My travel journey started when I was fresh out of high school. Like most other college students, I was living on the bare minimum for four years straight.
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During that time, I was also studying in Costa Rica, India, Thailand, Taiwan, Australia, and more. It wasn’t just a crash course in traveling on a budget; it was something I had to figure out as a student with limited funds and a voracious appetite to explore.
Today, I can splurge here and there on travel—from a nicer hotel stay to a gourmet meal. But I still tend to approach trip planning with a shoestring budget in mind, and I still do my research before finalizing my plans to look for cheaper options.
Though I’m not bound to a shoestring budget anymore, it’s instinct. One that I’m glad I have.
If you’re new to budget travel and/or want to streamline your penny-saving, then get a leg up with this list of budget travel tips. They come from financial advisors and experts, well-known backpackers and travelers, and a few hard-learned lessons.
Though this is just an introduction to budget travel, I’ve been relying on these tips with great success since I left home back in 2011.
The core tenets of budget travel
Tip #1: No, you don’t need to use points or miles
Let me start here, my fellow Americans: I do not understand the hype of using credit card rewards for travel purposes because you need to spend money to earn those savings.
Spending money to get savings is weird, roundabout logic to me… one that provides little savings with tons of fine print in the case of credit card travel rewards.
In my opinion, travelers should have a travel credit card that prevents them from paying international fees when they spend abroad—nothing more.
So, how can you save on flights, you might be asking? Opt for the lowest economy tier, take those long layovers, and give yourself a few extra days to get to and from your destination.
But know that the era of truly cheap flights is behind us.
Tip #2: Start with your hard limits in mind
It doesn’t matter if you’re budgeting for your wedding or a casual trip—you need to start with your hard limits in mind.
In the case of budget travel, I suggest letting your budget decide where you go. Some destinations are simply out of range for smaller budgets; no amount of research will change that. (More on this below.)
Once you’ve set your budget, then start with the most expensive bookings: flights and hotels. Neighborhood is a big deal here; you can usually save by staying outside of the city center. (This is a good thing, as some of the world’s coolest neighborhoods are off the tourist track.)
After lodging and transportation, tours, experiences, and tickets should be your next focus. Lastly, think about food and drinks.
Tip #3: Flexibility really matters in budget travel
Flexibility is your best friend when you’re planning a budget trip.
The more flexible you are, the better you’re able to take advantage of existing travel deals. Most of these are seasonal, in my experience. Certain regions offer cheaper hotel rates and flights during the offseason—but every region has a different offseason.
The idea behind staying flexible is that you can avoid the travel rush and stay away from popular areas during their busiest season.
That’s the recipe here: avoid the crowds to take advantage of the offseason when all travel prices are slashed.
Tip #4: Don’t just book private rentals—be open to hostels and hotels, too
I’ve written about hostels for adults a few times—and I’ve lived the life myself. In Umeå, Sweden, my partner and I stayed at a YMCA after booking a last-minute trip to see a World Rally Championship race outside the city.
A few months later, we booked a last-minute trip to Berlin to see one of our friends DJ at a famous club. Like Sweden, Berlin is pricey—but we saved big by booking an adult hostel. In both cases, we had great experiences.
The YMCA was state-of-the-art and cozy, while the adult hostel in Berlin was trendy and located smack in the center of a great neighborhood.
If you can’t find a hotel or Airbnb that suits your needs, get creative. Not only are more alternative lodging options opening up, but they’re cooler and more affordable than you think.
Tip #5: The biggest overspending culprits are food & taxis
Stop spending so much on taxis and food.
Public transportation is easier and more accessible in many places around the world—remember, the US is one of the most car-happy countries. Most places offer functional bus routes.
For example, my partner and I stayed in an Airbnb in a lagoon just outside of Cancun. Anytime we wanted to get to the main drag, we took the public bus available outside the Airbnb.
We didn’t speak Spanish at the time, but it didn’t take long to figure out how to ride the bus. And we weren’t the only foreigners using it.
On that same trip, we spent most of our time eating at local spots. My partner loves spicy food, so we were on the hunt for little roadside restaurants with multiple hot sauce options. These were—hands down—the best meals we had in Cancun.
Eat like a local and travel like a local for major savings… and a better trip.
Tip #6: Go for detour destinations and day trip into hotspots
If you’re a truly budget traveler, you probably don’t spend a lot of time in hyper-trendy destinations. (They’re expensive!) Or you might stay just outside of them, day-tripping into the madness as you see fit. My experience in Cancun, detailed above, reflects this type of budget approach to travel.
But off the top of my head, I’m thinking about even more popular destinations. For example, if you want to soak up Monaco (which is very expensive), you can book a budget stay just across the border in France.
Take the public bus into and out of Monaco at your leisure—and save thousands along the way. Or whichever other fancy and pricey destination has caught your eye.
Tip #7: Avoid checking bags—even for long trips
The last time I checked a bag I was moving from New York City to Barcelona. Just like opening travel rewards credit cards, I’m a little suspicious of taking large, checked bags on vacation.
The easiest way to kick off your journey as a budget traveler is to throw your large, checked suitcase off the nearest cliff. Seriously—it’s not doing you a single favor in terms of saving money.
These are my hangups:
- Airlines charge an arm and a leg for checking luggage.
- Lugging around a massive suitcase prevents you from taking public transportation to and from the airport.
- You might be tempted to keep buying things with so much space to spare.
- They’re harder to store in shared lodgings like hostels.
