As summer is approaching and school's begin to close up shop, the dream of a 3-month-long respite isn't the case for many families.
According to a new survey from BankRate.com, nearly 1 in 4 Americans (24%) won’t go on vacation this summer because they can’t afford it. Not having enough money greatly tops other obstacles like having too many family obligations (12%) and being too busy at work (11%). This means a whopping 49% of American families won't take any sort of vacation over the summer.
Greg McBride, CFA, Bankrate’s chief financial analyst said that "1 in 4 Americans does not have any emergency savings," meaning they are basically living paycheck to paycheck with no discretionary funds. There's also gaps between generations. Millennials say they're too busy to take time off, whereas older generations say they have too many family commitments. With this attitude, it's no surprise that only 36% of Americans use their paid vacation time.
Those who are going on vacation will spend money, but at much lower rates than normal. The median amount survey respondents intend to spend is $1,000. Millennials are most likely to spend that amount or less. Their older peers and parents are more likely to spend more than $2,000. Research shows that because of travel hosting accommodations, vacation planning has become slightly easier when saving money.