Minimize Travel Expenses While Enhancing Your Experience
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Many of our clients enjoy travel and plan to explore other countries this summer. During our planning and portfolio review meetings, we account for their travel plans and confirm they are in line with their long-term financial security. The stock market has rebounded from its decline earlier this year when fears of a tariff war rattled markets, so people may feel better about selling assets to travel. Still, Travel writer Elaine Glusac reports in the Wall St. Journal that fewer Americans are traveling this summer. Sixty-five percent of those Americans who say they are not traveling this summer said they cannot afford it (“Searching for Deals Despite a Weaker Dollar”, June 2, 2025). Glusac reports a weakened dollar (down approximately 8% since January against a “basket” of foreign currencies) and feelings of insecurity related to politics as reasons for people’s reluctance to travel. Those who do plan to travel want to feel confident, secure, and happy about spending their money overseas. There are ways to save money and obtain good value without sacrificing quality or mood when traveling.
One of the most pressing concerns is how confusing it can be trying to determine the most economical way to obtain local currency and make purchases when overseas. You will want to have some cash in the local currency in your pocket soon after landing, especially if you plan to take a taxi from the airport. Remember, not all countries accommodate ride sharing apps. You can check before leaving home to see if the country you plan to visit has Uber or something similar. Some taxi drivers accept only cash, or they may express displeasure at your wanting to pay with a card, making the situation uncomfortable. It is always advised to have some small bills on hand soon after landing.
Travelers also wonder, Is it better to obtain cash in a foreign currency before leaving the United States or to obtain cash after landing in your destination? Some people appreciate having time to shop around for the best exchange rate before leaving home or perhaps choosing days when the dollar is relatively strong to exchange currency. It is possible, though, even with careful “shopping,” the exchange rate here in the United States could be less favorable than what you would find “on the ground” in your destination. It can be stressful, though, landing in a foreign country and having no cash immediately on hand. Airports and hotels have ATMs, but you will pay a premium for the convenience of doing so. You should weigh the convenience of being able to obtain foreign currency in the U.S. against the possibility of obtaining a better rate upon landing while also feeling some anxiety until you do obtain some local cash.
When traveling, use local currency whenever possible because places advertising “we accept dollars” will often charge you more when you pay in dollars. Another practice to avoid is exchanging dollars for foreign currency upon arrival or vice versa when departing. You will lose more than you should when you do that.
It is usually best to use credit cards when possible. Ask your credit card company and your bank before you leave home about any foreign transaction fees and whether they have knowledge about ATM transaction fees overseas.
Travel consultant Kelley Lefferdink offered some suggestions for maximizing a travel budget. She said that European river cruises can provide wonderful value compared to “land travel” or ocean cruises that dock in popular (and thus crowded) ports. A cruise on the Danube, Rhone, or Rhine rivers appeals to an “intellectual” traveler, who seeks fewer crowds and less obvious, less touristy, attractions. The price of a river cruise usually includes food, excursions, and evening activities such as wine and food tastings, musical performances, and lectures on a region’s history and culture.
“Cruises are more economical than staying in hotels, and people can see several different cities without having to move their belongings around…There is no sea-sickness, and everything is easy while being stimulating,” Lefferdink said.
She also urged travelers to consider visiting a foreign country as part of an organized tour. Tour groups benefit from group discounts and conveniences such as having an English-speaking tour guide. “Tours can be as modern and active as you want them to be…they can be age-appropriate or centered around a shared interest,” she explained.
Lefferdink encourages travelers to buy travel insurance but to “read the fine print carefully” to see what the insurance protects you against and exactly what the insurance policy would cover. “Be prepared to document--sometimes with a doctor’s note or receipts--any reason why you need to invoke your travel insurance,” she urges.
She also reminds travelers to check with their health insurance provider to determine what medical care would be covered should you become ill or sustain an injury when traveling. Many people do not know that Medicare does NOT cover any medical care you may need overseas. It may be wise to supplement your health insurance coverage before you leave home if your current coverage is insufficient to cover an emergency.
Finally, make sure you check Visa and other requirements for entry to your destination. If you wait too long to obtain the proper documents, you may incur extra fees for expedited service or extra fast delivery. Do not assume a tour guide is handling entry documents for you, nor should you assume that requirements have remained the same since you last checked a year or so ago. You do not want to scramble or spend more than you were planning.
The rewards of travel are impossible to quantify. You can save money without trying too hard, though, and without compromising your travel experience. It will make for an especially gratifying trip if you consult with us before you depart to determine how your travel expenses can be accommodated within a sound financial plan. Contact us to schedule a consultation regarding your financial security, and travel with confidence!