Category: Travel Expenses

Holiday travel can strain your wallet, but with smart planning, you can enjoy the season without breaking the bank. Here are practical tips to save on your 2025 holiday trips.

BOOK EARLY AND BE FLEXIBLE

Airfares and hotel rates spike closer to the holidays, so book flights and accommodations by early November. Use fare comparison tools like Google Flights or Kayak to track deals. Traveling midweek, especially Tuesdays or Wednesdays, often yields lower prices than weekend flights. Flexibility with dates or destinations can unlock significant savings.

LEVERAGE REWARDS AND DISCOUNTS

Maximize credit card points or frequent flyer miles to offset flight or hotel costs. Check for holiday-specific promotions from airlines or booking platforms. Joining loyalty programs can also provide perks like free upgrades or discounts.

PACK LIGHT AND PLAN MEALS

Avoid checked bag fees by packing carry-on only. Bring snacks or reusable water bottles to skip pricey airport food. For road trips, pack a cooler to reduce dining costs.

CONSIDER ALTERNATIVE ACCOMMODATIONS

Explore vacation rentals or budget hotels through platforms such as Airbnb or Booking.com for cheaper options than traditional hotels.

By planning ahead, using rewards, and cutting small expenses, you’ll keep your holiday travel budget intact.

If you run your own company and travel for business, you may be tempted to combine work with pleasure. That’s okay, as long as you don’t trip up on tax rules. Your tax professional can advise you as to what you can or cannot do.

TAX-SMART TRAVEL

Generally, businesses can deduct the cost of airfare, lodging, car rentals and meals from taxable income when used for legitimate business purposes.

But when you combine personal and business travel, it gets a little more complicated. You can still deduct transportation costs for you, but not for any family. Also, you may only deduct the reasonable cost of lodging, which in this case would be single or double occupancy. You may also deduct the cost of shipping materials needed for business, your dry cleaning and even tips. You can’t, however, deduct any family activities.

SEPARATE EXPENSES

It’s important to keep detailed records, with the days, locations, time involved, names of people you meet and your purpose of business. Know that the IRS won’t likely allow deductions for a day when you have a 15-minute meeting and spend the rest of the day with your family at a theme park.

You will have to allocate all of your expenses for tax purposes. For example, you may deduct the cost (including gas) of renting a car only during those days when conducting business. So, if you spend $500 for a 10-day rental and you put in five days for business, you can deduct half of that as a business expense.

Finally, you will have to recognize the personal expenses paid by the company as an owner’s draw and part of your income.If you run your own company and travel for business, you may be tempted to combine work with pleasure. That’s okay, as long as you don’t trip up on tax rules. Your tax professional can advise you as to what you can or cannot do.