TOP TIPS TO BEAT HOLIDAY BLOWOUTS - EASE HOLIDAY STRESS
School holidays often put pressure on Australian families seeing them juggle additional entertainment costs along with their usual financial commitments, particularly mortgages. Many parents rely on credit, but according to one expert, various home loans features can offer clever ways to stay on top of spending.
Borrowers can be unaware their mortgage may allow them to stash extra fund for cash-heavy periods such as holidays and save on interest owed.
Some still put funds away into a savings account instead, even if they are aware they can utilize this option.
A borrower can contribute additional funds into their home loan to create a buffer, and redraw without penalty when money is needed for unexpected expenses, rather than storing funds into a savings account where the interest accrued is taxable. Every $1 above the minimum loan repayment reduces the principal amount that interest is calculated on. If kept in the account, this also reduces the loan term.
The same theory applies to fund help in an offset account attached to the home loan, which acts as a savings account of sorts that offsets, or uses, those funds to reduce the daily interest accumulated on the loan while still available to withdraw.
Of course, redraw and offset account usage charges must be considered. There may be set-up costs to activate redraw facilities, a monthly offset account fee, a cost per withdrawal of funds and some lenders set minimum and maximum redraw amounts and frequencies.
TIPS TO BEAT HOLIDAY BLOWOUTS
Set a savings plan
Use your home loan features as regularly as possible to build a "festivities" fund or deposit those dollars in a high-interest savings account. Review your fund strategy often.
Involve the kids
Get them involved in creating a holiday agenda with a budget and they may be more appreciative of what's involved.
Keep costs down, excitement up
With so many children armed with toys and game consoles, invite your children's friends over for a games night where everyone brings some food.
Research discount offers
If pre-purchasing tickets, ask for multi-park or ride passes as well as family or student discounts. Also monitor group buying sites for deals.
Calculate what you want to spend
Divide the total spending of your last holiday period by 12 if you are paid monthly and add a little "inflation" to help calculate how much you need to save for the next holiday.
TRAVELLING WITH THE KIDS TIPS
1. If you're driving to your vacation, chances are your little angels are going to ask "Are we there yet?" long before you hit the end of the road. Start your holiday immediately by stopping off at attractions along the way to your destination. Even the smallest towns often have parks, petting zoos or museums. Grab a map and plot your stops.
15 minute stop enjoying the hang gliders on the way to Port Douglas, Qld
2. Adjust your expectations. You're a parent, which means, unfortunately, you may not be able to fit in all the market shopping, pool lounging and fancy restaurant visits you once indulged in. It's your children's holiday too, so plan activities they'll enjoy also.
3. If you're going to travel with friends who also have children, make a list of essentials (such a formulas and wipes) and split it. It's pointless having two of everything if you can get by with one.
4. In the event that you or child needs to visit the emergency room while overseas, invest in a foreign language card detailing any medical conditions. It will save time and stress at a moment when you need swift decision-making. Select wisely.com creates tailor-made cards in any language (more then 60 available) which cover a range of diseases (such as diabetes and asthma) and allergies (from penicillin and nuts to lactose and gluten) starting from $US8.50 a card.
5. Delays can occur wherever you go, and if you don't want your children crawling around the floor of an airport or a train station for a few hours, pack a plastic sheet for them to play on. As well as being hygienic, it will encourage them to stay close by.
6. Planting the kids in front of the TV might be a no-no at home but on a long trip you might be sorry that you didn't invest in a portable DVD player. Not only will it keep them quiet (which could save your sanity as well as that of those sitting near you), it will also help pass the time.
7. You're never too young to be sun smart. Why not pack a Stingray swim and sun suit ($39.95) and a pair of Baby Banz Adventure Sunnies ($24.95) Both come in pink and blue and the sunnies have a handy strap that stops them sliding off. For these and more handy bits for bub visit http://www.babyonholiday.com.au/
Koby enjoying his Kids meals on Qantas (the staff are excellent with parents & kids)
8. If your're flying, don't forget to mention you're travelling with a child when you book your tickets. Virgin Atlantic not only offers childrens meals aimed at being fun as well as functional. but each child also receives a welcome pack. complete with book, baseball cap and treats. Visit http://www.virginatlantic.com.au/
Boarding the plane Uluru/Ayers Rock
9. Heading out of the country? Make sure your paperwork is in order. All children travelling overseas, including newborns, need to have their own passports (check they include at least six months validity after your return to Australia) Local customs and immigration offers may also ask you to produce documents to prove your're the children's parent or legal guardian, so remember to always carry the correct photographic ID, just in case.
10. New to planning a child friendly holiday and don't know where to begin? Consider contacting a travel company that specialises in family vacations. http://www.holidayswithkids.com.au/ lists local and overseas destinations, attractions and family deals.
Damien & Koby feeding the fish on Fitzroy Island, Queensland
For advice on travelling with kids visit
http://www.smartraveller.gov.au/
