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Travel is one of life’s greatest pleasures. It broadens horizons, builds memories, and offers a welcome break from daily routines. Yet for many Australians, the cost of travel can feel out of reach. Between rising airfares, accommodation prices, everyday expenses, currency differences, commissions, and insurance costs, even short trips can stretch the budget.
The good news? With a few smart travel hacks and a little financial planning, you can travel more often and for less by maximising rewards points and minimising out-of-pocket costs. After all, the more you travel, the more you can earn and the less you’ll end up paying.
Understanding the value of travel rewards
Frequent flyer and reward programs are more than just loyalty schemes; they’re powerful tools for reducing travel expenses. By earning points through everyday spending and redeeming them strategically, Australians can unlock discounted and even free flights, upgrades, and accommodation that might otherwise cost thousands of dollars.
However, the real trick lies in understanding how to get the most from these programs, and using them as part of a broader financial strategy, rather than chasing points for their own sake.
Earning points efficiently
Choose the right credit card and read the fine print
Not all rewards cards are created equal. Look for a card that suits your spending habits and offers:
– A generous sign-up bonus
– A high earn rate per dollar spent
– Flexibility to transfer points to multiple airline partners
Before applying, check for hidden conditions such as minimum spend requirements to unlock bonuses, or points that expire after a set period.
And remember, a rewards card only works in your favour if you clear the balance in full each month. Paying interest or late fees can quickly outweigh any benefit you gain from points.
Turn everyday spending into rewards
You don’t need to spend more to earn more. Use your rewards card for regular expenses, groceries, petrol, bills, insurance, even tax payments (if the provider allows it). Some retailers and online portals also offer bonus points for shopping through their platforms, helping you earn faster without extra effort.
Double dip where possible
Certain programs allow “double dipping” earning points from both your credit card and the provider. For example, booking through Qantas Hotels and paying with a Qantas Points-earning card lets you earn from both sources.
Make the most of loyalty
Loyalty programs can be an easy way to earn extra value without changing your spending habits. Many airlines, hotel chains, and even supermarket programs in Australia now allow you to earn or convert points across multiple partners.
For example, Woolworths Everyday Rewards and Flybuys points can be transferred to airline partners such as Qantas or Velocity Frequent Flyer, turning everyday shopping into potential flights. Similarly, joining hotel loyalty programs like Marriott Bonvoy or Accor Live Limitless can unlock free nights, room upgrades, or bonus points when you book directly.
You can also boost your value by booking through a cashback platform. Some cashback apps allow you to earn a rebate on top of your regular loyalty rewards, meaning you’re getting cashback and points for the same transaction. It’s a simple way to stretch your travel budget even further.
The key is to consolidate where possible. Rather than spreading your points across too many programs, focus on the ones that align best with your travel preferences and spending patterns. A small, consistent effort over time can build into significant travel savings.
Redeeming points for maximum value
Points are most valuable when used strategically. Redeeming them for gift cards or small purchases usually offers poor value, while flight, particularly upgrades or long-haul international tickets, can stretch your rewards much further.
Keep an eye out for airline promotions and redemption sales. Many airlines and travel partners run limited-time offers where you can book flights, upgrades, or holiday packages for fewer points than usual. Taking advantage of these promotions can significantly increase the value of your rewards and help you travel further for less.
Be flexible with your travel dates and plan ahead. Award seats are limited, and booking early often means more options at lower point levels. Don’t overlook partner airlines – many frequent flyer programs allow redemptions across global alliances, which can offer better routes, more availability, or reduced surcharges compared to flying direct.
Smart ways to reduce travel costs
Travel off-peak
Avoiding school holidays and peak seasons can make a big difference. Travelling during shoulder periods often means cheaper airfares, lower accommodation rates, and fewer crowds, a win all around.
Compare and bundle
Before booking, use comparison tools to check prices across multiple sites. Sometimes bundling flights and accommodation together saves money, but always double-check individual pricing, flexibility can pay off.
Be flexible with routes and airports
Consider alternative airports or routes. A one-stop flight may cost significantly less than a direct one, and smaller regional airports sometimes offer better deals or fewer fees.
Avoid unnecessary fees overseas
Foreign transaction fees and poor exchange rates can quietly eat into your travel budget. Choose cards with low and even no overseas fees, or transfer money using low-cost online platforms. Withdraw larger amounts less frequently to minimise ATM charges.
Use technology to find better deals
Technology makes travel planning easier than ever.
– Flight apps like Skyscanner and Google Flights track price drops
– Accommodation sites such as Booking.com, wotif.com or Airbnb offer member discounts or rewards for repeat stays
– Expense tracking apps help you monitor spending in real time
For frequent flyers, loyalty apps can keep track of multiple programs, ensuring you don’t lose points through inactivity or expiry.
Plan ahead and within your financial goals
It’s easy to get caught up in the excitement of travel and overlook the financial side. A better approach is to plan travel as part of your broader financial goals. Set up a dedicated “holiday fund” or automate small regular transfers throughout the year. This simple habit means your next trip is already partly funded and you can enjoy it without financial stress.
For frequent travellers, ensure travel insurance forms part of your personal risk management plan. Whether included through a credit card or purchased separately, comprehensive cover provides protection from medical emergencies, cancellations, or lost luggage all of which can derail even the best-planned holiday.
How financial planners can help
A financial planner can help you align your lifestyle goals, including travel, with your long-term financial plan. This might include budgeting for annual trips, optimising cash flow, or selecting financial products that maximise your reward points. They can also ensure your travel and insurance strategies fit neatly within your broader wealth and risk management framework.
Travel should enhance your financial wellbeing, not compromise it.
In conclusion
With the right approach, Australians can travel more often, spend less, and get more value from every dollar and point. From choosing the right rewards program to being strategic with spending, planning, and protection, these simple travel hacks can make your adventures both affordable and financially smart.
By combining practical financial planning with a touch of wanderlust, you can explore the world and return home with both unforgettable memories and a healthy bank balance.
Meet Joel at Solace Financal or Find a Planner near you!
The Money & Life website is operated by the Financial Advice Association Australia (FAAA). The views expressed in this article are those of the author and not those of the FAAA. The FAAA does not endorse or otherwise assume responsibility for any financial product advice which may be contained in the article. Nor does it endorse or assume responsibility for the information.
