Part of planning for a RTW trip is being able to save enough money for the trip. In order to figure out how much I’ll need I have done research and made a tentative plan. I have come to conclusion that I’ll need $18,000 to make this possible. When I figured that out a few months ago my first thought was… HOW THE HELL AM I GOING TO SAVE $18,000?
If you look to your right you see a meter labeled “State of Savings” I currently have $7,200. After seeing that number it seems I only need to save $10,800 more. Not bad and very possible to save in a year however I’ve only known for a few months that I want to do this and still have debts to pay off, bills to pay & a boring life to live before setting off!
The only debt I have is my car a 2008 Nissan Altima Coupe (btw his name is Tyler) and one credit card (only used to pay college tuition)! The combined total of these two debts are $7345.25. I’m paying enough each month to make sure they are paid off a month before I leave.
My Change Vase
So now I see I need to pay $7,345.25 in debt and still save $10,200. This comes to Ahhh WAIT ONE SECOND let me get a quarter from my change vase. Okay I am back, this comes to a beautiful total of $17,545.
Thankfully the only bills I have are rent, car insurance and cell phone. There is nothing I can do to get these lowered. I’ve actually thought about moving back to my parents but ummm NOOOO that’s not happening. So I’ll pay off my debt and work around these bills for the next year because when I leave I won’t have any of them.
Right now there isn’t much I can do to increase my income. I’m working full time and about to start my last semester of school (full time). So for now I will pay my bills and whatever is left use supper wisely and save as much as I possibly can. Come December after I graduate with my Associates degree I will be able to get a part time job (or two).
So it looks like a lot (OKAY NO IT IS A LOT) but I have already made some cut backs (I’ll write about that later) and know I can do it. I’m just going to make a lot of sacrifices and keep reminding myself it will all be worth it in the end!
I know this is always recommended, but it really works. Write down your expenses for one week, everything you spend and you’ll see where you can cut back. I did it and was shocked at all my misc expenses.
I know it feels a lot but it completely is possible. Ayngelina is right about writing down your expenses. You can keep cutting back more and more as time goes on. I promise you it gets easier and is completely worth it.
Here is how we saved 75% of our income: http://www.neverendingvoyage.com/how-we-saved-75-of-our-income-to-travel/
$18,000 does seem like a lot, that’s because to a normal person it is. No matter what, it’s not NEARLY impossible and especially when you have such a glorious goal in mind already!
There is something else. I know you have tentative dates and what not for when you want things to be done… but what I say you do is, keep to your payment schedule as it is now, and pay off your debt when you pay off your debt!!!
There is nothing worse than to be stressing about money! As of now, you have your plans set out and they are certainly attainable for you and your lifestyle! Now there is only one thing left for you to do:
LIVE LIFE WITH A SMILE ON YOUR FACE UNTIL YOU GET ON THAT PLANE!
Jaime…you WILL do it. Just don’t do as Teresa does 🙂
Jaimito,
Some suggestions:
1. Sell your sperm (you and I don’t them for at least another 10 to 12 years anyways)
2. Sell your blood plasma. If you go a couple of times a month, that is an extra $250 in your pocket. Down-side: you might get track marks
3. An escort service. There are plenty of papa bears looking for a baby cub to just share an interesting conversation or cuddle with. Really, it’s innocent..and not at all illegal.
4. Cut off your CD buying habit completely. The next time you feel the urge to blow $10 on a bad Christina Aguilera album, set the money aside and I’ll give you a burned copy. Just don’t ask where I got it from, and I won’t tell you that I downloaded it illegally 🙂
5. In about a month I’m going to need someone to type up the table of contents from my law books so that I can start making my outlines. Do it.
Hope this helps!
I have the same issue, about $8,000 in dept and need to save about $18,000 (I think). Be sure to share any ideas you have.
@Wev I might have to steal some of those for my list
http://www.stretchd.com/2010/07/30/4-extreme-budgeting-tips-for-saving-some-serious-cash/
@ayngelina & erin thank you very much for the advice. I have already made SO MANY cut backs I am going to turn it into a post soon.
@jorge thanks for always being supportive, Im not gonna stress cus I know I will make it.
@Wev I still laugh every time I read your advice. I may actually consider a few & I will most def discuss #4 in a post.
@stew I need $$$ to be able to do what Teresa does. So i wont be doing as Teresa does…lol!
@Nick I am going to work on a post on what I have been doing so far to save money!
You stress out way too much! Plus my idea of taking pictures of yourself and selling them is awesome. I’m almost positive you can make all your money doing that.
Xoxo
Find a way to earn money while traveling so you need less before leaving on your RTW trip!
I’m having similar thoughts!! How the hell am I going to pull this off? It has definitely changed my spending habits! Do I buy this or can I find an alternative to use that I already have at home? Do I need the name-brand or can I buy store-brand? Do I even need this at all? What can I do at the grocery store to cut down my bill? ect. ect.
I have faith that it’ll all work out in the end. When you put your mind to something, you take actionable steps to make it happen. Take one step everyday. That’s what I keep telling myself. When I think of all the things I’m doing and the resources I have currently, it looks like I’ll pull it off. 🙂 The way I live life is going to change completely and it’s a scary yet exciting concept. Your trip will change who you are and your outlook on life. The transition could be difficult when you come back home. You’ll either get it out of your system or you’ll become addicted and never want to come home.
@QueenBrain12 – girl I am not stressing I am being realistic. & hello I am not going to sell pictures of myself you are crazy.
@Tanya – I have actually thought about that. I want to get a job in Egypt or India if I can.
@Jenny – You are going to pull this off I am 100% sure you are going to make it work. In regards to making cut back, if you need it well you need it and if you can find it cheaper as a store brand go for the store brand. Save money anywhere you can. You should also start using coupons. About coming home that is something I am scared of what if I do become addicted. Traveling is an expensive addiction.
have a car wash lmao
Hey Jaime,
you checked out the ‘RTW Class of 2010’ post from our blog but I don’t know if you saw the one about budgeting? It’s got some freebie budget sheets you can download if you don’t have your own to help you on your way.
Sean
http://www.thomandsean.com/2010/06/18/5/
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18K…you can do it! Keep saving. Watch your expenses. It’s possible!
Thanks for the encouragement!!!
Not sure if you’ve checked out my most popular post to date but it’s chock full of ways to save money. You may want to take a look at it. Good luck with your saving!
http://www.pausethemoment.com/2010/04/03/how-we-saved-enough-money-to-travel-the-world/
Ja ja I have actually read it a few times. I have it saved, so that I can. Y’all gave some great tips.
Oh okay, great to hear you enjoyed it. Hope it inspires you to work harder! 😉
18.000,- … that´s a lot, man. I started my last trip with no more than 1000 bucks. Don´t ask me how, but … it lasted for 14 month! Have a nice one!
OH WOW THAT IS CRAZY!!! I wanna ask you bad how you did it but you said not to so I wont…lol!!!
2 words – medical research! it gave my $4000 tax free for 4 weeks!
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