Credello Answers: What to do about all those weddings and events in 2021

NEW YORK, Dec. 22, 2020 /PRNewswire/ -- So, all the weddings and events you were supposed to attend in 2020 got pushed to 2021. Not only is your calendar bursting at the seams—your wallet probably is, too.

Here are some tips on ways to prepare financially for the onslaught of gatherings in 2021.

Find a credit card with a sign-up bonus
Getting a rewards credit card with a large sign-up bonus can help you cover the additional spending you're preparing for in 2021.

These cards typically require a good-to-excellent credit score, so if your score doesn't already fall in that range, you may want to try to improve your score before applying for a new card.

Many rewards credit cards have a three-month timeline to reach the sign-up bonus spending amount, so consider opening the card right before a large purchase, like booking a flight.

Start saving and budgeting now
Having savings and a budget for these events can help you prepare to pay off debt you may incur from the cost of flights, hotels, gifts, and other expenses.

If you haven't already started stashing money aside for your upcoming events, now's the time. You don't need to open a new savings account, but it might be worth your while if you want a better annual percentage yield (APY).

The national average APY for savings accounts is only 0.05%, according to the Federal Deposit Insurance Company (FDIC). Consider opening a high-yield savings account, which generally have an APY at least 10 times more than the national average.

Creating a separate budget for your events can also help you stay on track. According to The Knot, the average cost to attend a wedding in 2019 was $430. Of course, this cost can vary depending on your relationship to the couple and how far from home the venue is. Those who drove out of town to attend a wedding spent about $600, while those who flew spent more than $1,400.

Get alerts for flights
Your relationship with Google Flights likely disintegrated in 2020, but this is a good time to reconnect with flight alerts.

Google Flights allows you to track prices to find the cheapest flight to and from a particular city and/or airport on the dates you're looking to travel. Apps like Hopper can also help you track flights, hotels, rental cars, and even homes for the best time to book.

Look into a travel card with airline miles or hotel rewards
If you're loyal to a particular airline or hotel chain, you may want to consider opening a credit card with said airline or hotel chain. Much like other rewards cards, airline and hotel cards can come with a sign-up bonus that can help cover the cost of your out-of-town stay. Additionally, many of these cards offer double or triple points/miles when you use your branded card to spend with that airline or hotel.

SOURCE Credello