How Much Does It Cost To Go Travelling?

by Ant Stone on August 27, 2009

in Costs,Features

If you haven’t asked it, answered it or dreamt about it, you’ve probably Googled, Binged or Yahooed it. “How much does it cost to go travelling?”, “How much does it cost to backpack around the world?” or, “How much does it cost to wash my knickers in Nepal?”

The way I solved the holy-question of how much it costs to go travelling, was to invent and integrate the Birds and the Bees; birds being the flights, and bees being the beer, Big Macs and beds. The bees are a simple representative each countries overall costs.

I’m assuming you won’t munch your way through a Big Mac or drink a beer every day, but the cost of these are relative to the cost of typical things you’ll buy throughout your vacation; a newspaper and a can of coke, or a brunch of spicy street food, and a bus ticket.

Background Research

To give a fair representation of costs, I’ve researched the same itinerary for a Londoner, New Yorker and Sydneysider. All three will leave their city on February 1st 2010, and they’ll all travel clockwise around the world.

At the appropriate point along their journey, they’ll spend 3 months in and around Bangkok, 1 month in the region of their counterparts’ cities and a month each in L.A. – therefore half of their journey will be in the Western world, and half in the budget haven, Asia.

Are you baffled? Stick with me.

The main split will not be our traveller’s nationalities, but the type of traveller they are. So I’ve broken it down into these three categories:

Typical Cost of Backpacking

Cost of Travelling Around the World

Rough Travelling Costs

The important thing to remember, is that no part of this study can be exact but it’s as close to the bone as I can get it. Consider it a best estimate of the cost of travelling.

There are endless variants; special deals on flights, insurance, scoring free accommodation, falling sick, travelling overland. I’ve also omitted the widely varying price of vaccinations (mostly free in the UK), and the cost of basic kit (some people already have this). All of these will affect the final cost, so this study should simply be an idea of the typical cost of backpacking.

How Much Does a Round the World Ticket Cost?

Around the World Flight TicketAll three of our travellers will need a series of flights. To obtain the average cost of a six month Round the World (RTW) ticket — that touches down in London, Bangkok, Sydney, Los Angeles, New York and return home — I went to STA Travel and two of the main alliances; OneWorld and Star Alliance.

The New Yorker grabbed himself a round fare of £1986, the Londoner £1906 and the Sydneysider £2031. For the purposes of fair competition, all were done under the guise of a 27 year old traveller — and surprisingly, STA Travel failed to secure any one of the three.


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Is it Better to Buy Single Flights?

The True Cost of TravelAs a seasoned traveller, my opinion has always been that it’s cheaper to book single tickets, even if you do them all before you leave. For this study I spent a few hours at Momondo, Expedia and Sky Scanner punching in the various itineraries. This proved me right.

The New Yorker would pay £1459 (a saving of £527 on the RTW), the Londoner £1477 (saving £429) and the Sydneysider £1495 (saving £536).

How much is Travel Insurance?

Cost of Going BackpackingI also ensured they’re all insured. I chose two of the most popular budget backpacker insurance companies, with the guideline that the insurance company should be able to cover all three of the backpackers with relatively cheap travel insurance. STA Travel and World Nomads both fulfilled this, though their main competitors appeared to be local to each country.

It’s also important to know, that even though I provide and promote a World Nomads promotional code, TRLANT that delivers a 7% discount, I did not apply this to these three theoretical travellers.

Unsurprisingly, World Nomads secured all three potential customers on the price of their travel insurance; New Yorker (£157), Londoner (£191) and Sydneysider (£220).

Alarmingly, if all three had taken their policies out with STA; the Sydneysider would have paid almost three times (£658) the cost for the New Yorker (£237) or Londoner (£223).

How Much Should I Allow For a Daily Travel Budget?

Holiday BudgetThis is where it gets tricky, the typical daily spend is based on the aforementioned Three Bee’s; beer, Big Macs and beds. They’d all be spending c.90 days in Bangkok, plus 30 days in Sydney, L.A., New York and London (excluding their home city’s).

To research this crucial fragment, I spent forty days and nights on HostelWorld.com researching the typical cost of a dorm room in each of the cities for the Thrifty and Casual traveller. Then I dug a little deeper to secure the average price of a single room in a hostel for our Flash traveller.

Cost of Vacation

So we know how many Big Mac’s, how many beers, what style of bed and for how long each of our intrepid nomads are going to be in each city. Their nationality only changes things slightly — for instance, none of the three will pay the rates of their home city.

For example, a Thrifty Londoner would need approx 30 dorm room nights in Sydney, LA, NYC and 90 dorm room nights in Bangkok. Plus for every night he’ll need one Big Mac and one beer. This would cost a total of £2964 for the whole trip, which equates to £16.47 per day.

What Should I Budget for Travelling?

Approximate Cost of TravelingI realise that travel isn’t merely about survival. There’s a need to integrate with a region; the temptation to splurge shouldn’t be thwarted. So, here are some typical things to do in each of the five cities, along with the typical cost to do it. You’ll see that I’ve only chosen one high-priced activity — more on that later.

In London they’ll spin round the London Eye (£17.50); in Bangkok they’ll see the Grand Palace (£5.40); in Sydney they’ll give in, and climb the Harbour Bridge (£132); in L.A. they’ll visit Universal Studios Hollywood (£42); and in New York, they’ll scurry up the Empire State Building (£12.26).

I’m making an educated guess here; over the course of six months the Thrifty traveller is going to do the equivalent of climbing the Sydney Harbour Bridge and everything else just twice. This doesn’t mean they’ll actually climb the bridge twice, merely that they’ll swallow the equivalent cost, twice. He might climb the bridge, and do a skydive or swim with whale sharks and take a helicopter flight in Manhattan.

So over six months, the Thrifty traveller will spend £418 on treats, which equates to an extra £2.32 per day. The Casual traveller will do this twice as often as the Thrifty and the Flash at least three times as much. So we arrive at £4.65 a day for Casual, while our Flash traveller racks up an extra £6.97 per day.


How Much do Travel Visas Cost?

Rough Cost of TravellingLet’s not forget visas. This one’s quite simple for our group of travellers. Only Australia will charge the New Yorker (£10) to enter, while Thailand will charge them all (£18) for a 30-day visa. The cost of exiting and re-entering Thailand (because you can’t usually stay for 90 days) should be considered to be covered by the bees.

So, How Much Does it Cost to Travel?

You will have noticed the alphabetic reference on the sections. If you take A (RTW ticket) or B (PAYG tickets); then add the relevant Thrifty, Casual and Flash equations of C,D, E and F you arrive at the following answer to the question of ‘how much does it cost to go backpacking?’ Remember however, that this should be viewed as an educated guess;

Cost of Around the World Ticket

Conclusion of ‘How Much Does it Cost to Travel?’

In conclusion to the above, I’m going to share some interesting points to emerge from my research.

Despite the fact that all three nationalities were departing on the same date — initially to different places — there was a difference of just £36 between the least and most expensive collection of PAYG flight tickets.

With regards to travel insurance, there is clearly a difference in approach to each nationality. Look at both national and international insurance companies. If you do decide to go with World Nomads, then you’re welcome to use the promotional code TRLANT to score a 6% discount.

The cost of a round the world ticket varies wildly, if you believe they’re worth the extra outlay it is definitely worth shopping around and bartering. The dates you fly affect the final price, and in my experience it isn’t an easy process, despite the agents providing various groovy tools.

As most readers will know I’ve been on the road for over two years, so this isn’t just armchair opinion. I collated all my costs after one year on the road in Asia in the post ‘One plus Two=Free‘, and the conclusion then was that it cost £16.60 per day. If I adapt this recent study by using purely the Bangkok rates, I come to a guesstimate of £17.53 per day so that’s within 6% and in my opinion, goes a long way to finally answering the question of “how much does it cost to travel?”.

And how much does it cost to wash your knickers in Nepal? Now you know how much it is to get there, why don’t you go and find out for yourself?


Travel Solo But Never Alone

******************

I’d like to thank the following websites for being so simply brilliant: for the price of beer and Big Macs; PintPrice.com and TheEconomist.com; for hostel beds HostelWorld.com; for fuss-free visa info ProjectVisa.com; for the PAYG flights Momondo.com, Expedia.com and SkyScanner.com; for the RTW tickets OneWorld, Star Alliance and STA Travel; and finally, for travel insurance World Nomads and STA Travel.

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{ 88 comments… read them below or add one }

Claire November 18, 2010 at 5:29 pm

Hi Ant,
I have found your website by far the most useful..and hopefully you can help the first time traveller.
Me and a friend are looking into travelling australia 2011 and are hoping to go for a year. We are both hoping to get work aswell as travel around the country. We were thinking on taking £4000 each but since agreeing this friends and family are concerned we havent budgeted enough. We argree with out work that we will only be out there maybe 5 month at a push but with working would this be a realistic figure to take out with us. We are prepared to live in basic hostels and have a daily budgets for food and water.
This moment in time we have not yet sorted out where we will go to whilst in oz, any suggestions would be grateful as i said first time travellers.

Thanks for your help

Reply

Ant Stone November 18, 2010 at 5:58 pm

£4000 each is not enough to get to, and travel around Australia for a year without working. I’ll agree with that straight away.

You’re gambling a bit, but it’s totally possible to come to Australia on a working holiday visa and try to find work. If you don’t, you have plenty of money to fall back on.

I’d say it’s not as easy as people think to find work, and the season you visit can determine a lot (especially if you’re looking for fruit picking). I’d also suggest that you look at Gumtree.com.au to look at rental prices, as they’re definitely cheaper in the long run compared to hostels.

To summarise, £4000 (£3000 after flights, insurance etc.) is enough to get there, and if you get a job, you’ll protect your savings for travelling around, by just living off your Aussie salary.

How’s that sound?

Reply

Claire November 18, 2010 at 6:42 pm

Sorry i forgot meention we are going to get flights, visa, insurance ect sorted before we go.
So restart, we are going to go out with £4000 savings after the above.
Thanks for the suggestion for gumtree i shall keep that in mind for nearer the time we go.
When searching for travelling in australia i come across a website that offered for £300, a weeks accomadation in a b&b, an australian bank account, mobile phone and also 12 months of finding you possible work, and a few other things…would you recommend this? Or would we be better off just doing it our own? As i would imagine these companies would have to make a profit somewhere down the line..
As for working, fruit picking is something i did read into a little but havent read too much into it yet until we have sorted out our finances.
Thanks again for your help

Reply

Ant Stone November 18, 2010 at 8:17 pm

No I wouldn’t recommend that. The Australian bank account is free. A SIM card is very cheap. A week’s good accommodation is £100-150.

Look at your current work experience, and look at Australian job sites for similar work. If you have a friend to go with, all you really need is a perhaps a week in a Melbourne hostel, and your flight etc.

Once you’re there, it’s quick and easy to get set up — although it can be frustrating, as you need an address to get bank accounts etc. but it all works out.

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Patricia September 12, 2014 at 12:33 am

i don’t want to scare u. but Mexico is notorious for crkcoed cops and kidnappings. and Americans are a favorite dish. that is one place i would never go! and i tell u i am very opened minded!! also i am of puerto rican desent so i speak perfect spanish, and read it fine but write it only ok. still u wont catch my butt in mexico. plus i am like freaking candy to there men (lol). really i wish u a safe trip. have a good time.

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Our secret is that we boghut a Disney Vacation Club membership in February 2009. We went on our first WDW vacation, stayed at Pop Century, with the intention of buying. Since then we’ve stayed on-site at Animal Kingdom Lodge and our home resort Bay Lake Towers (walk to/from Magic Kingdom), and gone on two Disney Cruises. We head again this August for 9-nights split between Bay Lake Towers and the Beach Club Resort. We’re excited about Beach Club because we’ll get to spend our time in Stormalong Bay pool! It’s so cool. Now we’re trying to plan for 2013 do we go to Disneyland Resort in California or head to Aulani in Hawaii??If you’re planning on heading to WDW at least once a year, the Vacation Club membership may be worth looking into. You aren’t only limite to WDW resorts either Disney Vacation Club has properties in California, Hawaii, Hilton Head, Vero Beach plus you have access to Disney Cruise Line and other Disney resorts, as well as exchanges with RCI International and some Interwest properties.Look at me I sound like the Vacation Club commercial that you can watch over and over again on your WDW resort tv!

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Lata February 22, 2015 at 4:10 am

Yay!! I always like finidng new blogs about people setting out to fulfill their dreams, especially if those dreams are of traveling to new and exciting places! We did some dream fulfilling of our own this year when we quit our jobs and set off to travel the US with a travel trailer. Maybe next we’ll go out with backpacks and set out to explore the rest of the world! Looking forward to reading your blog!!MariaOurLifeExperiments recently posted..

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mister taye negash July 3, 2011 at 9:39 pm

hey ant,
it has always been our dream for my fiancee and me to travel around the world. found ur site 2 b with more info. than any we ve ever seen. currently we live in Indonesia and and we r planning to travel around September this yr. tentative budget for the time being is 7000 USD for two month travel. we wanna c as many countries as possible and doesn’t matter where ever it is. our aim is to make the best of the money and travel. we r from ethiopia working as expats in indonesia. we would appreciate ur advice or suggestion so much. thanks very much

Reply

Ant Stone July 8, 2011 at 8:05 pm

Hey Taye! Thanks for the comment, and welcome to the site. You budget of US $7000 for two people is great for two people, and you’re already in the heartland for some amazing adventures. Check out Australia’s west coast, you can fly to Darwin or Perth from a few places in Indonesia.

You haven’t given me much to go on, with regards what you and your fiance like to do; but I can safely say that with your budget and time period, the world is your oyster, so don’t miss this opportunity to make your dreams come true.

I’d also question whether you really do want to see as many countries as possible. In my opinion, slow travel offers you much more. Allow a destination to make an impression on you, and it will serve you with memories for life; while rushing through, will see your memories fade much faster.

As your budget is healthy; consider the more expensive regions of the world, like Europe, or even Japan, which is crying out for tourists to return following their devastating earthquakes and tsunamis.

Reply

chris nunn August 31, 2011 at 4:11 pm

Hi, I think what you have done is great and the web site very helpful.

I am planning to go to the following countires from next Jan for 1 year and want to know if this is realistic budget or not.

South East Asia –
India – Tibet – Laos – Cambodia – Vietnam – Thailand – Malaysia – Singapore – China – Duration 40 weeks at £60 per day not inc travel
£16,800 total (280 days)
Australia and NZ for 7 weeks at £100 per day not inc travel
£4,900 total (49 days)
USA – Canada 2 months at £100 per day not including travel
£3,600 total (36 days)
I have allowed £650 for ins
I have allowed for £2050 for flights
Is this going to be enough??

Also im 41 now, have travelled a bit, but how hard is it to meet likeminded people who are doing the same as me?

Any help you can give would be great.

Reply

chris nunn August 31, 2011 at 7:46 pm

Hi, I think what you have done is great and the web site very helpful.

I am planning to go to the following countires from next Jan for 1 year and want to know if this is realistic budget or not.

South East Asia –
India – Tibet – Laos – Cambodia – Vietnam – Thailand – Malaysia – Singapore – China – Duration 40 weeks at £60 per day not inc travel
£16,800 total (280 days)
Australia and NZ for 7 weeks at £100 per day not inc travel
£4,900 total (49 days)
USA – Canada 2 months at £100 per day not including travel
£3,600 total (36 days)
I have allowed £650 for ins
I have allowed for £2050 for flights
Is this going to be enough??

Also im 41 now, have travelled a bit, but how hard is it to meet likeminded people who are doing the same as me?

Any help you can give would be great. Im also looking to rent appartments in Bangkok and wondered if you knew anywhere that could point me in the right location?

Reply

Matt September 23, 2011 at 4:13 pm

Hey, me and my girlfriend are going travelling for 6/7 months, were doing south east Asia, Cambodia, Vietnam, laos, Bangkok, Singapore and Bali for like 6 weeks and then Australia and new Zealand for about 3 and a half months and then Fiji for a week and the US for a month. What do you reckon would be a good budget, I’m hoping to get together about 9 grand before we go each. Bearing in mind accomodation, food and things we’ll want to do like skydiving, scuba, bunjee, skiing for a few days in NZ. Would really appreciate any help/ advice you could offer. I’m worrying quite a bit at the moment lol.

Cheers, Matt.

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Tessa November 22, 2011 at 7:25 pm

Hey,

Me and 2 other girls are planning on doing 5 months in South East Asia.
India – China – Vietnam – Cambodia – Laos – Thailand
We will have around £4000 to take with us – having paid for flights:
London – Delhi, Deli – Shanghai, Bangkok – London before hand. We would also have already paid for visas and insurance.

Firstly, do you think that this will be enough money? We were planning 1 month in India, 1 month in China, 3 months in Vietnam, Cambodia, Laos, Thailand. We are happy to eat mostly from street vendors and sleep in simple accommodation to keep prices down.

Also, being three 18 year old girls who have not been backpacking before, would you recommend travelling with a tour for india or china or just doing it ourselves?

We have asked family/friends that have been before and got very mixed reviews.

Any advice would be great.

Thanks, Tessa

Reply

Daniela September 11, 2014 at 10:36 pm

Learn to say please and thank you in Spanish.Make a copy of your pporasst and keep it in a safe place, separate from your actual pporasst.Register with the nearest consulate so they don’t have to come looking for you (travel.state.gov).Don’t drink the water.Read as much as you can about the place before you go.Don’t do illegal things you will go to jail in Mexico and will not get out just because you’re an American.Consider buying travel insurance in case your trip is canceled and evacuation insurance in case you get hurt.Practice safe sex.Mazatlan has a thriving drug traffic. Don’t get into anything shady.Wear sun screen.Have fun!

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Hayley Bailey April 20, 2012 at 4:42 am

Hi Ant, my hubby and i are leaving for 6wks for the usa in august! we have pre paid for our tours, flights and some sightseeing eg(disneyworld, graceland) however we are still not sure how much we should be prepared to spend each day! We have all of our accomodation paid for! We are also doing a weeks cruise on the Allure of the seas and would like to know how much to budget for that aswell! Secondally we are then off to the uk and europe for short trips! My hubby has family and friends all over the uk so we are hoping to save major money on lounge hopping or bed sharing! We aren’t expected home (Australia) till February 2013 and id like to know an estimate of how much we should be taking? My hubby and i hope to have about 25 000 to 30 000 in savings and both have credit cards to have as back up but we’d love to do Italy, Spain, Amsterdam, all around scotland and on our way home hong kong for 5days! So i know that i havent really given you alot of information but im hoping for some tips – we don’t really want to have to work as the employement rate overseas is so bad right now i dont see us easily getting a job but its always an option at least for my hubby who has a british passport. anyhow look forward to hearing from u!

Reply

Natalie June 4, 2012 at 4:06 pm

Hey Ant,

Me and my boyfriend are planning on traveling in Australia from October to February, we are hoping to buy a campervan out there and do the east coast, through research i have budgeted us $5000 (au) each, do you think this is enough? bearing in mind our main expense will be the campervan and flights as we will be able to make meals each day and not pay for further transport or accomodation.

any help would be much appreciated

x

Reply

Helen July 25, 2012 at 9:00 pm

Hello,

My husband and I are hoping to do a similar trip next year for around 4 – 5 months. Any advice on planning, buying campers etc woud be greatly appreciated. We’re in the early stages of organising, saving etc…need to work out the tricky part of renting out the house and working out funds.
Any useful websites, resources would be great. Thanks!
Helen.

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Mark H December 7, 2016 at 8:19 am

Nice article Ant. I have a friend who every year visits some far-away country and she doesn’t earn much, but she knows how to save money and spend it wisely.

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