How can you afford to travel?

[Sky Sweet]

There is one situation in the current economy, which I don't think has been mentioned, that affects a number of us.

While low interest rates are good for people who have mortgages and other types of debt, they are not so wonderful for people who own their homes outright and have no debt.

That is because when interest rates were higher it was relatively easy to find a good interest rate on an annuity or bond that was very safe. Now it is not only difficult to find, but many of the bonds that have been paying good interest rates have recently exercised their call option prior to its maturity date.

This means that people in this situation need to reallocate the assets in their portfolio with fewer investments that are very safe, accept less income from their investments, or increase their net worth to receive the same income that they formerly had with less principal.

[DC2OC]

[quote name='Sky Sweet']There is one situation in the current economy, which I don't think has been mentioned, that affects a number of us.

While low interest rates are good for people who have mortgages and other types of debt, they are not so wonderful for people who own their homes outright and have no debt.

That is because when interest rates were higher it was relatively easy to find a good interest rate on an annuity or bond that was very safe. Now it is not only difficult to find, but many of the bonds that have been paying good interest rates have recently exercised their call option prior to its maturity date.

This means that people in this situation need to reallocate the assets in their portfolio with fewer investments that are very safe, accept less income from their investments, or increase their net worth to receive the same income that they formerly had with less principal.[/quote]

You are right.Even if your investments are diverse it seems things are falling.Who knows where the cost of fuel will end up and how that will affect things in the long run.I have to laugh though.Dividend paying stocks are now paying a great rate.That is until they cut the dividend.We want to go on more trips but we also want to hold back and be frugal for a while.Its hard to be frivolous right now as a retiree

[Tatka]

We are family of 3 in our mid-thirties with 17 y.o. We don't go out twice a week, but we have 2 nice vacation. Lately it's cruising to Caribbean, Med, California.. but sometimes it's land Europe.. France, Germany, Benelux, Italy, Spain...Being from Eastern Europe we traveled to many FSU contries.

My granddad traveled to 70 countries while still living in USSR and FSU on very limited budget, sometimes taking dry food with him. Travels are his priority to which he sacrified having a car, summer house and such. :)

[emptynest1]

[SIZE=4]After reading the responses to this question, I have to say I should have titled it "How can you afford NOT to cruise?"[/SIZE]
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[SIZE=4]I have really enjoyed reading how everyone manages to create great memories.[/SIZE]
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[cruisePRN]

[quote name='Sky Sweet']

While low interest rates are good for people who have mortgages and other types of debt, they are not so wonderful for people who own their homes outright and have no debt.

l.[/quote]

These are exact reasons I can live a carefree lifestyle. No debt, not even my home:D All of my income goes into monthly bills like utilities and then whatever I want. It's always better to be debt free :D

[mikjr]

[quote name='FinelyCruising'][B]How can you afford to travel?[/B]
[/quote]

I work... to cruise. and will continue to work... (and cruise) until my tired old body can't work any longer.

once I can't work anymore... I'll start spending my children's inheritance:cool:

[Sky Sweet]

In my opinion, one of the ways to be able to afford a few very special cruises a year is by not wasting money on cruises that you wouldn't think of taking if they weren't cheap.

I would much rather spend "x" dollars on three wonderful cruises than ten cheap cruises that were not very memorable during the same time frame.

[babylene]

[quote name='Sky Sweet']In my opinion, one of the ways to be able to afford a few very special cruises a year is by not wasting money on cruises that you wouldn't think of taking if they weren't cheap.

I would much rather spend "x" dollars on three wonderful cruises than ten cheap cruises that were not very memorable during the same time frame.[/QUOTE]

Let's be realistic. Your "X" dollars may be very different than another's. Many posters are able to take one or two cruises a year because the price is so low.

We just returned from a transatlantic on which many pax paid $1300pp for a balcony, 16 days, including air!!!! We paid 1 and 1/2 times that for an inside. We still thought we had a bargain!

The original question is very interesting..and the answers vary as much as the lifestyles of the pax. There are so many different variables.

Unless one has unlimited funds, disposible income can go only so far. Choices are necessary. Whether it's 20,50,or100 thousand dollars, that's it. In my opinion, the most important is not to spend more than you have. The guy who has 100,000 and spends 110,000 is worse off than the guy who has 20,000 and spends 18,000. This is something I learned as a kid...and passed it on to my own kids.

As the economy deteriorates (which I hope it doesn't do), people living hand to mouth, spending all of their income, will feel the pinch more than those who save.

That's my thought for the day!

[Napi's Mom]

[quote name='Sky Sweet']In my opinion, one of the ways to be able to afford a few very special cruises a year is by not wasting money on cruises that you wouldn't think of taking if they weren't cheap.

I would much rather spend "x" dollars on three wonderful cruises than ten cheap cruises that were not very memorable during the same time frame.[/quote]
I, who set up our cruises couldn't agree more. We cruise to see the world...not have a Club Med type vacation that just happens to be on a ship. We had a great Caribbean cruise in '93...hit about 8 ports, in 11 days~ Grenada ,Barbados..ones not often on the "normal" routes. Just Once we did a "Cheap" Cruise to the Western Carib. and, except for the chance to see Chichan Itza, it was a total "bust" 7 days...and 2 ports (one port was cancelled) We're not into Sea Days. Never again...it's got to have a special Itinerary (Price IS an object, so research is a necessity... won't do Carnival, too old to enjoy their style, but have gotten "deals" from Azamara, Oceania and now Celeb., that make fine cruising possible.) Well CC didn't come too cheap...but it still is a good deal for a balcony cabin to NZ/ Aust. and for my DH 70th BD it was important to do it right!:D

[Sky Sweet]

[quote name='babylene']Let's be realistic. Your "X" dollars may be very different than another's. Many posters are able to take one or two cruises a year because the price is so low.

We just returned from a transatlantic on which many pax paid $1300pp for a balcony, 16 days, including air!!!! We paid 1 and 1/2 times that for an inside. We still thought we had a bargain!

The original question is very interesting..and the answers vary as much as the lifestyles of the pax. There are so many different variables.

Unless one has unlimited funds, disposible income can go only so far. Choices are necessary. Whether it's 20,50,or100 thousand dollars, that's it. In my opinion, the most important is not to spend more than you have. The guy who has 100,000 and spends 110,000 is worse off than the guy who has 20,000 and spends 18,000. This is something I learned as a kid...and passed it on to my own kids.

As the economy deteriorates (which I hope it doesn't do), people living hand to mouth, spending all of their income, will feel the pinch more than those who save.

That's my thought for the day![/quote]

I agree that "X" dollars for a cruising budget varies considerably between people.

However, if I had a very limited cruising budget, I would rather take one very good cruise every other year than several per year that I wouldn't dream of taking if they weren't cheap.

Just to clarify.....I am not equating a cruise that someone wouldn't think of taking if it wasn't cheap with getting a great deal on a cruise that appeals to them. While I think the former is a waste of money that could be saved toward a better cruise, I consider the latter to be a wonderful opportunity to take a great cruise at a great price.

When I am shopping I always look at the sale rack. Sometimes I am lucky enough to find an item that I love at a good price and will purchase it. At other times, I see something that I wouldn't think of buying if it wasn't on sale and may be tempted for a moment to buy it by price alone. Then I usually decide that if I don't love it I will probably never wear it and am better off buying less clothes at higher prices that I will enjoy.

I guess my philosophy about clothes carries over to cruising because quality (based on my personal criteria for enjoyment) is more important than quantity of any commodity.

[babylene]

[quote name='Sky Sweet']I agree that "X" dollars for a cruising budget varies considerably between people.

However, if I had a very limited cruising budget, I would rather take one very good cruise every other year than several per year that I wouldn't dream of taking if they weren't cheap.

Just to clarify.....I am not equating a cruise that someone wouldn't think of taking if it wasn't cheap with getting a great deal on a cruise that appeals to them. While I think the former is a waste of money that could be saved toward a better cruise, I consider the latter to be a wonderful opportunity to take a great cruise at a great price.

When I am shopping I always look at the sale rack. Sometimes I am lucky enough to find an item that I love at a good price and will purchase it. At other times, I see something that I wouldn't think of buying if it wasn't on sale and may be tempted for a moment to buy it by price alone. Then I usually decide that if I don't love it I will probably never wear it and am better off buying less clothes at higher prices that I will enjoy.

I guess my philosophy about clothes carries over to cruising because quality (based on my personal criteria for enjoyment) is more important than quantity of any commodity.[/QUOTE]

First, about the clothes...I had to laugh! We have a store like TJMax. I am not very successful there. Some of the items I have bought there in the last couple of years still have the tags on them!

As for the cruises. Do you really think that people take cruises that they know they won't like just for the price? I have taken cruises that I never dreamed of taking, just because it was too good a deal to pass up...but we did enjoy them.

I think you are referring to the destinations. That is a very personal choice. Our last cruise was a combination TA and Med. We don't feel a cruise is good in the Med. We were frustrated that we had to rush back to the ship. Many think it's the only way to visit the area. Chacun a son gout. (Now that I have said that, watch me find a Med cruise deal that is too good to pass up!!!!)

[Sky Sweet]

[quote name='babylene']First, about the clothes...I had to laugh! We have a store like TJMax. I am not very successful there. Some of the items I have bought there in the last couple of years still have the tags on them!

As for the cruises. Do you really think that people take cruises that they know they won't like just for the price? I have taken cruises that I never dreamed of taking, just because it was too good a deal to pass up...but we did enjoy them.

I think you are referring to the destinations. That is a very personal choice. Our last cruise was a combination TA and Med. We don't feel a cruise is good in the Med. We were frustrated that we had to rush back to the ship. Many think it's the only way to visit the area. Chacun a son gout. (Now that I have said that, watch me find a Med cruise deal that is too good to pass up!!!!)[/quote]

Hi Babylene :)

If you enjoy your cruises that is all that matters :)

I was just verbalizing an opinion based on how I feel, but realize how anyone chooses to spend their money and allocate their funds is a very personal decision.

However, I would like to make another analogy to illustrate the same point.

I love ice cream and there was a time when I would buy diet ice cream so I could eat more of it without gaining weight. The problem was that it didn't taste like real ice cream to me, so no matter how much I ate my craving for ice cream was not satisfied. I then decided to eat only the real thing but have less of it. This way I was able to satsify my desire for ice cream and still not gain weight by going for quality instead of quantify. On the other hand, I know a lot of people who will only eat diet ice cream and love it.

In a similar vein, if I took ten cruises a year and none of them were exactly what I wanted my desire for a cruise would not be fulfilled, but if I took only one great cruise a year, based on my personal preferences, it would be. Even though I feel that way, I realize that not everyone does. For some people being on a ship is all that matters, no matter what condition it is in or where it is going.

[conemaugh]

[quote=Napi's Mom;14748553]It's really hard to have a traveling itch, and NOT being well heeled financially isn't it! Many who post on this forum, keep saying
"IF you can afford to cruise...what's a few bucks more for this & that..." which makes it obvious they have disposable income we don't. Some of have to decide, as you, between paying bills and our dreams of travel. Some of us who are stupid (like My Dh & I) will go so far as refinancing a home to do it. We are on a very fixed income, little or no savings, but we do have home equity. Our SS and pension, plus a part-time job for Dh IS the majority of our income. We still choose to see the world (not silly 7 day Carib. cruising) as were nearing the end of our chances to do so, so we sacrifice. As this type cruises invariably cost more..we need to find the best for the buck (right now Celeb. is , for service & price, very competitive). We use the plastic and see the world, one small part at a time. We middle income, now retired folks, will have been on every continent except Antarctica after our NZ/Aus trip next yr.!:D[/quote]

Napi's Mom,

Good for you to find ways to really enjoy life cruising. Yes, there are some of us on this board who have done well in life. We lived many years below our means and now have the ability to travel -- hopefrully our health will hold out... I'm planning on retiring next year after 43 years in the information technology business. We've saved and I will have two retirements checks plus SSN to keep us cruising 3 to 4 times a year. My wife does look out for bargain cruise deals; this November we travel on the Galaxy for an 11 day cruise to the Eastern Mediterranean. Next year after I retire, it's a cruise to see the Great Barrier Reef...

[bar_20]

I think you have to do your homework and pick a location with a point of departure that is close to home. I just booked a two week cruise to Hawaii. I wanted a cruise that would leave out of San Francisco and return there if possible. Mexico was not in our plans. The only cruise that started and finished in SF was a Princess cruise to Alaska. We would have chosen them but it was only for 10 days and we wanted something a little longer. My wife flys Southwest quite a bit and has their VISA card so she gets a few free flights a year from them. The cruise I booked leaves and returns from San Diego. The flight from Oakland is about an hour and 15 minutes and they leave about every 1 1/2 hours from each location. This allows you to fly the same day the ship leaves unlike a Florida departure point which we would have to fly in the day before and stay in a hotel. I looked at European cruises but the cost for the airfare alone was outragous, not to say anything about what our dollar is worth over there with the EURO or British Pound.

We booked an inside cabin and the cost for a 15 day cruise was about $3000.00 for the two of us which works out to a $100.00 per day each. Still a bargain when you consider it includes all you meals and entertainment while on board the ship.

[cruisequeen10]

How can I afford to cruise?

Well, first you book it and pay the deposit on the credit card. Then when final payment is to be made, again you put it on the credit card. Take U.S. cash to pay for things. Once on board, give them a $50 deposit and then you only buy 1 picture, 1 game of bingo, maybe 1 drink and then maybe you might get some of your deposit back, or pay them some more.

When the credit card bill come in, you pay it.

See quite simple.

[ccletzgo]

[quote name='emptynest1']Fuel surcharges, airlines charging for everything from bags to sandwiches and fees going up every day. Gas going up making it hard to drive.
How can any of us afford to travel and how does this impact the travel industry?[/quote]


We put our son through aeronautic collage in 2001, (when the economy was better) he is a commercial airline pilot. We have flight benefits and get interline rates on all-inclusive's and Cruises..:)

Cutting out the airfare helps alot. When I am cruise shopping, I only look at the cruise price.

Even so, Its still getting harder to afford sense the price of fuel is affecting our business. :(

[bbro]

We have no kids, one dog (spoiled ROTTEN!), older cars, small house/payment, own our own business, buy everything on sale and only put on the credit card what we could pay for in cash. Only debt is the house. We stash as much as we can away for our future but FIRMLY believe that you have to also enjoy life now. So we do not scrimp on our vacations. Years ago when hubby was starting our company and the money was tight we had an opportunity to travel to South Africa for 2 weeks. Even though we were watching every penny we had to do it. That chance may never have come up again. That's how we treat all our vacations. Wonderful opportunities that must not be passed up.

[GreenseyesM]

This is how we do it: Our credit card(s) are tied to frequent flier miles or hotels (we've flown to Hawaii twice on ff miles). We always pay the credit card off each and every month. We have a budget that we adhere to for future trips i.e. our next cruise with our daughter requires us to budget x amount per week to pay for it so we do. I found that one can rent condos or homes for a fraction of what it costs for hotels. We love our home and yard and enjoy spending time here, therefore we eat in etc. But traveling and seeing the world will always be our passion. I work as a cancer nurse specialist so never, never, never will I regret traveling and the memories I will always have.
m :)

[hermang]

[QUOTE=cruisin'mama;14748072]I have had the dream to take a cruise to Alaska for my 50th birthday for quite a while. My best friend and I planned the itinerary we wanted, the aft cabin, etc. and I saved to go next summer. Unfortunately the economy has taken a hit in the construction industry and my husband has been out of work all year. Now it looks like my cruise fund may end up making a house payment instead. It's killing me, but I booked the cruise ( the day they released them) and got the cabin I wanted, knowing if things don't get better, that my plans will go down the drain and my dream won't be realized. Don't get me wrong, I wouldn't hesitate to cancel because I DO have my priorities straight, I just thought when I turned 50, I wouldn't be in this predicament financially. I envy those of you who can afford to cruise often and not take a hit financially by doing so.
Maybe I should try those slot machines![/QUOTE]

Last summer, a week before our Med cruise to celebrate our 40th anniversary - I was "outsourced" to Brazil. Nice huh. We had paid for the cruise so we figured what the heck - we'll put what we buy over there on a low interest credit card - and cross fingers. two days later the Millenium damaged its props outside of Cannes and a week later after much misinformation - we found out cruise was cancelled, BUT X refunded our cruise and gave us a free one to boot. Our TA rebooked for a month later.

2 weeks after returning home - I was picked up for another contract - hopefully long term. So all's well that ends well.

But here is the advice - You are going to be dead a long time. If you don't take the cruise - you will forever regret you didn;t. I have seen too many friends and acquaintences pass on this year and I am sure their spouses are regretting they didn;t take the vacations together when they could.

It is far cheaper to take a cruise than paying a couple of hundred an hour on a shrink's couch because stress got to you.

[Coreopsis]

[quote name='hermang']Last summer, a week before our Med cruise to celebrate our 40th anniversary - I was "outsourced" to Brazil. Nice huh. We had paid for the cruise so we figured what the heck - we'll put what we buy over there on a low interest credit card - and cross fingers. two days later the Millenium damaged its props outside of Cannes and a week later after much misinformation - we found out cruise was cancelled, BUT X refunded our cruise and gave us a free one to boot. Our TA rebooked for a month later.

2 weeks after returning home - I was picked up for another contract - hopefully long term. So all's well that ends well.

But here is the advice - You are going to be dead a long time. If you don't take the cruise - you will forever regret you didn;t. I have seen too many friends and acquaintences pass on this year and I am sure their spouses are regretting they didn;t take the vacations together when they could.

It is far cheaper to take a cruise than paying a couple of hundred an hour on a shrink's couch because stress got to you.[/QUOTE]
Love your post!

I work for a charity that works with critically ill children - talk about putting things in perspective. I agree with other posts that staying within your means is most important - followed by setting priorities.

But . . . in reference to the newspaper article - hunting for the cheapest products I can find for Thanksgiving meal doesn't scream special occasion to us and fortunately we've reached a point in our lives when we don't have to limit our Thanksgiving to $10. That's why I save up so I can treat ourselves to some pampering on vacations or a special experience. We both have demanding jobs that go way beyond 5 days a week/8 hour days. If we really can't afford it . . . save up until you can. I went without living room furniture in our first home for over a year - I didn't want junk. I wanted to save until I could afford what I wanted. I am satisfied with experience on Celebrity and feel it is a good value for the money. It isn't luxury - but it isn't budget either. We are fortunate to have worked to a point we can enjoy trips like an occasional cruise.

A meal like Thanksgiving is a labor of love for us- nothing comes from a can and I absolutely splurge on nice wine, the best and freshest ingredients, etc. Everything from scratch (well, I don't churn my own butter - but you get the idea:) ) and we invite pals who don't have family to join our celebration. It was WAY more than the $10 in the article - and that is exactly the point. Truffled mashed potatoes - yum (I think my truffles cost more than his entire meal!) Far Niente wine - more yum! Home made pies, bread, cranberry sauce - all from the freshest ingredients. . . well, you get the picture!

I think special occasions are only special if you make it so. We used to treat our kids to a "fancy dinner" at least once a month or so - we would all dress up, light the candles, get out the good dishes. This taught our kids table manners and that having a nice meal with loved ones can be one of life's special moments. Everyday is a Thanksgiving when we are all together and have our health ... we do the same for Birthdays, and other celebrations.

Speaking of - last year we decided as a family to forego all the usual Christmas presents and instead, spend our money on a trip together. Last year we had an awesome vacation in Mazatlan, this year we will be on the inaugural Solstice cruise. I save our miles for hotel and airfare whenever possible.

Its just priorities [U]and[/U] celebrating life and loved ones. We are all at a point we don't need "stuff" we would rather have experiences and the company of each other. We've made it a priority to invest in these experiences. Can we afford it? Well . . . I bet our financial advisor would suggest saving more . . . but we think we can't afford NOT to.

Tightening your belt during tough times doesn't have to be so bad . . . get out the good dishes tonight :)

[Napi's Mom]

[quote name='cruisequeen10']How can I afford to cruise?

Well, first you book it and pay the deposit on the credit card. Then when final payment is to be made, again you put it on the credit card. Take U.S. cash to pay for things. Once on board, give them a $50 deposit and then you only buy 1 picture, 1 game of bingo, maybe 1 drink and then maybe you might get some of your deposit back, or pay them some more.

When the credit card bill come in, you pay it.

See quite simple.[/quote]
This sounds just about right!!!:D

[Panda3]

[quote name='Bruin Steve']
I'll just throw in one more thought: When you are cruising, do not think of how you can save money at the expense of those serving you. The money you pass on to people in the form of tips is worth far more to them than it is to you. Be generous...Wealth is relative...WE are the wealthy ones...[/quote]

For me, I can afford it because I don't use credit cards, and I save my money, and shop for the best luxury travel deals. Arther Frommers Budget travel

Nice Post above :-) :) I didn't put it all in quotations but it sounds like you definately work hard and have worked hard all your life to afford frivolous things like cruising. I like that you are unapologetic about your blessings. As I have worked hard the last 15 years and now have a luxury home and luxury car I feel as if I have to apologize & downplay to even my very good friends every time I spend money, ie " Oh, I got a great deal, etc..." The truth is, I work very hard and have been smart with my money, started saving for retirement at 21, and now at 37 can retire in less than 10 years. DH and I don't use credit cards, cook at home, and basically spend our money wisely.

I hope to be in your position in about 10 years!

I agree with your final thought.

[HokiePoq]

This is a two sided thing. As costs go up and more people are not traveling, I am seeing some really good air inclusive deals. I'd seen cruise deals I thought we good last year but by the time air was added on, it didn't seem so great anymore. I'm wondering if perhaps the cruise lines contract air seats ahead of time and when not sold, are having what seems to me really good prices with air and cruise packaged together. I was able to talk my DH into our upcoming cruises by telling him the costs I'd seen last year.
That said, we are staying home more and I'm driving less. When I do drive, it's not just to the gym like I was doing every day 15 miles away, but that combined with something else. DH has gone back to work part time (We retired last year.) and I'm thinking that will go toward the trips.

[ladyjane550]

I have booked Spirit airlines - their prices are GREAT - very affordable.

[Sky Sweet]

I just read an article on the net about all the blue collar workers who earn more than professionals.

The article did not surprise me because I have been saying that for years, but it was interesting to see an article that confirmed what has been obvious to me for a long time.

I have always felt that there are many good reasons to get multiple advanced degress, but the ability to earn more money is not one of them.

With this in mind, the people who can afford to cruise during a recession are probably very different than the public's perception of who can.