If it feels like your money just doesn’t go as far as it used to, you aren’t alone. Inflation is pinching wallets around the globe as the world continues to emerge from the lingering economic effects of the coronavirus pandemic. But none of that stops our desire to travel and explore. The question is how can we satisfy our wanderlust while preserving our savings?
Your destination has a lot to do with it. Some places are simply cheaper than others, and you can still have a great time while visiting them. Luckily, a recent UK study has revealed many of the most affordable vacation destinations around the globe. We’ve listed 10 you can choose from. Where you’re traveling from may impact how affordable any of them might be for you, but they can hopefully provide some inspiration to help you plan that dream holiday on the cheap.
Thailand: The Budget Traveler's Paradise
Thailand has earned its reputation as a budget traveler's dream for good reason. When it comes to accommodations, visitors can find incredible deals ranging from clean, social hostels starting at just $5-10 per night to charming family-run guesthouses for $15-25. For longer stays, monthly apartment rentals in locations like Chiang Mai can be surprisingly affordable, often under $300 monthly with utilities included.
The country truly shines in its culinary offerings. Street food stalls serve up delicious pad thai, mango sticky rice, and fresh curries for as little as $1-2 per meal. Night markets like Chiang Mai's Sunday Walking Street or Bangkok's Chatuchak offer both affordable eating and shopping opportunities. Cultural attractions remain accessible with many temples (wats) offering free entry or requesting only modest donations. Even major attractions like Bangkok's Grand Palace remain reasonable at around $15 for entry.
Transportation costs stay manageable with options like the affordable BTS Skytrain in Bangkok, shared songthaews (covered pickup trucks), and motorbike rentals starting around $5 daily. For significant savings, consider traveling during the shoulder seasons (May-June or September-October) when you'll find reduced accommodation rates and fewer crowds while still enjoying mostly favorable weather conditions.
Mexico: Rich Experiences Without the Rich Price Tag
Mexico offers diverse, affordable experiences across its varied geography. Budget travelers should consider Mexico City, where world-class museums, vibrant neighborhoods like Roma and Condesa, and impressive archaeological sites create tremendous value. Coastal destinations like Puerto Escondido or Mazatlán provide beach experiences without the premium prices found in Cancún or Cabo.
Mexican cuisine provides extraordinary value, particularly away from tourist centers. Local markets and fondas (small family restaurants) serve hearty meals for $3-5, featuring regional specialties like tlayudas in Oaxaca or pescado zarandeado along the Pacific Coast. Street food options—like tacos al pastor, elotes (grilled corn), and tamales—offer delicious meals for just a few dollars.
For adventures, skip the packaged tours and arrange excursions locally. Using colectivos (shared vans) to visit archaeological sites like Teotihuacán can cost a fraction of organized tours. Time your visit around local festivals for authentic cultural immersion without spending extra—Day of the Dead celebrations, local saint's days, and independence celebrations provide unforgettable experiences throughout the year. Consider the ADO bus network for comfortable, affordable long-distance travel between destinations, with tickets often costing 30-70% less than flights.
Vietnam: Stretch Your Budget Further in Southeast Asia
Vietnam delivers exceptional value for travelers on a budget, particularly when it comes to food. Street vendors and modest eateries serve steaming bowls of phở for around $1-2, while bánh mì sandwiches might cost less than $1. For the best culinary experiences, follow the locals to bustling markets or street-side stalls where plastic chairs and makeshift tables signal authentic, affordable dining. Even sit-down restaurants remain reasonably priced, with full meals typically ranging from $3-7.
Transportation throughout Vietnam combines affordability with adventure. The country's extensive bus network connects major destinations for just a few dollars, while overnight buses save on accommodation costs for longer journeys. Motorbike rentals—typically $5-8 daily—provide freedom to explore countryside roads and mountain passes, particularly in regions like Ha Giang or Dalat. Trains offer comfortable alternatives for longer routes like Hanoi to Ho Chi Minh City.
Budget travelers shouldn't miss Ha Long Bay, which can be experienced through organized tours starting around $35 for day trips or $80-120 for overnight cruises—significant savings compared to luxury options. In Hoi An, explore the ancient town's lantern-lit streets (the Ancient Town ticket costs approximately $6) and nearby beaches by bicycle rental (about $1-2 daily). Consider visiting during shoulder seasons (April-May or September-October) to secure better accommodation rates while avoiding the summer crowds.
Cambodia: Ancient Wonders on a Modest Budget
Cambodia offers extraordinary historical sites alongside budget-friendly travel experiences. The crown jewel, Angkor Wat and its surrounding temple complex, remains accessible despite its world-class status. While the standard one-day pass costs around $37, budget travelers can maximize value with a three-day pass for $62, allowing proper exploration without rushing. Visit during sunrise or late afternoon to avoid both crowds and midday heat. Consider hiring a local guide ($15-25) who can provide historical context while helping navigate the less-visited temples beyond the main circuit.
Accommodations throughout Cambodia offer excellent value. In Siem Reap, clean guesthouses with air conditioning and breakfast included start around $10-15 per night, while similar options in Phnom Penh or Battambang may cost even less. For transportation, tuk-tuks remain affordable for day-to-day exploration ($8-15 for full-day temple tours), while shared vans or public buses provide economical travel between cities ($5-12 for most routes).
Dining experiences deliver both flavor and value, with local street food meals costing $1-3 and restaurant meals rarely exceeding $5-7 for generous portions. When interacting with locals, understanding cultural norms enhances the experience—remove shoes before entering temples, dress modestly at religious sites, and learn basic Khmer greetings. For safety, arrange transportation through accommodations when possible and be cautious with valuables, particularly in busier market areas of Phnom Penh.
India: Unparalleled Diversity at Remarkable Value
India presents perhaps the greatest diversity of budget travel experiences globally. Travelers can explore the historic streets of Jaipur, relax on Goa's beaches, or discover spiritual dimensions in Varanasi—all while spending surprisingly little. Budget guesthouses and hostels typically range from $5-15 per night, with even mid-range accommodations often available for under $30. In rural areas and smaller towns, government-run tourist lodges offer clean, functional stays at reasonable rates.
Culinary adventures in India deliver exceptional value. Street food staples like pani puri, samosas, and chai cost mere pennies, while full thali meals—offering a balanced variety of dishes on a single platter—typically cost $2-4 even in restaurant settings. Regional cuisine varies dramatically across the country; budget travelers can sample everything from Kerala's coconut-infused seafood dishes to Punjabi tandoori specialties without straining their finances.
India's extensive railway network remains one of travel's great bargains. Advance bookings through the official IRCTC website secure the lowest fares, with overnight sleeper trains saving accommodation costs while covering long distances. When visiting major heritage sites like the Taj Mahal ($20 for foreigners) or Amber Fort ($7), consider hiring a knowledgeable local guide ($10-15) for historical context that transforms sightseeing into education. Respect regional differences—dress more conservatively in northern states and learn basic phrases in Hindi or regional languages to enhance interactions with locals.
Portugal: Affordable European Charm
Portugal stands as Europe's best-kept secret for budget travelers seeking cultural richness without Western European prices. Lisbon and Porto offer historic charm, vibrant cultural scenes, and walkable neighborhoods at significantly lower costs than neighboring countries. Budget accommodations include hostels starting around €15-25 per night and guesthouses (pensões) from €40-60—often housed in charming historic buildings with local character.
Cultural exploration costs little in Portugal. Many of Lisbon's iconic neighborhoods like Alfama and Bairro Alto can be explored freely on foot, while the stunning São Jorge Castle offers panoramic views for under €10. Porto's riverside district and historic center invite wandering without entrance fees, though the spectacular Livraria Lello bookshop does charge a modest entrance fee (redeemable against purchases). Make use of free museum days—many state museums offer complimentary admission on Sunday mornings.
Transportation remains remarkably affordable with Lisbon's 24-hour public transit card costing around €6.40, covering unlimited metro, bus, and funicular rides. Portugal's intercity train network connects major destinations efficiently, with advance tickets starting around €15-25 for longer routes. Dining presents exceptional value—traditional tascas (small restaurants) serve hearty portions of bacalhau (salted cod), caldo verde (potato-kale soup), and grilled sardines at reasonable prices. Seek out "menu do dia" (daily menu) options, typically offering three courses with wine for €10-15, predominantly at lunchtime.
Bali (Indonesia): Island Paradise Without the Premium
Bali delivers tropical beauty and cultural richness at prices that accommodate nearly any budget. While beachfront luxury exists for those seeking it, budget travelers can find charming guesthouses and homestays starting around $15-25 nightly in areas like Ubud, Amed, or Lovina—offering authentic experiences away from Kuta's tourist crowds. For longer stays, monthly villa rentals in quieter villages can cost as little as $300-500, often including cleaning service and motorbike rental.
The island's natural splendor comes with minimal expense. Public beaches like Bingin and Balangan offer sublime sunset views without entrance fees, while ancient temples like Uluwatu and Tanah Lot typically charge only $2-5 for admission. Rice terrace walks around Tegallalang or less-visited Jatiluwih provide stunning landscapes with minimal entrance fees. Don't miss the free cultural performances that regularly occur in village temples throughout the island—just remember to dress respectfully with a sarong and sash (often available to rent at the entrance).
Budget-conscious travelers can enjoy Bali's wellness scene without premium prices—yoga classes at community studios often cost $5-10 compared to resort rates of $20+. Local warungs (family restaurants) serve delicious nasi campur (mixed rice plates) and mie goreng (fried noodles) for $2-4 per meal. For transportation, renting a scooter costs approximately $5 daily (requiring an international driving permit), while ride-sharing apps provide affordable alternatives. Visit during shoulder seasons (April-June or September-October) for ideal weather without peak pricing.
Guatemala: Mayan Heritage on a Budget
Guatemala offers extraordinary value for travelers seeking both cultural experiences and natural beauty. The ancient Mayan city of Tikal stands as a highlight, where $20 grants access to towering temples emerging from the jungle canopy. For budget-friendly accommodations, consider the colonial city of Antigua, where charming hostels and guesthouses start around $10-15 per night. Around Lake Atitlán, villages like San Pedro and San Marcos offer lakeside bungalows and budget hostels with stunning volcano views for similar prices.
Local markets provide both cultural immersion and affordable shopping opportunities. Chichicastenango's twice-weekly market showcases Guatemala's vibrant textile traditions, while smaller daily markets in towns like Sololá and Antigua offer fresh produce and local crafts at non-tourist prices. Street food presents exceptional value—try traditional dishes like pepián (meat stew), chuchitos (tamale-like corn dough packets), or rellenitos (plantain desserts) for $1-3 per portion.
Transportation remains economical through the extensive "chicken bus" network—repurposed American school buses that connect towns and villages for just a few dollars per journey. While colorful and authentic, these can be crowded; for slightly more comfort, tourist shuttles between major destinations typically cost $10-25. Consider community-based tourism initiatives, particularly around Lake Atitlán, where local Maya guides offer cultural tours, cooking classes, and traditional weaving demonstrations that support indigenous communities directly while providing authentic experiences beyond typical tourist itineraries.
Nicaragua: Central America's Affordable Adventure
Nicaragua combines adventure opportunities with remarkable affordability. The country offers volcanic hikes, colonial architecture, and pristine beaches at prices significantly lower than neighboring Costa Rica. Adventure seekers can volcano board down Cerro Negro for approximately $30 (including transportation and equipment), while entrance to spectacular crater lakes like Laguna de Apoyo costs just $3-5 for day access to swimming and kayaking.
Colonial cities provide cultural immersion alongside budget-friendly exploration. León and Granada feature colorful streets lined with Spanish colonial architecture, with walking tours available for $10-15 or self-guided options costing nothing. Local museums and cathedrals typically charge $1-5 entrance fees, making cultural experiences accessible to all budgets. For accommodations, colonial city hostels start around $8-12 for dorms, while private rooms in guesthouses average $20-30 nightly.
Nicaragua's Pacific and Caribbean coasts offer distinct experiences for budget travelers. San Juan del Sur provides a lively beach town atmosphere with hostels starting around $12-15, while the Corn Islands present Caribbean paradise with beachfront cabanas beginning at $25-35 nightly. Local comedores (small restaurants) serve generous portions of gallo pinto (rice and beans), fresh seafood, and tropical fruits for $3-6 per meal. Getting around remains affordable through the extensive public bus network, with most city-to-city journeys costing $2-10 depending on distance. For exploring specific regions, consider renting motorcycles ($15-25 daily) or bicycles ($5-10) for flexibility.
Eastern Europe: Old World Charm at Yesterday’s Prices
Eastern Europe offers sophisticated cultural experiences at a fraction of Western European costs. Cities like Budapest (Hungary), Bucharest (Romania), and Sofia (Bulgaria) deliver architectural splendor, thriving arts scenes, and rich historical narratives while remaining remarkably affordable. Hostel dorms typically range from €10-15, private rooms in guesthouses from €25-40, and even boutique accommodations often fall under €60-80 per night—prices unimaginable in Paris or Amsterdam.
Transportation infrastructure throughout the region provides exceptional value. Budapest's 24-hour transit pass costs approximately €5, while Sofia's metro system charges less than €1 per ride. For intercity travel, extensive rail and bus networks connect major destinations efficiently, with advance tickets between capital cities typically costing €15-30. Consider regional flight carriers like Wizz Air for longer distances, offering fares as low as €20-40 when booked ahead.
Cultural exploration costs little throughout Eastern Europe. Many cities offer free walking tours (tip-based), while major museums and historical sites typically charge €3-8 for admission—substantially less than Western European equivalents. Thermal baths in Budapest, ancient Roman ruins in Bulgaria, and medieval castles throughout Romania can be experienced for modest entrance fees. Dining delivers particular value, with hearty traditional meals in local restaurants costing €5-10 including drinks. Seasonal timing enhances value further—visiting during shoulder seasons (April-May or September-October) provides pleasant weather alongside reduced accommodation costs and fewer crowds at major attractions.
Wherever You Go, Get Insurance
Planning a dream vacation for a steal of a price is all for nothing when unexpected mishaps force you to empty your bank account. The solution is to have the appropriate travel insurance or international insurance to cover you.
For anyone traveling to a location outside of the United States, it makes sense to get travel medical insurance. If you get hurt or sick outside your home country, local hospital treatment can cost a fortune if you don’t have insurance coverage, and the domestic health insurance from your home country isn’t likely to be accepted. Travel medical insurance allows you to receive the best care for a predictable price, and can even provide coverage for expensive emergency medical evacuation, which can easily run over $100,000. If you don’t want to get stuck paying that bill yourself, get travel medical insurance.