4 Types of People Who Shouldn't Travel Hack
So, you’ve heard about this travel hacking thing and you’re planning to travel the world for free?
Well, before you do, make sure to read this so you can make sure you are set up for travel hacking success.
before you decide to travel hack, make sure you have your shit together!
So, you’ve heard about all of this “travel around the world for free using credit card points stuff”? Does it sound too good to be true? Well, if you don’t have the self-discipline, time or habits with money, chances are you’re setting yourself up for travel hacking failure.
don’t be a schmuck and set yourself up for travel-hacking failure!
Remember, the whole goal is to get $400-$750 in free money by having financial habits with credit that go against typical American habits with using credit cards, carrying balances on them, and consequentially paying interest that counteracts the entire reason you’re getting the credit card in the first place - Free money!
4 Types of people who shouldn’t travel hack:
1.People who need the Cash.
“Free Travel” can sound tempting, right? Especially if you don’t have the cash to do it.
Typically people who desperately need the money are the people most attracted to getting credit cards. People, But, my personal goal with Eff the Joneses is to get people to be more Financially Independent so they can retire early. Not, so they can get more debt. But, credit cards are set up to trap people who don’t have cash into “feeling like they do”.
Here’s my biggest world of warning - if you don’t have the cash to pay for the trip, don’t try to travel hack into free money. ONLY USE credit cards as a tool to get free extra money, not to earn money you don’t have. For me, I’m still “saving up” for each trip as if I’m going to pay cash. Then when I successfully get the bonus points, I’m transferring the money I’d saved into either my (1) Roth IRA -if not already maxed out (2) investment account, or (3) savings for my first House Hack.
2.People who don’t have good financial habits.
Honestly, if you have any financial issues or money mismanagement, I’d venture to say that TRAVEL HACKING will just get you into more financial trouble! I pay off my credit card balance 100% on a weekly basis, so I’m never carrying a balance on my Chase Sapphire Preferred. So, be honest with yourself about how you are with money before you venture into Travel Hacking!
Do you have cash in the bank and good financial habits? Then consider Travel Hacking!
3.people who don’t have extra time.
Managing credit card points, looking for the best deals for reward points, and, quite honestly, scheduling out vacations take time. If I was talking to Kelly 1.0 (who worked 70+ hours a week, had poor health habits, and had no focus on saving, reducing or investing), I would have probably yelled at her,
“Kelly, are you crazy? You have ZERO free hours in your day. Are you going to wake up at 4:00 instead of 4:30 so you can save a few $100? You’ll probably just miss a payment anyway. Travel hacking ain’t for you, girl!”
But, since’ I’ve started prioritizing Financial Independence (check out my post on How I Turned a Breakup and an $1,874 Therapy Bill into Motivation to Develop Financial Independence) I track expenses daily and set weekly fun budgets and monthly overall budget and income projections for my business. I SCHEDULE bookkeeping and money tracking into my week on Fridays and Sundays! And, I look forward to it! I have time and systems in place to travel hack successfully.
4. people who aren’t organized.
I truly think any couponer, point tracker, or deal shopper needs to be organized! And, quite frankly, this might be the #1 thing I might be guilty of. Before I set my goal to be Financially Independent and Retire by 45 (FIRE), I was NEVER organized when it come to money.
It’s almost like anything that had to do with money happened to me.
I never took control of my finances. I’d get a bill and pay it. I’d go to the first mortgage broker, investment guy or insurance salesmen and say “Good Enough”. I never shopped around.
If you’re going to travel hack you need to be organized - about what credit cards you have open, what trips you want to take, who the points partners are for the credit card, and, most importantly, paying off your balance!