Americans Will Spend More Than $100 Billion on Summer Vacation This Year
It seems that Americans are ready to open their wallets this summer.
According to the eighth annual Allianz Travel Insurance Vacation Confidence Index released Thursday, Americans are spending more on summer vacation in 2017 — topping $100 billion for the first time ever.
American spending habits have risen for the second consecutive year, up from $89.9 billion total in 2016, according to the report.
“Americans are feeling better about the economy and have loosened their purse strings for summer 2017,” Daniel Durazo, director of communications at Allianz Global Assistance USA, said in a statement.
Average spending on summer vacation was up 10 percent compared to 2016, from $1,798 last year to $1,978 this year.
Spending varied greatly by generation: Vacationing millennials (ages 18-34) reportedly spend the least, at $1,373, followed by boomers (ages 55+), at $1,865.
The big spenders? Generation X. Allianz projects the often-ignored generation (ages 35-54) will spend $2,628 on summer vacation in 2017, on average.
However, according to a survey conducted in May by the Associated Press, nearly half of Americans say they won’t be taking a summer vacation due to cost.
“Those living in households making less than $50,000 a year were more likely to cite costs as a reason to not take any time off,” AP reported. “Another 11 percent of respondents said they can’t take the time off from work, and 3 percent said they don’t like to be away from their job.”
Forty-one percent of the respondents in AP's survey said their employer doesn't not offer paid time off.
So, it appears that when Americans do take a vacation, they go big or they stay home.