Two hundred thousand dollars a year. That’s what many Aussies now say it takes to holiday without financial stress. It’s a figure that is almost double the Australian average.
With the average Australian salary at $102,742, the pressing question is: if $200K is now seen as the threshold, has stress-free travel shifted into the realm of luxury?
What Australians think is ‘enough’
A nationally representative survey commissioned by TravelInsurance.com.au, revealed a wide spread of perceived income thresholds:
- 19% say between $100,000 and $129,999 would allow them to travel without money worries.
- 13% say $130,000 to $149,999.
- Another 13% say $150,000 to $199,999.
- 11% say $80,000 to $99,999.
- 9% nominated $60,000 to $79,999.
- 12% believe under $60,000 would be sufficient.
Taken together, the findings highlight a clear perception gap: Australians are aligning holiday comfort with income levels far above the national average.
Travel costs keep climbing
TravelInsurance.com.au CEO Shaun McGowan says the economics of travel have shifted significantly in recent years.
“For the majority of Aussies, a six-figure salary is now the baseline if you want to travel without stressing about money.
“Post-pandemic airfares are still more expensive than you’d expect, and then there’s accommodation, insurance, transport, meals, tours — it all adds up quickly,” he says.
“What used to be considered a mid-range holiday can now cost thousands more, which is why so many Australians feel they need a much higher income to travel comfortably compared to five years ago.”
What ‘comfortable travel’ looks like
When asked what it means to travel without financial stress, Australians prioritised spending freedom and flexibility.
The top response was being able to splurge on food, experiences or flights without worrying about the cost (26%). This was closely followed by staying in comfortable or stylish accommodation (20%) and taking longer holidays of two weeks or more (20%).
Other key responses included:
- Choosing a destination based on desire rather than affordability (19%).
- Travelling more than once a year (15%).
Comparing expectations to reality
While the survey reflects perception rather than actual budgets, it shows a growing gap between average earnings and what many believe is required to travel comfortably.
With the average salary at just over $100,000, many Australians may feel travel is increasingly out of reach — unless they prioritise it or adjust their definition of ‘comfortable’.
This disconnect could influence booking behaviours, with travellers opting for fewer trips but upgrading their inclusions, or choosing shorter stays with more indulgent touches.
How rising costs are reshaping Aussie travel
According to Expedia Group’s 2025 Traveller Value Index, almost two-thirds of Australians (63%) say rising costs are impacting their travel plans, significantly higher than the global average of 44%. Despite this, travel intent remains strong: over a quarter (28%) plan to take three or more holidays in 2025.
The new benchmark? A six-figure income. A national survey shows Australians increasingly link holiday comfort with wealth, raising questions about affordability.
Implications for the trade
For the travel industry, the research highlights the importance of understanding client expectations early. Questions around budget comfort levels, priorities (like food, accommodation or experiences), and desired frequency of travel can help agents, in particular, match products to perceptions.
Agents can also demonstrate the value of professional planning, showing clients how far their money can go and where it makes sense to spend or save.
Australian travellers want comfort, freedom of choice and longer stays, all of which present avenues for agents to tailor itineraries and highlight value. The opportunity is to focus on selling value over price, demonstrating how quality inclusions, expert planning and time savings deliver a better experience than a cheaper, pared-back option.
As the gap between perception and reality continues to widen, clear communication and product knowledge will be crucial for agents to position themselves as trusted guides.
KARRYON UNPACKS: With one in four Aussies saying they need $200K+ to travel stress-free, price sensitivity is shaping holiday choices. Agents who emphasise value and tailor comfort-driven options can turn this perception gap into stronger sales.
