On 2 April 2025, US President Donald Trump unveiled his ‘Liberation Day’ tariffs, a sweeping set of import taxes aimed at reshaping global trade and boosting American manufacturing.

The UK has been hit with a blanket 10% tariff on all imports to the US, with varying tariffs on particular industries such as automotive and pharmaceuticals – both significant exports for the UK economy.

Other countries and regions have been slapped with much higher rates, such as 20% on the EU and 34% on China. Considering the heavily interwoven nature of the global economy and supply chains, this could have significant effects on the UK regardless.

Here’s how it could impact your wallet, from the global economy to your investments and everyday costs.

The global economy

Trump’s tariffs signal a retreat from decades of globalisation, targeting countries with trade surpluses and imposing costs on imports.

Economists warn this could slow global trade volumes, a key driver of economic growth. For the UK, an open economy reliant on international trade, this isn’t just a distant concern.

If major trading partners such as the US, EU, or China stumble into recessions – or retaliate with their own tariffs – demand for British exports could weaken, indirectly hitting jobs and growth here.

Much also depends on how the UK Government responds to the tariffs. If it chooses not to retaliate it could dampen the overall impact. Tariffs affect the buyer country – this means US consumers will end up footing the bill for their imports. UK consumers will only be hit upfront if the UK Government chooses to impose retaliatory tariffs.

If the UK maintains a low-tariff environment on its imports it could also prove a favourable alternative market for countries such as China, which could have a positive impact on prices as surplus goods come here instead.

Further, with the EU – a closely associated economic bloc – could see some companies look to base in the UK due to its more favourable tariff levels with the US. This could be good for UK growth and employment.

More from Edmund Greaves

Investments: uncertainty hits the markets

If you’ve got money in stocks or pensions, brace for turbulence.

Global markets shuddered after Trump’s announcement, with US stock futures dropping sharply and European indices like the FTSE 100 feeling the strain.

This is down to a mixture of effects. Tariffs could dent corporate profits, especially for firms reliant on international supply chains- think carmakers or manufacturers.

However, there’s a silver lining: if the UK dodges the worst of Trump’s wrath, some investors might see Britain as a relative safe haven, potentially boosting demand for UK assets.

Still, higher borrowing costs and trade war fears could weigh on your portfolio’s value in the short term. As ever, diversification is important, as is not panicking in the face of short-term turmoil.

Inflation and interest rates: a global price push

Across the Atlantic, Trump’s tariffs are set to hike prices for American consumers as importers pass on costs.

This matters for Brits because global inflation tends to spill over. If US interest rates stay high to combat this – thanks to the Federal Reserve’s mission to fight inflation – global borrowing costs could rise too.

Higher US rates often push up yields on UK Government bonds (gilts), increasing the cost of everything from mortgages to Government debt.

For Brits, this could mean pricier loans or credit card bills if the Bank of England is forced to follow suit.

UK economy, inflation, and interest rates: a mixed bag

The UK’s direct hit is a 10% tariff on exports to the US, our largest single-country market for goods such as cars. This could cost jobs and slow growth in these major sectors and lead to higher inflation levels thanks to a strong dollar.

Yet, there’s a twist: if US tariffs divert cheap goods (such as Chinese steel) to the UK, prices for some items could fall, easing inflation in some areas.

The picture here is very murky, which is why investment markets are responding very nervously. We won’t know the full effect of the Trump tariffs on the UK economy for some time.

It is clear though that the UK is facing major challenges already – this clearly isn’t going to help.

What can you do?

Trump’s tariffs are a gamble with global stakes, and our personal finances aren’t immune.

Keep an eye on your investments – ensure your risk is spread carefully across sectors or regions less exposed to trade wars.

If inflation creeps up, locking in fixed-rate deals on loans or savings could shield you from rising costs. And while the UK Government negotiates to soften the blow, staying informed will help you navigate the uncertainty.

Liberation Day may be Trump’s vision, but its fallout is everyone’s reality. Keep a cool head in the meantime.

This article is for informational purposes only and should not be considered financial advice. If in doubt, seek professional advice.

Photo credits: Pexels

The post What Trump’s ‘Liberation Day’ tariffs mean for your finances appeared first on Mouthy Money.

I am fortunate to have something of an international background. My mum was an Italian who grew up in South Africa before coming to the UK in the 80s.

I have lived and travelled in several countries over the years, including the Netherlands, Belgium, Argentina and South Africa.

We have particular ways with our money in the UK, and while it would serve no one to make sweeping generalisations, there are things us Brits can learn from other cultures about money. Could that potentially leave us better off?

Australians and their money

Fortunately, on this week’s Mouthy Money podcast, I had the assistance of an Australian living in the UK to dig through some of the cultural differences around money.

Hope Coumbe is editor of Professional Adviser, a financial services industry publication which speaks to the financial advice community. Hope also has a lot of experience talking about pensions too, making her well placed to comment on the idiosyncrasies of Aussies and their money compared to us Brits.

The standout difference according to Hope was that Brits are keener to celebrate payday. Getting a ‘cheeky takeaway’ or splashing out on an evening’s entertainment is anathema to Aussies, where the cost of living has been high for a long time, and the culture is much more geared toward saving.

Hope was also clear that there is much we can indeed take from Australia’s pensions system. This is a foible of political discourse in the UK – we spend a lot of time genuflecting to the brilliance of the Australian system, and for the most part are about 20 years behind them in terms of innovation.

But there is one key difference between ours and our antipodean cousins’ retirement system – Australians don’t in practice have a state pension. This makes the jeopardy of ensuring a functional and successful pensions system much higher for Australians who will only have themselves to rely on in retirement.

There’s a bit of a kicker here though – the reason why the UK is not as far along the path on private pensions as Australia is because of the legacy of the state pension. But the state pension looks evermore in doubt, between funding exigencies and rising age requirements.

The truth is that those of us under the age of about 50 have a good chance of never seeing the state pension as it becomes increasingly unaffordable and our demographic makeup gets older (leaving less taxpayers to fund the system).

The simple fact of the matter is that there is no state pension ‘fund’ and you and I are not squirreling away money with the Government. They, in fact, pay the state pension out of general taxation.

And with all the major political parties making increasingly compromised promises about maintaining state pension payment and increase levels, its existence looks increasingly absurd.

So what to make of this from an Aussie perspective? The reason they never set up a state pension system and opted to develop a robust private pension system is that it is ultimately staggeringly more sustainable than ours. Once upon a time they looked at what the UK had and decided “thanks but no thanks, mate.”

A big thank you to Hope for appearing on the Mouthy Money podcast. We wish her the best of luck as she returns to life down under in the near future!

Read more from Edmund Greaves
on Mouthy Money

Things I’ve learned about money in other countries

Argentina

I lived in Argentina on and off for two years when I was younger. Inflation is a way of life there, as is using black market methods to obtain and exchange cash.

Because so many in Argentina struggle to make ends meet, it has a very strong ‘make do and mend’ culture. Argentinians also have a real culture of sharing and shared experience, be it at the point of a mate gourd or an ‘asado’ (the famous Argentine barbecue).

I learned to value these experiences above material consumption, because things are ephemeral, but memories last forever.

South Africa

South Africa used to be a nation with a stronger currency, but today that is rather the reverse (although by no means Argentine levels).

But South Africans live in a country of such rich abundance, through the food they eat, the wine they drink and the stunning landscapes they inhabit, that they treasure what they have.

In the UK we have a penchant for the different. I am reminded of the old joke about being British:

“Being British is about driving in a German car to an Irish pub for a Belgian beer, then travelling home, grabbing an Indian curry or a Turkish kebab on the way, to sit on Swedish furniture & watch American shows on a Japanese TV. And the most British thing of all? Suspicion of anything foreign.”

South Africans also show remarkable resilience in the face of trouble. They have been plagued by years of lacking government services, chiefly in the form of rolling blackouts thanks to their state energy provider.

My experience of it is Saffers show resilience, humour and ingenuity in the face of these challenges, something we could all learn from as the world gets a little harder to live in.

What the UK gets right

Hope had one thing to say for what the UK gets right, that I quite agree with her on. We are really good at innovation – particularly when it comes to things like ‘Fintech’ (financial technology).

Apps and banking services such as Monzo, Revolut or Starling have been transformational in the way we manage our money (and have forced major banks to catch up fast). These technologies have been exported around the world and we far outstrip even countries such as the US for user experience and service levels.

One hopes over the next few years we continue to encourage and anticipate trends and innovations, and not look to apply pressure where it isn’t needed.

I’m curious to know what experiences with money you may have had in other countries, as a Brit or otherwise. Do send me an email at edmund.greaves@mouthymoney.co.uk, or leave a comment below.

Photo by Ethan Brooke

The post Things we can learn from other countries about money appeared first on Mouthy Money.

Backpacking in Australia needs a plan. It’s the classic saying, fail to prepare, prepare to fail. If you’re backpacking Central America or South East Asia, then this saying won’t entirely apply to you.

You’ll probably be fine winging it, or not having a set plan for the entire time you’re travelling. 

But for backpacking in Australia? A plan is vital, or at least in my case it was. Since the pandemic, backpackers have been flocking to Australia in huge numbers.

You’ve got those who wanted to come during Covid but couldn’t, plus those who had plans to come last year, this year and so on. On top of that, lockdown caused many businesses like hostels to suffer, with several shutting their doors for good.

I had dreamt I’d be rocking up to hostels the night of, making friends and spontaneously choosing to travel somewhere else the following day. Of course this is all possible. If you have a car or van then it’s much easier to go with the flow, or if you’re not there during Australian summer it’ll be quieter. 

When I booked my East Coast tour in August to start in November, some of the hostels I intended to stay in had sold out and I had to rework dates to make sure I was able to do all the trips I’d planned on doing.

For example, most travellers enjoy two days camping on K’Gari (Fraser) Island and as it’s so popular, you can’t book it less than a couple of months in advance. As a solo traveller, it’s easier to book last minute as things usually have one spot going.

Though a girl I had met in Cairns who was working her way down the East Coast had to miss out on this camping trip to K’Gari because she was booking all her trips as she went along.

Read more from Sophie King
on Mouthy Money

Others I met along the way had not planned their accommodation well, and were finding themselves having to stay in locations extra nights until the next location had somewhere with a room going. This meant they were paying more money to fill in the gaps until something spare came along.

So if you’re planning on travelling Down Under, then get booking as soon as you can. You’ll also find that things are cheaper the further in advance you book them.

For example, I booked my hostel for New Year three months in advance. Of course, my plans may have change but I was comforted knowing I had somewhere to stay at least. A friend who was staying in the exact same dorm as me had booked the hostel just two weeks before New Year – she was paying about £300 more than me.

When you are planning your trip along the East Coast, make sure you’re looking at different travel companies and tallying up costs of booking things separately. Booking through a company can be a great way to make friends or ensure that everything is covered, but they’re often a little more expensive than booking everything yourself.

I booked through a company though and I did ask for a discount, which they honoured very kindly. If you don’t ask you don’t get! Give yourself time to look at what each company offers, or the different trips that you can do. Think about what you want from this experience and make sure that it’s included.

Having a base plan will put your mind at ease, especially for Australia. There are times that you can go with the flow and when you can do! Just make sure you’re giving yourself the freedom to enjoy your backpacking time, that’s what is most important.

Photo credits: Pexels

The post Backpacking in Australia: failing to prepare is preparing to fail appeared first on Mouthy Money.

Backpacking in Australia is by no means an expensive experience. As a backpacker, finding the balance of ‘doing it all’ while also trying to be sensible with money can be tricky.

I’ve been living in Sydney since December now and I’ve been reminiscing about my East Coast trip which was honestly one of the best experiences of my life. Where you’re travelling to can also make a huge difference to your budget.

I moved to Australia in October last year and up until Christmas I was travelling a bit of the West Coast before going down the East Coast. 

Backpacking in Australia

After a wonderful time travelling through a bit of Western Australia and then all the way down the East Coast, I had to quickly find myself a job and get back on the earning train.

As someone with a plan to travel again, I went through all my spending over the last couple of months, to figure out if I could have budgeted better or made wiser money choices.

Find out more about Sophie’s trip of a lifetime to Australia

Split the food

Backpacking in Australia can be expensive. Your first weekly food shop will probably shock you. I once spent $7 (£3.50) on three bananas.

As a solo traveller I was buying my food for myself only. Things like salad bags or other perishable items would often go off before I’d had the chance to finish them. This often meant I was wasting food I had paid for. 

Friends or couples I met along the way who had travelled together were splitting their food shop and were mostly able to finish the food without it going off. It wasn’t until I got to Sydney (my final destination), that I made friends with someone and we decided to cook together. 

So if you can, buddy up as I reckon you’ll save a lot more money by splitting the cost and getting through your food before having to do another shop.

Plan your meals

If you’re able to buddy up or not, one thing I found contributed to moneysaving when backpacking the East Coast was planning my meals. 

Work out when you might be eating out, or when you’ve got a trip booked and therefore meals might be planned for you. For example trips to the Whitsundays or K’Gari Island can be up to three days and your meals are provided.

So if you’ve got food in the fridge ready to be eaten, make sure your plan ahead so you’re not having to throw it away.

Another thing to watch out for is if you’re using the Greyhound Bus to travel, you’ll probably be doing a few overnight trips in between destinations.

If you’ve got things that need to be kept cool, make sure you’ve finished them before you board – Australia is hot and things do not last!

Don’t convert back to pounds

In comparison to backpacking South East Asia or South America, Australia is very expensive, or it at least feels expensive.

One thing I was doing to justify some of my spending was converting the cost back into pounds as it ‘felt’ cheaper that way. It wasn’t wise, and I reckon I spent money on things I really didn’t need to because I was of the belief that it wasn’t ‘that bad’.

For example, a pint of beer might be about $12, but converting it into GBP would only be £6 – a steal!? Not really Sophie. I knew it wasn’t technically cheaper than UK costs, but yet I found myself using it as an excuse. 

If you are a convertor, use it to work out that something IS expensive, rather than isn’t.

For example, while I miss our beloved Cadbury’s chocolate, Australian supermarkets would often have them going for around $15. Would you therefore spend £7 on a chocolate bar back home? Hopefully not. 

Say yes to everything

While some of my choices were certainly wasteful when it comes to money, I did find myself saying no to things which I now regret. If you’ve made the decision to go backpacking, try not to hold yourself back because you’re worried about funds. 

Of course, don’t spend beyond your means, but do that experience, book that event, say yes to a few drinks. There are a few times I look back and regret saying no to because I was worried about money.

If you’re going somewhere you may as well do or see as much as you can while you’re there. 

Be present

While this isn’t necessarily money-related, I found myself often looking ahead for what was coming next when I was travelling down the East Coast. 

At times, this meant that I was not present for the things I was experiencing there and then. I didn’t always fully immerse myself in these wonderful experiences I was having (and paying for!).

So when you go travelling, make sure to take everything in.

Photo Credits: Pexels

The post The money mistakes I made while backpacking in Australia appeared first on Mouthy Money.

I’m feeling the pressure to spend already.

When I first decided to go travelling around Australia, I of course knew that it would cost money. 

I knew I’d want to make the most of my travels, ensuring I’m taking part in ‘once in a lifetime’ opportunities. 

But now that it’s come down to it, it’s hard putting that into practice while also being strict with yourself.

Logically, I know I am lucky enough to have enough funds to last me a good few months, but I still find myself really reluctant to spend money. 

I’m still on a budget, I won’t be drinking much or going out regularly for dinner (this isn’t a complaint, this is all part of the backpacker life).

But I’m also finding it hard to spend money on the things I’m here for.

For example, one thing I’ve been pondering doing is a skydive for which I have been quoted $329. It’s a fair price (although I would argue paying to launch yourself out of an airplane could be a little cheaper) but immediately I felt reluctant to pay “that much”.

I don’t want to spend that much money without the security of having a job lined up, but by then it might be too late to book an activity like that.

I also don’t want to have any regrets. When I do make it back to the UK, I want to feel like I made the most out of everything and took opportunities where I could. 

I think this is going to be something I’ll be battling with constantly as I budget my way round this amazing country. 

I know, cue the violins, woe is me, how will she cope, but keeping your purse strings tight while making the most of a trip is tough, though I’ll manage.

I think to enjoy backpacker life you have to go with the flow and accept that you’ll always feel like you’re spending too much or not making the most out of something. 

At the moment, I’m leaning towards the skydive, at around 60/40 for a yes. Flying over the Whitsundays will probably be a bit of a difference compared to flying over the River Thames. 

Photo Credits: Pexels

The post The true cost of quitting your job to go travelling – to skydive or not? appeared first on Mouthy Money.

Travelling Australia is going to be expensive but you’re going to be spending a fair bit before you’ve even taken off.

I’d reached my savings goal for Australia a couple of months ago – this was the amount I’d wanted to go with which would mean I’d be able to travel around for a bit before finding a job.

But then there were quite a few things I had to pay for which I should have factored in first.

A first tip if you’re planning on moving abroad, particularly Australia, would be to get your visa first before booking your flights. 

It might be that it’s rejected or takes a while to come through and you wouldn’t want to lose the cost of your flights because you don’t have a visa. 

I’ve seen too many Facebook posts from travellers who have a flight within days but are still waiting for their visa to come through – don’t let this be you!

A working holiday visa for down under costs around £330, then you’re looking at at least £700 in flights just to get there.

On top of that, if you’re going to be visiting locations that require you to have vaccinations, you’ll need to pay for those too. 

One way to cut costs before even leaving UK soil could be to consider getting a Round The World plane ticket. 

This type of ticket will include several destinations across several continents at a much cheaper cost than buying them all individually. 

Depending on who you book with you’ll have a minimum and maximum amount of stops you’ll have to make to qualify for the ticket – you’ll be literally going all the way round the world.

For example, you could fly from the UK, to Singapore, to Perth, Sydney, Los Angeles and then back to the UK.

Of course, make sure you’re comparing single flights on comparison sites like Skyscanner – it might be that it is cheaper for you to book flights individually depending on the location. 

The downside to a Round The World Ticket is that your flights will be booked in advance. So if you’re someone who would prefer to go with the flow then it might not be for you.

These types of tickets can be changed, but they’ll come at a cost and you could end up spending even more money than you wanted to. 

Another cheeky thing airlines can make you pay for are seats and it’s usually for the longest flights. 

It cost me £29 to choose my seat to fly from San Francisco to Sydney and as it’s my longest flight and I had sitting in the middle, I paid for it. 

But if you’re not as bothered, it’s worth waiting until the very last minute as the airline may decide to reduce the price, or make the seat reservation free, if no one else has chosen it. 

Of course, the only risk here is that you won’t get the seat you wish for, your call.

With travelling of course comes packing and having to whittle a year’s worth of clothes down to one 65L backpack is no easy task.

I managed to find my backpack on sale from Mountain Warehouse for £70 and it came with a smaller day pack, a strap to hold the big bag over my shoulder and a waterproof cover. 

Travel backpacks can cost anywhere from £50 to £200 so it’s really up to what to go for. 

The one mistake I feel I made was that I didn’t get a bigger one such as 85L – my backpack was full to the brim which leaves me no space for any new items I pick up along the way.

If this is your first time travelling and you have absolutely no items already, see what you can borrow from family and friends. People can be so generous and there’s no point in buying a fly net (for example) if someone else already has one (another mistake I made – sorry for saying no to yours, mum!).

Here’s a list of things I had to buy beforehand and their rough cost (doesn’t include clothes and other bits and bobs)

• Backpack (at least 65L) – upwards from £70
• Day backpack – came with the cost of the large bag
• Cross-body bag – £12
• Travel plug – £15
• Portable charger – £39.99
• Fly net – £2
• Hat – £10
• Sun cream (though I bought this in Australia as it’s stronger) – £13
• Travel wash – £3
• Micro fibre towel – £10

Photo credits: Pexels

The post The true cost of travelling – before you even leave appeared first on Mouthy Money.

The plans come as part of a consumer’s bill announced in the King’s Speech in Parliament.

Drip pricing is where the initial advertised price of a product is misleading as add ons in the buying process push the price higher.

This is particularly prevalent in sectors such as aviation where travellers will see cheap headline flight prices, only for onerous costs to be forced on them during the buying process, including for baggage and seat reservation.

But other companies do similar practices, such as including “booking fees” and other costs which often make little sense to customers but increase the end price.

Commenting on the proposals, A spokesperson for airline trade body AirlinesUK, said: “Unbundling products and offering greater choice that consumers demand is an important way that airlines compete and is well understood to have enabled air travel to become accessible for all.

“Any moves to reverse this are clearly not in the interest of UK consumers and we will respond to the government’s proposals when we have more details.”

According to a report in The Times, the average cost of a flight could rise by £80 if options such as bag and seat selections were eliminated.

The Government has however said the proposals are currently still up for consultation and no decision on drip pricing has yet been made.

Soaring profits

The potential ban comes on the back of a bumper year for profits in the airline industy, which has recovered strongly in the wake of the pandemic. Ryanair booked a 60% rise in profits last year, for example.

Firms such as Ryanair and EasyJet have made optional extra costs for flights standard practice for many years. It has been such as successful strategy that other airlines such as British Airways have been forced to follow suit.

Banning drip pricing would make the overall cost clearer for customers searching for deals using price comparison services such as Kayak, Skyscanner or Google Flights.

Often consumers find the “headline” price found in such sites bears little resemblance to the final price they end up paying.

Critics say airlines engage in drip pricing to ensure their flights ensure their flights are at the top of price comparison searches. But without a full picture of the extras this makes the real comparative costs extremely difficult to ascertain for customers.

The airlines contend that many passengers are happy to take minimal luggage and let seat selection happen at random. An airline executive told The Times:

“These are not examples of drip pricing in the way the government imagines. We believe that drip pricing is booking a cinema ticket and then finding out it’s an extra 10 per cent in booking or service charges. That is not the case here.

“You can book one of our flights and get on it, have a safe journey and arrive for exactly the fee we quote. It will just be a small cabin bag and random seat selection. That works for a lot of people.”

Photo by Longxiang Qian.

The post Must know money: Airlines could be banned from charging extra for bags and seats appeared first on Mouthy Money.

Heading on a family day trip is always something to look forward to, but of course cost is something to be aware of.

There are plenty of things that you can do for cheap, like local parks and free attractions, but when you can find a deal on something that would have cost a lot of money – it’s a great feeling.

Here’s a deal to do just that, saving you money on your next family outing:

How To Get It

Right now, you can get a free family day pass to a National Trust attraction in the UK, which could be worth up to £50.

The pass gets 2 adults and 3 children, or 1 adult and 4 children entry to an attraction of your choice.

You can get the deal by purchasing either a Daily Star or Daily Mirror before the end of this week. Both papers should cost you less than £1.50.

Alternatively, you can apply online for your free voucher on the Daily Mirror’s website, though you’ll get an E-Voucher and will have to book online in advance.

You can use the pass up until the 15th December 2023, so even if you didn’t want to go just yet, you can hold onto it for a future date.

There are some National Trust sites that are excluded, but there are 1,000s of places available to go to with the deal.

Phot Credits: Pexels

The post Free National Trust Family Pass (Worth Up To £50) appeared first on Mouthy Money.

Q I’m from Italy, currently living in the UK, and I’ve invested some of my savings using a European investment platform. It doesn’t offer an ISA, but is it worth switching my investments to an ISA for the tax benefit? If I did this and then returned to the EU what would that mean for the investment?

A An ISA is a savings account with tax benefits that is available to individuals who are resident in the UK.

Savings can be held as cash or invested in stocks and shares with any income received (i.e. dividends or interest) and capital gain on the sale of shares exempt from UK taxation. For standard ISAs, there is an annual limit of £20,000 that can be put away each financial year into these accounts.

For smaller amounts, the benefit will be limited and will depend on an individual’s circumstances as income or gains may well be covered by their income tax or capital gains tax exemptions in any case.

It might be that you can leave your investments in Italy and not have to pay UK tax on the income – for example, if you only receive dividend income and this, together with any UK dividends, is less than £2,000 per annum, you would not have to pay any extra tax.

However, foreign income in excess of this amount will require the completion of an annual self-assessment tax return which may be an unwelcome administrative burden.

If you were to move back to Italy, you would obviously no longer be a resident in the UK, so while you could continue to hold an ISA, you would not be able to make any further contributions to it.

You’d also need to think about the fact that the Italian Revenue Agency is unlikely to allow the same tax-free status on your investments.

Sean is a Director in Mazars Private Client tax advisory team providing advice on a wide range of tax issues. Sean works with families, entrepreneurs, trustees and other stakeholders to ensure their tax affairs are structured in a way that meets their objectives.

Photo Credits: Pexels

The post Can I open an ISA even though I’m not from the UK? appeared first on Mouthy Money.

I’ve quit my job. In just under two weeks I’ll be boarding a flight to Australia where I’m planning on living for the foreseeable future.

Apart from two weeks staying with family in Perth to start off with, I have zero plans and no idea if and when I’ll get a job.

I’ve been lucky enough to be able to put money away each month over the last couple of years so while I do have some savings, they’ll probably only keep me going for a couple of months. 

I only bit the bullet to book my flights a couple of months ago, I always found financial excuses to avoid taking the plunge. “I just don’t have ENOUGH money” is something I’d often find myself saying. But the truth is, will I ever feel like there’s enough?

When liaising with friends about how much they took on their working holiday visa, it was a mixed bag. One said £500 while another said £15,000. Another pal was somewhere in between. 

From my own research, £2,000 seems to be what people tend to spend each month in Australia – that includes hostelling, excursions and food. If you like to drink, you may as well add another grand on top. 

The fact I am now jobless, right before I travel halfway across the world is pretty daunting. But unless you’ve managed to transfer jobs from the UK to Aus, you don’t really have a choice but to quit, it’s all part and parcel of it all. I hope I’ve budgeted enough so I can travel around a bit first, but who really knows. I don’t think I’ll know until I’m knee deep in it, hopefully it won’t be too late. 

Before I go, I’ve had one of the most sociable September’s ever, saying goodbye to friends and family has been lovely, but expensive. I’ve been trying to balance having a final hoorah(s) while also being sensible – I’ve always found it hard to say no to social gatherings over fear of missing out. But now that I have no guaranteed income means every single tap on my card gives me great anxiety. 

There’s no certainty that I’m going to get a nice lump of cash at the end of each month. If I have to urgently splash out, will I be able to make it up again? I know I am in such a privileged position and millions of people travel the world each year. I am so excited but I know I will feel anxious until I have secured an income. I just hope it doesn’t spoil my fun.

Whether this is making me feel liberated or absolutely petrified I’m still trying to figure out, but I do feel pretty proud of myself for taking the leap. I’m just going to enjoy it and I’m sure I’ll make some money mistakes on the way, which of course I will share. Come with me as I budget my way around Australia.

Photo Credits: Pexels

The post The true cost of quitting your job to go travelling appeared first on Mouthy Money.