Becoming a travel agent can be an extremely rewarding career, but it’s important to understand the costs associated with the job. This article will explore how much it costs to become a travel agent.
Training
There are two main types of training available for travel agents: formal education and on-the-job training.
Formal Education
While there is no specific educational requirement to become a travel agent, many employers prefer to hire people with at least some formal training. You can attend a travel school, take online courses specific around travel agency, or get a degree in tourism or hospitality.
- Degree in Tourism or Hospitality: $10,000-$40,000
- Travel School: $495-$15,900
On-the-Job Training
Travel agencies often provide on-the-job training, which can last anywhere from a few weeks to several months. It usually involves shadowing experienced agents, completing online modules, or attending workshops.
- Training: $295-$895
- Host Initiation Fee: $0
- Annual Host Agency Fee: $240-$840
Licensing
Travel agents typically have to purchase a license. To obtain your license, you’ll first have to take an exam administered by the state in which you plan to work. Licensing requirements and fees vary by state.
- License: $30-$200
Bond
Most travel agents must post a bond, a type of insurance that protects consumers from fraud or theft. The bond amount varies by state but can be as high as $5,000 to $30,000. The fee you’ll pay is a percentage of the bond price. It’s based on your credit score and can range from 1% to 5%.
- Bond: $250-$1,500
Continuing Education
Travel agents may also have to take continuing education courses to maintain their license. You can usually take the required courses online and complete them at your own pace.
Startup Costs
If you’re interested in starting your own travel agency, you’ll also have to factor in startup costs. These can include the cost of office space, furniture, supplies, and marketing. Your total startup cost will vary depending on the size and scope of your business.
- Start-up Costs: $3,000-$50,000
Ongoing Expenses
There are also a number of ongoing expenses associated with being a travel agent, such as membership fees, web hosting, and marketing.
- Annual Ongoing Expenses: $500-$5,000
Total Cost
The total cost of becoming a travel agent will vary depending on your individual circumstances. You should factor in the cost of training, licensing, and start-up expenses when considering this career.
- Upfront Investment: $14,615-$60,895
- Annual Ongoing Expenses: $500-$5,000
Conclusion
The cost of becoming a travel agent varies depending on the type of training you choose, your licensing and bond fees, and your startup costs. Your total upfront investment can range from as little as $14,615, up to $97,435. You can also expect to face ongoing expenses of $500 to $5,000 per year.