Traveling is most likely on everyone’s bucket list. Surprisingly, despite the economic conditions, Americans see travel as a reward for working hard. Travel expenses are usually part of their yearly budget. But traveling doesn’t always have to burn a hole in your pocket. You just have to figure out what matters most to you when on vacation. From there, you can start budgeting your trip. Here are some tips on how to travel on a budget while keeping things comfortable and fun.
It All Starts With A Solid Plan
You’ve decided to go on a budget-friendly vacation. Now what? Knowing how to travel on a budget starts with figuring out where you want to go and when. These two factors go hand-in-hand because some places are more expensive at certain times of the year. For example, taking a trip to Bali at the height of their summer wouldn’t be a great move. Everyone will want to be there, meaning flights and accommodations will be at their peak prices.
Consider going somewhere off-season and even adding another stop to your flight. This can give you a 53% savings boost on airfare. You can also look for promo airfares to save even more money. Lastly, you can always check the miles on your credit card. Who knows, you might get your flights for free!
When you’ve got the destination and travel time sorted, you can focus on planning what you’ll be doing on the trip.
Travel on budget plan
| Item | Category | Estimated Cost per Person | Actual cost per person | Notes |
| Flights (Roundtrip) | Transportation | $XXX – $YYY | Use flight comparison sites (Skyscanner, Google Flights); consider budget airlines; be flexible with dates. | |
| Accommodation (total) | Accommodation | $XXX – $YYY | Hostels, budget hotels, Airbnb, homestays; consider camping or couchsurfing; book in advance for better deals. | |
| Food (total) | Food & Drink | $XXX – $YYY | Mix of eating out (local eateries, street food) and self-catering; pack snacks; avoid tourist traps. | |
| Activities (total) | Activities | $XXX – $YYY | Free activities (walking tours, parks), paid activities (museums, tours – prioritize!), budget-friendly options. | |
| Transportation (local) | Transportation | $XXX – $YYY | Public transport (buses, trains, subways), walking, cycling; consider multi-day passes. | |
| Visas/Travel Documents | Pre-Trip Expenses | $XXX | Check visa requirements well in advance. | |
| Travel Insurance | Pre-Trip Expenses | $XXX | Essential! Compare policies; adjust coverage based on your needs and destination. | |
| Other Expenses (souvenirs, etc.) | Miscellaneous | $XXX – $YYY | Set a realistic budget; avoid overspending on impulse purchases. | |
| Total Estimated Cost | GRAND TOTAL | $XXX – $YYY | ** | ** This is a range; aim for the lower end, and factor in a buffer for unexpected expenses.** |
How to Travel On A Budget Without Renting A Car
The quick and simple answer to this is public transportation. Of course, other factors like group size and location are a factor. But generally, if you’re wondering how to travel on a budget with a small group or alone looking to explore a city, public transportation is the cheapest option. It saves on fuel, parking, and maintenance.
Look into what public transportation is like where you’re headed. Countries like Singapore offer a 3-day unlimited bus and train pass for less than $30.
Keep Accommodation Simple
Accommodations take up 26% of the total travel budget for domestic US trips and 21% for international trips. This budget will depend on your sociability and amenity must-haves.
Get Social With Dormitories
Are you a social butterfly who doesn’t mind the bare minimum of accommodations? If so, shared lodging is your best budget option.
Hostels are the most common type of shared accommodation. You usually get a bed in a bunk room with a shared bathroom. The kitchen and living areas are also communal. But you will have a private locker or trunk to keep your stuff secured. This is a great way to meet people during your trip.
How to Travel on a Budget: Private Options That Won’t Cost A Fortune
If you prefer to charge your social battery in your downtime, you’ll want a private room. But this doesn’t instantly mean one in a hotel room. Some hostels also have private rooms. This way you can socialize when you feel like it. But you also have the option to shut the door when you want some me time.
If you want to know how to travel on a budget without booking hotel rooms, look into accommodation booking apps like Airbnb. This is perfect if you want total peace and privacy. If you choose a place in the city, you can rent an entire studio apartment. Depending on the building amenities, this option usually gets you the same perks of a hotel for less money. You won’t get room service either. But you’ll be able to cook and have the piece of mind of knowing there’s a security guard present in the building.
Food And Activities That Don’t Break The Bank
Most travelers allot the majority of their travel budget to food and activities. After all, a vacation is the perfect time to treat yourself. But there are ways to save while being able to eat at that must-visit resto and have a unique local experience.
Tourist and local Experiences
Discount apps like Klook let you visit attractions or have local experiences without having to pay full price. You just have to download the app and book the experience.
If you’re looking for a more nature-centered experience, look into visiting national parks. You may need to pay a minimal environmental fee, especially if you want to camp out. But hiking trails are usually free.
Get To Know A New Place Through Food
Discount apps also apply to restaurants. But if you’re being extra frugal, eating like a local will be the way to go. Ask around for the best food stalls. This is also the best way to get immersed in the local lifestyle. Depending on where you go, you may need to have an adventurous palate and a tough stomach.
If the local fare seems too much for you, try visiting the farmer’s market. You can look for things to cook instead of eating out.
Summing Up How To Travel On A Budget
In a nutshell, traveling on a budget doesn’t mean you always choose the cheapest option, even if it makes you uncomfortable. A vacation is a treat. You don’t want to come home from it regretting that you didn’t do certain things. Allot more money on the things that you know you can’t pass up. And save money by considering what you can do without. Ultimately, you travel on a budget by balancing enjoyment with practicality.
Sources:
- https://www.forbes.com/advisor/credit-cards/travel-rewards/survey-travel-plans-2024/
- https://blog.accessdevelopment.com/tourism-and-travel-statistics-the-ultimate-collection
- https://www.valuepenguin.com/average-cost-vacation
- https://www.airbnb.com/
- https://blog.gwi.com/trends/travelers-budget/
- https://www.klook.com/
