Danielle is a full-time traveller and freelance travel journalist. She’s been on the move since 2015 from Albania to Zambia (and 80+ others in between). You can find her on Instagram at @danieelizabeth
When I first started travelling more than five years ago, I was clinging to each cent (or penny or dirham) trying to stretch my savings as far as possible. But I found that only stretching them wasn’t going to cut it, as I was still making blunders that cost me a lot of money. For example, after half a year on the road, I tallied up that I paid more than $300 in ATM fees.
At one point, I got obsessive over flight prices without looking at the bigger picture, and I also didn’t realise how much stuff was actually up for negotiation. I was almost too focused on saving money that I couldn’t see certain mistakes for what they were. I needed to learn how to budget hack my travel to stretch my dollar further. So, after more than five years of long-term travel, I’m excited to share the budget hacks I learned along the way.
1. Sometimes what feels like a ‘splurge’ might not be
Travelling on a budget can mean different things. Does the place you’re staying have a kitchen for you to cook your own food? Do they have a laundry machine for your clothes that desperately need washing? Is it walking distance from the places you’ll go to most often, or will you be shelling out money multiple times per day for taxis/buses?
There are so many more factors that go into an accommodation‘s final price tag.
Personally, even if a hostel has a kitchen, I’m less likely to use it than if I stay in an Airbnb or guesthouse, where I’m not fighting for space or praying someone doesn’t steal my leftovers.
2. Budget hack with the right travel credit and ATM cards
Budget hack with travel credit cards
My credit card has been a dream to travel with in so many ways. It includes no foreign transaction fees, and I get triple points when spending on travel and dining (I’m embarrassed to admit the actual percentage of my spending this accounts for).
Here’s a budget hack most people don’t think of when it comes to credit cards: some come with complimentary travel insurance (or something specific like baggage delay insurance).
If you frequently travel with the same airline or stay in the same hotel chains, consider getting an airline or hotel-specific credit card to maximise rewards.
For Australian travellers, the 28 Degrees card from Mastercard is a good option. No annual fees, complimentary international and domestic travel insurance, no transaction fees, no currency conversion charges, and a flight delay pass that gives you free airport Wi-Fi or time in a travel lounge if your flight is delayed for a certain time.
3. Don’t get attached to specific places or times
Don’t get attached to ideas. Forcing specific places to happen at specific times can kill a budget. You have to accept that you can’t be a budget traveller without being incredibly flexible.
If you’re insistent on going to certain places at certain times, keep in mind that flight or hotel prices might not always agree with your budget. A “quick trip” to Munich for Oktoberfest or to Rio for Carnival could wind up costing a full month’s budget.
Additionally, using Skyscanner’s Everywhere Search to find a cheaper alternative destination has always been my favourite “next stop” budget hack for long-term travel.
4. Consider the cost of living
Whether or not you’re a digital nomad, websites like NomadList can give you an idea of the monthly cost of living in many places around the world. Some of the top places to live on less than $1,500/month include Mexico City, Buenos Aires, Medellin, Budapest, Sofia, and Tbilisi.
(And I can personally attest that every single one is worth spending a month or more in.)
5. Take the whole picture into consideration
Sometimes it’s about changing your mindset. If there’s one thing I’ve come to realise about budget travellers, it’s this: they tend to fixate on one or two things.
They’ll become obsessive about flight prices, but they don’t realise that the cheaper 3 am flight means they’ll have to pay $50 for a taxi instead of taking the $2.50 bus.
Or they’ll choose to take a $100 flight to Country X instead of a $300 flight to Country Y, even though the cost of accommodation in X is five times more than that of Y.
The point is, when you’re travelling on a budget, it’s important to zoom out. A great flight deal isn’t really that great when it’s somewhere where the cost of living is extremely high. Likewise, an expensive flight could actually save you money in the end if it’s to Sri Lanka or the Philippines.
6. It never hurts to ask
Big budget hack: negotiate prices or even just politely ask. For example, if you want to spend five or more days in one place, negotiate the nightly rate with the hotel/hostel/guesthouse when you arrive. Although this may be easier during the low season, it’s always worth it to ask!
A lot of the time, they will be happy to give you a long-stay discount.
7. Try to work along the way
Talk to hostels you stay at or to beach bars you love about working for a couple of weeks in exchange for room and board. Or find small freelance projects you can do remotely online.
Beyond saving a bit of extra dough, working along the way was great for me in another unexpected way: it put me in a position to meet amazing people and form more meaningful connections in those cities. Many long-term travellers can develop a sense of uselessness after travelling without a greater purpose for months on end. Taking on small jobs along the way can be great for combatting this feeling.
When I first started freelance writing, subsidising the tiniest bit of my travel expenses felt like a huge win. And if you have any interest in making travel a more permanent lifestyle, you can work on building up remote clients over time.
Want to read more?
- Your holiday budget: How much can you save?
- How does airline pricing work? Here’s what affects flight prices
- How to get the most out of Australia’s top cities on a budget
