Money.com.au Travel Insurance research & insights

New research from Money.com.au reveals more than a quarter of Australians (27%) have lied about the cost of their holiday to friends or family — either to avoid judgment or to make their trip sound more impressive.

The nationally representative survey of more than 1,000 Australian travellers found that 10% downplayed the cost of a trip to avoid criticism from family or friends. In contrast, 9% admitted exaggerating the cost to make their holiday seem more lavish, while a further 8% said they’ve lied both ways depending on who they were talking to.

Nearly half of Australians surveyed (45%) said they’re always honest about the cost of their holidays, while 29% said they don’t discuss their travel expenses with others.

Money.com.au’s Finance Expert, Sean Callery, says Aussies are caught between wanting to look like savvy spenders and wanting to show off their travels.

“Amid the cost-of-living crunch, some Aussies want to appear to be travelling with a sense of financial responsibility. To them, going all out and blowing money on a holiday feels a bit reckless when everyone else is feeling the pinch,” he says.

“Others like to stretch the truth to make their trip sound a little more glamorous than it was. It’s not just about where you go, but how your trip looks to others, especially among younger generations who use social media to share their highlight reels with friends and family.”

“It can be innocent fibbing that happens when travel and money mix, but you want to make sure it doesn’t cross the line into something more serious, like going into debt to fund a trip and then understating the expense to make your spending seem more manageable.”

Generational guilt trip: Younger Aussies most likely to lie about holiday spending

Millennials were the most likely to lie about how much their holiday cost (45%), followed by Gen Z (37%). However, the two youngest generations differ in their motivations behind the fibs — Millennials were more likely to inflate the cost of their holiday to make their trip sound more impressive (17%) and Gen Z were more likely to downplay their spending to avoid judgment from family and friends.

By contrast, 24% of Gen X and just 9% of Baby Boomers admitted to bending the truth about their travel expenses.

Older Aussies were more likely to say they don’t discuss the cost of their holidays with others, including 46% of Baby Boomers and 26% of Gen X. Only 19% of Gen Z and 15% of Millennials said the same.

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New research from Money.com.au reveals that 39% of Australians trust the travel insurance bundled with their credit card is sufficient to cover them in the event of mishaps or emergencies overseas.

By contrast, a quarter of Australians (25%) say credit card travel insurance doesn’t provide adequate coverage, while another 15% admit they don’t know if their credit card includes it.

Money.com.au’s Finance Expert, Sean Callery, says credit card travel insurance can be good value, but it’s important to understand both the benefits and limitations.

“Many people don’t realise that the travel insurance bundled with their credit card can offer very similar inclusions and claim limits to standalone policies, as they’re often underwritten by the same major insurers. For some, it can represent good value, since the cover comes at no extra cost beyond the annual card fee,” he says.

“But because the cover is standardised for all cardholders, it may not suit every trip. For example, most travel insurance on credit cards won’t cover adventure sports or allow you to adjust claim limits the way standalone policies do. It’s also worth noting that cover only kicks in if you book your trip using the credit card, so it’s important to check the eligibility requirements before relying on it.”

The survey found that 21% of Australians own a credit card that doesn’t include travel insurance.

Millennials trust credit card travel insurance the most — Gen Z the least

Millennials were the most likely generation to trust the travel insurance on their credit card (45%), followed by 42% of Gen X and 34% of Baby Boomers. Gen Z were the least likely to trust their card’s travel cover, at just 28%.

Meanwhile, 22% of Gen Z and 21% of Baby Boomers admitted they didn’t know whether their credit card includes travel insurance, compared with 13% of Gen X and just 8% of Millennials.

Is credit card travel insurance enough for your trip?

Credit card travel insurance can be enough if you’re after generic cover as it typically includes benefits for medical emergencies, trip cancellations, lost baggage and travel delays. However, because it’s a ‘group policy’, the cover is standardised for all cardholders, meaning there’s little room to tailor it if the inclusions don’t suit your trip.

A standalone policy is generally more suitable if you need higher claim limits for long or expensive trips, have pre-existing medical conditions, or plan to take part in adventure sports. In any case, it’s essential to read the Product Disclosure Statement (PDS) carefully so you know exactly what is and isn’t covered.

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If you’ve ever come home from a holiday feeling more exhausted than when you left — you’re not alone. New research from Money.com.au reveals that two-thirds of Australians (66%) return from overseas trips so tired, they need extra time to recover.

Among those who experience post-holiday fatigue, nearly one in five (17%) say they feel drained after every overseas trip and need time to rest, while almost half (49%) say the holiday hangover depends on the trip.

Only 34% of Australian travellers say they come home from an overseas holiday feeling rested.

Money.com.au’s Editor, Sean Callery, says the idea that holidays are relaxing doesn’t always match reality.

“The point of a holiday is to unwind, but if you’re not building in downtime, you’re just trading work stress for travel stress, and that can mean coming back needing even more time off,” he says.

“Plus, travel isn’t cheap, and if feeling refreshed is the measure of a good trip, then splurging on packed itineraries might not be delivering value. Sometimes, the best return on your holiday spend is a couple of quiet days to recharge and that’s usually low-cost.”

“It’s important to actually holiday on your holiday, or you risk a serious holiday hangover. The fact that only one in three Australians return from overseas feeling rested shows just how real and widespread it is.”

Younger travellers are burning out — even on holidays

The data also shows a clear generational divide. Younger Australians — particularly Gen Z (34%) — are the most likely to feel exhausted after every overseas trip, followed by Millennials (21%). In contrast, Baby Boomers (8%) are the least likely to experience the ‘holiday hangover’, followed by Gen X (14%).

Older Australians are more likely to return from holidays feeling refreshed. More than half of Baby Boomers (52%) say they come back rested and recharged — the highest of any age group. That compares to 34% of Gen X, 21% of Millennials, and just 19% of Gen Z.

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Aussies are a laid-back bunch — and it turns out, that’s exactly what we like to do when travelling. New research from Money.com.au shows that more than a third of Aussie travellers (37%) rank a beach holiday as their top travel choice.

The survey asked over 1,000 Australians to rank their favourite type of holiday whether at home or abroad. Beach breaks were the clear winner across all age groups, but particularly among Millennials and Gen Z (both at 41%).

‘Active’ holidays that include physical activities like hiking, diving, and snowboarding ranked second (12%), and were also popular among younger Aussies, particularly Millennials (18%).

Urban holidays in big cities and cultural trips focused on history, art, and food tied for third place, each chosen by 11% of Australians. Gen Z (22%) and Gen X (14%) were the most likely to opt for an urban holiday. Meanwhile, Boomers (14%) and Millennials (12%) are more likely to prefer a cultural trip.

Road trips were also a popular choice for 1 in 10 Australians (10%), but were especially favoured by Boomers, with 1 in 5 (20%) preferring to hit the open road — whether in their own backyard or overseas.

Money.com.au’s Editor, Sean Callery, says Australians are rethinking their downtime, with younger and older generations looking for very different experiences.

“Australians are choosing to switch off, not pack more in when travelling. Beach holidays are the perfect way to recharge the batteries and the main attraction is free, so it’s a no-brainer especially if you’re paying for flights and accommodation," he says.

“There’s also a generational split in how Aussies want to travel. While younger travellers are chasing sun and adventure, older Australians are looking to brush up on culture — whether that’s in cities with a rich history or out on the open road.”

Cruises ranked lower on the list for Aussie travellers (9%), followed by seasonal breaks (short holidays tied to a specific season or holiday period) at 4%, staycations (3%), camping (2%), and wellness retreats (1%).

The top 10 holidays Aussies love most

1. Beach holiday: A go-to for Aussies who want to relax without spending too much. 2. ‘Active’ holiday: For people who enjoy activities like hiking, diving, surfing or snowboarding. 3. Urban holiday: A short break in a big city, whether at home or overseas. 4. Cultural trip: Visiting places for the food, history, and local experiences. 5. Road trip: For those who want to travel at their own pace and explore by car. 6. Cruise: A slower, all-in-one option with travel, food, and entertainment included. 7. Seasonal holiday: Planned around a specific season (e.g. summer, snow season) or holiday period (e.g. Christmas). 8. Staycation: Taking time off to relax at home or nearby, without the hassle or cost of travel. 9. Camping: An affordable way to get outdoors and take a break from everyday life. 10. Wellness retreat: A low-key getaway to rest up or focus on your health.

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Aussies love to travel, but new research reveals that time zone fatigue is taking a serious toll on their return to routine. More than one in four Aussie travellers (28%) admit it takes them up to a week or more to recover from jet lag after an overseas trip, according to a new survey by Money.com.au.

The survey found that younger Australians are the most likely to struggle with jet lag for up to seven days or more, with Millennials (36%) affected the most, followed by Gen Z (33%). In contrast, Boomers (20%) are the least likely to experience prolonged jet lag, followed by Gen X (26%).

Money.com.au’s Travel Editor, Jared Mullane, says jet lag is an unavoidable reality for many Australians, especially given the long-haul flights required to reach most major destinations.

"The reality of travelling from Australia is that we’re far from most major destinations, meaning long-haul flights and multiple time zone shifts can take a bigger toll on the body and mind. Persistent jet lag can disrupt your work, daily routine, and overall wellbeing,” he says.

“The good news is that the majority of travellers (71%) only experience jet lag for a few days after returning from their international holiday, and get back into their routine relatively quickly. Simple strategies like adjusting sleep patterns before departure, staying hydrated, and getting plenty of natural light can help speed up recovery.”

How often do Aussies experience jet lag after an overseas trip?

Money.com.au’s survey found that 72% of Australian travellers struggle with jet lag after an overseas trip. Nearly a third (32%) say they occasionally get ‘mild’ jet lag, while 26% find it depends on their flight length and destination.

For some, jet lag is a constant struggle — 15% report experiencing it every time they travel long distances. On the other hand, 27% of Australians say they never experience jet lag at all.

Jet lag is a combination of fatigue and temporary sleep disruption that can affect travellers who cross multiple time zones quickly.

5 tips to help beat jet lag

1. Adjust your sleep schedule early

Start shifting your sleep and wake times a few days before your trip to match your destination’s time zone. This gradual adjustment can help minimise jet lag. For example, if you're flying from Sydney (AEDT) to London (GMT), start sleeping 1-2 hours earlier each night before your departure to help your body adapt.

2. Stay hydrated & skip alcohol after your return

You don’t treat a holiday hangover with alcohol. Plus, booze can disrupt your sleep and make it harder to adjust to a new time zone, so it’s best to avoid it for a few days after returning from an overseas trip. Instead, drink plenty of water before, during, and after your flight to help your body recover faster.

3. Get morning sunlight

Exposure to natural light helps reset your body clock and reduce jet lag symptoms. Get some morning sun at your destination and when you return home to signal to your body that it's time to wake up. You can always pair your morning sun session with a coffee to help you power through the day.

4. Move around & stay active

Exercise, even a short walk, can help fight fatigue and regulate your sleep cycle. Try to stay active during the day and avoid long naps, which can make it harder to sleep at night.

5. Time your sleep right

Try to stay awake until a reasonable bedtime at your destination and when you return home, even if you're exhausted. If you need a nap, keep it under 30 minutes to avoid disrupting your sleep schedule.

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With the New Year already in full swing, many Australians are setting their savings goals for 2025 — and travel tops the list. According to a survey by Money.com.au, nearly half of Aussies (49%) are making saving for travel their biggest priority this year.

Money.com.au’s survey revealed other major savings goals for Australians, including building an emergency fund (44%), putting aside retirement savings (32%), buying a house (25%), and investing in shares or property (19%). A nationally representative sample of 1,000 respondents were asked to list their top two savings goals.

Money.com.au’s finance expert, Sean Callery, says Aussies are looking for balance between focusing on leisure and more pragmatic financial goals.

“Travel is clearly a priority for Australians heading into 2025, ahead of other major financial goals like buying a house or investing. This highlights a growing trend of valuing experiences and making memories, alongside traditional financial security and planning for tomorrow,” he says.

“A third of people we surveyed said they spend up to a year saving for a trip which shows just how much value Australians place on travel and the time they're willing to invest to make it happen.”

Among generations, Boomers were the most likely to list saving for a holiday as their top goal (54%), followed by Gen Z (52%), Millennials (48%), and Gen X (47%).

Across states, Western Australians led the pack, with 54% prioritising travel savings, followed by Queenslanders (53%). South Australians (47%) and residents of New South Wales (46%) were the least likely to focus on travel savings.

“Western Australians have a natural travel advantage with their closer proximity to destinations like Bali and Singapore, which are consistently among the most popular choices for Australians,” says Sean.

Tourism booms despite rising holiday costs

Holiday travel and accommodation prices rose 8% in the 12 months to October 2024, according to the ABS Monthly Consumer Price Index Indicator.

At the same time, tourism GDP grew by 9.1% in the 2023/24 financial year, driven in part by tourism consumption — spending by tourists on goods and services that contribute to our economy. Domestic tourism consumption rose by 1.7% in the past 12 months to $160.2 billion.

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With the holiday season just around the corner, 37% of Aussies say they still splurge when they travel despite the nation's cost of living woes, according to a new survey by Money.com.au.

However, a slightly higher number of people – two in five Aussies (41%) – prefer to stick to a strict budget while on holiday.

The survey also found one in five Aussie travellers (23%) find a middle ground, choosing to splurge only on trips that are special occasions like milestone birthdays, destination weddings, or honeymoons.

Boomers are more likely to strictly stick to a budget (50%), while Millennials and Gen Z are more inclined to splurge on their holidays (39%).

Money.com.au’s Finance Expert, Sean Callery, says Aussies are equally divided when it comes to holiday spending.

“With nearly a third of Aussies spending up to a year saving for a trip, it’s perhaps not surprising that many people are able to maintain that financial discipline by sticking to a budget when they’re away,” he says.

“On the flip side, many people want to push the boat out a little further, seeing vacations as a chance to escape daily routines, including financial restrictions. However, it's important to avoid overspending or going into troublesome debt for a holiday, or you could be paying for it, plus interest, long after the memories have faded.”

With this in mind, Money.com.au compared travel costs for savers and splurgers to popular overseas destinations to see how spending habits affect the price of a trip. The estimated costs are for a 10-day holiday. For savers, costs include economy flights, three-star accommodation, casual dining, low-cost activities and public transport. For splurgers, they include premium economy flights, luxury accommodation, fine dining, private tours, and premium transport.

Bali

A 10-day trip to Bali can cost as little as $1,642 for savers who opt for an economy flight, budget accommodation, local eats, and affordable activities like beach days and hiking tours.

Meanwhile, splurgers flying in premium economy, staying in one of Bali’s luxury resorts, and indulging in fine dining and exclusive activities (e.g. spa days) could spend up to $6,014. That’s a difference of $4,372 for a premium holiday to Bali compared to a budget trip.

New Zealand

A 10-day trip to New Zealand can cost as little as $2,852 for savers who fly economy, stay in a three-star hotel, dine at local restaurants, and enjoy affordable activities like walking tours. On the flip side, splurgers staying in a high-end hotel and indulging in fine dining and premium activities like wine tours or whale-watching safaris could spend up to $7,610. This makes a premium holiday to New Zealand $4,758 more expensive than a budget trip.

Fiji

A 10-day trip to Fiji can start at just $2,960 for savers who stick to economy flights, budget hotels, casual dining, and affordable activities like beach visits and local markets. In contrast, splurgers might spend as much as $9,959 by opting for premium flights, luxury resorts, fine dining, and high-end experiences like snorkeling and island day cruises. That’s a $6,999 difference between a budget getaway and an indulgent escape in paradise.

United Kingdom

A 10-day trip to the UK can start at just $3,990 for savers who choose budget-friendly accommodation, casual dining, and affordable activities like walking tours and visiting museums. In contrast, splurgers could spend up to $10,684 by flying premium economy, staying in a luxury five-star hotel, and indulging in fine dining and exclusive experiences like a private tour of Buckingham Palace. That’s a $6,694 difference between a frugal adventure and a lavish getaway in the UK.

Japan

A 10-day trip to Japan can cost as little as $3,911 for savers who fly economy, stay in budget-friendly accommodation, and stick to casual dining, free or low-cost activities, and public transport. In contrast, splurgers might spend up to $8,998 by staying in luxury hotels, indulging in fine dining, and enjoying premium experiences like a Mount Fuji day tour or a Samurai experience. This makes a premium holiday in Japan $5,087 more expensive than a budget trip.

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Ever wondered how long it would take to save for your dream holiday? Nearly a third of Aussies (31%) spend up to a year saving for a trip, according to a new survey by Money.com.au.

Another 29% of travellers save for up to six months before jetting off, while 18% spend longer than a year saving for a big trip. Just over one in ten Aussies (13%) manage to save for a holiday in less than three months.

With that in mind, Money.com.au has crunched the numbers to estimate how long it would take the average Aussie to save for a trip to the most popular overseas holiday destinations. The saving time for each location was calculated based on a 10% savings rate of the average weekly earnings of $1,923.40 (from ABS data). Travel costs are for one adult and include return flights to the main airport in each destination, 10 nights in a four-star hotel, and a spending and travel allowance.

Australia’s top holiday destinations ranked by shortest saving time

China Saving time: 5 months

Whether travelling for business, pleasure, or both, China offers an incredible mix of ancient and modern marvels — from the iconic Great Wall and historic temples to the vibrant cities of Beijing and Shanghai. A 10-day trip to China costs around $4,153.

Thailand Saving time: 5.4 months

Australians have always had something of a love affair with Thailand, known for its stunning beaches, vibrant street markets, and rich cultural heritage. A 10-day trip to this Southeast Asian paradise costs around $4,543.

Bali Saving time: 5.5 months

More than one million Aussies visit Bali each year, and it’s easy to see why. This Indonesian paradise is renowned for its stunning beaches, vibrant nightlife, and affordable luxury. A 10-day trip to Bali costs around $4,599.

New Zealand Saving time: 5.7 months

If you’re visiting our neighbours across the ditch for a scenic escape, New Zealand has plenty of wild landscapes and adventure to offer. A 10-day trip to this scenic destination will set you back about $4,768.

Vietnam Saving time: 6.1 months

Vietnam offers a captivating blend of bustling cities, serene countryside, and stunning coastlines. Travellers can explore Hanoi’s rich culture, cruise through Ha Long Bay, and tuck into some weird and wonderful street food. A 10-day trip costs about $5,062.

Singapore Saving time: 6.3 months

Singapore has long been a favourite destination for Australian travellers due to its close proximity and luxury accommodation. It also offers great food, iconic sights, and a mix of Malay, Chinese, Indian, and Western influence. A 10-day trip to this vibrant city costs around $5,237.

Fiji Saving time: 7.2 months

Fiji is synonymous with crystal-clear waters, lush tropical islands, and relaxing beach resorts. Perfect for a tranquil getaway or an adventure-packed holiday, this island paradise is ideal for unwinding. A 10-day trip costs around $6,030.

Italy Saving time: 7.8 months

A must-visit for art lovers, foodies, and history buffs alike, Italy is renowned for its iconic sites like the Colosseum, Vatican City, and picturesque coastal towns. A 10-day journey through Italy costs approximately $6,515.

United Kingdom Saving time: 8.9 months

The UK offers the perfect mix of sightseeing, history, and local flavour. Travellers should delight in exploring London’s highlights and experience the charm of British villages. A 10-day trip to the UK costs around $7,459.

United States Saving time: 9.4 months

If you’re heading to the USA to live out your American dream, explore world-famous landmarks, iconic cities like New York, or catch an American football or basketball game. A 10-day trip costs around $7,819.

How Aussies fund their holidays

Money.com.au’s Finance Expert, Sean Callery, says most Australians spend up to a year saving for a holiday.

“Gradually building savings over several months to fund a vacation highlights both the commitment involved and the rising cost of travel. Our research also shows that travel is the one expense Australians aren’t willing to forgo, no matter their financial goals or income level,” he says.

However, Money.com.au’s survey also found that some Aussies (7%) skip saving altogether and cover their holiday expenses fully on a credit card, while a smaller group (2%) opt for a personal loan to fund their trips.

“Going into debt for a holiday brings additional costs and risks. The sooner you can pay off your trip, the less you’re likely to be paying in interest and fees. It’s important to have a plan for clearing the debt as quickly as possible," says Sean.

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