Cost of campgrounds
Every once in awhile I read comments in discussions about the high cost of campgrounds, especially when brands like KOA are being discussed. I wanted to comment on this from the perspective of a b...
Forum Discussion
toedtoes wrote:
Remember when a Super 8 hotel room cost $8 a night? And a Motel 6 cost $6 a night?
Interesting point - but to put it in context:
The median income in 1974, when the Motel 8 chain was started was $8031. Divided by 2080 hours (avg. number worked per year), that yields an hourly rate of about $3.86. So, in those days a "serviceable" hotel room ran almost 3 times the average person's hourly pay rate (actual 2.3 times). The advertised Motel 8 rate was $8.88 (before taxes).
Average median income 40 years later (2014) is shown to have been $53,719. That amount divided by 2080 yields an average hourly rate of $25.83. Using room rates from smaller MidWestern towns (where Motel 8 started at that low rate) show - on average - a rack rate of somewhere near $95. That means that overall, room rates for the referenced chain have almost remained constant (3.86 times). Of course, some of those rooms may also date from the 70's too, so their comparative value may be moot.*
Anyway, when calculating how much you "save" by staying at a campground on a nightly basis - don't forget to amortize the cost of your RV/tent/hobos' bindle. That could easily end up being higher than the standard room rate at a decent hotel, providing you are not full-timing it.....
* the most shocking part of this comparison reveals the devaluation of the dollar over time - as a function of currency inflation.
