Avoid the holiday hangover with these money management tips by Rachel Campbell

Tuesday, 29 August 2017
Whether you’ve travelled far away to an exotic destination or you’re returning from a city break closeby, we all experience the same holiday blues when the plane touches down back home. Worse yet, we’re often saddened even more by the thought of having to scrimp and save after overspending on the trip.

Us Brits are plenty guilty of splashing the cash on our holidays, with around two-thirds of us spending a whopping 25% over our original budgets. Yet while it’s all well and good to enjoy yourself and make the most of your jollies, it can be a tough job managing your money upon your return.

If you’re returning from your lavish holiday lifestyle with worries of how to get back on top of your finances, not to worry. Current account and prepaid MasterCard provider, icount has shared its top tips to help you get your finances back on track after an expensive getaway.

Re-evaluate your monthly budget

If you’ve overspent during your holiday, you’ll need to cut some costs upon your return to make up for the oversight. Spend some time assessing your normal monthly budget and how much you overspent by. After that, you will need to decide whether you plan to make up for the overspending in one month or across a few months of cutting costs.

Prioritise your bills and any other necessary outgoings and begin by deducting these from your budget. From there, make a list of vital expenditures and work out the total cost of these. Finally, think about how much you would normally put aside for savings. You should then be able to see how much money you have going spare and whether you will be able to make up for the overspend in one month or several.

Cut back on unnecessary splurges

You’ve had a fabulous time on your holiday, but upon your return it’s best to get your finances back to normal as quickly as possible. This means making the transition from the lavish lifestyle abroad to a more restricted one when you’re settled in back home.

If you can stop yourself from buying anything unnecessary, or put a pause on some social plans for a couple of weeks, you’ll find that making up for your holiday overspending will take no time at all. It’s only when you allow yourself to continue living a life of luxury that you’ll find getting your finances back in order to be a trying task.

Get to know your triggers

We all have certain triggers that make us want to splash the cash. It could be a seasonal sale, a recipe requiring unique ingredients, or even a best friend inviting you out for a glass of wine. Try to think about whatever it is that causes you to get a little indulgent with your money and make it a priority to actively avoid these triggers until your finances are back to normal.

It could be something as simple as staying away from the local shopping centre, creating meal plans that use up whatever’s currently in your cupboards, or pre-warning your pals that you’re on a money saving routine for a month or so. Think about any triggers that could come calling and be proactive in your approach to preventing splurges.

Don’t let it play on your mind

It’s not uncommon for money management to wreak havoc with our thoughts, but that shouldn’t be the case, especially when it comes to something as simple as avoiding the financial holiday hangover. Try not to let yourself get too worked up about the money you have to pay back and instead, enjoy the memory of thoroughly enjoying yourself when you were on holiday.

Allowing your repayments to play on your mind will only make matters worse and could even cause you to spend more money than you would if you had a level head about getting back on track.

Rachel Campbell is a content writer for icount.co.uk, offering helpful advice for those looking to manage their money more effectively.