4 ways to save money while travelling

by Samuel on September 16, 2012

Many have this preconceived notion that travel is expensive and something only the rich can afford to do.  I’m here to dispel this myth entirely.  In fact, travel can actually cost less per month than a regular lifestyle back home!  When I was backpacking around Asia in 2011, I spent less than $1000 USD per month on average.  During my South American adventures in 2010, my monthly expenditures were roughly $1500 USD.  The following is a list of 10 tips to save money while travelling overseas:

Exotic beach outside of North America by flickr user soschilds

1)  Travel Outside of North America and Europe

Travelling in North America of Europe is certainly expensive.  Developed nations have a much higher cost of living and finding budget or value accommodation and activities is often tricky.  Consider travelling in South East Asia or Central America where the cost of living is much lower.  Not only will this offer better bang for you buck, but these countries will be far more exotic than nearby options back home.

2)  Travel with a partner

Travelling with a partner can help you save money in a number of different ways.  Meals, food, drinks and long haul transportation will still cost the same; however, accommodations and local transportation (such as taxis and tuk-tuks) can be split.

3)  Slow Down

One of the biggest mistakes of first time backpackers is to feel the need to rush around and see and do everything.  Slowing down is the name of the game when it comes to reducing costs while traveling and taking less things in your backpack while mobile.  Not only will you experience local culture in a more enriching manner, but more importantly, you’ll save money by not having to buy transportation all the time.

Street Food - Chai Walla by flickr user proxyindian

4)  Eat Locally

Foreign food restaurants are always more expensive than local options.  This rule applies to any country.  One of the best ways to save money while travelling is to eat locally.  Try to find restaurants that locals frequent as opposed to tourists.  Not only will the prices be lower but the food will also be more authentic.

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{ 39 comments… read them below or add one }

Lets get Real September 17, 2012 at 1:42 am

It certainly involves a shift in thinking, a muscle that might have been developed during the months of saving for the trip. For myself I know I have a higher tolerance than most people (don’t need to sleep in comfort and eat anything) so I get by easier. I also enjoy the social aspect of travel and macgyver-ing my way out of problems.

There were night where I would sleep outside, where I was welcomed by the hospitality of strangers and former travelers reconnected with. There are more controlled ways like CouchSurfing of course. If you’re traveling for while, you’re mind adjusts knowing you need to be smart about your movements to survive for that period. Its about what you’re willing to put up with at the end of the day.

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Nomadic Samuel September 18, 2012 at 1:20 am

I totally agree with you! Having a higher tolerance or being able to give up a few creature comforts allows you to far more flexible with your travel budget.
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Shamis @ Gawaya Travel Blog September 18, 2012 at 6:16 am

Some great tips Samuel. Skipping North America and Europe can certainly save a lot of money on travels. To add to the list, I normally rent apartments, if I stay longer than 3-4 days. They are relatively cheap compared to hotels yet has all the facilities.
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Nomadic Samuel September 21, 2012 at 2:29 am

Shamis, renting an apartment is a wonderful idea! Not only would you save money but you’d likely be living more like a local rather than a tourist.
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Shalu Sharma September 18, 2012 at 10:27 am

Good tips. I also think that eating locally can save money. Eating and accommodation is the most expensive part of travelling. I like the photo of the “chai wala” (tea seller).
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Nomadic Samuel September 21, 2012 at 2:31 am

Eating and accommodations are definitely the most expensive items. I’d rather scrimp a little on accommodation to eat better :)
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Elisabet September 18, 2012 at 10:30 am

My 5th tip would be not to buy silly souvenirs.

By the way Samuel, can I just ask one question? Where do you get most of your referrals from Youtube or Facebook?. I´ve been toying with the idea of becoming Nomad, and maybe my 521.000 views youtube channel may help.

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Nomadic Samuel September 21, 2012 at 2:33 am

Great tip Elisabet! That will keep your luggage or backpack lighter as well.

Most of my referral traffic comes from facebook, stumble upon and twitter. Youtube is a source of traffic but it’s not a huge source. In my opinion, the benefit of having a popular youtube channel is that you can use your videos as content and lure fans to both platforms – your blog and youtube channel.
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pusangkalye September 18, 2012 at 12:09 pm

“Many have this preconceived notion that travel is expensive” –I do.And these tips are indeed helpful;.I think I should target Vietnam and Cambodia next coz those countries would give me more value for my peso.hehe

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Nomadic Samuel September 21, 2012 at 2:34 am

Cambodia and Vietnam are definitely great value countries :) I can’t wait to revisit both of them soon.
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Britany Robinson September 18, 2012 at 6:20 pm

great tips! I’ll be heading to South America in December and I’m interested to see how far I can make my money last there. I’ve always thought traveling slower was a more fulfilling method but hadn’t considered the fact that it can also save you money – good point!
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Nomadic Samuel September 21, 2012 at 2:39 am

Sounds like an epic trip you have planned Britany! Best of luck with it. I can’t wait to go back to South America :)
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Ailsa Ross September 18, 2012 at 10:09 pm

Good tips Samuel,

I also keep a separate account with a few hundred pounds in it, in case I do run out of money and get stuck. I also keep another separate account with enough money so that I can fly home when needs be, so that I don’t have to put an embarrassing call out to mum when the going gets tough.

Cambodia and Guatemala might be great for us because they’re cheap for us to travel around, but still I can’t help but wishing that life was more expensive there, because it would be a sign that conditions are improving in those developing countries. I can’t help but cringe when I hear people say things like, ‘Bolivia’s awesome, it’s so cheap man.’ It’s awesome for us, not so much for Bolivians where life is improving slowly. And I hate when I hear people say things like, ‘Dude, Costa Rica is lame, totally not authentic, so American and Westernised.’ What they are actually saying is, ‘Costa Rica is richer than the countries surrounding it. They have the things that we have.’ Exotic all too often means poor.

Ailsa
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Nomadic Samuel September 21, 2012 at 2:43 am

Ailsa, keeping those separate accounts is a very wise thing to do. I do something similar in the form of a minimum bank account balance I’m comfortable travelling with.

That’s a good point about travelling in developing countries. As an example, I first visited Cambodia back in 2008 and I’ve seen significant progress in terms of development since that time. I think it would be very depressing to see the opposite happen when/if a country experiences regression and a step backwards.
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Loz in Transit September 21, 2012 at 6:28 am

Great points @Alisa. A place isn’t awesome just because we have the advantage in buying power, I wonder how many people do equate their enjoyment to how cheap the Alcohol is etc…

For myself a more developed nation brings a more vibrant Arts culture. Whilst I’m interested in native customs and the history of a place, I’m particular drawn to the modern Culture. How the people entertain and express themselves in their art, music.
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Coolmons Blog September 18, 2012 at 11:13 pm

Thanks for the tips; I enjoyed reading your post.

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Nomadic Samuel September 21, 2012 at 3:35 am
Simon September 19, 2012 at 7:34 am

Travelling with my fiance must save me a ton: A, she never eats all her dinner so I can always order a bit less and eat hers. B, we often share drinks! It’sa win, win situation
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Nomadic Samuel September 21, 2012 at 3:37 am

That’s very cool Simon! Audrey rarely finishes her plate. Before it was an excuse for me to eat 1.5 times as much but now we’re ordering just one dinner and maybe an appetizer.
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The Time-Crunched Traveler (Ellen) September 20, 2012 at 7:06 am

Great tips, Sam! Except Justin and I do find ourselves a bit frustrated now that we’re married because our trips cost so much more — twice the food and twice the airfare! Traveling as a single used to be so cheap!

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Nomadic Samuel September 21, 2012 at 3:37 am

That’s a good point Ellen :) If you’ve got a major international flight you do have to budget for the second person.
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Gavin September 20, 2012 at 1:23 pm

I travel a bit now with my girlfriend and I find we do save some money, mainly on accomodation as we basically never take taxis.. just walk. The other little trick I do is after a long day of sightseeing I try and buy a few bottles of beer from a supermarket and not go to the pub, then drink them on the beach/mountain/river or wherever we are (beer is a necessity of our travels!)

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Nomadic Samuel September 21, 2012 at 3:38 am

Hahaha, beer is important Gavin. I agree with your strategy of buying beers in the store. I even do that often when I go out. I’ll have one or two before I hit the pub so that I have a nice little buzz when I get there :)
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Nicolas December 13, 2012 at 9:21 pm

This is exactly what I do; only that I don’t limit the supermarket to beer. In my travels all food is from supermarkets; fruit, meats, bread, cheese, yogurt and beverages. You can travel Europe on a budget this way.

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Sophie September 20, 2012 at 2:33 pm

And stay in hostels :)
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Nomadic Samuel September 21, 2012 at 2:07 am

Most definitely Sophie :)

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AdventureRob September 22, 2012 at 6:50 pm

This is not just ways to save money to travel, it’s how to travel to some extent. I’d also advise avoiding Australia in order to save money as well as North America and Europe. Eating locally and travelling slowly adds to the experience too, it’s not just for saving money :-)
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Nomadic Samuel October 4, 2012 at 4:02 am

I totally agree with you Rob. I’ve found slow travel where I’m not worrying about my money being depleted quickly is my preferred style.
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Aleah | SolitaryWanderer.com September 23, 2012 at 10:45 am

I traveled in Europe for 70 days and I found that it can be inexpensive, if you know how to :) I agree though that your money will buy more in SEAsia! And #2 is hard for me, since I almost always travel solo :)
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Nomadic Samuel October 4, 2012 at 4:03 am

Thanks Aleah,

I agree with you about point number 2. That’s only changed for me recently :)
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Karen (Back Road Journal) September 23, 2012 at 11:34 pm

I have never backpacked but agree that traveling is not as expensive as most people think. No matter where you travel in the world, it is usually cheaper than travel in the U.S. I guess I should clarify that the exchange rate with the dollar can influence what is cheap or not.
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Nomadic Samuel October 4, 2012 at 4:04 am

Thanks Karen, definitely the exchange rate is a big factor. I’ve seen it change in certain countries (such as Thailand) making your $$$ stretch a bit thin.
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Christina October 6, 2012 at 8:48 am

Totally agree on the slowing down point. Makes travel so much richer. Always take your time getting to know the locals!
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Nomadic Samuel October 8, 2012 at 1:48 am

Indeed, indeed! It took me a while to figure that out :)

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Agness October 6, 2012 at 11:42 am

I strongly agree with number 2. Me and Cez have saved a lot of money travelling together. We always share expenses and eat the food together. It is the best way to save some money on hotels and guesthouses. We spend a lot on food, although we always eat locally. What I would add is that you can hang out with locals who can show you nice and affordable places to dine out.
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Nomadic Samuel October 8, 2012 at 1:48 am

That’s a great point! Locals are often the best guides for restaurants and attractions.

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cheap flights to accra November 8, 2012 at 9:07 am

Great tips and i think usually big part of the expense is on accommodation and on the food. This can cast more if you go to luxury living during travel.

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Christine @GrrrlTraveler January 19, 2013 at 6:08 am

I think traveling outside of the Western countries is the biggest tip- Asia & Southeast Asia- just makes your dollar stretch, but slow travel and going locally definitely helps some also!
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Rafting Wales April 3, 2013 at 11:42 am

I sent a fairly strict budget of spending allowance before I did my traveling last year which I thought I’d be able to stick to. However doing so was a lot harder than it looks on paper. I was stuck in the thinking that while i’m traveling I shouldn’t miss out on anything and give everything a go…good in principle but it ends up being very expensive.

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