You and your family have decided to take that long awaited vacation and now it's time for the planning. In the past this was an exciting time however with today's economy, many families have had to cut back and this can present a challenge.

The new buzz word of the day is a Stay-cation, where you can get your down time right in your own back yard. If you are looking for a change of scenery, there are still many ways that with a little careful planning, you can create an affordable family vacation where everyone can enjoy themselves and still maintain your budget.

Here are a few helpful tips to get you started:

Overall Budget

The first order of business is to determine how much money you are willing to spend on your vacation? Having a general idea of all the costs that may be involved ahead of time will give you a good place to start your planning. Its much easier to plan on a budget when you know how much you can afford to spend.

Destination Choices

When many of us think of vacations, plane rides and faraway destinations often come to mind. People like to get away. However, if you are on a tighter budget this year, you may want to find off-peak season destination deals or plan something closer to home.

For example, you may want to find a cottage or a campground within driving distance. Alternatively, you can plan special day trips where you get to choose a new activity each day and return home each night. For example, visit a state park with a natural pool and hiking trails on day one, travel to a nearby museum for day two, visit a semi-local amusement park on day three, and so forth. And, involve your children in planning these activities. You'll be teaching them great planning and budgeting skills. You also increase their sense of enjoyment, by bringing them into the decision process.

Costs Breakdown

It's not that difficult to calculate the basic cost of the travel itself. Start by getting quotes for the attraction, park or hotel you plan on visiting or staying in. Calculate the miles to your destination and add the cost of gas it will require to get there. This will give you a base amount that you can plan for. The challenge then becomes keeping the food and daily activities in check.

It's always best to overestimate when it comes to the variable expenses of the food and activities. You don't want to find yourself skipping meals or excursions to prevent going over your budget. The worst case scenario from overestimating? You'll have money left over.

It's also good to allow something in the budget for unexpected activities or new choices that may come up. Sometimes the best memories are created by spontaneous decisions in going for something just a little bit different.

You don't need to have a lot of money to have a great vacation. By following a budget, some careful planning, and a detailed list of estimated expenses, you can have the perfect vacation even with limited financial resources. But the most important ingredient is to relax, enjoy and be open to the creative possibilities that come about when we work a little harder at planning with a little less.