So, you want to go to Ireland?  I want to get you there!

I shared all the numbers in this blog post.

Last week, I did a little math highlighting why I don’t recommend carrying your dream trip on a credit card by paying the minimum amount due.  I showed you how you can set aside $300 a month for 19 months to make your dream trip a reality.

But maybe you have objections going off in your head – ‘I won’t pay the minimums – everyone knows better than that!’  or ‘ Just where am I coming up with this magical $300 a month?!’

I’ll take you there:

Airfare $1,052.52

Monthly Payment: $300

Interest Rate:18.74%

The Art of Love & Money SavingsCalc-BankRate-Ireland-300-airfare
Credit Karma Credit Card Repayment Calculator

So, at this point, it only took 4 months to pay for the airfare and it cost just an additional $39.  Not too shabby.  I mean, you might still be paying for the airfare when the trip portion becomes due, but overall, not bad.

Let’s look at the overall cost of the trip on the credit card at $300 paid a month.

See this blog post for the full breakdown.

Total $5,835.82

Monthly Payment: $300

Interest Rate:18.74%

The Art of Love & Money SavingsCalc-BankRate-Ireland-300-full trip
Credit Karma Credit Card Repayment Calculator

One thing we can all agree on – paying $300 a month on the credit card is far better than paying the minimum amount due.  In this scenario we pay $300 a month for 24 months and it costs us an extra $1,175.

Let me just tell you – that’s a lot of Guinness!  Imagine the friends you would make in Ireland if you bought everyone in the pub a round!  And it wouldn’t cost $1,175.  I mean, I don’t think.

To be honest, I’m a little sad we didn’t do this now.

Alternatively, you can put $300 a month aside for 19 months and you could earn a whopping .075% annually .

The Art of Love & Money SavingsCalc-BankRate-Ireland-300-full trip
Bankrate Simple Savings Calculator

In this scenario, you meet your goal of $5,800 in 19 months.  If you save for 2 years instead (the time it took to pay off the credit card at $300 a month) you have $7,253.00.

$1,435 more than you need for the two week trip.

That’ll pay for the new tires on the car that you need the week before you leave, for the jumper cables you have to buy when you get home and your battery is dead in the park and fly, and the clothes and the shoes you just have to have to go to Ireland.

Trust me, I know.

Earn interest, Don’t Pay interest.

So now, where are we getting this $300?  Well, this may be a little trickier.  Especially if you already have debt payments and this little exercise has made you squeamish.

If there is debt, I would start paying it down before you go on any big, dreamy trips.  See my family’s hierarchy here, or better yet, make your own.

The average car payment in America is now over $500 a month according to Experian.  Maybe you go all Dave Ramsey on your car.  Maybe you get a part time job or a side hustle, maybe you go after a promotion at work or get a dream job.

I can’t promise you you can go to Ireland in the next 19 months, but I do think it can be within reach of most Americans to travel a lot more than we do – but first we need to prioritize our income, set a plan, be intentional and following it through.

I want for you to live your best life, your most fulfilling dreams – go places you have always wanted to go and do the things you have always wanted to do.  Even if you think it’s out of reach.  Especially if you think it’s out of reach for you.

Sláinte,

Rachelle

ACTIONABLE STEP:  Head over to Credit Karma and Bankrate to play around with your own numbers.  Set a plan in motion today to get to where you have always wanted to go.

Rachelle Magadan