Planning Budget for a Trip

You can make two different trips to the same city for the same amount of time and see all the same sights, but come out with a total bill that differs by thousands of dollars. This article shows you how to maintain the quality of your trip while stretching every dollar along the way.

Traveling frugally means looking for clean, comfortable, central, and safe hotels rather than those with minibars and massage services; knowing when to splurge, when to skimp, and how to spot rip-offs; buying rail passes and museum cards instead of individual tickets; and chowing down on authentic meals in local trattorie (family-run restaurants) rather than on Continental slop at overpriced tourist-oriented restaurants.

Before you delve into the specific tips on saving money, plan out a rough trip budget. Your total cost depends greatly on your means and taste. You can easily figure out what price level of hotel and restaurant appeals to you. Just plug the average cost for these accommodations into your expected daily expenses. As long as you round all dollar amounts up to allow for some padding, you should get a good idea of your costs. As always, overestimating is wise. End your trip with some surprise leftover cash, rather than a disastrous shortfall.

Here are some general guidelines:

- Transportation: One of your biggest expenses will be transportation. Airfares vary dramatically, depending on the season. Around Europe, use a rail pass to travel between regions or countries. Make long trips at night, upgrading to a couchette. You can pay individually for short rail trips, such as those within Italy and the uncovered train ride from the Netherlands/Germany border to Amsterdam.

- Lodging: Hotels range in price from around $70 to $100 per double for a budget hotel — from around $30 or $50 if you’re willing to stay in hostels, B&Bs, or other extremely cheap options — to $250 and up (into the thousands!) for a luxury room.

- Dining: To me, sampling an area’s local cuisine plays as large a role in my vacation as sightseeing does. So I allow a generous budget for my meals. I plan to spend $15 on an average lunch — I may spend more on one day for a restaurant meal, and considerably less the next day for a picnic. For dinner, I assume I’ll indulge in a big meal every night (appetizer, two courses, table wine or beer, dessert, and coffee) and budget around $35 per person at dinner. I don’t allow myself any money for breakfast because most hotels offer a roll and coffee along with a room. If not, buying a small breakfast at a cafe costs $2 to $4, which can come out of the lunch allowance.

- Attractions/shopping: Museum hounds and sightseeing fanatics should figure enough cash into their budgets to cover the rising costs of admission. Don’t be chintzy here. I usually estimate an average of $8 per sight ($10–$15 for biggies and $3–$6 for smaller sights). Therefore, stopping at three major sights per day adds up to roughly $24. Budget at least $10 a day for postcards and other minor souvenirs, more if you’re a chronic shopper.