but had a ball :-)

Shrap

Well to me OP (and I'm more your parents generation than your's admittedly!), 3 grand sounds like what I'd spend on a 10 day holiday of a lifetime for a family of four. If I had it.

So you have 3 grand, and you deserve an amazing holiday after 4 years of college and saving wisely. Well done btw! I wouldn't at all begrudge you spending it on the trip of a lifetime, but I get where your folks are coming from too. That money could get you 3 MONTHS away, not 10 days - and 3 semi-luxurious months, at that!

A bucket list at your age sounds like a strange thing to me. Sure, you have a long list of places you want to see (don't we all!), but what about not trying to fit 2 or 3 of them in the same trip? You're young yet! Don't you want to experience more of a particular country or area than a day at the site, an overnight, followed by a massive journey to the next place? The kind of trip you're looking at sounds more like the bucket list tick-all-the-boxes that a retired person who doesn't want to go out at night might do. In fact, that's probably who you'd be travelling with.

I'd personally advocate making that kind of money go further and leave a longer impression on you. Obviously, that would leave you with a difficult decision as to which place to spend time in....

sashafierce

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LegacyUser

thank u all for your replies! the three thousand would be maximum, at the moment its looking more like 2500 for flights, accommodation, food, spending money but the price is variable. The deal im looking at is a tour of 5 different locations in america, and includes cost of enterence into different park etc. I know it is expensive but I think it would be hard for me to see all of this without a lot of hardship and organisation on my part especially considering I dont drive. The idea of the separate accounts for savings and travel is very good, would you suggest I split my spare cash 50/50 between them? I think my parents opinions have affected me more than I thought, then again they havn't been on holidays since their honeymoon around Ireland as they think holidays are a waste of money!

rainbowtrout

I'd say go on the holiday. Budget for 3k for the moment, but see if you can get a better deal elsewhere or if it would work out cheaper if you booked everything yourself rather than the package.

You can still continue to save, albeit at a slower rate and when you have paid for the holiday you can increase your savings again. Then in the future you can split your savings so you have have a savings account and a holiday fund to allow you to travel every year if you choose to do so. Some trips will work out cheaper than others.

I like to travel and spend at least 3-4k a year on going places I want to see. Some people would be horrified at spending that amount on travel, but I'm also able to save alongside that. I don't drink a lot or smoke, and I don't have any expensive hobbies. Some people would spend that every year going out at weekends or on cigarettes.

fits

Id be looking to get a much longer trip out of 3k. If its national parks you want to see check out bus tours. Something like the green tortoise.

jester77

You should think outside the box, there are lots of ways to see the world without having to spend so much. When I was in my 20's I worked for an airline and could avail of the ID90 card, could fly anywhere for just 10%. Now a days I book holidays around business trips, so in your case I would look into setting up a business trip or conference visit in the US and extend it for a few weeks to see whatever is on your bucket list. Saves the cost of the long haul flight. There are lots of jobs out there that require extensive travel, so if you have itchy feet it is a great way to see the world and not costing too much. There are also lots of jobs for multinationals where you can get a relocation package.

iusedtoknow

Myself and the wife recently spent 3K on 1 month in Chile and Argentina. Sure..some long bus rides, but we spent when we needed some comfort. Flights were paid by my company for me and we covered my wife's.

Personally, I would wait out the itchy feet, even just for a year - and also cut back a bit on other spending (that final round in the bar, the chips on the way home, maybe bringing lunch from home 3 days a week) and you'll find that 5K could easily be a lot a more over the year - it would also give you time do your own research on travel - packages while taking away the hassle are not half as much fun as doing it by yourself.

meeeeh

Op, do you like traveling with pensioners? I am certain the majority of your co-travellers will be at leas 20 years older than you.

I think it's great to travel when you are young because you have no commitments but not organized tours staying in four star hotels. There is nothing wrong with four star hotels but only people your age you will encounter will be working there. Even the best places to visit can be boring as hell if you are in your bed at nine o'clock reading a book because you have nothing to do.

If you want spend your money traveling think carefully what you want from a trip and with what kind of people you would like to travel with. As for savings, you can save for your whole life but it's a little harder to go for a three day trekking in Thailand with a toddler.

OP, go on the holidays, but definitely look into doing it yourself. It will definitely be cheaper & it gives you confidence and self belief to do it yourself.
I spent a month in Thailand for just over 2 grand, and another month in Cambodia & Vietnam for just under 2 grand. And I didn't stay in crap places either, they were decent enough.

The way I see it is, you will always find something to spend your money on, but it could be things you don't even remember!
I don't regret travelling anywhere, and I just spent 4 grand on a USA holiday.

sashafierce

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I suppose it really is up to yourself op and what you want to do with your money. I'd personally never spend anything like that sort of money on a trip but then I have no real interest in travel and would see it as waste. I'd prefer to save as much as I can, buy things and have an active social life all year round than spend lots of money on a holiday.

But then that's just me you have to ask yourself what you want to do with your money but my advice would be to save the money and either dont go on a holiday or go on a far far cheaper one.

R.D. aka MR.D

3,000 is a lot of for that short amount of time even in the US.

So you have a list of places to see? Where else would be on the list? Are there any more exotic locations where being young would be an advantage or your money would stretch further?

Travel, it's the best money you will ever spend but don't waste money. I was on holiday in America for 3 months, visited 11 different states and probably spent around 3000euro including the flight. I wasn't staying in hotels the whole time but 3000 for 10 days isn't a smart way to spend your money, in my opinion.

bp

I am pro travel so will argue for it:

The trip I went on had 2 pensioners and and 20 below 35, a lot of singletons. Check age profile with tour operator

The amount of people we saw while traveling spending a day in each town booking buses, online looking for accommodation etc.

My friends did a similar trip and booked all in advance but had to live off excel

Our trip was in non English speaking countries so our guide organised everything and spoke the language, told us where atms were, laundry, cafe's etc

All accommodation was vetted and booked for us in advance

I have kids now so cannot do trips like this now for the next 10-15 odd years now

Now devil's advocate to myself:

We had two pensioners on our trip and they had a ball, drinking and having a great time with us, you can still travel at a later age

We had to get a loan to buy our car as we spent the money traveling.

I agree with two savings accounts, great idea

LegacyUser

I spent 10K on a full year traveling around the world and when I got back I had a moment of panic that I'd spent all my savings but that was fleeting as I had a lifetimes worth of memories and several life long friendships plus it's been a major plus in my career development as I was very introverted before going and came back very out going and much more relaxed in new places and meeting new people.

I do think 3K is a lot for 10 days but if that's what you want OP it's what you want.

woodchuck

I think two separate savings accounts is a great idea!

Personally I'd feel more comfortable building up a bit more savings (even for just a few months) before any large splurges though. I know you said you don't have a car so there shouldn't be any unexpected expenses... but you should always expect the unexpected! This can come up in any/many ways, shapes and forms (e.g. if you break a tooth, you currently wouldn't have enough from your 600euro cover the cost of a root canal and crown. And that's just one example!)

magicmushroom

You say in your post that you're financially independent, a grown man etc...so why are you letting your parents influence your decision about a holiday?

It's your money, you want to see these places, so go. It's that simple.

You could be hit by a car tomorrow, what use is your €6k then? Other then paying for your funeral.

GO, enjoy yourself, save again when you get back.

The idea of 2 savings accounts is a great idea - and also as other people have said, you could probably do your holiday on a smaller budget of €3k - maybe set a budget of €3k, look for something cheaper and put the difference into the holiday fund for the next trip!

dinneenp

Go, travel! When you're older, married with kids it's not easy to get away.
That's me now but I traveled when I was younger and really appreciate sewing so many places.

woodchuck

magicmushroom wrote: »

You say in your post that you're financially independent, a grown man etc...so why are you letting your parents influence your decision about a holiday?

It's your money, you want to see these places, so go. It's that simple.

You could be hit by a car tomorrow, what use is your €6k then? Other then paying for your funeral.

GO, enjoy yourself, save again when you get back.

The idea of 2 savings accounts is a great idea - and also as other people have said, you could probably do your holiday on a smaller budget of €3k - maybe set a budget of €3k, look for something cheaper and put the difference into the holiday fund for the next trip!

It's stated in the original post that he has 6 hundred in savings, not 6 thousand. I agree with you theory, but 600 is not that much really. Again, I'd personally build it up a bit more to have for a rainy day first. But beyond that, enjoy your travels

magicmushroom

woodchuck wrote: »

It's stated in the original post that he has 6 hundred in savings, not 6 thousand. I agree with you theory, but 600 is not that much really. Again, I'd personally build it up a bit more to have for a rainy day first. But beyond that, enjoy your travels

Ooops, my eyes added an extra 0! Sorry OP

LegacyUser

OP here!thank you so much for all your replies! the tour I was looking at was actually a trek america tour, which seem to be very expensive but include a lot of sights. I understand what people are saying about the holiday and that is my concern too, its a lot of money to spend on one trip. I would love to do what RD did and take a big trip but as I would be travelling alone I thought getting around might be an issue when I cant drive. I am also limited to a maximum of two weeks at a time off from work so while I know people can do amazing months in Aus or Asia I cannot get the time to facilitate that, hence the desire to see all I can in a limited amount of time!
I have decided to hold off until later next year so I can re evaluate things. thanks again

Ursus Horribilis

What's the itinerary for this holiday? A colleague of mine took a package holiday to North America with his wife. They got to see plenty of places but also spent a lot of their time sitting on a bus on the motorway. Most of us have no concept of just what an enormous country it is.

There are upsides and downsides to these sorts of holidays. It's handy to not worry about getting from the airport to your hotel, nor having to figure out how to make your way around. On the other hand, you're tied to someone else's timetable and are limited in how much you can explore before you're to get back onto the bus. It's something to be aware of.

I also get the impression from you that you feel this is your last chance to see places you'd like to. All going well you'll be able to afford to take many more holidays over your lifetime.

Personally I'd be afraid to spend every last penny of my savings on anything. You never know when something will crop up and you might need to lay your hand on some money. I'm not saying don't go on a holiday but I'd be advising you to keep some money aside and see if there are cheaper options.

silverbolt

sillylad wrote: »

thank u all for your replies! the three thousand would be maximum, at the moment its looking more like 2500 for flights, accommodation, food, spending money but the price is variable. The deal im looking at is a tour of 5 different locations in america, and includes cost of enterence into different park etc. I know it is expensive but I think it would be hard for me to see all of this without a lot of hardship and organisation on my part especially considering I dont drive. The idea of the separate accounts for savings and travel is very good, would you suggest I split my spare cash 50/50 between them? I think my parents opinions have affected me more than I thought, then again they havn't been on holidays since their honeymoon around Ireland as they think holidays are a waste of money!

You only live once. And you are not your parents (and they not living your life) and bear in mind money has a very firm hold in the psyche of many Irish people treating it like an ornament (nice to look at but dont touch) but you cant take it with you.

You deserve a holiday and if you can get it then take it. Yeah its three grand but you can afford it and the memories will last a lifetime. €500 euro disposable is a decent amount (to me anyway when thats half my monthly take home) I say go for it.

However I will say - the states is expensive, three grand for ten days? You can go elsewhere for less. Have you considered looking south to Africa or East towards Asia?

bubblypop wrote: »

OP, go on the holidays, but definitely look into doing it yourself. It will definitely be cheaper & it gives you confidence and self belief to do it yourself.
I spent a month in Thailand for just over 2 grand, and another month in Cambodia & Vietnam for just under 2 grand. And I didn't stay in crap places either, they were decent enough.

The way I see it is, you will always find something to spend your money on, but it could be things you don't even remember!
I don't regret travelling anywhere, and I just spent 4 grand on a USA holiday.

Thailand is my go to destination as well. Its cheap to get there (relatively speaking) and to stay. IT is just a suburb country, the food, the people, nightlife, shopping culture...............the list goes on. Cambodia and Vietnam are also on the list.

sillylad wrote: »

OP here!thank you so much for all your replies! the tour I was looking at was actually a trek america tour, which seem to be very expensive but include a lot of sights. I understand what people are saying about the holiday and that is my concern too, its a lot of money to spend on one trip. I would love to do what RD did and take a big trip but as I would be travelling alone I thought getting around might be an issue when I cant drive. I am also limited to a maximum of two weeks at a time off from work so while I know people can do amazing months in Aus or Asia I cannot get the time to facilitate that, hence the desire to see all I can in a limited amount of time!
I have decided to hold off until later next year so I can re evaluate things. thanks again

Hmmmmmm, i detect your parents mindset here. Will you then make an excuse next time round? Or the year after that? After that?

Take it while you can get it. Yes there are better options out there (price wise) but if your heart is set on that holiday in the states then thats up to you. Go for it.