All-inclusive holidays are one of those things that sound expensive until you actually do the maths. Pay one price upfront and everything else, food, drink, transport, activities, is taken care of. Compare that to a self-catering trip where you're totting up restaurant bills every night, and an all-inclusive beach vacation can genuinely work out cheaper, especially if you're travelling as a family and don't fancy planning every single meal.

In this article we'll cover:

• What an all-inclusive vacation actually includes
• The real benefits and drawbacks
• How to save money booking one
• How to get the most out of it once you're there

What is an all-inclusive vacation?

An all-inclusive vacation is exactly what it says on the tin, you pay one price and get food, drink, entertainment and accommodation covered. Depending on where you book, it can also include airport transfers and certain activities, lift passes on a ski holiday, for example. Some hotels throw in kids clubs too, which is honestly a lifesaver if you've got young children and fancy an hour to yourself by the pool. Cruises work on a similar all-inclusive model, with food, drinks, entertainment, gratuities and transfers all bundled into the upfront price.

We've only done two all-inclusive holidays ourselves, one with TUI and one with First Choice, and both were really good. I can absolutely see the appeal for most people. It's not always the obvious choice for us though. We're vegan, and a lot of all-inclusive resorts either don't cater for that at all or only have a couple of decent options on rotation, which gets old fast. We also just prefer a bit more privacy than a big all-inclusive resort tends to offer, so we've mainly booked villa package holidays with car hire, or created our own bespoke holidays with flights and Airbnb separately, as well as some self-catering hotels too. So while we'll probably do more of these all-inclusive trips in future, we're a lot pickier than most people need to be, looking for larger rooms, resorts with proper vegan options, or somewhere with a kitchenette or private pool if we can stretch to it.

That said, if you're going all-inclusive, or thinking about it, read on, as here's what's actually worth knowing.

What are the benefits of an all-inclusive vacation?

The maths usually works in your favour if you're someone who eats and drinks at the hotel most of the time. Three meals a day plus snacks and drinks adds up fast when you're paying separately, so having it all included can end up far cheaper than a self-catering trip, even though the headline price looks steeper. There's also a mental load that disappears. You're not doing sums in your head every time you order a drink by the pool, and you don't need to budget spending money before you even leave home. For families especially, that's a big deal. Trying to keep everyone fed and happy on holiday is stressful enough without adding "where shall we eat tonight" into the mix every single evening.

What are the drawbacks of an all-inclusive vacation?

It's not perfect for everyone, and this is really where our own experience comes in. Being vegan, we've found that most all-inclusive resorts simply aren't set up for it. You might get a token vegan dish at the buffet, but options can be thin and repetitive over a week, which is a genuine drawback if food is a big part of how you enjoy a holiday. We also prefer more privacy than the average all-inclusive resort offers, so we tend to look for larger rooms, or somewhere with a kitchenette or private pool where that's an option.

Beyond dietary needs, all-inclusive holidays come with structure that not everyone loves. Meal times are set by the hotel, and you might find snack and drink times are more limited than you'd expect. If you're the sort of traveller who wants to eat out most nights and explore the local area, you could end up paying for food and drink you never actually use, in which case a self-catering trip might suit you better and save you money overall.

How to save money on an all-inclusive beach vacation

Use reputable sites to book your beach vacation

There's no shortage of comparison sites and travel agents out there, but they're not all equal. Look for ones that specialise in the kind of holiday you actually want, whether that's beach resorts, cruises or ski trips, since specialists tend to have sharper deals in their niche. Check reviews and how long they've been established before you hand over any money. If you're planning a family trip abroad, it's worth comparing several sites rather than booking the first deal you see.

Review exactly what's included

"All-inclusive" means different things depending on where you book. Some packages include premium drinks and all snacks, others are much more basic. Read the small print properly before you commit. Do you need to pay extra for equipment, on a ski trip for instance? Is it catered or self-catered? If you know you'll be eating out most nights rather than using the hotel buffet, an all-inclusive deal might not be the money-saver it looks like on paper, and you'd be better off with a package holiday that doesn't include food at all.

Try haggling directly with providers

This one surprises people, but it works more often than you'd think. Some providers offer price match guarantees, so you can go back and forth to bring the cost down. Others have free transfers or room upgrades they'll throw in if you simply ask. Be reasonable about it, don't expect miracles, but a polite enquiry costs you nothing and tour operators would rather knock a bit off than lose your booking altogether.

Go outside school holidays if you can

This is one of the biggest money-savers we've used ourselves. We've taken the kids out of school for a few days here and there to get a cheaper deal, or in some cases a free child place that simply isn't available during peak school holiday weeks. It's obviously a personal decision and depends on your school's attendance policy, but if it's an option for your family, the savings can be significant, sometimes hundreds of pounds on the same holiday.

Book early or book at the last minute

Both ends of the booking window can save you money, it just depends on your risk tolerance. Booking early often gets you the best prices before they creep up closer to the departure date, and you'll have more choice around avoiding peak weeks. Booking at the eleventh hour is riskier but can pay off if a provider drops prices to fill remaining rooms. If you go down that route, be ready to act fast the moment you spot a good price, because it won't hang around.

How to get the most out of your all-inclusive holiday

Saving money when you book is only half the story. Once you're actually there, a few small habits make a real difference to how much value you get out of the package.

On our last all-inclusive trip, one à la carte restaurant meal was included as part of the package, and it turned out to be our favourite meal of the entire holiday. It was quieter and more relaxed than the buffet, felt like a proper night out rather than another self-service dinner, and the food was noticeably better. The catch is that these slots book up fast. If your resort offers an included à la carte meal, book it as early as you possibly can rather than leaving it until you arrive, or you may find it's gone.

Beyond that, actually use what you're paying for. Check what activities, kids clubs or extras are included and make a plan to fit a few in rather than defaulting to the pool every day. If you know you're the sort of traveller who wants to explore, look at whether your resort offers excursions as part of the package or whether they're an extra cost, since that changes the value equation considerably. And if you have any dietary requirements, ours is going vegan, it's worth emailing the hotel ahead of time to ask exactly what they can offer, rather than hoping for the best once you land. It's saved us a fair few disappointing buffet moments.

Is it worth it? Our honest take

We've had two good all-inclusive experiences with TUI and First Choice, and I can completely understand why so many families swear by them. For us, being vegan makes it trickier than it is for most people, and we generally prefer a bit more privacy than a big resort offers, so we tend to be picky about what we book. Going forward, we'll probably do more all-inclusive trips, but we'll be looking for larger rooms, resorts with genuinely good vegan food, or somewhere with a kitchenette or private pool so we've got a bit more flexibility if the included options don't suit us.

If you don't have any of those complications, an all-inclusive beach vacation is genuinely one of the easier ways to budget for a holiday without any nasty surprises once you're there. Just go in with your eyes open about what's actually included, book early or take the last-minute gamble depending on your appetite for risk, and make the most of any extras once you're there, especially if there's an à la carte meal on offer.

For more of our honest thoughts on all-inclusive holidays, read our review of the Club Jandia Princess Hotel in Fuerteventura, or if all-inclusive isn't quite right for you, take a look at ways to have a luxury holiday without spending a fortune.

I also reviewed an all-inclusive stay at the Atlantica Aegean Blue Hotel in Rhodes over on Travel Vixta, if you want even more real experiences to go on.