Planning a family holiday is never easy on the wallet, especially if you’re travelling in peak times over the school holidays. But just because you’re on a budget shouldn’t mean you don’t get to have fun. Everyone needs some time off, and it can do wonders with over 60% of Australians saying that a holiday improves their health! There are plenty of things you can do to keep costs down, and a holiday loan can always push your budget over the line. But we’ve put together some cheap holiday tips for families to help you make the most of your time off.
How to budget for a holiday?
The secret to making a great travel budget is planning ahead. You’ll need to know where and when you plan to travel to help you get the best idea of how much it should cost. Try to be flexible with dates if you can, since you might find a cheaper deal that sits just outside your ideal timeframe. Some costs you’ll want to plan for include:
- Flights: these will likely be your biggest expense, especially if you’re travelling overseas. Staying local can help you keep the costs down!
- Accommodation: do your research to find the best places to stay. Keep in mind the location – you might save big picking a less convenient location, only to end up forking out more for travel costs.
- Meals: plan a budget for meals to avoid overspending on food.
- Emergencies: make sure you put a little extra aside to give you some flexibility. You never know when you’ll stumble across a great restaurant or the perfect gift!
Check out our guide to help you make a budget so you can hit your holiday goal sooner!
Cheap holiday tips for families
Planning a budget family holiday can be difficult, but it’s not impossible! We’ve got some tips to help you keep costs down while still having fun and keeping everyone happy.
Plan ahead for the best deals
With kids to think about, you might be limiting yourself to school holiday travel. If you can be flexible with dates, you might find some cheaper options. But if you can’t, planning ahead is your best way to save, especially if you’re traveling around other holidays like Christmas.
Keep an eye out for deals on flights and accommodation or flash sales that might pop up for a limited time. Once you’ve found a flight you like, some travel sites let you set up price alerts that notify you when they hit their best possible price. That’s a little less gruntwork for you, and a little more money in your pocket to spend on your holiday.
You should also keep an eye out for accommodation or car hire packages that can help you save by buying in bulk!
Look for free activities
Most destinations have great activities to keep the whole family engaged that won’t cost a cent! Think about adding some into your plan to keep costs down. You could go on a hike to explore the area and see local natural wonders, or check out museums and art galleries which often have free entry. See if there’s a local market nearby where you can pick up some goodies and host a picnic yourself!
Most cities have a host of cheap or free activities you might not know about beforehand. A local visitor’s centre or even a library can be a great place to start and find your next free adventure.
Try camping
One of the best ways to keep flights and accommodation costs down is to get rid of them altogether! Australia has no shortage of beautiful destinations you can explore – as long as you have a tent and a sense of adventure. Many campgrounds don’t even require a four-wheel-drive to access, so you can park up and set up no matter what you’re driving.
Some campgrounds do charge a small fee, but it’s much less than what you’d pay for hotel accommodation. It’s the perfect way to help you stick to your 2025 savings goal. Plus, depending where you go, there are normally plenty of free activities like hiking, fishing, or birdwatching to keep kids entertained.
Travel smart
Normally, any trip to a different city or country involves some kind of transport beyond your flights. That might mean taxis, rideshares, or public transport to get around your destination. Make sure you investigate the options before you go to see how you can keep costs down. Some locations might be a nice walk away from your accommodation, with stops along the way that’ll help you see more of the city.
Public transport is usually the cheapest option. Some cities have tourist passes, or ways to access cheaper tickets if you book trips in advance. Do your research and try to keep taxis and rideshares to a minimum as they can quickly rack up if you’re taking too many trips, especially with a large family.
Pack with a list
You know how it goes. The last-minute packing turns into a rushjob, and before you know it you’ve landed in some far away location, only to find you’ve forgotten some important items. Things like toiletries might be easy and cheap to replace, but others could cost you dearly, especially if you’re forced to buy them at marked up prices from an airport or tourist trap.
Make a thorough list and leave enough time to pack comfortably. That way you can double check you have everything you need, and you won’t forget any expensive necessities that’ll put a dent in your budget before your holiday has even started.
Save on meals
This last tip has the potential to save you the most on any trip, and it’s one of the easiest things to help you save money fast! When we’re on holidays, we often don’t think about where we’re getting food, or how much we’re forking out for it. Buying breakfast, lunch, and dinner every day can add up fast, especially with hungry kids or teenagers tagging along.
If your accommodation has a kitchen, plan to make a few meals yourself. You’ll keep costs down, and probably make something more nutritious than you’d find wandering around while you’re hungry. Remember to bring some snacks with you while you’re out and about to tide you over!
Remember to enjoy yourself!
With all those tips in mind, it’s important to remember that holidays are supposed to be enjoyable. Budgeting and planning to keep costs down can help you turn your holiday dreams into a reality, but it’s important not to let yourself get so bogged down you forget to have fun. You never know what might come up on a holiday, so try to put some extra in your budget to account for spontaneous events. It’ll mean you can enjoy a fancy meal when you find the perfect restaurant, and give you some wiggle room to pick up that perfect souvenir when you see it.
What is the cheapest month to travel?
When you’re planning a budget holiday, you might want to look at the cheapest months to travel in. There’s a commonly held belief that summer is the most expensive month to travel, but Expedia’s 2025 Air Hacks report busted that myth wide open. According to their data, January was actually the cheapest month to travel, with travellers saving up to 11%. The most expensive month turned out to be September, so avoid those Spring school holidays if you can!
Some other good insights include the day of the week you book your flights. You might not think it makes much difference, but booking on a Sunday vs Friday could see you save up to 20%. And if you’re looking to avoid crowds, February is the quietest time of year to go sightseeing.
Need a little boost to your holiday budget?
Red Tree Finance is here to help! If you’ve crunched the numbers and found you’re a little bit short, a holiday loan can help you get over the line. You can borrow up to $5000, and our online application process and fast approvals will give you the edge in snapping up those last-minute deals. Check your eligibility and apply online today!
Frequently asked questions
What is the cheapest place to holiday from Australia?
It should come as no surprise that the cheapest places to holiday from Australia are some of the closest! New Zealand, Fiji, and Vanuatu are all fairly cheap and low cost international destinations. Southeast Asia is also a popular region, with countries like Indonesia, Vietnam, and Thailand all being great value for money.
How much of your income should go to a holiday?
This is really a personal preference that comes down to your individual financial situation. However, you could follow the 50/30/20 budgeting rule. Using this, you would allocate 50% of your income to essential costs like rent or mortgage payments, 30% to wants, and 20% to your financial goals. If your financial goal is to save for a holiday, you could safely be allocating 20% of your income to a holiday while still keeping enough to cover living expenses and other wants.
What day is airfare the cheapest?
Sunday is the cheapest day to book airfares, with Saturday being the cheapest day to fly domestically, and Thursday the cheapest to fly internationally.
People also read:
- How To Save Money At Christmas: 10 Christmas Money-Saving Tips
- How To Save Money Fast On A Low Income – 10 Ways
- What Is A Holiday Loan And How Do They Work?
The information provided in this blog is of a general nature and is provided without considering your specific objectives, financial situation, or needs. It is intended for informational purposes only and should not be relied upon as financial, investment, or other professional advice.
Before making any financial decisions or taking action based on the information presented, you are strongly encouraged to assess its appropriateness in light of your individual circumstances. Red Tree Finance does not intend to provide personalised financial advice, and you should seek independent financial, legal, tax, and other relevant advice tailored to your unique situation.