🌴❌ Why Americans are failing at vacationing

Stat Of The Day

Americans are officially *the* worst at taking vacations. A recent survey from Expedia shows that the average American gets just 12 vacation days per year, with over 50% saying that they don’t even use all of them. Getting high marks for leading lives of leisure are the French, who get an average of 31 days off and leave just two on the table.

Summer Travel Hacks To Help You Save

Together with

Need a push to put in a PTO request? We’ve got just the ticket. Travel hacks from "The Travel Detective" himself, Peter Greenberg.

Greenberg recently joined HerMoney CEO Jean Chatzky on "Your Money Map," sponsored by the Alliance for Lifetime Income, to share his best tips for getting a good last-minute deal on summer travel.

If you’re thinking it’s too late to pack your bags this summer, think again. As Greenberg notes, some of the best deals–especially on international airfare–are available in August. As he explains, uncertainty over the political climate and the U.S. election have caused people to pull back a bit, impacting the price of international travel.

"They [travelers] want to see what’s going to happen in this country before they make travel plans," Greenberg says. That factor has caused international airfare for travel in the month of August to drop for the first time in the last 18 months.

For more of Greenberg’s tips, including why it’s almost never a good idea to buy airfare online, head here.

This Week In Your Wallet

Dipping into your retirement savings to cover emergencies is now easier. But is that a good thing? "While previously you could tap your savings without penalty in more limited ways, and often with more paperwork, you can now take out up to $1,000 of your funds for any self-defined emergency," explains The Wall Street Journal. According to the IRS, withdrawals can now be made for any "necessary emergency personal expenses." If you plan to make use of the new provision, a word of warning about taxes. If you don’t replace the funds in your account, you’ll be required to pay income tax on them. "A lot of people are so caught up on the ability to get out of the 10% penalty," said Ian Berger, an IRA analyst in Rockville Centre, N.Y., "that they lose sight of the fact that they’re going to be taxed." PS: There are other items tucked away in the fine print to take note of, too.

President Biden made history this past weekend, announcing his decision to drop out of the race for the White House. The news comes with a lot of questions, one of them being what does it mean for the stock market? As GoBankingRates reports, the President’s withdrawal from the race could have five potential impacts, including an uptick in market volatility…for the time being. "Investors may also react differently depending on who becomes the new frontrunner for the Democratic party and their perceived policies towards businesses and the economy," Michael Collins, CFA, founder and CEO of WinCap Financial said. Head here for the four other ways President Biden’s exit could impact the markets.

No time or room in the budget for a summer vacay this year? A resort day pass that will let you use its amenities (everything from the valet parking to the pool) could be the answer. As The New York Times reports, day passes have become increasingly popular in recent years among those who simply want a staycation or travelers who can’t afford to book a room at swankier hotels. "For travelers, day fees can be a fraction of overnight rates," writes Elaine Glusac for the NYT. "The average luxury hotel in the United States cost $381 a night in May, according to CoStar Group, which tracks the hospitality industry. ResortPass access, sold on its app and website, starts at $25 a day and the company says over 70 percent of its more than 1,500 hotels globally offer a day pass for $65 or less."

Things That Save You Money

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Taking a road trip? You may want to leave your ride at home and rent instead. One of the factors to consider is depreciation on your car, which runs about 20 cents per mile. It’s just one of 5 things experts say you should think about if you plan to sell or trade your vehicle soon.

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When it comes to booking a vacation rental, Airbnb and Vrbo are probably the first places you search. But did you know you can save on costly fees (which are typically 12-16% of total rental costs) by booking directly? Here’s how to find direct rentals and ensure the listings and hosts are reputable.

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If you’ve made the mistake of thinking you can bring a carry-on bag on a budget airline at no cost, you aren’t alone. ICYMI, baggage fees have gone bonkers lately. Check out these tips so you don’t get hit with sticker shock…or hold up the line at the gate when you try to board with a carry-on you haven’t paid for (we’ve been there.)

Ask Jean

Today's question comes from Julie. She writes: My mother has over 100,000 travel points with a Capital One credit card. She cannot travel, so cashing out the points is an option. Are there tax ramifications? What else should I be aware of?

Thanks for your question, Julie! First, when it comes to credit card points or, in your case, miles, there won’t be any tax implications for cashing them out. That’s because the IRS doesn’t consider rewards–whether they be cash back, points, miles, or other types–as taxable income.

As you make plans to cash out your mom’s miles, there are a few things to consider, starting with the redemption value…and making sure you get the biggest bang for your buck.

As Nerdwallet notes, when Capital One Miles are used to pay for travel, they are valued at around 1 cent a piece. On the other hand, if you were to redeem them for cash, the value of each mile is cut in half. While your mom can’t travel, they could cover expenses for a family member who might want to pack their bags and visit her. Just another option to consider.

Next, take note of the fine print. Are there fees associated with cashing out the points? What are the other terms and conditions to be aware of? Is the account in good standing, and if not, how does that impact things? Get the answers to these questions before you move forward.

Last but not least, be sure to keep a record of the redemption in case there are questions in the future. Good luck!

Submit your questions to Jean here.

Finding A Good Job, Without A College Degree

For years, we’ve been told if we want to get anywhere in life, a college diploma will be the key. Here’s the thing, though. College is expensive. Four years at a public college will run you more than $108,000, according to the Education Data Initiative. It’s even pricier if you enroll in a private school and when you factor in all the extras from food to textbooks.

The high price of higher ed, combined with countless stories about recent college graduates struggling to find jobs, has many young people putting college off, or not going at all. That was the case for Hannah Maruyama. She skipped college and today, is bringing in $100,000 annually, working in AI and teaching young people that they too can pursue their passions, sans degree, through Degree Free.

For Maruyama, who joined host Jean Chatzky on the HerMoney Podcast*, there are three key steps to finding the best jobs without a college degree. One of them? Gain experience through on-the-job opportunities or apprenticeships. "I want people to get on Google and search the job title and then on-the-job training plus your location. If you're looking for remote opportunities, you don't have to include the location part," she suggests. "So this could be on-the-job welding training, Savannah, Georgia, or this could be software development apprenticeship, Chicago. It could be anything."

Listen Now

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