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Taking the Plunge: A Travel Agent’s Guide to Charging Fees

Charging travel agent fees can be a hot-button topic among the travel industry. So why charge them? The (very) short answer is that hosted advisors who charged fees earned a 42% higher income average than peers who opted not to charge a fee in 2023.

No wonder charging fees is becoming the norm. Nearly half of hosted travel advisors charge fees 1 . In 2023 travel advisors trade representative, the American Society of Travel Advisors (ASTA), released a credo further normalizing and encouraging professional fees.

hosted advisors who charged fees earned a 42% higher income average than peers who opted not to charge a fee in 2023.

As travel has become more complex, your job as a travel advisor has become more complicated. If you're fee-curious, or on the fence, consider these three reasons to consider charging fees:

  • It's stabilizes your income volume and flow: Commissions may not land in your bank account until final payment or even after travel. That could be months. Fees offer more a more immediate and steadier income stream to help stabilize your bottom line.
  • It's helps attract clients you want. Charging fees (even a plan-to-go fee, which may be applied in full or in part to a booked trip) can help weed out tire kicked, and magnetize the type of travelers who are going to value your work and expertise. It may seem daunting when you're starting out, but future you will thank right-now you for it.

Those are the crib notes. See below's article highlights to get a taste of our full deep dive!

⭐️ HAR Article Highlights: ⭐️

  • A Travel Agent Fee Cheatsheet
  • How (and Why) to Build a Fee-For-Service Travel Business in 8 Steps , an EduSpot from Madeline Jhawar
  • Advice from over 150 travel professionals on charging fees
  • A pep talk on service fees, and when you should definitely charge them.
  • Still not sold? This may encourage you to warm up to service fees.
  • An overview of different service fee types (and which structures might be best for new agents)
  • Recommendations for Fee Processing Systems

A Travel Agent Fees: A Cheatsheet!

Before I launch into a pep talk, I want to show you the goods. We have a cheatsheet that will help you navigate charing a fee (or reevaluating your current fee structure). When you download the pdf, you'll be able to fill it out as a form. The cheatsheet will help you:

  • Figure out what your “hourly wage" is with commissions to help you see If you're on target with your earnings goal.
  • Identify your level of expertise and how it impacts what type of fee you might charge ( NOT how much).
  • Assess how much hand-holding you offer clients
  • Figure out median fees, by region

You can download it here!

How (and Why) to Build a Fee-For-Service Travel Business in 8 Steps

Sometimes it's helpful to hear direct from personal experiences of travel advisors. Madeline Jhawar offered an EduSpot during HAR's 2023 Host Week event and it's still relevant today (if not more relevant.) Take a look if you're more of a visual leaner :)

Need more? Well we always have more because we're kind of extra in the best way here at HAR.

Over 150 agents weighed in, offering advice on verbiage they use with clients when they address fees, a confidence booster for those who are hesitant to charge, and how they transitioned into charging fees (if they didn't charge from the get-go). It's (almost a literal) ton of info! Here it is, uncut:

Phew! That's a lot to consider! Here's the rest of HAR's pep talk (and practical advice), below!

The Pep Talk in Support of Charging Travel Agent Fees

Repeat after me: "i am a professional".

When you seek medical care, you don’t go to a doctor and tell them that you’re just going to pay for the labs and prescriptions. No. You pay your doctor oodles of money because they’re trusted professionals who went to school for a long time to gain the skills to (hopefully) successfully diagnose your symptoms and steer you toward recovery.

Travel agents are professionals too. You’ve invested in professional development with conferences, FAM trips, and training. You deserve to get paid for the time, knowledge, expertise, and research that goes into booking a great trip. Time that a supplier does not compensation for.

Advisors save travelers hours upon hours of time researching, planning, and booking . Seriously, it’s borderline obscene how much time people spend planning vacations. And you don’t do it with the wave of a magic wand or the click of a button.

Commissions Might Not Be Enough

Unfortunately, the travel industry doesn’t default to compensating travel agents for the added value they provide beyond the logistics of booking. This is where fees come into play.

While travel agent commissions may be the bread and butter of a travel agent’s income), it can be difficult to earn a sustainable income on commissions alone. In 2023, fees accounted for 20% of a hosted advisors' total income. Can you imagine a 20% if you're not charging fees already?

In 2023, fees accounted for 20% of a hosted advisors' total income.

I’ll be honest: I’m not a motivational speaker. Far from it. But I do understand how difficult it can be to ask for money. It’s not my M.O. Maybe it’s not yours, either. But do you remember Ron Tidwell from Jerry Macguire? He took no issue asking for money, and I just want to take a moment for you to gain some motivation from him:

(Dang, you gotta miss those VHS visual-quality days!)

Should I Charge a Fee?

Some agents choose not to charge fees, and of course, this is okay. For some agents, charging no fees is a part of their marketing platform––a way to sell themselves to clients. Others just don’t feel like it or don’t feel comfortable charging fees. For others, they express that the commissions they receive provide ample enough income and just don’t need to charge them.

But here’s four instances where I tend to feel really strongly about charging a fee:

  • When booking air-only travel:  Leisure agents can take cues from their corporate agent counterparts and go ahead and charge a fee for air-ticketing. Booking air-only isn't often a huge moneymaker for leisure agents. But it takes time (and sometimes causes headaches.) If a client isn’t willing to pay a ticketing fee for an air-only booking, then maybe they’re not the client for you.
  • Non or Low-Commissionable Bookings: If you’re booking leisure air travel, independent hotels, or smaller vendors that don’t provide a commission, this is another instance where it’s a really good idea to charge a fee.
  • Booking Non-Commissionable Ancillaries or Add-Ons: Travel agent Ria Maratheftis from The Travel Nook said this better than I ever could, “If we provide personalized ‘concierge’ services such as in-depth itinerary planning with non-commissionable components, i.e. (sporting events, concerts, theatre tickets, Disney dining reservations, ride Fastpasses, wedding planning, etc.) then we will typically charge a $100 per person blanket fee to expedite the research, ticketing, shipping & ongoing maintenance.” (Want a trick to book your Disney extras? Check out our Disney Early Reservation Date Calculator ! )
  • Booking FITs (or anything customized): Booking FITs are time-intensive and customized for your client. By nature, it takes more time to create and book FIT itineraries, and you should be compensated for that time.

This just scrapes the surface, and of course, we’ll get into other reasons to charge fees. But if you're making any kind of non or low-commissionable bookings (or components), I highly suggest charging a fee.

Travel Agent Fee Myths Demystified

Advisors who are hesitant to charge fees are typically concerned about attracting or retaining clients or feel they don't have enough knowledge to charge fees. So let me play the role of Jerry McGuire’s Ron Tidwell in why you might still want to charge fees, despite these reservations!

1. I'm Worried About Attracting New Clients:

I understand this. Some respondents to our survey mentioned they live in a small town with other travel agents and that charging a fee would essentially be a death sentence.

But charging a fee—especially for trips that take research, support, and planning or are low or non-commissionable will not only scare away tire-kickers but also support you in creating a loyal customer base that values the added value you bring to their trip. What you don’t want to attract is this kind of client:

2. I Don’t Have Enough Experience to Charge Fees:

Just because you don’t have much experience, doesn’t mean you don’t put a ton of legwork into creating and planning a trip. A new travel agent might spend hours planning a trip, but still, make it look effortless. Their process might be a closer mirror to the consumer process, with more extensive research and time taken to make sure everything is done well. But just because you don’t have much experience, doesn’t mean your time still isn’t valuable. If you fall into this category, here are a few things to consider:

  • Do not charge an hourly fee: If you’re a brand-newbie, charging an hourly fee won’t make sense. Instead, consider a (combination of) per-person fee, flat fee, and/or service fees for booking air-only and low or non-commissionable bookings. 
  • Apply the fee to their booking: If you are lacking confidence, tell your client that you’ll apply the fee to their vacation package/ trip once it’s booked and confirmed that they will book through you. You could do this just for the client’s first trip, or for all trips if you’re still worried about charging a fee.

3. I'm Afraid I Might Lose Clients:

A happy and loyal client will recognize the added value you provide for them. And while attrition might be a part of implementing a fee for the first time, it’s likely that you keep and attract clients who will recognize the value of your services.

4. I don’t know enough about fees to charge them:

Rest assured, once you get to the end of this article, this will not apply to you any longer. If you're not sure how much to charge, take some advice from Steph Lee who chats through a few steps to take to determine how much to charge. Take a look!

5. My state's Seller of Travel Regulations DoesN't Allow It:

In most states with Seller of Travel regulations (in fact, many agents from FL or CA reported charging fees in our survey), you need an SOT license. According to travel lawyer Mark Pestonk, the "issue is whether an IC, who otherwise qualifies for an exemption under a seller of travel law, will lose his or her exempt status merely by charging a fee to clients."

It’s worth noting that hosted agents can still charge fees so long as they are processing those fees through their host agency (that has SOT). You can read more on Seller of Travel Laws here . Check with your host agency specifically about how this can work. Plus, we'll dig into more of Mark's insights on charging fees in a Seller of Travel state soon!

6. My Host Agency Doesn’t Allow Service Fees:

As an independently contracted agent, you have the choice of whether or not to charge fees. Even if a host agency doesn’t have the capacity to process service fees, there are still ways to charge them. If charging a fee is important to you, this might play a big factor for you in choosing (or even switching) host agencies.

Different Types of Fees (Which One Is Right for You?)

We break down fees into two categories:

1. Service Fees:

Service fee charges are pre-booking charges for air-ticketing or a segment of a trip (car, rail, hotel, etc.). The service fees don’t include a charge for research or planning a trip, it’s a charge for the logistics of booking. Different service fee charges can include:

  • Air ticketing, domestic
  • Air ticketing, international
  • Tour package
  • Cancellation
  • Air-inclusive package
  • Accommodation Only
  • Frequent Flyer
  • Ancillary Services
  • FIT Segments
  • Shore Excursions
  • Special Coupons

Service fees are pretty much a given among corporate agents, but much less common among leisure agents.

2. Consultation Fees

Unlike service fees which is a flat transaction charge for booking a trip segment, consultation fees are a charge for your time spent researching, planning, booking a trip for a client as well as your time spent supporting a client during their travel. Consultation fees are becoming more popular among leisure agents and for good reason—it takes a lot of time to plan and book a trip!

Consultation fees are a good idea if you’re doing any kind of customized or non-commissionable booking, and creating a fee structure for consultation fees is more of an art than a science. Different consultation fee structures include:

  • Flat Fee: A flat fee is the most popular consultation fee charge by a large margin. It’s one standard/blanket fee upfront that covers the research and planning of the entire trip, regardless of how many people or days the trip is. A flat fee may function as an “initiation” for a client to render your services in planning a vacation.
  • Hourly Fee: A charge per hour spent researching, planning, and/or booking a trip. This is probably not a great model if you’re a newbie since trip planning may take you a lot longer.
  • Per Transaction Fee: This is where I contradict myself in saying that consultation fees aren’t necessarily a transaction fee. But these fees are popular among booking FITs and will be a consultation charge that’s broken down by segment (for example, a $50 per air ticket or a $25 for rail, etc.). This helps agents get “reimbursed” according to the complexity of a trip (rather than an overall flat fee).
  • Per Person: This is also self-explanatory, and is a great tool if you’re booking groups. Some agents will also charge a per person per day of travel fee.

Still Not Sold? These Two Fee Structures May Help You Warm-Up to the Idea

Look, I'm shameless. If you're still not sold on charging fees, then please allow me one last opportunity to try and tip the scale toward charging.

Here are two fee structures that are particularly good for the faint of heart.

  • Plan-to-go Fee: A plan-to-go fee is essentially where you charge an initial consultation fee for someone to render your services, but then apply it to their booking if they end up booking the trip through you. This gives you peace of mind that even if someone is just coming by to kick the tires on a trip, that you'll be compensated. A plan-to-go fee can be designed like any of the consultation fee structures above (flat fee, per person, etc.). In this case,
  • This is a new one to me, brought to you by travel advisor extraordinaire DeJuan Shorter. He charges a consultation fee to his clients, but only for the first trip, they book with his agency. He chats on it in the video below:

So stinking smart.

Resources for Processing Service Fees

ARC provides a service fee processing system for travel agents. They charge a 3.5% processing fee for charges of $20 or more or $.70 for transactions less than $20. Their subscription costs $25.99 quarterly but is only charged when the account is active.

If you're charging for FIT travel (not just service fees or consultation fees) ARC's program will likely be the best bet for you, since non-travel specific processing systems like Pay Pal, Square, and Quickbooks (listed below) may not process transactions when travel is being sold ( in the CC processing world, travel is a high-risk product ).

2. Through Your Host Agency

If you don’t have GDS access ( what the heck is the GDS? ), your host can run service fees through their system. Each host agency will have a different process for this, so you’ll want to check with them. Typically, your current commission split with your host will also apply to service fees.

If your host does not have GDS, they may not be willing to process your fees, and you’ll need to find your own process system. Which bring me to . . . .

3. PayPal, Square, and QuickBooks, etc.

Here's a rundown of some of the costs:

  • Quickbooks :  2.9% for swiped transactions or 3.4% for manually entered transactions plus a $.25 per transaction fee. If you're rolling in $7,500+ per month in service fees, you'll need to dish out a monthly fee. 
  • PayPal:  2.9% plus $.30 per transaction. 
  • Square:  2.75% for swiped transaction or 3.5% + $.15 for manually entered transactions.

The tricky thing with conventional processing systems like PayPal, Square, and QuickBooks is that sometimes travel industry professionals can be considered high risk, and certain processing systems won’t take the risk of covering you. (*Cough* — HAR may or may not have some personal experience with that!). However, so long as you’re not using the same processing system to sell travel, you should be able to frame your fees as “consultation fees.”

This process may not work if you operate in or are selling to a client that resides in a state with Seller of Travel requirements AND if you’re using your host’s SOT number. If this is the case, then you want to ask your host about processing your fees (more on this subject to come very soon!!!).

Travel Agent Fees in Action!

Don't take it from us! Tune into these travel agent chatter episodes where advisors dish on charging fees!

Learn from Molly Williams, CEO of The Optimists Travel. Through the pandemic, she realized the value of her time and the importance of charging fees. Listen to her recent podcast here!

Here's another great story of an advisor who used his previous experience in pricing at WestJet to start his own agency where he charges—and no, this is not a typo— CAD 60-$500 per ticket. Listen to the podcast to get yourself revved up!

Ashley Morris charges a fee for her destination wedding planning services and, amongst other things, shares her journey on charging fees and why it is a win-win for both the agency and her clients.

More Fee Info! ('Cause You Can't, You Won't, and You Don't Stop)

Because I simply cannot stop myself, here some more info on service fees we have on the site:

  • Three Travel Agents Get Creative with Fee Structures : There are a ton of creative ideas in this article, but these three travel agents have particularly unconventional fee structures. They're too clever not to check out.
  • How Seller of Travel Laws Impact Service Fees : This is is amazing because a.) it has some expert info from Mark Pestronk on charging service fees in states with Seller of Travel Laws and b.)Jamie Jones, COO of WhirlAway Travel (from above) shared insights with HAR to create a customizable template for agents to make their own service agreement to share with their clients. 
  • HAR's Research Reports: If travel agency fee data could take steroids, this is what it would like . . . an entire archive of reports with giant sections dedicated to common fee practices. It's great to take a peek if you'd like to do a little competitive intelligence on charging fees.

How about you? Do you have recommendations for service processing systems? Will you share insights on how you developed your own service fee structure? Let us know in the comment section below! 

[Editor's note: This article was originally published in Jan. 2018 and was updated on the date listed.]

  • Source: Host Agency Reviews Research Reports ↩

About the Author

Mary Stein - Host Agency Reviews

Mary Stein has been working as a writer and editor for Host Agency Reviews since 2016. She loves supporting travel advisors on their entrepreneurial journey and is inspired by their passion, tenacity, and creativity. Mary is also a mom, dog lover, fiction writer, hiker, and a Great British Bake Off superfan.

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Breaking Down the Pros and Cons of Using a Travel Agent

You're convinced that having a travel expert by your side will be useful. But how do you go about knowing when and how to book with them?

What to know when you’re thinking of booking your next trip with a travel agent

Heading out the door? Read this article on the Outside app available now on iOS devices for members! >","name":"in-content-cta","type":"link"}}'>Download the app .

Confession: I’m a big fan of travel agents (whoops, sorry, travel advisers ), even though I could technically book all my trips through websites and apps. And despite the fact that many of us might consider this industry old-fashioned and out-of-date, research shows that travelers, and millennials in particular, are once again turning to these specialists to help plow through TripAdvisor detritus. If you’re wondering: how much does a travel agent cost, and why would I book with one anyway? Read on.

How to Know If You Need a Travel Agent

Once you’ve come around to the idea of hiring a travel agent, ask these three questions before booking:

  • Is this a domestic trip or one that involves traveling to a part of the world you’ve never been? If it’s the former you don’t need a travel agent.
  • Can I get a better deal by using a travel agent? (This question requires you pricing out your trip with and without one.)
  • Is this a big-budget, special-event kind of trip? If the answer is yes, go with a travel agent.

The Pros of Using a Travel Agent

They can find crazy deals..

This is literally their job. If they have been in the travel business for many years, they likely have supplier relationships in place that can help leverage better deals for you. Many travel agents specialize in locations (i.e., cruise vacations in Europe). Some travel agents offer package deals, with more savings passed on to you then booking the trip on your own—that is good news to your wallet.

They will be your advocate.

One of the best ways to utilize a travel agent is as an advocate should something derail on your trip. They can help you with lost luggage, in the case of natural disasters, if you get stuck in a location before your trip, etc. They are there to help you get your trip back on track.

They’ll take care of the little things.

I love my travel agent, and I love all the extras she provides when we use her services for a trip. For instance, when we traveled to the Bahamas, she made sure there was a nice bottle of champagne and strawberries in our room on our arrival, and she also upgraded our room free of charge. While this certainly is not a guarantee when you use a travel agent, there are a lot of added-value extras you can expect when you use a travel agent. Why? Because travel agents know you don’t have to use them to book your trip, and they want to say thank you.

They’re true experts.

Most travel agents have been working in the industry for years now, and it’s their job to stay on top of travel trends and upcoming hot destinations. When I spoke with my travel agent about a trip to Europe recently, she offered a few alternate destinations. I was not thinking about the destinations she suggested, but the alternatives offered great activities, culture, food, interesting boutique hotels, and more options for less money than my original destination.

They don’t usually cost extra.

It’s a myth that working with a travel agent will automatically cost you more; most get paid via commissions from the hotel or outfitter. Sure, some travel agents do charge a fee for putting together an itinerary, but most will credit you that fee if you end up booking the trip through them. Make sure you know all the potential fees before you use a travel agent, and do not hesitate to negotiate away.

The Cons of Using a Travel Agent

They’re not going to help with cheaper airfare..

Back in the day, you would use a travel agent to book every aspect of your trip. However, with so many options to find low-cost airfare, like Google Flights , Scott’s Cheap Flights , and  Skyscanner , booking your own flights is easy and cost-effective. Most travel agents cannot score discounted flights, and many travel agents will not even bother. Follow these tips on how to find the cheapest flights possible , instead.

They’re not you.

This may seem obvious, although it’s still important to consider. A travel agent not only finds you the best deals, but they also offer suggestions for activities, restaurants, and more. This is great if you’re someone who doesn’t like to research these things, but you run the risk of working with someone who doesn’t get your personal preferences (maybe they lean toward road tours rather than technical singletrack). Do your own research first, and come up with a list of activities that you want to do. Once you have that list, pass it along to your travel agent to see if they can rustle up any deals as they book.

How to Find a Great One

One of the best ways to find a reputable travel agent is to get referrals from your friends and family. Anyone that has used that travel agent for a previous trip and enjoyed their service is someone worth checking out. As with anything, I always suggest talking to at least two different travel agents to see who you feel most comfortable with. Remember, they are there to work for you.

Know your travel budget before you reach out to a travel agent. Likely, this will be the first question they ask you and will help steer them toward the best destinations for that budget. If you are traveling somewhere that’s specialized, like going on that once-in-a-lifetime African safari , find a specialist that knows that region inside and out. They will usually have the best deals and relationships with hotels and activity companies in that area.

How Much Does a Travel Agent Cost?

Usually, the cost of hiring a travel agent to organize a trip for you is fairly minimal. Many agencies charge a flat fee of around $100, and others may charge a certain small percentage of your trip. Most of their take-home profits come from the hotels, wholesalers, resorts, and businesses they work with, but be sure to as your travel agent about fees upfront and before you start working with them to plan your next dream vacation. (No one likes hidden fees and surprises.)

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Travel Professional NEWS®

Travel Professional Service Fees – A Guide for 2021 and Beyond

What are Service Fees as a Travel Agent? Learn all about the options, reasons and implementation to succeed as a Home Based Travel Agent

In a Post-COVID World, Travel Professionals Must Learn and Implement Service Fees for Success as a Home Based Travel Agent

The COVID-19 pandemic caught many travel professionals without having a structured service fee in place and many ended up working hour after hour with virtually no pay for doing so. The benefit for consumers was that they realized how important it was to have an advocate in their corner, as most travel distribution channels were unable, or unwilling to try to resolve the chaos that mass cancellations and the closing of the travel industry world wide created. As a result, it is obvious that travel professionals need to have a well thought out service fee agreement to avoid the loss of income if and when disaster strikes.

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Service fees have been a hot topic for travel professionals ever since the airlines did away with airline ticket commissions. Before that time, very few agents charged service fees, as the commissions were robust and getting an agency into profitability was quite easy. During the period subsequent to the elimination of airline commissions, charging service fees has been all over the board. Some agencies do and some don’t. There is no set amount that agents typically charge either.

With the COVID pandemic, every travel agency ended up working harder and harder to keep their heads above water and those that had a service fee structure in place were much more prosperous than those that did not. The beauty of having a special niche is that consumers are more than happy to pay for top quality advice that will end up in their having a more satisfying and successful vacation experience. At this point in history, service fees are something that every travel agency should use as a part of their overall revenue stream.

Airline Commissions and Cruise NCFs

Over the years, suppliers have reduced commissions paid to travel agents, by either reducing the commission rate, or increasing the non-commissionable portion of a sale. Airline commissions were paid at 10% of the airline ticket price and was gradually reduced to 0% as technology reduced the role of travel agents and the need for them to both process payments and document the sale in the form of an airline ticket. Cruise lines also increased the portion of the cost of a cruise fare as a “Non-Commissionable Fare”. While initially NCFs were described as “port fees and other expenses” it became obvious to everyone that NCFs were simply a way for cruise lines to lower the commission amount paid to travel agencies.

Travel professionals that handle commodity transactions (domestic airline tickets, domestic hotel reservations, 3 and 4 day cruises and so on) use service fees to stabilize revenues from sales since the transaction generates an insufficient amount of money to sustain profitability. These kinds of service fees are generally what a travel agent thinks of when planning their revenue stream.

Known as a “transaction fee” agents generally charge a flat fee per transaction regardless of the dollar amount of the transaction. The amount of the fee is dependent upon your agency’s overhead, your business plan and the amount of commodity transaction the agency performs. Understand that a transaction fee is a charge for completing a transaction, not a service fee that implies ongoing service. As an example, an airline ticketing fee does not include refunds, changes or any other transaction type.   Here are some examples of commodity type transaction fees.

Travel Professional Service Fees in 2021 and Beyond (Infographic)

Airline,   Reservation and Ticketing Fee

You charge a fixed fee for creating an airline reservation and issuing an airline ticket or E-ticket for a client.

Airline Reservation Change Fee

You charge a fixed fee for changing an airline reservation for a client.

Airline Cancellation and Refund Fee

This is a fee for cancelling and refunding an airline reservation on behalf of the client.

Hotel Reservation, Change and Cancellation / Refund Fees

Handling motel, hotel and resort reservations that have low commissions should also have a transactional fee attached to them.

Cruise Reservation, Change and Cancellation / Refund Fees

Selling 3 and 4 day cruises and 7-day commodity type cruises requires that you charge fees to maintain profitability. As many agents learned during the pandemic, they were faced with cancellations, rebooking and refunds without remuneration. Don’t get caught in this situation.

Each client will have different needs and expectations so you should be crystal clear about your transactional fees and what is included. This is best done in a written document that the client signs so that you have a copy in the client file.

Travel Professional Service Fees in 2021 and Beyond (Infographic)

Travel Agency Service Fees Enable Service

There is such a difference between today’s niche oriented leisure travel professional and yesterday’s generalist that generated revenues from selling airline tickets, pre-packaged tours and cruises. There is also a huge difference between selling commodity type transactions and complex leisure transactions.

If you think of travel generalist as being like someone that works in a retail clothing store selling clothes. Sure, they may help you pick out a nice shirt and ring up the sale when you are done, but you would not expect much more than that as a customer. Since the sale of off-the-rack clothing is basically a commodity transaction, there is no promise or expectation of exceptional service.

But, if you visit a tailor who is also in the business of selling clothes, but he or she is a specialist and may focus strictly on creating men’s suits at a high price point. His or her service might include several fittings, alterations and adjustments before the suit is completed and they would also offer after sale service such as additional alterations and adjustments. In effect, the tailor is in the complex service business and customers have every right to expect exceptional service and results.

Your Travel Agency Service Fee Package

While you have your agency’s transactional fee schedule, you should also offer clients a service fee package that outlines the various benefits that they will receive by using your services. The service fee package will help clients understand the true nature of your contribution to their vacation and what they can expect to receive. There are various types of services that you can provide the traveler and they are all extremely important.

Consultation and Planning

Every transaction will involve client consultation and planning and this should be covered by your service fee. One of the biggest complaints from travel professionals that do not use service fees to cover this cost is that they do all of the work only to have the client book it online, or somewhere else. Having your Travel Agent Service Fees cover this is the way to go.

Cancellations, Changes and Refunds

Having to change or cancel a vacation happens more than everyone wishes, but if your clients are requesting to change dates or other elements of their vacation, it is covered by your Travel Agent Service Fees , as are refunds.

Vacation Management Services

You can provide the service of being the “goto” person during your client’s vacation for any reason.

  • Changes: If your client needs to change their itinerary while on vacation for any reason, you can make it happen for them.
  • Cancellations: You would manage cancellations at your client’s request.
  • Travel Documents: You can have digital copies of all the clients travel documents so that if they lose them you can easily provide them with copies.
  • Emergency Intermediary: Should your clients have a medical emergency while on vacation you would be the intermediary between the clients and the insurance company. You would be able to act on your client’s behalf for any emergency that occurs while they are traveling.
  • Lost Luggage Tracking: Should the client’s luggage become lost, you can track it down on the client’s behalf and make sure the it is delivered to the correct location.
  • Reconfirming Their Itinerary: You can reconfirm the key components of your client’s vacation before they arrive and also let suppliers know if they are going to arrive early or late.

You can structure your service fee package much like the tailor’s services in the above example. The tailor would offer x number of fittings, y alterations and z post completion alterations. You should spell out exactly what the client is getting in no uncertain terms. This could be x consultation hours, y changes and z post sale support.

Your “Plan to Travel Agreement”

The best way to engage a client is by using a “Plan to Travel Agreement” at the very onset of a client’s desire to have you plan a vacation for them. You explain that you will need to invest x number of hours in planning the travel event and that you normally charge an upfront service fee for planning it. You can also explain that you will provide them a firm quotation for their travel event that they can then shop on the Internet or anywhere they would like. Of course, if the travel event has excellent internal yields, you would probably deduct the service fee from the quote that you provide the client making it difficult for anyone else to compete on a price basis.

You should use a Plan to Travel Agreement for consulting fees, vacation, FIT and group planning and all the various pre and post travel activity as mentioned above.   By conveying the various benefits that they will receive and the comfort knowing that they have a knowledgeable contact should anything come up during their vacation, signing the Plan to Travel Agreement will be very easy for them to do.

Here is a sample Plan to Travel Agreement that you can modify to meet your own needs. You Can also Download it Here .

Plan-to-Travel-Agreement for Travel Agents

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Startup Costs

Let's Talk Travel Agency Fees

For what you get when you partner with us here at TPI as your travel host agency , you’d think you’d pay through the nose. The level of support alone is worth its weight in gold. For example, you’ll get access to the best travel agency marketing tools and techniques, as well as state-of-the-art travel agency software (including robust travel agency back office software technology). But we don’t believe in nickel and diming you. We believe you should keep more of your money. Technology, community, a fun, fresh vibe, exclusive supplier promotions, unparalleled marketing resources, and help 24/7 makes partnering with us the deal of the century.

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Show Me the Money

Depending on your level of commitment to us, we estimate the basic startup costs to own your own travel agency include:

  • Training: $295-$895
  • Host Initiation Fee: $0
  • Typical Business Startup Costs: $500
  • Commitment to Us as Your Host Agency (Annually): $240-$840

For a grand total of anywhere between $1234 to $2074. That’s not a ton of money to start your own business and be your own boss. But do you have what it takes to be a travel agent though?

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Frequently Asked Questions

What is a typical travel agency fee.

Travel agency fees vary. We offer multiple commission split structures so you decide how much you pay in fees and how much of your commission you keep. For example, if you choose to take home less of your commission, your fees to TPI are lower.

What is a travel agency fee?

A travel agency fee is what you pay to work with a host agency like TPI. We determine our fees based on our commission split structures. If you choose to take home less of your earned commissions, your fees are lower, and vice versa.

Does it cost money to become a travel agent?

There are some fees associated with starting your own business. While you will pay for training and general business startup costs, the cost is generally low. Plus, you’re investing in your own business and your future as your own boss! Learn how to become a travel agent today.

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Understanding travel agency fees: the essential guide

travel agency fee

Whether you're planning a business or leisure trip, you might want to save time by using a travel agency. The concept of a tour operator is simple: buy holidays in bulk and for less. This solution often saves you a lot of money, but it's essential to take travel agency fees into account. Here's what they include!

travel agency fee

What are the travel agency fees?

Travel agency fees cover part of the administrative costs involved in booking and managing your trip. These may include flight searches, accommodation reservations, train or plane tickets, transfer coordination, etc. 

Not all travel agencies charge handling fees, but the vast majority do. When you're planning a trip with a travel agency, we advise you to find out about any fees beforehand. This should be done right from the start of the process, so that you clearly understand the costs associated with their services, and avoid unpleasant surprises at the final settlement!

To give you an idea, here's an overview of what a travel agency's handling fee includes.

Consulting fees

First of all, travel agencies may charge a consulting fee for the time spent talking with you, understanding your needs, your preferences in terms of destinations, airlines and type of accommodation, and developing a customized itinerary. Consulting fees also include planning fees, covering the time and effort invested by the agency in designing a trip tailored to your specific needs.

Service, management and transaction fees

Service fees refer to reservations for airfare, accommodations, car rentals, as well as certain travel-related activities. Travel agents coordinate the various elements of the trip to ensure that everything is synchronized, such as flight schedules and hotel reservations. Typically, transaction fees are charged as a percentage of each reservation, modification or cancellation on your behalf.

Service and management fees can also include administrative costs, linked to the agency's general administrative costs, such as the maintenance of reservation systems, personnel, office expenses, etc.

Assistance costs

The advantage of using a travel agency is that they often offer 24/7 assistance throughout the planning stage, as well as ongoing assistance during the trip in case of problems or unforeseen situations.

Insurance costs

Going through a travel agency sometimes involves extra charges for travel insurance, either included or optional. This offers protection to travelers in the event of unforeseen circumstances. Travel insurance costs cover various aspects:

  • trip cancellation due to unforeseen circumstances such as illness, accident or death of a family member;
  • trip interruption for medical emergencies or unexpected events ;
  • medical insurance to cover emergency medical expenses abroad, including hospitalization;
  • baggage insurance guaranteeing reimbursement in the event of loss, theft or damage to baggage during the trip;
  • third-party liability covering damage caused to third parties during the trip.

Insurance costs in France may vary according to the coverage chosen by the agency and the duration of the trip. Find out which travel insurances are best for you , and contact your bank. You may already have adequate travel insurance with your bank card!

Booking through a travel agency: is it more expensive?

If you're thinking of entrusting your travel project to an agency, you're probably wondering: will I pay more? Because if the travel agency is working on my trip, there are bound to be costs!

The answer is no, it won't cost you more. On the contrary, it often saves you money! Whether it's for low-cost or first-class air tickets, accommodation, activities or tours, the travel agency negotiates contracts with various brands and companies at the best price, and obtains exclusive promotions. 

So, if you use a travel agency, the chances are that the price of your holiday will be lower than if you booked directly with each service provider. In many cases, travel agencies can help you save money. The only thing to bear in mind is the booking fee, which varies from one agency to another, depending on the services offered.

What percentage does a travel agency take?

Most travel agencies take between 9% and 15% commission for anything to do with services, stays or tours. For a single airline ticket sold, a travel agency might take 8% of the public price.

However, this percentage varies from one travel agency to another, depending on the services they offer. Some travel agencies may charge between 15% and 20% commission. Make sure you find out what the fees are before embarking on your adventure with a travel agency, and above all, use an agency that is transparent about them!

Why use a travel agency?

The first advantage of using a travel agency is that it saves you time . Travel agents can take care of your trip from A to Z. If you've ever planned a trip, you know how complex and time-consuming it can be. Travel agents take care of planning, hotel reservations, flights, transfers and other details that save you time and energy.

Travel agents are experts in their field and can provide you with useful advice on destinations, the best times to go there, activities to do, and so on. Their in-depth knowledge can help you plan a trip perfectly suited to your needs and preferences.

Then, the second big advantage is that they give you access to preferential rates and exclusive offers, having negotiated with their partners. This means you'll get better deals than if you booked with each provider yourself.

Finally, when you use a travel agency, you often benefit from assistance in the event of a problem (flight delays, cancellations or accommodation problems, etc.). This takes the stress out of your trip, and allows you to quickly resolve any unforeseen situations with a single point of contact!

What's the difference between a travel agent and a travel agency?

A travel agent is someone who works for a travel agency, or who works independently. They help you plan your trip, book flights and hotels, and advise you on visas, travel insurance and tourist activities.

A travel agency is a commercial enterprise that composes and sells a range of travel-related services. It is made up of one or more travel agents.

There is no better option between the two, it all depends on the quality of the services provided by the agency and the independent travel agent, and of course, the prices of the trips offered and the handling fees!

Travel agencies are required to provide a financial guarantee to ensure that travelers are reimbursed in certain situations, such as trip cancellation, non-performance of scheduled services or even bankruptcy of the agency itself. The aim is that, should something go wrong, you're protected from A to Z.

Today, the majority of companies work with a travel agency to plan their business trips, and find it a real added value in terms of travel management. 

To help office managers, we've developed Fairfees , which compares your travel costs across different agencies. This easy-to-use simulator will help you choose the travel agency best suited to your needs.

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What Do Travel Agents Charge? An Overview of Fees and Services

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By Happy Sharer

travel agency fee

Introduction

Travel agents are professionals who specialize in helping people plan and book trips. They can help with everything from researching destinations and planning itineraries to booking flights, hotels, and activities. But what do travel agents charge for their services? In this article, we’ll explore the different fees and services that travel agents provide.

The Pros & Cons of Working with a Travel Agent

When it comes to planning a trip, there are pros and cons to working with a travel agent. On one hand, they can save you time and energy by doing the legwork of researching and booking all your travel arrangements. On the other hand, they may charge fees for their services, which could end up being more expensive than if you had done the work yourself.

Benefits of Working with a Travel Agent

One of the biggest benefits of using a travel agent is that they are experts in the field and can save you time and energy when it comes to planning your trip. A good travel agent will be able to give you personalized advice on where to go and what to do. They can also help you find the best deals on flights, hotels, and activities.

Travel agents also have access to a variety of tools and resources that can make the process of planning a trip easier. They can use these tools to quickly compare prices and find the best options for you. Additionally, they may have relationships with vendors that can help you get better deals or exclusive offers.

Disadvantages of Working with a Travel Agent

One of the main drawbacks of using a travel agent is that they may charge fees for their services. Depending on the type of service, these fees can range from a flat rate to a percentage of the total cost of the trip. Additionally, some travel agents may charge additional fees for certain services, such as booking flights or making changes to an existing reservation.

Another disadvantage of working with a travel agent is that they may not always be able to get you the best deal. For example, they may not be aware of special promotions or discounts that are available online. Additionally, some travel agents may not be as knowledgeable about certain destinations or activities, so it’s important to do your own research as well.

What Types of Services Do Travel Agents Provide?

Travel agents can provide a variety of services, depending on your needs. Here are some of the most common services offered by travel agents:

Flight Bookings

Travel agents can help you find the best deals on flights, whether you’re looking for domestic or international flights. They can compare prices across different airlines and look for special deals or discounts. They may also be able to get you upgrades or other amenities.

Hotel Reservations

Travel agents can help you find the perfect hotel for your trip. They can compare prices across different hotels and look for special deals or discounts. They may also be able to get you upgraded rooms or other perks.

Car Rentals

Travel agents can help you find the best deals on car rentals. They can compare prices across different companies and look for special deals or discounts. They may also be able to get you upgrades or other amenities.

Cruise Bookings

Travel agents can help you find the perfect cruise for your next vacation. They can compare prices across different cruises and look for special deals or discounts. They may also be able to get you upgrades or other perks.

Tour Packages

Travel agents can help you find the perfect tour package for your next trip. They can compare prices across different tours and look for special deals or discounts. They may also be able to get you upgrades or other perks.

How to Find the Best Deals with a Travel Agent

When it comes to finding the best deals with a travel agent, it’s important to do your research. Here are some tips for finding the best deals with a travel agent:

Research Various Travel Agents

It’s important to research different travel agents before choosing one. Make sure to read reviews from other customers and ask for recommendations from friends and family. You should also check to see if the travel agent is a member of any professional organizations, such as the American Society of Travel Agents (ASTA).

Compare Prices and Services Offered

Once you’ve narrowed down your choices, compare prices and services offered by each travel agent. Look at the total cost of the trip, including any fees they may charge, and make sure to read the fine print. It’s also important to compare the types of services offered, such as flight bookings, hotel reservations, car rentals, etc.

Look for Special Deals and Discounts

Make sure to ask the travel agent if they offer any special deals or discounts. Some travel agents may have exclusive offers or access to special promotions. Additionally, many travel agents offer loyalty programs or rewards for repeat customers.

How Much Does it Cost to Use a Travel Agent?

The cost of using a travel agent can vary depending on the type of services they provide. Here is a breakdown of the typical fees charged by travel agents:

Typical Fees Charged by Travel Agents

Most travel agents will charge a fee for their services, which can range from a flat rate to a percentage of the total cost of the trip. For example, some agents may charge a flat fee of $50 for their services, while others may charge a 10% commission on all bookings. Additionally, some agents may offer discounted rates for repeat customers or large groups.

Additional Fees That May Be Charged

In addition to the standard fees, some travel agents may charge additional fees for certain services. For example, they may charge a fee for making changes to an existing reservation or for booking flights or cruises. Additionally, some agents may charge a service fee for processing payments or for providing additional assistance.

The Difference Between Online and Offline Travel Agents

The Difference Between Online and Offline Travel Agents

There are two types of travel agents: online and offline. Each type has its own advantages and disadvantages, so it’s important to consider both when deciding which one to use.

Advantages of Online Travel Agents

Online travel agents are convenient and often offer lower prices than offline agents. Additionally, they may have access to special deals or promotions that are not available through traditional travel agents. Another advantage of online travel agents is that they can typically provide 24/7 customer support.

Advantages of Offline Travel Agents

Offline travel agents can provide personalized service and advice. They can help you plan a customized trip that meets your specific needs and budget. Additionally, they may have relationships with vendors that can help you get better deals or exclusive offers.

How to Compare Prices and Fees Between Different Travel Agents

How to Compare Prices and Fees Between Different Travel Agents

When comparing prices and fees between different travel agents, there are a few things to keep in mind. Here are some tips for comparing prices and fees between different travel agents:

Consider the Total Cost of Your Trip

It’s important to consider the total cost of your trip when comparing prices and fees between different travel agents. This includes the cost of flights, hotels, car rentals, tours, and any additional services you may need. Make sure to add up all the costs to get an accurate picture of the total cost of the trip.

Check for Any Hidden Fees

It’s also important to check for any hidden fees that may be charged by the travel agent. These can include fees for making changes to an existing reservation or for booking flights or cruises. Make sure to ask the agent about any additional fees before booking.

Read Reviews from Other Customers

Finally, make sure to read reviews from other customers before booking with a travel agent. This can help you get an idea of the quality of service they provide and the types of deals they may be able to get you. Additionally, reading reviews can help you avoid any potential scams or shady practices.

Travel agents can be a great resource for planning your next trip. They can save you time and energy by doing the legwork of researching and booking all your travel arrangements. However, it’s important to understand what fees and services travel agents provide and how to find the best deals. By doing your research and comparing prices and services between different agents, you can ensure that you get the best deal possible.

Summary of the Article

This article explored what travel agents charge for their services. We discussed the pros and cons of working with a travel agent, the types of services they provide, how to find the best deals, and the difference between online and offline travel agents. Finally, we provided tips for comparing prices and fees between different travel agents.

Final Thoughts on Choosing a Travel Agent

Choosing the right travel agent can make a big difference in the cost and quality of your trip. Make sure to do your research and compare prices and services between different agents. Additionally, be sure to read reviews from other customers and check for any hidden fees. With the right travel agent, you can ensure that you get the best deal possible for your next vacation.

(Note: Is this article not meeting your expectations? Do you have knowledge or insights to share? Unlock new opportunities and expand your reach by joining our authors team. Click Registration to join us and share your expertise with our readers.)

Hi, I'm Happy Sharer and I love sharing interesting and useful knowledge with others. I have a passion for learning and enjoy explaining complex concepts in a simple way.

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Is a travel agent worth it the pros and cons.

Travel experts agree there are several advantages to hiring a vacation planner.

The Pros & Cons of Using a Travel Agent

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A travel agent can save you money and time.

Need to pivot your trip plans but don't want to deal with the extra time, money and hassle of rebooking flights and accommodations on your own? That's just one area where a knowledgeable travel agent (also commonly known as a travel advisor) can help. Read on to discover the other benefits – as well as the downsides – of using a travel agent, so you can confidently decide whether or not a travel agent is worth it for your next trip.

The Pros of Using a Travel Agent

Travel agents can save you money – and get you other perks.

"In some cases, you'll actually get a better  deal by working with a travel agent," says Jackie Steele, travel expert at MagicGuides . "This could be in the form of a cruise onboard credit (free spending money to use on the ship), access to special agency/group rates, or even just learning about a discount you qualify for but weren't aware of." The best agents will even keep an eye on new discounts as they're announced and apply them to your trip even after you've booked, he notes.

Travel agents handle all the details

Hotel room? Booked. Dinner reservations? Made. Tour tickets? Ready to go. A travel agent handles every detail of your vacation itinerary. "The traveler still gets to be involved in the fun part of dreaming up ideas and providing their travel wishes, while we take and perfect them," says Jessica Parker, founder of Trip Whisperer .

Molly McShea, owner and travel advisor at McShea Travel , points out that travel agents can also help with timing logistics. "Travel agents know how many days should be spent in each destination, which tours go together, and how many things you should do in a day," she says, adding that crafting an itinerary can be challenging if it's not something you regularly do. Additionally, travel agents can help you choose the best time to visit your preferred destination(s) based on seasonality and your budget, and sift through travel insurance policies to find the best option for your needs.

Travel agents can provide local expertise

"A travel advisor's industry connections and relationships provide added value to their clients," says Valerie Edman, a luxury travel advisor and agency owner at Cultured Travel LLC. She says when working with a travel agent, travelers gain access to a global network of connections including:

  • In-destination specialists who work exclusively with travel advisors and can connect travelers with unique, off-the-beaten-path experiences they wouldn't otherwise know about
  • Exclusive experiences not available to the general public

You'll avoid surprise fees

When deciding if a travel agent is worth it for you, remember this: A reputable agent can guarantee you won't encounter any surprise fees on accommodations and activities once your trip is booked.

You'll have someone to troubleshoot unexpected travel issues

A travel advisor is essentially your personal vacation concierge. "Because they've been around for so long, agents really know what to look for," says Christopher Elliott , a consumer advocate and journalist. "Travel agents are among the first to know about flight cancellations and delays , making it easy for them to rebook itineraries right away." 

The Cons of Using a Travel Agent

It might not be your cheapest option.

There are some instances when it makes more sense to plan your own trip. "If you're planning a quick flight from New York City to Los Angeles, it's easy enough to book it yourself online directly or through a third-party booking site," says Elliott. "If you're planning a once-in-a-lifetime trip or bucket list honeymoon , that's when you call the experts."

You'll have less flexibility in your itinerary

The upside of working with a travel agent is having someone plan an epic vacation for you based on industry knowledge and local expertise. But this can also be a downside in the event you discover an activity you'd like to do or a restaurant you'd like to try that isn't on your pre-planned itinerary. If you alter your plans, you risk losing money; plus, the time it takes for you and your travel agent to coordinate your change of plans may not be worth the hassle.

You still have to do some research

It's important to find an agent you can trust, which means you still have to do some of the vacation planning. For this part, Parker recommends picking up the phone. "Lots of people avoid or don't pick up the phone as much anymore," she says. "That's where you get the high-touch service, tone of voice, excitement or concerns to manage." She advises to look for the following red flags:

  • No fees: " Travel advisors are charging planning fees more now or increasing them, so the client knows more confidently than ever, we work for them, not the suppliers with the best commissions," Parker explains. "There are a lot of things that are non-commissionable and the advisor's time and expertise shouldn't be given away for free, either. That's the best way to show an advisor takes their business seriously."
  • Limited options: If you work with someone who is inexperienced or has an incentive to book you with a certain supplier, they may not be prioritizing your best interests. "It's important to check if they are with a larger consortia, accreditations and network, typically listed on their website and signatures," says Parker. "That level of mindshare doesn't come with a lone advisor unless they have many, many years of experience."
  • Slow response times: If communication is delayed, that's a sign they may be too busy to plan your trip – but again, this is something you can avoid by having the right conversations early on.

Edman suggestes starting your search with the American Society of Travel Advisors . "ASTA-verified travel advisors are committed to the highest industry standards and have verifiable industry knowledge so consumers can feel confident in working with them," she says.

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3 Steps to Charge Planning Fees: A Guide for Travel Agents

charge planning fees

If you’re wondering how to charge a professional planning fee as a travel agent, stick around!

First things first, if you’re on the fence about charging a fee for your travel services, I encourage you to check out an article I did a while back on why you should consider charging a professional travel planning fee .

Steps to Charge Planning Fees

Okay, let’s jump into the fabulous discussion of travel planning fees and how the heck to start implementing them.

🌟 Step #1: Change Your Process for When You Get a Lead

I share my exact process for this in my 20K System & Toolkit Destination Wedding Business Course, but essentially, you need a new way to close the deal.

You may be already doing part of this, but the best way to turn a travel lead into a travel client is to do a consultation .

Stop allowing open-ended discussions and quotes flying left and right without first getting the prospective client to realize you’re a professional.

So, the next time the phone rings or a DM hits you up on social, send them a link to schedule a consultation .

As a reminder, the consultation is not a chance for them to pick your brain and suck the life out of you; it is an opportunity for you to be in control of the conversation and ask the questions you would need to know to provide expert travel planning services.

🌟 Step # 2: Showcase Your Value

Once you finish the consultation, you’ll want to send your list of services along with your planning fee.

The best way to do this is to list everything you will be helping your clients with, and then at the bottom of that, you’ll share your professional planning fee.

In my destination wedding business course, the 20K System & Toolkit (because you can make 20K from planning one destination wedding), I have two examples of this in our toolkit—one for just starting and one for the more advanced destination wedding expert.

I’m sharing this because it is okay to start where you are. It is OK to have a small professional planning fee. As you get more experienced and confident, you can raise your prices.

I know you will ask me, “How much should I charge for my travel planning services?” So, I’m not going to leave you hanging.

I’ll share my minimum recommended travel planning fees based on whether you are a newer agent or at least new to charging professional planning fees, as well as for the season travel expert.

charge planning fees

Again, these are just examples and my professional opinion. I have been a travel agent since 2008 and have changed my fee structure multiple times. I was a “My services are free!” travel pro, so I know how intimidating it is to implement this. Start where you feel confident.

🌟 Step # 3: Have a Way to Invoice and Collect a Fee

Can I just say that without this third step, charging a professional planning fee for your wedding or travel planning services won’t fly?

Once your client agrees to hire you, you will want a professional contract they will sign and a way to invoice them.

I have an example of the terms you’ll want in your contract in my course, but the main thing that you need to ensure is that you aren’t responsible for things outside your control. I know some agents are also putting “bullying” clauses in their contracts.

Hiring a legal professional to write this up for you is best. It is an investment that will pay dividends over the years and protect you from people who would otherwise take advantage of you.

These three steps are the foundation for charging fees and having a great relationship with clients who will work with you for all their travel needs.

Something that I learned the hard way in my travel business was that unless I treated myself as a professional first, no one would.

You got this, and I believe in you!

If you’re looking for step-by-step training for destination wedding travel agents, I invite you to the 20K System & Toolkit !

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What Are The Fees For A Travel Agency

Published: November 29, 2023

Modified: December 28, 2023

by Alexandra Dodge

  • Plan Your Trip

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Introduction

Planning a trip can be an exciting and thrilling experience, but it can also be overwhelming, especially when it comes to navigating the fees charged by travel agencies. While travel agencies play a valuable role in helping travelers find the best deals and creating memorable itineraries, it’s important to be aware of the various fees that may come into play.

Travel agency fees are designed to cover the costs associated with the services they provide. These fees can vary widely depending on the type of agency and the services rendered. In this article, we will explore the different types of fees that travelers may encounter when working with a travel agency.

Understanding these fees is crucial for travelers to budget accordingly and ensure they receive the best value for their money. Knowledge is power, and being aware of the fees ahead of time can help travelers make informed decisions and have a stress-free travel planning experience.

In the following sections, we will discuss the various types of travel agency fees, including consultation fees, service fees, booking fees, cancellation or change fees, itinerary planning fees, airline ticketing fees, visa processing fees, travel insurance fees, and baggage fees. By gaining a deeper understanding of these fees, travelers can avoid surprises and plan their trips more effectively.

It’s important to note that while some agencies charge specific fees for their services, others may include these fees within the overall cost of the trip. It’s always a good idea to clarify the fees and services with the travel agency upfront to ensure transparency and avoid any misunderstandings.

Now, let’s delve into the different types of travel agency fees and explore how they may impact your travel planning experience.

Types of Travel Agency Fees

When working with a travel agency, it’s essential to understand the different types of fees that may be involved. These fees are intended to cover the costs associated with the services provided. Here are some common types of travel agency fees:

  • Consultation Fee: Some travel agencies charge a consultation fee for the initial meeting or discussion to understand the traveler’s preferences and requirements. This fee compensates for the time and expertise provided by the travel agent in researching and recommending suitable travel options.
  • Service Fee: Service fees are charges imposed by the travel agency for their assistance in arranging transportation, accommodations, and other travel arrangements. This fee covers the time and effort spent by the agent in creating a customized travel itinerary and providing ongoing support throughout the trip.
  • Booking Fee: Travel agencies may charge a booking fee for making reservations on behalf of the traveler. This fee covers the administrative tasks involved in securing transportation, accommodations, and other activities.
  • Cancellation or Change Fee: If the traveler needs to cancel or make changes to their travel plans, a cancellation or change fee may apply. This fee compensates the travel agency for the additional work required to modify or cancel existing bookings.
  • Itinerary Planning Fee: Some travel agencies offer specialized itinerary planning services, where they create a detailed day-by-day plan that includes activities, attractions, and dining options. This fee covers the time and expertise in curating a personalized itinerary.
  • Airline Ticketing Fee: When booking flights through a travel agency, an airline ticketing fee may be charged. This fee covers the agency’s costs associated with issuing airline tickets and processing the necessary documentation.
  • Visa Processing Fee: Travel agencies that assist travelers with visa applications often charge a visa processing fee. This fee compensates the agency for the effort and time spent in preparing and submitting visa applications on behalf of the traveler.
  • Travel Insurance Fee: If the traveler opts for travel insurance through the travel agency, a travel insurance fee may be included. This fee covers the cost of the insurance policy and the administrative tasks involved in arranging coverage.
  • Baggage Fees: In addition to the fees mentioned above, travel agencies may also inform travelers about potential baggage fees imposed by airlines. This ensures that travelers are aware of any additional costs they may encounter during their trip.

It’s important to note that not all travel agencies charge all of these fees. The specific fees and their amounts can vary depending on the agency’s policies and the services provided. When working with a travel agency, it’s wise to discuss all potential fees upfront to avoid any surprises later on.

Now that we have explored the various types of travel agency fees, let’s take a closer look at each one in more detail.

Consultation Fee

A consultation fee is a common type of fee that some travel agencies charge for their expertise and time spent in assisting travelers with their trip planning process. This fee is typically imposed during the initial consultation or discussion with the travel agent.

When travelers consult with a travel agency, they often seek guidance and recommendations for their upcoming trip. The travel agent will take the time to understand the traveler’s preferences, interests, and budget constraints. They will then use their expertise and knowledge to research and suggest suitable travel options.

The consultation fee compensates the travel agent for their time, research, and expertise in creating a personalized travel plan for the traveler. It acknowledges the value that the travel agent brings to the table in terms of their industry knowledge, access to special deals, and the ability to curate unique and memorable experiences.

While not all travel agencies charge a consultation fee, those that do typically offer additional services and benefits beyond just booking flights and accommodations. These agencies may have specialized knowledge in specific destinations, niche travel experiences, or luxury travel arrangements.

It’s important to note that a consultation fee is usually non-refundable, even if the traveler decides not to book with the agency. This fee reflects the time and effort invested by the travel agent in researching and planning the recommended travel options.

Consultation fees can vary in amount, depending on the agency and the level of service provided. Some agencies may charge a flat fee for the consultation, while others may have a tiered structure based on the complexity and duration of the trip.

Paying a consultation fee can be beneficial for travelers as they gain access to personalized recommendations, insider tips, and expert advice from a professional travel agent. With their industry knowledge and experience, the travel agent can help travelers navigate through the overwhelming amount of information available and create a well-planned and customized itinerary.

Before engaging with a travel agency, it’s important for travelers to inquire about any consultation fee and understand the services included in the fee. This allows travelers to make an informed decision and select the agency that best aligns with their travel needs and budget.

Now that we have explored the consultation fee, let’s move on to the next type of travel agency fee: the service fee.

Service Fee

A service fee is a type of fee charged by travel agencies for the services they provide throughout the trip planning process. This fee covers the time, expertise, and resources utilized by the travel agent to create a customized travel experience for the traveler.

When a traveler engages with a travel agency, they rely on the expertise of the travel agent to navigate through the complexities of the travel industry. The travel agent will provide valuable assistance in arranging transportation, accommodations, and other travel-related services.

The service fee compensates the travel agency for the following services:

  • Researching and identifying the best travel options based on the traveler’s preferences and budget.
  • Creating a customized travel itinerary that includes flights, accommodations, transportation, activities, and attractions.
  • Handling the booking process, including making reservations, securing tickets, and confirming arrangements.
  • Providing ongoing support and assistance before, during, and after the trip, including addressing any issues or concerns.

The service fee varies depending on the complexity and duration of the trip, as well as the individual policies of the travel agency. It may be calculated as a percentage of the overall trip cost or as a separate, flat fee.

It’s important for travelers to understand that the service fee is separate from the cost of the actual travel services, such as flights and accommodations. The fee compensates the travel agency for their time, expertise, and personalized attention throughout the entire trip planning process.

Although the service fee is an additional cost, it can be highly beneficial to travelers. By working with a travel agency and paying the service fee, travelers gain access to valuable resources and expertise that can enhance their travel experience.

Travel agencies have access to industry discounts, special promotions, and insider knowledge that can result in cost savings and unique experiences for the traveler. Additionally, the travel agency’s connections and relationships with suppliers can often lead to preferred treatment and added perks for their clients.

Paying a service fee also means having the peace of mind of having a dedicated professional manage the logistics and details of the trip. The travel agent can handle any unexpected changes or issues that may arise, saving the traveler time and stress.

Before engaging with a travel agency, travelers should inquire about the service fee and what services are included. It’s essential to have a clear understanding of what to expect and how the fee contributes to a seamless and enjoyable travel experience.

Now that we have explored the service fee, let’s move on to the next type of travel agency fee: the booking fee.

Booking Fee

When working with a travel agency, travelers may encounter a booking fee. This fee is charged by the agency for their assistance in making reservations for transportation, accommodations, and other travel-related services.

Booking fees compensate the travel agency for the administrative tasks involved in securing the necessary arrangements for the traveler’s trip. This includes researching availability, comparing prices, and processing reservations.

The booking fee covers the time and effort spent by the travel agent in ensuring that the traveler’s preferred flights, hotels, or other services are booked correctly and according to the traveler’s specifications.

The amount of the booking fee can vary depending on the complexity and number of bookings involved. Some travel agencies charge a flat fee per booking, while others may impose a percentage-based fee relative to the overall cost of the reservation.

It’s important for travelers to understand that the booking fee is separate from the actual cost of the transportation, accommodations, or activities being booked. The fee is an additional charge that the agency applies to compensate for their services.

Paying a booking fee can provide travelers with several benefits. First, it saves them time and effort by allowing the travel agency to handle all the administrative tasks associated with making reservations. This can be particularly helpful for travelers with complex itineraries or those who prefer to have an expert take care of the details.

Additionally, travel agencies often have access to special deals, discounts, or exclusive rates that may not be available to the general public. By paying the booking fee, travelers can tap into these connections and potentially obtain better prices or added perks for their travel arrangements.

It’s essential for travelers to inquire about the booking fee upfront and understand its inclusion when discussing rates and prices for travel services. Clear communication with the travel agency ensures transparency and avoids any misunderstandings regarding the final cost of the trip.

Remember, not all travel agencies charge a booking fee. Some agencies may choose to include the cost of booking in their service fee or offer it as a complimentary service to their clients. Understanding the specific fee structure of the agency you are working with is crucial to making informed decisions.

Now that we have explored the booking fee, let’s move on to the next type of travel agency fee: the cancellation or change fee.

Cancellation or Change Fee

Travel plans can be unpredictable, and sometimes circumstances arise that require canceling or changing a trip. When working with a travel agency, travelers should be aware of potential cancellation or change fees that may apply in such situations.

A cancellation or change fee is a charge imposed by the travel agency when a traveler needs to cancel or modify their existing travel arrangements. This fee is intended to offset the costs and administrative efforts involved in adjusting or canceling bookings.

The specific amount and policies regarding cancellation or change fees can vary between travel agencies. It’s important for travelers to familiarize themselves with the agency’s terms and conditions before making any reservations to understand the potential financial implications of canceling or altering their plans.

Cancellation or change fees are typically charged when modifications are made to flights, accommodations, or other travel services. Depending on the timing and nature of the change, the fee may be a percentage of the total booking cost or a fixed fee specified by the agency.

It’s crucial for travelers to be aware that cancellation or change fees are separate from any penalties or fees imposed directly by airlines, hotels, or other service providers. These fees are specific to the travel agency and compensate them for their time and effort in processing the changes or cancellations.

While cancellation or change fees are an additional expense, they serve as a form of insurance for travelers. By paying these fees, travelers can have the peace of mind of knowing that their travel agency will handle the necessary adjustments or cancellations, saving them time and effort.

When faced with changes or cancellations, it’s important for travelers to inform their travel agency as soon as possible to minimize any potential fees. Early communication with the agency allows them to explore options, such as rescheduling or rebooking, that may incur lower charges.

Understanding the cancellation or change policy of the travel agency and the terms and conditions associated with it is key to making informed decisions. Travelers should inquire about these policies before making any reservations and evaluate their flexibility needs and the potential financial implications.

Now that we have explored the cancellation or change fee, let’s move on to the next type of travel agency fee: the itinerary planning fee.

Itinerary Planning Fee

An itinerary planning fee is a type of fee that some travel agencies charge for the creation of a detailed and customized travel itinerary. This fee compensates the agency for their time, expertise, and effort in curating a personalized itinerary that meets the traveler’s preferences and requirements.

When travelers approach a travel agency for assistance, they often seek guidance in creating a well-organized and enjoyable travel experience. The agency’s itinerary planning service goes beyond booking flights and accommodations—it involves crafting a day-by-day plan that includes activities, attractions, dining options, and other essential details.

The itinerary planning fee covers the time and expertise of the travel agent in researching destinations, identifying unique experiences, and organizing the logistics of the trip. The agency takes into account the traveler’s interests, budget, and travel goals to create a comprehensive itinerary that maximizes their enjoyment and minimizes any potential stress.

Each itinerary is carefully tailored to the traveler, highlighting their preferences and incorporating any special requests or requirements. The travel agent’s knowledge of popular landmarks, hidden gems, local customs, and transportation options ensures that the itinerary reflects an authentic and enriching travel experience.

Itinerary planning fees can vary based on the complexity and duration of the trip, as well as the level of customization required. Some agencies may charge a flat fee for the entire itinerary planning service, while others may charge an hourly rate.

Paying an itinerary planning fee provides travelers with several benefits. First and foremost, it saves them valuable time and effort that would otherwise be spent researching and organizing the trip themselves. The travel agent’s expertise and industry knowledge streamline the planning process and provide peace of mind.

Additionally, the personalized nature of the itinerary ensures that the traveler’s preferences and interests are taken into account. The travel agent’s recommendations for activities, attractions, and dining options are tailored to the traveler’s tastes, resulting in a more enjoyable and memorable experience.

It’s important for travelers to inquire about the itinerary planning fee upfront and understand the scope of services included. Travelers should communicate their preferences and expectations clearly to ensure that the final itinerary meets their needs.

By paying the itinerary planning fee, travelers can leverage the expertise of the travel agency to create a well-structured and fulfilling travel experience. The detailed itinerary serves as a roadmap, guiding travelers through new destinations and ensuring that their journey is both seamless and memorable.

Now that we have explored the itinerary planning fee, let’s move on to the next type of travel agency fee: the airline ticketing fee.

Airline Ticketing Fee

An airline ticketing fee is a charge imposed by travel agencies for their assistance in booking airline tickets on behalf of travelers. This fee compensates the agency for the time, resources, and expertise required to secure the desired flights.

When travelers work with a travel agency to book flights, the agency acts as an intermediary between the traveler and the airline. The travel agent searches for available flights, compares prices, checks for any applicable discounts or promotions, and handles the booking process.

The airline ticketing fee covers the administrative tasks associated with issuing tickets and processing the necessary documentation. This includes securing the desired seats, arranging any special services such as dietary preferences or wheelchair assistance, and ensuring that the traveler’s information is accurately recorded.

The amount of the airline ticketing fee can vary depending on the number of tickets being booked, the complexity of the itinerary, and the airline policies. Some travel agencies charge a flat fee per ticket, while others may impose a percentage-based fee relative to the cost of the flight.

Paying an airline ticketing fee provides travelers with several advantages. First, it saves them time and effort by allowing the travel agency to handle the complex and time-consuming process of searching for and booking flights. The travel agent’s expertise ensures that travelers secure the best available options and deals.

In addition, travel agencies often have access to special fares, discounts, or exclusive offers that may not be readily available to the general public. By paying the airline ticketing fee, travelers can take advantage of the agency’s industry connections and potentially secure better prices or added benefits for their flights.

Furthermore, having a travel agent manage the ticketing process provides peace of mind, especially in the case of any unexpected changes or issues. The agent can assist with rebooking or rescheduling flights, handling any necessary refunds or adjustments, and providing support in the event of flight delays or cancellations.

It’s essential for travelers to inquire about the airline ticketing fee when working with a travel agency to book flights. Understanding the fee structure and the services included is crucial to making informed decisions and assessing the overall cost of the trip.

By paying the airline ticketing fee, travelers can rely on the expertise of the travel agency to handle the complexities of airline bookings, ensuring a smooth and hassle-free travel experience.

Now that we have explored the airline ticketing fee, let’s move on to the next type of travel agency fee: the visa processing fee.

Visa Processing Fee

When traveling to certain countries, a visa is often required. The visa processing fee is a charge imposed by travel agencies for their assistance in preparing and submitting visa applications on behalf of travelers.

Obtaining a visa can be a complex and time-consuming process that involves gathering the necessary documents, completing application forms, and adhering to specific requirements set by the destination country. Travel agencies can provide valuable assistance in navigating through the visa application process.

The visa processing fee compensates the travel agency for their time, expertise, and administrative efforts involved in the visa application process. The agency may help travelers understand the visa requirements, collect the necessary documentation, complete the application forms, and submit the application to the appropriate consulate or embassy.

The fee can vary depending on the destination country and the complexity of the visa application. Some travel agencies charge a flat fee per visa application, while others may impose a fee based on the level of assistance required or the number of travelers included in the application.

Paying a visa processing fee can be beneficial for travelers in several ways. Firstly, it saves them time and frustration by allowing the travel agency to handle the intricate visa application process. The agency’s knowledge and experience in dealing with visa requirements can help ensure that the application is accurate, complete, and submitted within the required timeframe.

Additionally, travel agencies stay up to date with the latest visa regulations and requirements, including any changes or updates. This ensures that travelers have the most current information and can fulfill all necessary criteria for a successful visa application.

It’s important for travelers to understand that the visa processing fee is separate from the actual visa fees charged by the consulates or embassies. The visa processing fee covers the agency’s services and does not include the cost of the visa itself.

When working with a travel agency, travelers should inquire about the visa processing fee and ask for a breakdown of the services included. It’s important to be aware of any additional costs or fees associated with the visa application process.

By paying the visa processing fee, travelers can rely on the knowledge and expertise of the travel agency to guide them through the visa application process, ensuring that their travel plans remain on track and they meet all the necessary requirements.

Now that we have explored the visa processing fee, let’s move on to the next type of travel agency fee: the travel insurance fee.

Travel Insurance Fee

Travel insurance is an important aspect of trip planning as it provides financial protection and peace of mind in case of unforeseen events. The travel insurance fee is a charge imposed by travel agencies for arranging travel insurance coverage on behalf of travelers.

Travel insurance offers various types of coverage, such as trip cancellation or interruption, medical expenses, emergency evacuation, lost baggage, and many more. The travel insurance fee compensates the travel agency for their time and effort in researching, recommending, and securing the appropriate travel insurance policy for the traveler.

The fee can vary depending on the type and level of coverage, the duration of the trip, the traveler’s age, and other factors. Some travel agencies charge a flat fee per policy, while others may include the fee as a percentage of the overall travel insurance premium.

Paying the travel insurance fee offers several benefits to travelers. First and foremost, it helps protect them from potential financial losses due to trip cancellations, medical emergencies, or other unforeseen circumstances. Travel insurance provides a safety net and can alleviate the burden of unexpected expenses.

Travel agencies have access to a range of travel insurance providers and policies, allowing them to find the coverage that best suits the traveler’s needs. They can advise on the appropriate level of coverage based on the traveler’s destination, activities planned, and any pre-existing medical conditions.

In addition to financial protection, travel insurance also provides valuable assistance in case of emergencies. Travelers can receive support and guidance from the travel agency in navigating through medical emergencies, coordinating travel arrangements, or accessing necessary services while abroad.

It’s important for travelers to understand that the travel insurance fee is separate from the actual cost of the insurance policy. The fee compensates the travel agency for their expertise and assistance in securing the appropriate coverage.

When working with a travel agency, travelers should inquire about the travel insurance fee and the specific coverage details included in the policy. It’s crucial to review the policy terms and conditions to ensure it meets the traveler’s needs and provides adequate protection for their trip.

Paying the travel insurance fee is a wise investment as it provides travelers with financial protection and support during their travels. The peace of mind that comes with having comprehensive travel insurance allows travelers to focus on enjoying their trip, knowing that they are protected against unexpected events.

Now that we have explored the travel insurance fee, let’s move on to the next type of travel agency fee: the baggage fees.

Baggage Fees

When traveling by air, baggage fees are a common additional expense that travelers may encounter. While baggage fees are not directly charged by travel agencies, reputable agencies often inform travelers about potential baggage fees imposed by airlines to ensure that they have a complete understanding of the total cost of their trip.

The baggage fees charged by airlines can vary significantly depending on factors such as the airline, flight class, destination, and weight or size of the baggage. These fees are typically associated with checked baggage, although some airlines may also charge fees for carry-on luggage that exceeds specified dimensions or weight limits.

Travel agencies play a crucial role in informing travelers about baggage fees upfront, allowing them to budget accordingly and make informed decisions. They can provide guidelines on baggage restrictions, allowances, and any associated fees to help travelers plan and pack accordingly.

Paying attention to baggage fees can help travelers avoid unexpected expenses during their journey. By understanding the baggage policies and fees of the selected airline, travelers can make informed decisions about the number of bags, weight limits, and any additional charges they may incur.

Travel agencies can also provide valuable tips on packing efficiently and maximizing baggage allowances, helping travelers minimize the likelihood of exceeding weight limits or having to pay additional fees.

While baggage fees are not typically included in the fees charged by travel agencies, the agencies’ role in providing information and guidance regarding these fees enables travelers to make smart choices and avoid unforeseen costs.

It’s important for travelers to stay updated on baggage policies as they can vary between airlines and change over time. Travel agencies can assist in providing the most current information and advising on any updates or changes to baggage policies.

When working with a travel agency, it is recommended that travelers inquire about baggage fees and policies during the booking process. This helps ensure that the traveler has a comprehensive understanding of all potential fees associated with their trip.

By being informed about baggage fees and adhering to airline policies, travelers can plan and budget for these additional expenses, making their travel experience more seamless and hassle-free.

Now that we have explored the various types of travel agency fees, it’s important for travelers to remember that not all agencies charge all of these fees. The specific fees and their amounts may vary depending on the agency’s policies and the services provided. Clear communication with the travel agency is essential to understanding the fees and services before making any reservations.

Travel agencies play a vital role in helping travelers plan and arrange their trips. While their services are valuable, it is important for travelers to be aware of the various fees that may be associated with working with a travel agency. Understanding these fees upfront allows travelers to budget appropriately and make informed decisions.

In this article, we explored several types of travel agency fees, including consultation fees, service fees, booking fees, cancellation or change fees, itinerary planning fees, airline ticketing fees, visa processing fees, travel insurance fees, and baggage fees. Each fee serves a specific purpose and compensates the travel agency for their time, expertise, and resources utilized during the travel planning process.

It’s important to note that not all travel agencies charge all of these fees. The specific fees imposed by an agency may vary depending on their policies, the services provided, and the individual needs of the traveler.

By understanding the different types of fees, travelers can better appreciate the value that travel agencies bring to their travel planning journey. Paying these fees can provide travelers with customized itineraries, time-saving assistance, access to exclusive deals, and peace of mind through additional protection and support.

Before engaging with a travel agency, travelers should inquire about the fees associated with their desired services and clarify the services included in each fee. Clear communication and transparency between the traveler and the agency will ensure a positive and satisfactory experience.

Travelers should also take into account their own preferences, needs, and budget when considering the value of working with a travel agency. While there may be fees involved, the benefits gained through the expertise, convenience, and personalized services provided by travel agencies can often outweigh the costs.

In conclusion, understanding travel agency fees is essential for travelers to make informed decisions and receive the best value for their money. By being aware of the fees and services offered by travel agencies, travelers can enjoy a seamless and stress-free travel planning experience, knowing that their needs are taken care of by professionals in the industry.

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A Travel Agent Fee Evolution: Transaction Fees Give Way to Charging for Great Service

Charging fees on airline tickets and other non-commissionable items has become standard practice for many travel agencies. But it’s only a small part of how the fee-based model can help travel agencies succeed in a world of shrinking commissions and digitally savvy consumers.

Moving beyond transactional fees into full consultancy mode is the key, says travel industry consultant Nolan Burris, president of Future Proof Travel Solutions, who has been counseling agents on the potential of service fees since 1999. Travel Market Report sat down with Burris to get his take on how and why agents are taking the fee concept to new levels.

You have been an advocate of travel agencies embracing the fee-based model for some years now. Are you seeing any changes in how agents are approaching fees? I’ve definitely seen a big jump in one key area: agents that have gone well beyond charging simple “transaction fees” of $25 to $50. They have successfully repositioned themselves as professional consultants with premium fees ranging from $250 to $1,000—some even higher. 

I’m often asked what it is they do for that sort of fee. The answer is simple: their fees have nothing to do with making bookings. They are entirely about extreme high levels of service, highly detailed consulting and research, and even incorporating non-commissionable and otherwise “time wasting” things ignored by traditional agents.

In general, are you seeing progress among travel agencies when it comes to embracing the fee concept? Definitely. It’s no longer just agencies getting started with fees, but dominated by those moving to more premium levels of fees.

In our online video course series, the ones focused on fees consistently get the most views. Our most downloaded tool is the one that helps agencies calculate profitable fees. Our most commonly received email questions are about fees, and the most requested workshops at events where I speak are related to fees.

Are leisure agencies as well as corporate coming on board with fees? Absolutely!  In fact, while corporate may have been the first to adopt fees (due to zero air commission), leisure agencies tend to successfully charge the highest rates.  

Once agencies start charging fees, how do they evolve from simple transactional fees to more comprehensive ones? There is a very clear pattern of progression. At first, most agencies approach fees as a “commission filler” to make up for cruise NCFs, low margin products, etc. In other words, they charge minimal fees to get back to where they once were with revenue. The focus is primarily on covering costs.

Then the light bulb goes on. They see that even a little extra revenue can make a big difference in their ability to provide better service. In a world where anyone can get a booking with a finger tap, service is more important than ever as a competitive edge. But it’s hard to offer that when struggling with reduced commission, or even full commission on cheaper products. It’s at this stage that I see agencies think about increasing their fee amounts.

Where do they go from there? The third stage is when agencies charging minimal fees realize that you can’t “wow” customers with an extra $10. To totally wow them with remarkable service, you have to be able to pay for the things that it requires: systems, spending quality time with each client, extra training, rebranding, marketing, dealing with non-traditional products when requested, etc. At this stage, many still think in terms of simply covering the cost of such things.

The fourth stage is where I’m seeing the biggest spike. This is where the focus has moved beyond simply covering costs or making up for lost commissions. Instead, this is where agencies start looking at their fees and the service they provide as a product in and of itself, separate from the cruise or tour. They see it as a product upon which profit should be earned, separate from whatever may or may not be booked.  

What kind of new services do they add to justify increased fees? More agents are now looking at the “whole trip” experience, not just transportation and accommodations. They do things like restaurant research, activities planning, cultural arrangements (museums, sports, concerts) and such, as an integral part of their trip consultations. This is when fees generally go from $25 or $50 to $250 or $1,000.  

Statistics show that typical vacation-takers spend as much or more money once they arrive as they do on the upfront cost of the trip. This includes restaurants, local tours, activities and more—most of which is non-commissionable.  

Are some agents embracing premium service fees from the very start? The biggest surge is in agents, especially independent ones, who have skipped right past stage one, two, and three. This new breed of travel consultants has seized on the opportunity to earn revenue through consulting fees. After all, those things represent the actual experience of the vacation. It’s where customer satisfaction and repeat business comes from. Why leave it to chance?

Has the need to charge fees become even more important in the past few years? There is definitely more of a “need” to charge fees, but in my opinion, it’s the wrong reason. One can easily make up for lost commission revenue by focusing on certain types of products, maximizing preferred suppliers, and hitting performance targets. However, none of those are reasons a tablet-tapping customer would call a travel consultant. In fact, surveys show it causes them to be suspicious of the advice they receive; it’s the old “no such thing as a free lunch” assumption.

I truly believe the most important reason to charge fees has nothing to do with “need” or reduced commission. Instead, it’s to be able to fund creating a superior human consulting experience they’ll never find on an app or website. I also believe fees help travel consultants take control of their own financial futures instead of leaving it in the hands of faceless multi-national corporations. Not to sound dramatic, but we should have learned our lesson from the airlines and NCFs.  

Of all the agents I know who have made the leap to substantial fees, I don’t know a single one that would go back to relying exclusively on commission.  

travel agency fee

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Why Off-Peak Travel is Booming…And How to Sell It

Those in the know, both travelers and their travel advisors alike, are well aware that venturing out in the off season has palpable advantages.

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TMP Toronto Wraps Up with a Focus on Building Caribbean and Cruise Business

After a big day one at the 10th anniversary of TMP East, here’s a small taste of what happened on stage on day two. 

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Luxury is ever evolving, Explora Journeys' president, North America, Chris Austin told a packed audience at TMP East.

Travel Market Place Celebrates 10 Years with Largest-Ever Conference

This year’s TMP East gathered together more than 550 advisors and 130 suppliers – more than any year prior. 

TRAVELSAVERS Canada Names New Directors

The consortium is expanding its leadership team with two new appointments.

Travel Agency Execs Expect a "Leveling Off" but Say There Will Be No Plateau

The sharp vertical growth the industry has been seeing is starting to soften... but there's no plateau coming.

All Signs Point to Another Banner Year for Agency Community

If 2023 was a banner year for the travel agency community, 2024 is shaping up to be even banner-er. 

TMR Outlook on Land Tours 2024

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DMW Shuts Down MisOr Travel Agency Over Illegal Recruitment

# DMW Shuts Down MisOr Travel Agency Over Illegal Recruitment

In a significant move aimed at curbing illegal recruitment activities, the Department of Migrant Workers (DMW) has shut down a travel agency operating in Misamis Oriental. This decisive action is part of a broader effort by the government agency to protect overseas Filipino workers (OFWs) from predatory practices. The travel agency had been under the radar for some time, following numerous complaints and reports from unsuspecting job seekers.

## Understanding the Role of DMW

The **Department of Migrant Workers (DMW)**, a beacon of hope for many Filipinos aspiring for better opportunities abroad, consistently strives to ensure that all recruitment activities adhere to legal standards. By regulating and monitoring the recruitment process, the DMW aims to safeguard the rights and welfare of Filipino workers overseas.

### The Modus Operandi of the Illegal Recruitment Agency

The travel agency in Misamis Oriental, now under scrutiny, was found guilty of several legal infringements. Here are the main violations identified:

  • **Unlicensed recruitment**: Operating without mandatory licenses and permits from the DMW.
  • **Exorbitant fees**: Charging applicants excessive fees for non-existent job placements.
  • **False promises**: Issuing job offers that didn’t materialize, often in collaboration with fraudulent foreign employers.
  • **Document forgery**: Producing fake documentation to mislead both the applicants and authorities.

### Impact on Job Seekers

Numerous aspiring OFWs fell victim to this unscrupulous agency, resulting in financial losses and emotional trauma. Many job seekers invested their hard-earned money, only to discover that the job offers were nonexistent. The agency’s actions have left many in dire straits, struggling to recover from the financial blow and shattered dreams.

### The Closure Operation

The shutdown operation was initiated after a series of meticulous investigations by DMW officials. The agency gathered sufficient evidence, which was crucial in executing the closure effectively. Here’s a breakdown of the steps taken:

– **Surveillance and Investigation**: An undercover team collected crucial information and monitored the operations.

– **Collaboration with Local Authorities**: DMW worked in tandem with local law enforcement to ensure a coordinated effort.

– **Information Campaign**: Public advisories were issued to alert the community about the agency’s illegal activities.

Image: DMW officials during the operation

### Protecting OFWs: What the DMW Is Doing

The DMW isn’t stopping with just this closure. They are continually enhancing their methods to protect aspiring OFWs from fraudulent agencies. The closure of this travel agency marks a **significant victory** in the fight against illegal recruitment, but the battle is far from over. Here are some proactive steps the DMW is taking:

#### Strengthening Regulations

By continually revising and updating regulations, the DMW ensures that recruitment practices remain transparent and fair. Stricter guidelines and more severe penalties for violations act as deterrents for potential fraudsters.

#### Awareness Campaigns

Educating the public is a vital component in preventing illegal recruitment. The DMW regularly conducts seminars and outreach programs to inform potential overseas workers about their rights and the proper channels for job placement.

#### Technological Enhancements

Adopting advanced technology for monitoring and verification processes has made it easier for the DMW to track and identify illegal activities. Tools like blockchain for verifying document authenticity and artificial intelligence for pattern recognition are among the innovations being considered.

### How to Recognize Legitimate Recruitment Agencies

For job seekers, it’s crucial to differentiate between legitimate and fraudulent agencies. Here are some tips to help:

– **Verify DMW Accreditation**: Ensure the agency has the necessary licenses from the DMW.

– **Check Reviews and Testimonials**: Look for feedback from previous applicants.

– **Be Wary of Upfront Fees**: Genuine agencies typically ask for fees after job confirmation, not before.

– **Confirm Job Offers**: Always verify the authenticity of job offers with the DMW or relevant foreign authorities.

### Reporting Illegal Activities

If you come across suspicious recruitment activities, it’s imperative to report them to authorities. The DMW has established multiple channels for reporting, ensuring that tips and complaints are handled swiftly. Here’s how you can help:

– **Hotline**: Call the DMW hotline to report any suspicious activity.

– **Email**: Send detailed information to the designated DMW email address.

– **Online Portal**: Use the DMW’s online reporting system for quick submissions.

### Conclusion

The shutdown of the illegal travel agency in Misamis Oriental serves as a stern warning to other unscrupulous operators. The DMW’s unwavering commitment to protecting OFWs is a beacon of hope for many Filipinos. By remaining vigilant and informed, job seekers can prevent falling prey to fraudulent recruiters.

The effort to eliminate illegal recruitment is ongoing, requiring collective vigilance and cooperation from the community. The DMW continues to scale up its efforts, ensuring a safer and more transparent path for Filipinos seeking opportunities abroad.

For more information and updates on DMW’s initiatives, visit their official website and follow their social media channels.

DMW Operation

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Individuals who apply for a limited term driver’s license, learner’s permit or ID card, will continue to be issued a product with a period of validity that equals their duration of lawful status in the United States and the fee would be prorated for that duration. However, for anyone under the age of 21, the fee is not prorated for a learner’s permit, ID card, or driver’s license. The commercial driver's learner’s permit fee cannot be prorated.​

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Passports can now be renewed online. Here's how to apply.

By Khristopher J. Brooks

Edited By Anne Marie Lee

June 13, 2024 / 11:24 AM EDT / CBS News

U.S. travelers can now renew their passport online under a pilot program the U.S. Department of State launched on Thursday. 

The State Department's new online system will allow U.S. passport holders to start a renewal application for a short window of time every day, closing once the system has reached a designated number of new applications, officials said in a statement . The agency is preparing a full launch of the renewal system at some point after testing, but didn't provide an exact date. 

If successful, an online renewal system could shorten the sometimes monthslong process travelers experience when trying to update their passport. 

"During the next several months, we plan to continue to limit the number of applications accepted each day so we can monitor the system's performance in real time," the department said. "If you are unable to start your application, try again on another day."

Processing passports has become a growing problem for the State Department ever since COVID-19 travel restrictions were lifted, with the agency bombarded with an overwhelming number of applications  each week. The passport application backlog grew so heavy last year that federal lawmakers from California, Colorado and Oklahoma introduced separate proposals to the Senate to speed up the application process. 

Republican Sen. James Lankford of Oklahoma  proposed legislation  that would improve the online tracking of passport applications and allow the State Department to hire more staff. Democratic Reps. Adam Schiff and Ted Lieu of California introduced the  PASSPORT Act  to streamline the passport application and renewal process.

The number of Americans holding valid U.S. passports has grown at roughly 10% faster than the population over the past three decades, said Jay Zagorsky, an economist at Boston University. Just 5% of Americans had a passport in 1990, according to the State Department. That number grew to 48% in December.

The State Department issued a record setting 24 million passports in 2023. Wait times for passport applications and renewals  returned to their normal 6-8 week time frame in December , the State Department  said . 

Renewing your passport online involves a six-step process:

  • Create a free MyTravelGov online account. 
  • After the account is created, log in and start a renewal application by clicking on the "Renew Your Passport" button.
  • On the form that appears, fill in all the boxes with the information currently printed on your passport.
  • Enter your plans to travel internationally if your departure is within the next eight weeks.
  • Upload a jpeg photo of yourself. No selfies. 
  • Pay the passport renewal fee and digitally sign the application.

Visit the State Department's online renewal website for more details. 

Khristopher J. Brooks is a reporter for CBS MoneyWatch. He previously worked as a reporter for the Omaha World-Herald, Newsday and the Florida Times-Union. His reporting primarily focuses on the U.S. housing market, the business of sports and bankruptcy.

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Ideal timing for travel insurance purchase

Advantages of purchasing travel insurance early.

  • When to buy annual travel insurance 

When is it too late to buy travel insurance?

  • Frequently asked questions

When to Buy Travel Insurance: Timing Your Purchase Perfectly

Affiliate links for the products on this page are from partners that compensate us (see our advertiser disclosure with our list of partners for more details). However, our opinions are our own. See how we rate insurance products to write unbiased product reviews.

  • Purchase travel insurance when traveling internationally or on long and expensive trips.
  • Buying travel insurance right after booking your trip is best, as some coverage options are time-sensitive.
  • Cancel For Any Reason policies and coverage for pre-existing coverage require early purchase.

Travel insurance protects you against financial losses and medical emergencies while on a trip. You'll want to book travel insurance when going on long, expensive, or international trips. However, the exact timing of your purchase is also important.

Generally, you'll want to buy travel insurance soon after you book your trip to get the maximum coverage out of your policy. Here's what you need to know about travel insurance and when you should buy it.

Though you can insure your trip anytime after booking, the best time to purchase travel insurance is immediately after booking your trip.

For one, unexpected circumstances may arise between when you book your trip and when you leave. If an injury or inclement weather cancels your trip before you have a chance to purchase travel insurance, you may not get a refund. Purchasing travel insurance early reduces the chances of that happening.

Michelle Osborn, owner of boutique travel agency Outta Here Travels , says, "Most travel insurance policies have a time limit of when you can purchase to get the maximum benefits." 

It's important to note that you do not have to have every detail of your trip planned before purchasing travel insurance. Most policies are flexible, so you can add details and update your costs in the days leading up to the trip. Don't let some unplanned details in your trip prevent you from purchasing travel insurance.

When you purchase travel quickly after booking, you'll have additional coverage options.

  • Purchase cancel for any reason coverage , which reimburses you for 60% to 75% of your costs if you back out on your travel plans for a reason not usually covered. CFAR policies must be purchased within 15 to 21 days of putting down the first deposit on your trip. You can find our picks for the best CFAR travel insurance here.
  • Guarantee coverage for pre-existing conditions. Many travel insurers won't cover pre-existing conditions unless you purchase coverage within two weeks of booking your trip.
  • Cancel your travel insurance if you're not happy with it. Most plans allow you to cancel your insurance and get a refund — as long as you do so within 15 days and your trip hasn't started.

If you cannot purchase your travel insurance right after booking, you should still qualify for a policy if your trip hasn't been canceled. Most companies allow you to buy insurance until the day of your trip. You just won't have access to CFAR or pre-existing condition coverage.

When to buy annual travel insurance 

Annual travel insurance , sometimes referred to as multi-trip insurance, covers you for all your trips over a 12-month period. This type of travel insurance may be a good option if you regularly travel for work or have a handful of trips, particularly international trips, planned for the next 12 months.

"Travel insurance should definitely be purchased anytime you travel out of the United States," Osbon says. "The main reason is most US health insurance policies don't cover treatment internationally."

You may want to buy annual travel insurance just before your first trip begins. Since these plans last 365 days, you can stretch your policy to cover the most travel. However, this may limit your coverage, so tread carefully. For example, you may not be able to get medical coverage for pre-existing conditions.

"In the case of a pre-existing medical condition, you'll need to meet a few requirements to be covered," says Jeff Rolander, director of claims at Faye Travel Insurance . "Faye's travel protection covers pre-existing conditions as long as you purchase your plan within 14 days of your initial trip deposit and are medically able to travel when you purchase your plan."

You should be able to purchase travel insurance any time before the date of your trip. Once the day of your departure rolls around, the window will close. You also can't purchase travel insurance during your trip or after an injury or loss has already happened.

The moral of the story: It's always better to buy sooner rather than later. 

"Right when you book your flights or hotel stay is when you should get your trip covered," Rolander says. "The sooner you buy coverage for your trip, the sooner your coverage starts."

When to buy travel insurance frequently asked questions

You should purchase travel insurance within two weeks of booking your trip to receive maximum benefits, especially pre-trip cancellation coverage.

While you can purchase travel insurance up until the day of departure, doing so may limit certain benefits. Additionally, last-minute travel insurance won't cover pre-existing health conditions. 

Lengthier and more expensive trips generally call for travel insurance because you have more to lose. Purchasing travel insurance earlier mitigates the potential damage of a cancellation.

Most travel insurance policies allow for modifications or additions within a specific period after purchase, but it's important to check the policy terms.

Purchasing travel insurance early is generally beneficial for comprehensive coverage, but you may see your premiums rise if you make significant changes to your travel plans.

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Hiring WFH Agents Working in the travel industry is an exciting and rewarding career. Bring your marketing and advertising skills to help promote sales. As a Travel Service Representative you will research, plan and book travel for individuals, corporate businesses, groups and more. Executing plans for the vacation or trip of a lifetime. Schedule a live Webinar calendly.com/zoomtravel …

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Be aware: this is absolutely a travel MLM (multi-level marketing) scheme. I joined her Zoom session to get more info on how to become a virtual assistant with a travel agency, as this was the job posted on LinkedIn. Then came the bait and switch. During the Zoom call, she was trying to sell us on becoming a 'travel agent' and it had all the classical MLM elements. You have to pay $69.95 dollars a month for a 'membership' fee. She gets 10% commissions as a 'trainer' and 'mentor' for the people she convinces to join under her. Other MLM signs: you are told you'll make more money if you refer people, there are tiers that you have to achieve, there is a convention every year. The 'host agency' is Archer Travel group, which is known to sit atop other travel MLMs. Be warned. It is wiser to work with a reputable and legitimate travel agency.

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Interviewed in a group of 100 People all required to pay a monthly fee to all work at a place that was listed as a job on LinkedIn. All while requesting we also bring on new members that we would make money from... This is a MLM scam in the form of a travel agency pyramid scheme. This should stay as a warning to everyone who I'd attempting to interview with them! They say they partner with another company and immediately prompted for an $60 installment agreement be payed to begin working, sent to my email by their third party traveling agency as soon as the Zoom call ended.

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I had a interview with them but I was told it was a scam so I didn't attend. Went with another offer.

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  • Electrostal History and Art Museum

You can spend time exploring the galleries in Electrostal History and Art Museum in Elektrostal. Take in the museums while you're in the area.

  • Cities near Elektrostal

Photo by Ksander

  • Places of interest
  • Yuri Gagarin Cosmonaut Training Center
  • Central Museum of the Air Forces at Monino
  • Peter the Great Military Academy
  • Bykovo Manor
  • Balashikha Arena
  • Ramenskii History and Art Museum
  • Malenky Puppet Theater
  • Balashikha Museum of History and Local Lore
  • Pekhorka Park
  • Saturn Stadium
  • Orekhovo Zuevsky City Exhibition Hall
  • Noginsk Museum and Exhibition Center

IMAGES

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COMMENTS

  1. 2024 Average Cost of a Travel Agent (with Price Factors)

    Travel agent fee: $100 for custom itinerary. Total trip cost: $8,000. Trip cost included two nights in New York, air travel to and lodging in Prague (for a wedding), then travel and lodging for Rome, Venice and London before returning home. All-inclusive trip for two to Jamaica coordinated by Russell of Grand Sunsations Travel .

  2. A Travel Agent's Guide to Charging Fees

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  3. How Much a Travel Agent Costs

    Now, about actually affording a travel advisor. Bunker said the fees for consultation and research can vary based on the complexity of a trip and an advisor's experience level. They can charge a flat fee — a 2018 survey from Host Agency Reviews found the median flat fee for consultation was $75 among agents who charged — or one-off ...

  4. More travel agencies are charging fees due to the pandemic

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    Show Me the Money. Depending on your level of commitment to us, we estimate the basic startup costs to own your own travel agency include: Training: $295-$895. Host Initiation Fee: $0. Typical Business Startup Costs: $500. Commitment to Us as Your Host Agency (Annually): $240-$840. For a grand total of anywhere between $1234 to $2074.

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    In the past, a travel agent charging a fee for their services was unheard of. But the value of travel agents has become more apparent than ever, especially since the impact of COVID-19 on the industry has been a significant one. It's now becoming more mainstream for these professionals to charge fees for their services.

  9. Understanding travel agency fees: the essential guide

    Most travel agencies take between 9% and 15% commission for anything to do with services, stays or tours. For a single airline ticket sold, a travel agency might take 8% of the public price. However, this percentage varies from one travel agency to another, depending on the services they offer. Some travel agencies may charge between 15% and 20 ...

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    In 2012, agencies with less than $1 million in sales reported that 27% of their revenue was from service fees, while it was just 17% in 2018. The 2018 Fee Survey from Host Agency Reviews, an independent website connecting home-based agents and host agencies, mostly echoes Travel Weekly's research.

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    Typical Fees Charged by Travel Agents. Most travel agents will charge a fee for their services, which can range from a flat rate to a percentage of the total cost of the trip. For example, some agents may charge a flat fee of $50 for their services, while others may charge a 10% commission on all bookings. Additionally, some agents may offer ...

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    I'll share my minimum recommended travel planning fees based on whether you are a newer agent or at least new to charging professional planning fees, as well as for the season travel expert. Again, these are just examples and my professional opinion. I have been a travel agent since 2008 and have changed my fee structure multiple times.

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    Travel Guide. Check-in. Check-out. Guests. Search. Explore map. Visit Elektrostal. Things to do. Check Elektrostal hotel availability. Check prices in Elektrostal for tonight, Jun 15 - Jun 16. Tonight. Jun 15 - Jun 16. Check prices in Elektrostal for tomorrow night, Jun 16 - Jun 17. Tomorrow night.