If you still believe these 7 travel myths, you're leaving money on the table

I used to think I had travel figured out. After all, I'd spent nearly 20 years as a financial analyst, meticulously planning every detail of my life, including my vacations.

I'd book flights months in advance, pay extra for travel insurance I never used, and avoid certain destinations because "everyone knew" they were expensive.

Then I left my six-figure job to pursue writing full-time. Suddenly, I had more time and less money, which meant I needed to get creative about travel. What I discovered shocked me. Most of what I believed about saving money on travel was flat-out wrong.

The myths we accept about travel don't just limit our adventures. They actively drain our bank accounts.

If you're ready to travel smarter and keep more money in your pocket, it's time to challenge these seven stubborn myths.

1) Booking flights far in advance always gets you the best deal

This one feels like gospel, doesn't it? We've all heard it: book your flight six months ahead and save big.

Here's what I learned when I started tracking flight prices for my own trips. The sweet spot is usually between three weeks and three months before departure, depending on the destination.

Airlines use dynamic pricing algorithms that adjust based on demand, and they're betting that anxious travelers will pay premium prices months in advance.

I tested this theory last year when planning a trip to the Pacific Northwest for a trail running event. The flight I almost booked four months early? It dropped by $180 three weeks before departure.

Now, there are exceptions. Holiday travel and peak summer destinations do require more advance planning. But for most trips, that early bird strategy is costing you money, not saving it.

The better approach is to set up price alerts, watch the trends, and be ready to book when prices dip. Your patience will pay off more than your planning.

2) Travel insurance is always worth the cost

I'll be honest. For years, I bought travel insurance for every trip without question. It felt responsible, like adulting properly.

But when I looked at the actual numbers during my transition away from corporate life, I realized I'd spent thousands on insurance I never once used.

Travel insurance makes sense in specific situations. If you're taking an expensive international trip, have health conditions that might require medical care abroad, or are traveling somewhere with significant political instability, then yes, buy the insurance.

But for a long weekend road trip? A domestic flight to visit family? You're probably throwing money away.

Most credit cards already offer some travel protections, from trip cancellation coverage to lost baggage reimbursement. Before buying separate insurance, check what you already have. I discovered my credit card covered me for far more than I realized.

Do the math on your specific trip. If you're spending $200 on insurance for a $600 vacation, you're adding 33% to your costs for something you'll likely never use.

3) All-inclusive resorts save you money

The pitch sounds perfect. Pay one price upfront and never worry about another expense. No surprise bills, no budget stress, just pure relaxation.

Except that's rarely how it works in practice.

All-inclusive resorts build their profit margins into that upfront cost, often charging you for amenities you won't use.

That unlimited bar access? If you don't drink alcohol, you're subsidizing other guests.

The five restaurants on property? You'll probably have favorites and ignore the rest.

When my partner Marcus and I compared costs for a week in Mexico, the all-inclusive option looked appealing until we broke down what we'd actually use.

We don't drink much, we prefer eating at local spots to experience the culture, and we'd rather spend our days exploring than lounging by a resort pool.

We booked a small local hotel instead and spent about 40% less, even including all our meals out, activities, and transportation. Plus, we actually experienced the place we'd traveled to see.

All-inclusive resorts aren't inherently bad. If you want to stay on property, consume a lot of what they offer, and value the predictability, they can work. Just don't assume they're automatically the economical choice.

4) Traveling during off-peak times is the only way to save money

Yes, traveling during shoulder season often means better prices. But the assumption that you must avoid peak times to afford travel is limiting and often inaccurate.

I've found incredible deals during "expensive" times by being flexible about where I go, not when. Everyone wants to visit Europe in summer, so I looked at South America instead. Prices dropped significantly.

During my years in finance, I had limited vacation time and had to travel when I could get away, which was rarely during the magical off-peak windows. I assumed this meant paying premium prices forever. What actually worked was choosing destinations that didn't follow the same peak patterns as popular tourist spots.

There are deals to be found year-round if you're willing to think differently about your destination.  

Peak times for one destination are off-peak for another. The key is flexibility in location, not just timing.

5) Budget airlines will nickel and dime you into spending more

I used to avoid budget airlines religiously. The horror stories about hidden fees and terrible service kept me booking with major carriers, even when the price difference was substantial.

Then I actually did the math.

For a trip from the West Coast to the East Coast, the budget airline was $280 cheaper roundtrip. Even after adding a carry-on bag ($60) and seat selection ($40), I saved $180. The flight time was the same. The plane got me there safely.

Were there frills? No. Was there free food? Nope. Did I survive just fine with my own snacks and entertainment? Absolutely.

The trick with budget airlines is knowing what you're getting and planning accordingly. Don't buy things at the airport or on the plane where prices are inflated. Pack light enough to avoid checked bag fees. Bring your own water bottle to fill after security.

Budget airlines work beautifully when you treat them like public transportation. You're paying to get from point A to point B, nothing more. If that's all you need, why pay extra for services you won't use?

6) You need to exchange currency before you travel

Those airport currency exchange kiosks with their terrible rates and high fees are counting on this myth to stay in business.

Here's what works better in almost every situation: use your debit card at an ATM when you arrive at your destination. You'll get closer to the actual exchange rate, and the fees are typically lower than currency exchange services.

Before I figured this out, I'd exchange $500 before every international trip, losing money on the conversion and then often having leftover currency I couldn't easily use. Now I withdraw smaller amounts as needed from local ATMs.

The key is checking with your bank before you leave. Some banks charge foreign transaction fees that add up quickly. I switched to a bank that doesn't charge these fees, and it's saved me hundreds over the years.

Credit cards work well for larger purchases, assuming they don't have foreign transaction fees either. For everything else, local ATMs give you the cash you need without the currency exchange markup.

Your money stretches further when you're not paying someone 10-15% just to convert it.

7) Loyalty programs and points aren't worth the hassle

I resisted this one hard. The whole points and miles game felt like a second job I didn't want. Tracking different programs, remembering to use the right credit card, strategizing about redemptions? Pass.

But when my income became less predictable after leaving corporate life, I gave it a real shot. Not the obsessive, spreadsheet-intensive version. Just the basics.

The results surprised me. I signed up for a travel credit card with a solid welcome bonus and put my normal spending on it. Within four months, I'd earned enough points for a free roundtrip flight. I wasn't gaming the system or doing anything complicated. I was just getting rewarded for spending I was already doing.

Hotels work the same way. Staying loyal to one or two chains means free nights that add up faster than you'd think. Last year, I stayed four nights completely free using points from bookings I'd made anyway.

You don't need to become a points maximizer to benefit. Just consolidate your travel spending with one airline and one hotel chain, use a decent travel credit card for everyday purchases, and you'll accumulate rewards without much effort.

The money you save on that free flight or hotel stay is money you can spend actually enjoying your trip.

Final thoughts

Travel doesn't have to drain your bank account, but the myths we believe about saving money often do exactly that.

What I've learned through my own financial journey is that questioning conventional wisdom almost always reveals better options.

The same analytical approach that served me in finance works just as well for travel. Look at the actual numbers. Test the assumptions. Be willing to try something different.

These myths persist because they contain a grain of truth that's been stretched into an absolute rule. Sometimes booking early works. Sometimes all-inclusive makes sense. But "sometimes" and "always" are very different words.

The goal isn't to be cheap. It's to be intentional about where your money goes so you can travel more often, stay longer, or simply have more left over for the experiences that matter most to you.

Start by challenging just one of these myths on your next trip. Track what happens. I'm betting you'll find, like I did, that most of what you believed about travel and money deserves a second look.