How much should I spend on vacation?

You work hard all year long. So when vacation rolls around, it can be tempting to throw the budget out the window and spend whatever to make amazing memories. According to a study from Allianz Partners, a global leader in assistance and travel insurance, Americans spent an average of $2,867 on vacations in 2025, and the importance of an annual vacation remained high for 75% of the survey respondents.

If you're ready to plan your next trip but aren't sure how much to spend on vacation, planning ahead from a realistic budget can make it possible to enjoy your trip even more without going into debt.

Understanding vacation budget basics

Creating a realistic vacation budget may help you plan better and avoid surprise expenses. A simple way to build a vacation budget is to split your total into five main categories: transportation, lodging, food, activities, and a buffer for surprises.

The percentages below aren’t a universal rule, but you can use them as a starting point and adjust them based on your trip style (driving vs flying, hotel vs rental home, etc.).

Category	Example % of total budget	Example for $3,000 trip
Transportation	25%	$750
Lodging	30%	$900
Food & drinks	20%	$600
Activities & entertainment	15%	$450
Emergencies & extras	10%	$300

Your budget breakdown is designed to feel empowering, not restrictive. Your actual spending depends on where you go, for how many days, and how you like to travel. Once you understand the components, the next step is creating your personal vacation formula.

Creating your personal vacation formula

When planning your trip, your vacation budget should reflect both your income and your priorities. Whether you’re saving for a beach getaway or a mountain escape, the key is to balance financial responsibility with enjoyment.

EarnIn tools like Cash Out1 and Tip Yourself² could support your vacation plans, from helping you save gradually to accessing funds you’ve already earned (and tips are optional³). But if you use Cash Out¹ for Earned Wage Access, remember that accessing your money early means you’ll have less in your paycheck when it arrives.

The 5-10% annual income guideline

One simple way to set a vacation budget is to pick a percentage of your annual income, like 5–10%, and treat that as a planning range. It’s not a rule, but it can help you choose a number that feels realistic without derailing other goals.

Annual Income	5% Vacation Budget	10% Vacation Budget
$40,000	$2,000	$4,000
$60,000	$3,000	$6,000
$80,000	$4,000	$8,000
$100,000	$5,000	$10,000

This sample vacation budget range may not work for everyone, but it can be a useful starting point. If you're in a unique financial situation, like you're paying off debt or saving for a house, you may want to reassess.

Pros: Easy to calculate, supports long-term balance.
Cons: Doesn’t account for personal goals, cost of living, or one-time splurges.

Destination-based budgeting approach

Another way to estimate your ideal vacation spend is to research average daily costs by destination. Some places are simply more expensive than others, and those differences can significantly affect your total budget.

Destination Type	Average Daily Cost per Person	Example for 7 Days
U.S. city (e.g., NYC)	$250	$1,750
Beach resort (e.g., Florida)	$200	$1,400
International (e.g., Costa Rica)	$150	$1,050
Budget-friendly domestic trip	$100	$700

The numbers above are estimates based on EarnIn’s research and can vary by season, destination, and personal travel style. For example, staying at a fancy hotel at an international island destination during peak season is likely far more costly than spending a weekend at a mountain town Airbnb within driving distance in the off-season.

Pros: Rooted in real data, which may mean more accurate spending when you arrive.

Cons: Requires research to understand daily costs based on many factors.

Zero-based vacation planning method

If you want to stay completely debt-free, start with what you have and plan your trip backward. This “zero-based” method begins with your available funds, then divides them across trip categories to determine what’s possible.

For example, if you’ve saved $2,000, you might allocate:

$600 for flights or gas
$700 for lodging
$400 for food
$200 for activities
$100 for unexpected costs

This approach helps you travel within your means, and often makes the experience feel even more rewarding.

Pros: Encourages saving and prevents overspending.
Cons: May require adjusting destinations or trip length.

Smart saving strategies with EarnIn

Saving for your next vacation doesn’t have to be stressful. EarnIn offers flexible tools designed to support better budgeting and help you prepare for expenses in advance.

EarnIn Feature	Purpose	Cost	Notes
Cash Out1	Access up to $150/day of earned wages, with a max of $1,000 per pay period for pre-trip costs	No mandatory fees; tips are optional³	Standard transfers 1–3 days; Lightning Speed⁴ available for a fee
Tip Yourself²	Automatically save part of every paycheck toward your vacation	No fees, No interest	FDIC-insured account through our partner Bank Evolve Bank & Trust
Balance Shield5	Helps monitor account balance and auto-transfer funds	Free alerts; optional transfer tips³	Transfers up to $100/day with a max of $1,000 per pay period)when balance drops

You could use Tip Yourself ² to set aside $25 per paycheck toward your travel fund. Or if a last-minute flight deal pops up, Cash Out¹ with Lightning Speed⁴ can help you book quickly. But remember, accessing wages early means you’ll have less in your paycheck when it arrives.

These tools may help you save consistently, access earned income responsibly, and reduce the risk of vacation debt.

Need to access your pay faster?

You don’t have to wait for your paycheck to use your pay. Use the EarnIn Card to access your pay in real time with Live Pay⁶.Get up to $1,500 per pay period (based on eligibility and usage limits).

What makes Live Pay⁶different is that instead of your earnings updating daily, they’re available right on your EarnIn Card, every second of the workday.

Pre-trip financial preparation checklist

If you're planning a trip that's still a few months away, you can prepare in advance for core vacation expenses and plan to take along extra spending money for spontaneous adventures. Here’s how to prepare your money before you take off:

90 days before:

Set your total budget using one of the methods above.
Outline how much you'll need to save monthly to meet your goal.
Open a Tip Yourself ² account to start saving automatically.
Research destination costs and currency exchange rates.

60 days before:

Use Balance Shield⁵ alerts to monitor your spending account. (Keep in mind Balance Shield⁵ may help monitor your balance, but doesn’t guarantee protection from third-party overdraft fees.)
Price out travel insurance and finalize bookings.
Create a backup emergency fund for unexpected expenses.

30 days before:

Review your budget categories (transportation, lodging, food, activities).
Use Cash Out¹ strategically for any final pre-trip expenses.
Set daily spending limits to help stay on track during your trip.

Making vacation dreams achievable today

With a little planning and the right tools, your dream vacation can fit into your financial reality. Just follow these steps.

Calculate your vacation budget using the 5–10% rule or destination-based approach.
Open a Tip Yourself² account to start saving automatically.
Use Cash Out1 strategically for pre-trip costs if needed.
Set Balance Shield5 alerts to monitor spending while you’re away.

Smart vacation planning means balancing dreams with financial stability, and EarnIn’s tools may help you achieve both.

Download the EarnIn app to start building your vacation fund today.

Frequently asked questions

What percentage of salary should you use for vacation?
Most people end up spending 5–10% of their salary for vacation, though you'll want to adjust based on your priorities and long-term financial plans.

How can Cash Out¹ help with vacation expenses?
Cash Out¹ lets you access earned wages before payday, which you could use toward vacation expenses. But keep in mind that accessing the money early means there will be less in your paycheck when it arrives.

Is Tip Yourself ² good for vacation savings?
Tip Yourself ² can be a useful tool to save for vacation. It offers automatic, no-fee transfers that can help you build a travel fund effortlessly.

Please note, the material collected in this post is for informational purposes only and is not intended to be relied upon as or construed as advice regarding any specific circumstances. Nor is it an endorsement of any organization or services.

This Blog was sponsored by EarnIn. While the author received compensation, the information shared is grounded in independent research and intended to provide helpful and accurate guidance to readers.

EarnIn is a financial technology company, not a bank. The Cash Out product is a non‑bank service provided by EarnIn. Certain banking and payment services are provided by Evolve Bank & Trust, Member FDIC, and/or Lead Bank, Member FDIC, as applicable. FDIC insurance applies only to deposits held in insured deposit accounts at an FDIC‑insured bank and protects your deposits in the event of a bank failure, up to at least $250,000 at each FDIC‑insured bank. Learn more at fdic.gov/resources/deposit‑insurance. Additional in‑app services may be provided by third‑party service providers and are subject to their terms and conditions.

¹EarnIn determines your daily and pay period limits (“Daily Max” and “Pay Period Max”) based on your income and financial risk factors as outlined in the Cash Out User Agreement. EarnIn reserves the right to adjust the Daily Max and Pay Period Max at its discretion. Your actual Daily Max will be displayed in your EarnIn account before each Cash Out. For additional information about your Daily Max and Pay Period Max, please refer to our FAQ. Service may not be available in all states.

EarnIn does not charge interest on Cash Outs or mandatory fees for standard transfers, which usually take 1–2 business days. For faster transfers, you can choose the Lightning Speed option and pay a fee to receive funds within 30 minutes. Lightning Speed may not be available at all times and/or to all customers. See the Fee Table for details. Tips are optional and do not affect the quality or availability of services.

²
Tip Yourself Account funds and Tip Jars are held with Evolve Bank & Trust, Member FDIC and FDIC insured up to $250,000. Tip Yourself is a 0% Annual Percentage Yield and $0 monthly fee service deposit account. For more information/details visit Evolve Bank & Trust Customer Account Terms.

The FDIC provides deposit insurance to protect your money in the event of a bank failure. More details about deposit insurance here.

³Tips go to EarnIn and help us provide tools such as Credit Monitoring for free and keep Lightning Speed fees low. Your service quality and availability aren't affected by whether you tip or not.

⁴Lightning Speed is an optional service that allows you to expedite the transfer of funds for a fee. Depending on the product, the fee may be charged by EarnIn or its banking partner. Lightning Speed may not be available to all customers. Actual transfer speeds depend on your bank. See the Lightning Speed Fee Table for details.

⁵Balance Shield provides free alerts when your bank account balance drops below the threshold you set in your EarnIn account. You can also enable automatic transfers ($100/day -subject to your available earnings-with a limit of $750/pay period), if your bank account balance falls below your set threshold. If your available earnings are insufficient to transfer the $100, the transfer will not be completed. You choose the speed of these automatic transfers. Standard speed is available at no cost and the transfer typically takes 1-2 business days. Lightning Speed is available for a fee [see Lightning Speed Fee Table] and the transfer typically takes less than 30 minutes. You will also have the option to set a tip for automatic transfers. Tips are optional and can be $0; however, if you choose to set a tip, it will be applied to each Balance Shield transfer. Whether you tip, how much, and how often you tip does not impact the quality and availability of services. You can cancel the alerts and/or transfers at any time in your EarnIn account settings. See the Cash Out User Agreement for more details. While Balance Shield can help you avoid overdrafts, it does not guarantee protection from third-party fees, and its effectiveness depends on your usage and bank activity.

⁶
The EarnIn Card is issued by Evolve Bank & Trust (“Evolve”), pursuant to a license from Visa U.S.A., Inc. Visa is a registered trademark of Visa International Service Association. All other trademarks, service marks, and other registered marks are the property of their respective owners. To obtain an EarnIn Card you must (i) open a Deposit Account and a Secured Account with one of our bank partners through the EarnIn app; (ii) update your direct deposit routing with your employer so that you receive at least $1,000 per month into your Deposit Account; and (iii) pre-authorize our bank partner to automatically transfer all funds from your Deposit Account to your Secured Account. The funds in your Secured Account will be used to cover the purchases you make with your EarnIn Card (the “Card Balances”). If the funds in your Secured Account are insufficient to fully cover the Card Balances, the remaining amount will be debited from the bank account you linked in the EarnIn app.

The “Available” amount shown in the EarnIn app reflects the total amount you can spend on the Card, this includes money in your Secured Account plus a portion of your unpaid earnings (up to $1,500 per pay period). You can use up to $1,500 per day for purchases and up to $300 per day for cash advances.

Applicable fees are listed here. The EarnIn Card is available to eligible EarnIn members in select states. Additional terms and restrictions may apply. For more information, please refer to our FAQs and the Cardholder Agreement and Security Agreements.