@MrBlackhill this also creates a problem for your longer term retirement planning. We have no idea what kind of inflation will happen in travel costs. Even if you learn of today's costs, what good does that do you? If we get anything like 10% to 15% inflation rate, ongoing, in travel costs ... there's no point in making plans now.
I gather this is still many years away for your retirement and many costs will change by then. Probably best to reverse budget these trips seeing that you are very likely to have a significant surplus of money when retired. IOW, when you retire, pick your destinations and see how long you can stay each year with the assets you have at that point in time.
Yes, definitely, if travel inflation goes up faster than the overall inflation, it's definitely a factor as my retirement spending plan is currently based on a 3% inflation over the next 15-20 years.
It's mostly a curiosity I had during my current travel as I love so much traveling, but actually my retirement budget plan for travel is about $25k/year, so certainly not 6 months of travel, but maybe 3 months would be nice. But we could certainly pay ourselves a 6-month travel upon celebration of the start of our retirement.
And again, so many things can change. I like to say that every 5 years my life changes so much and my therefore my plans change so much, but then I also like to assess multiple scenarios and what-if.
Given your question is for travel plans that are well into the future, you could plan a phantom trip. Pick a destination that suits you as well as accommodations and spending that fits your personal style of travel. You can then apply a reasonable inflation rate and you’ll have your answer.
Travel style is quite personal and varies greatly between individuals/couples. Will be interesting to hear what you come up with.
Yes, that would be an interesting exercise. I'd have to do many phantom travel budgeting though as the goal is to travel to many different countries which all have different prices. So I'd have to try to detail pricing for 2-3 countries in Central/South America, then 3-4 countries in Europe, then 2-3 countries in Middle East, 2-3 Asian countries, 2-3 countries in Africa.
Out of curiosity, I've just described my traveling style to an AI. For a 3-month travel in a single country, I've let it pick countries around the world, and it listed a $15k+ budget for countries like Vietnam, Mexico, Ecuador, Colombia, Malaysia, Egypt, Thailand, Indonesia, Sri Lanka, Philippines, Poland, Georgia, then a $20k+ budget for countries like Portugal, Turkey, Romania, Czech Republic, Argentina, Hungary, Chile, Brazil, China, then $25k+ for Costa Rica, Croatia, Greece, Germany, South Africa, Kenya, then $30k+ for Japan, Italy, Spain, UK, Ireland, Netherlands, Australia, Austria, New Zealand, Tanzania, Singapore, then $35k+ for France, Norway, Sweden, Denmark, Finland, Iceland, then $40k+ for Switzerland.
The biggest factor since his retirement over a decade maybe two away is likely to be the loonie’s purchasing power.
Yes, that's definitely a good point.
I intend to slow travel a lot starting next quarter in South America, one-way only and return TBD. "Slow" is the keyword here, to keep the monthly stay costs to a minimum. If you travel a few times in a given month, possibly very different $ outcome than slow traveling. I plan to spend 4-6K/month and travel 4-6months/year.
Yes, that would be our intent too, being able to simply enjoy the place, the culture, the locals.
We're currently in Japan for 4 weeks, the longest I've ever been in vacation, and we're visiting only a tiny part of Japan, and we've tried our best to not overload our days as we're with two kids under 5, and yet we feel like we're skipping so much, and we've had to book 11 different accommodations for a total of 25 nights.
With that in mind, it feels like even traveling for 3 months in a country is actually a bare minimum to be able to fully enjoy the country.
Out of curiosity, I've asked AI for an idea of how long can feel "enough" (the feeling that you've seen the major places while enjoying the local culture) for slow travelers to enjoy different countries:
1-2 months: Costa Rica, Ecuador, Panama, Bolivia, Portugal, Netherlands, Norway, Sweden, Finland, Iceland, Ireland, Czech Republic, Austria, Hungary, Georgia, Switzerland, Denmark, Croatia, Greece, Sri Lanka, Egypt, Morocco, Poland, Peru
3-4 months: Japan, Italy, Spain, France, Mexico, Thailand, Vietnam, Colombia, Argentina, Chile, Turkey, South Africa, UK, Germany, New Zealand
5+ months: India, China, Australia, Canada, Brazil, Indonesia