When you see us traveling all over the world the first question we are asked is, how is that possible? Followed by you must have an inheritance, be rich, have a rich family or be working remotely. But to get to this type of lifestyle we had to make it a priority. For me it was important. I value travel. Experiencing new cultures and learning about history where it took place. I want to see new places and not just see them in a book, on Instagram or on TV. I wanted to smell the floral of Japan, touch the clear water of Croatia, and breath the mountain air in Peru. I needed more. But for us it all started before we left.

So, what specifically got us to this point? We get asked this question so much. Here are some things that helped us. Helped us save enough money to travel for 2 years and not have to work remotely while on the road.

1.     Make What You Love a Priority.

My #1 is travel. So, all my time & energy goes to that. I really mean that, into research, planning, saving and more. Every decision I make I consciously ask myself if this will contribute to my goal of traveling more. If the answer is no, then I make my decisions off that information.

2.     Don’t Spend More than 30% on Housing.

The largest expense for most of us is housing and these costs are increasing annually. Its easy to get caught up in our desires to get the largest place we can afford in the best neighbourhoods. Sometimes taking up more than 50% of your income. I was always determined to make sure that my housing expenses were no more than 30% of my income. I took this number from financial planning budgets found online. I have no problem living in a small space. If I find a cheaper accommodation, I will always take it if it doesn’t increase other expenses. Weather I must live in a condo, basement apartment, out of a room, with roommates, or move cities. I won’t let my housing costs be more than 30% of my income. This allows me to put money towards my priority. Travel. My priority is not a living situation, its travel.

3.     Don’t Value Stuff

In North America, this is our largest downfall. We are a consumer-based society and we have been led to believe that we always must get the next best thing. Catch a big sale and be a fashion statement. We need loads of clothes, so we are seen wearing new cloths as often as possible. Only the best tech gear will do and everything before it is outdated and obsolete. This isn’t true and once you start narrowing down your possessions, a few things happen.

You defiantly feel free. This isn’t something I thought would happen, but you feel like a weight has been lifted from your shoulders.  Your space feels less cluttered. You have less decisions to consider and your thoughts flow easier. You just feel calm.

You realize you have more money. Many of us found this out during the pandemic when it was much harder to shop at all. But when you realize you should only buy things you need. You start realizing you don’t need much.

More than 1 week worth of clothes is too much. When we first started pairing down, I told myself I needed 1 week worth of clothes for work. 1 weeks worth for casual non-work time and 1 weeks worth in athletic wear. That’s 3 weeks worth of clothes, and I had more. That’s crazy.  No one needs that much clothes.

I am not a person that values stuff. This means I don’t buy the newest clothes or gadgets. I have no problems using my older iPhone or having less clothing. I find a scarf or jewelry can really change a whole look.

Have you ever stopped to think that you don’t typically wear through your clothes? This is because you have so many that you can’t wear them all enough to get a proper use out of them. When did we decide that tossing out clothes was easier than repairing it? This mentality has just led to more waste and has cost you more that you know. Change your mentality. Think to repair before replacing items. There is no need to add to your closet, only replace items that can’t be repaired. If you have more than 1 weeks worth of clothes, damaged or destroyed items don’t need to be replaced. Kiss them goodbye and be ok with that. You will thank yourself after.

Skip the newest tech update, don’t be sold by flashy commercials or pretty window displays. Stop valuing stuff and focus on what gets you closer to your goals. My focus is travel but your priorities may be different. Maybe it’s owning a house, having kids or a new car. Do what makes you happy.

4.     Avoid Repeating Expenses.

These types of expenses seem small and are often cheep. But once added up throughout the year, their total can cover the cost of an international trip.

Things like coffee, makeup, tea, cigarettes, getting your nails or hair done. These costs add up quicker than you think. Try calculating these costs for a whole year, it’s typically the same amount as an international trip.

Avoiding these costs are a great aid to help you work towards your priorities.

Don’t think that something is OK to buy because the cost is small. This is a mental trick that gets a lot of us sucked in. We get hooked in a purchasing loop that costs us way more annually than we could ever have thought.

Break habits that are secretly costly. Avoid any desires to try new things that can become costly habits. I have never liked coffee and smoking was never something I was interested in trying. I made sure to make calculations of the annual costs of these habits. Before trying them, I would see how they could impact my goals and priorities. Johnathan limited his coffee consumption and started making coffee at home to lower costs. This is why getting my nails or hair done is a rare occurrence. I often do my nails myself and I get great joy in that. Seeing what I was able to do. I am not the type of person who thinks doing your nails weekly or monthly is a necessity. I have goals that behavior would directly go against this.

What repeating expenses have you avoided, or do you think you can stop?   

5.     Avoid Lifestyle Creep.

This is a big one. When you start earning more money, you tend to want to increase your way of living. Typically, by buying more luxury items or living in a more expensive house or driving a nicer car. Especially if you have wanted stuff, you can now afford. When you start making more money, don’t increase your expenses. You can save more for what you love by keeping cost low.

I always ask myself, do I want this, or do I want to travel? What is more valuable?

When I got a car, I got the cheapest car offered at the time, the Chevy spark. Not only was it great on gas, but it was also small and enabled me to maneuver through the downtown streets. It was surprisingly good in the snow too.

We both took public transportation for years. A car was not a necessity for us. Having no car saved us a lot of money. We were both over 30 years of age before having a car or even discussing one. A car only became a consideration once transit costs and the costs of a vehicle were about equal. The car enabled Johnathan to work 2 jobs and take home more money. So, a small fuel friendly car that cost $30 to fill for a week was the right move at the time.  That last push towards the end made this life a reality. Avoiding lifestyle creep and avoiding unnecessary purchases made it easier to obtain.

6.     Make your Money Work for You

Saving up for a trip around the world or a year of travel means you have some cash. But to gather enough to hit the road isn’t a fast overnight process. So why have your money stay in the bank while you work to hit your goals? The bank is using your money and providing you very little interest in return. While you build up enough money to finally book your one-way ticket, why not have your money work for you? Why not have it work towards making your goals a reality? Instead of helping the bank.

After a few years we had $10,000, we knew we were finally going to be able to do this full-time travel thing. It was a slow grind, but it was a means to an end. We also knew we needed a lot of time to gather more money before we could actually leave. But keeping our money in the bank wasn’t helping us at all.

Then someone showed us that we could lend out our money and charge interest for it. We could lend out our money, to make money and hold a mortgage over a home to ensure our money was safe. We wouldn’t be using it ourselves, so we took a leap and gave it a try. This allowed us to have our money work for us. We knew that we would still need to work for a few years to have all the money we needed. So, having our money tied up for up to a year wasn’t an issue. It was a source of passive income that got us closer to our goals.

We did our research, vetted those who needed a loan. We checked how much equity was available in the homes they listed as collateral. Then had contracts drafted. We agreed on an interest rate and wrote a cheque. For us money was lent out at 8%-14% depending on the risk involved. All loans are always at a higher rate than a bank loan and most were 9-12.5%. All legal costs are covered by the borrower, to tie the loan to the property and draft up the contracts. The borrower also gets charged legal and broker fees for the lawyers and agents involved.

We were able to decide to have the interest money paid back monthly or have it all paid back and the end of the loans term. We prefer monthly payments but its always your own choice.

This meant that we had our money work for us, towards our goals and this was passive income. Income that didn’t help the bank but helped us. Money that would have otherwise sat in the bank helping someone else. So reach out to mortgage broker if this may be an avenue for you too.

I try to tell anyone who will listen, don’t let the bank hold on to your money when they do very little for you. If you can make your money work for you, you’re on the right track. Can you think of other ways to make your money work for you?

7.     Minimize Any Living Expenses.

All possible living expenses should be lowered as much as possible. Review all expenses to see where you can make changes to save.

Reach out to your landlord and see if a reduction in rent is possible. Don’t accept any increases and see if you qualify for rent control. Look into moving if it can save you money. But make sure to calculate the cost of moving, a truck and movers into that price comparison. Sometimes it may not financially make sense for a small increase. Especially if you are taking time off work and losing one days pay.

Try to lower your phone bill. Reach out to your provider to see if a cheaper plan is available. Maybe you don’t need so many talk minutes and you can rely on data plans or free Wi-Fi at work or school.

Change to free banking services if you currently pay. We always felt like the bank shouldn’t charge us to hold our money that they use for their own gain. As Canadians we switched to Simplii Financial and eliminated any monthly bank charges. This was a small savings that added up.

Avoid payment plans for items you can’t afford. If you can’t buy it, you don’t have the money for it. Don’t divide the cost over multiple payments. Your goal is to leave and travel full time, see the world. Not have more stuff.

Contact your credit card companies to see if your annual fee can be waived. Consider canceling cards with an annual fee that are not showing you a return on your investment.

Seach out for grocery flyer deals, coupons or other deals and plan meals around those savings. Make sure to try to use up groceries you already have on hand. 

Don’t eat out, this is an easy savings that adds up way quicker than you could have ever imagined. Making food at home or even meal planning for the week can unlock some great money savings. Meal planning means you have food ready and are not drawn to fast food solutions when you feel hungry. You are already prepared with a solution.

Stick to public transportation. Most of the time public transportation is much more affordable than a vehicle. Walking is also a great way to add some savings to your pocket. The longer the trip on transit, often the better the savings would be on gas, parking and vehicle wear and tear.

Review your subscriptions such as Netflix, Amazon, Audible, PlayStation plus and more. See if you can cancel them. Do you use them enough? Can you pay for one month and get enough use out of that 1 month instead of paying for a year of service.

Track your utilities closer and see if turning off lights and being more aware can lower your bill. Don’t leave the water running and see if your area offers services at a cheaper rate for low usage times.

8. Get a Raise

Ask for more money. If you don’t ask no one can help you. Be ready to negotiate and explain why you deserve more money. To get to this point its important to have facts. Show your employer how you have saved them money. The more specific and measurable you can be the better.

See if your role has expanded. If so, be ready to explain how to justify a salary increase to coincide with the expanded workload. Maybe someone on the team left and a replacement was never found. This could have led to an increased workload you were never compensated for. This is a time to be specific and quantitative. 

If you’re not ready to do this, start tracking your accomplishments and write them all down. You need to be tracking your wins. Why? So, they aren’t forgotten, or their value diminished. Many of us downplay our accomplishments and consider them part of the job. This isn’t always the case, and we should have a record of all we have achieved. Don’t be afraid to talk about it and boast about yourself.  

Go to your employer and tell them that you are looking for a way to increase your salary. Tell them you would like to be considered for a promotion. Maybe you can take on a more robust role that can expand your earnings. Some employers will investigate ways to help you gain more money if you need. They could share information about a role not listed. Working with them to achieve your goals of more money is a route that can work.

If this method shows to be unsuccessful, you still get information. You now know how they think and what they value. This type of conversation lets you know if your employer is looking to work with you or not. Is their main goal to keep costs low, even at your expanse? Despite the work you put in.  In either case, you will learn if you should look for greener pastures or remain committed. Remember that you need to think of yourself first because you can be replaced.

If you don’t ask for more, no one will offer it. Be willing to look elsewhere. If you get a no, find out what you need to do to get the money you want. If your employer is not looking to find a way to get you more money, be willing to make the move to a place that will. Moving jobs every 2-5 years will result in larger pay increases than remaining with a company. Very rarely will loyalty or commitment result in a higher salary. Make sure to put yourself and your goals first.

9. Get a Second Job (Side hustle) to Save Quicker.

A second job or side hustle is a job that is done in addition to your regular job or main source of income. The good thing about working a second job is that all income earned can be put towards your savings. The extra work hours mean you have to sacrifice the free time you have for yourself. With all living expenses are covered by your main job, 2nd job income is all profit. This means it can all go towards your goals.

Some things to consider when looking for a second job are its location. You don’t want to spend much time going from one location to the other. Why? Because that’s more time you’re not earning an income. More time you don’t have free to relax or recoup from the mental load of work. More cost for gas if you drive to work. So, the closer your jobs are to each other the better. The more hours you can commit to and the quicker you will get to your goals. This also applies the closer your job is to home. Thus, shortening your commute and allowing for more hours you can turn into money.

If you can get remote work, even better. Then travel time isn’t needed. This means more hours can be worked. This will typically save you some money. But be sure to calculate the extra utility costs that may creep up if working from home. Your employer may compensate you for these extra costs, so check with them.  

When working a second job, health becomes much more important. You must eat regularly, schedule sleep and exercise. Without these, you body crashes due to the extra stress. For us, Johnathan took on a second job. I made sure that he had healthy meals ready for him every week. He didn’t have to rely on fast food when rushing between jobs. My Sundays were usually spent meal prepping for both of us for the week. I tried to make sure every meal had protein and vegetables. That the portion sizes were decent, that here was enough variety to mix things up. I didn’t want him to have to eat the same thing every day. Yet, this is never an issue for him.

I was so upset when Johnathan hired a personal trainer after taking on a second job. I was worried about his ability to sleep and how much more time this would take up. Not to mention the extra cost. This turned out to be what kept him going. He was seeing results. A trainer was targeting his health and energy in a way he couldn’t. I got meal preparation direction from his trainer and updated meal requirements weekly. A second job will take a toll on your health and cutting out fast food and exercising will make a difference. For Johnathan, he took on an extra 33 hours a week with his second job. He could take on more hours and would be available when needed. This often resulted in up to 38 extra work hours total for his second job. This is all in addition his full-time job that was 40 hours a week. His total working hours would be 73-78 weekly. So, it wont be easy with a second job and you have to give up more personal time, but working towards goals isn’t easy, nor should it be.

These are the 9 things that we did to be able to afford to quit our jobs in our mid 30’s to travel full time. To do this you really need to want it. It needs to be something you are committed to do. Something that your life revolves around. All decisions need to be made with this in mind. The good news is that whatever your priority, you can make it happen with these steps too. Your priority doesn’t have to be departing your routine to travel full time. Maybe you want to buy a house, or you need money to start a business. Whatever you choose, if you focus on ways to make that happen, you can make it work.

It took us years to be able to save for this. This is not an overnight process. This is a long game. You will get small wins but don’t discount little savings. They all add up and make a difference, they take you one step closer to making your priority a reality. Stop giving up your dreams for short term gratifications that things bring you. This will be hard, no one said its easy. But we are beyond ecstatic with how things turned out and we want you to know it is attainable for you too. It may take years; most people save up enough money in 2- 5 years to travel full time for 1 year. It may take you longer or shorter to do the same. That doesn’t mean it won’t happen. This is your journey, your story, so make it happen.