Have you ever dreamed of travelling the world, only to be stopped by a single look at your wallet and bank account? Welcome to Chapter 4 of your Holy Backpacker Starter Guide: The Art of Budgeting on the Road aka how to stretch and handle your budget backpacking while globetrotting.
As scary as it is, money is king in every kingdom. Yet, within the backpacking world, where freedom is our currency, some strategies, tips and tricks exist to spend less and extend our adventures.
Whether you’re a novice explorer or a confirmed wanderer, one thing, at least, in this article will be helpful in your quest. So, young fella, after years of backpacking and budgeting around the globe, let me share some insights I’ve learned the hard way. What about sprinkling your path with knowledge dust to confidently advance into the bright travel light, saving some coins and enjoying each step? Ready? Go!
The first step - Mapping out the road ahead before you even start
How much do I have & How much do I need?
First, the obvious question that your tiny brain should wonder is: how much money can I gather and use for this trip?
You might desire to sell some stuff you don’t need (put that baby down, you fool!), hustle a bit more, or say fuck off and quit your life to enter the “I will see how it goes” mojo.
Anyway, the goal is to gather a decent sum, a strategic move you will not regret. The other option is to try the Euro-free travel style. However, except if you are ready to put aside hygiene, often sleep outside in more or less good conditions, eat in a very inconsistent way, and dumpster dive weekly; you might want to rethink it. Trust me; the comfort of a bed isn’t as overrated as it seems.
Now, the million-euro question: How much is enough? I honestly don’t know since numerous factors can influence your odyssey (we’ll explore those shortly). Yet, don’t call me a miserable liar or other names (actually, that would be a bit rude) before quitting this blog, as I can give you valuable hints. For a full one-year travel journey , 8000€ to 12 000€ is a comfortable budget if you are willing to reduce your comfort. I travelled for three months in Central America, including a 700€ flight, for 2500€. So, with this budget, your project is definitely feasible young fella!
Equip yourself with good quality backpacking gear
“Wait, spend money before I even set foot on my journey?” you exclaim while your mouth keeps calling me names (still rude, by the way).
It may not be an absolute necessity, but it’s one of the travel commandments, making it nearly indispensable.
I’ve witnessed globetrotters navigating the world with worn-out, second-hand backpacks. It’s possible! Yet, considering that your backpack is your most loyal companion, I strongly advise investing in quality. “Buy once, Cry once,” said David Allen. By spending one or two hundred, you almost ensure your sidekick stays with you through the entire odyssey, preventing a backpack breakdown mid-mountain hike, a truly shitty situation nobody wants. To summarise, a quality backpack means a good investment for your budget in the long run.
Now, armed with a reliable backpack, you are ready for a shopping session within your own house (I decline any responsibility for potential long-term ‘borrowing’) or wherever you please, completing your backpacker travel checklist and ensuring a smooth adventure awaits you!
Budget calculator: What could influence my spendings?
Here are our four primary enemies in budget calculation. Let’s be honest, numerous online budget calculators are often imprecise, to not say shitty. The truth is, it’s highly likely that you will stay on your budget anyway. Many unforeseen events and reasons could happen, ruining your meticulously crafted backpacking budget plan. Nonetheless, try to grasp the bigger picture and be open to the unexpected. Here are some key factors to consider:
Purpose of your journey: Will you delve into jungle adventure or leisurely explore the European capitals?
Destinations: Will your travels primarily take you to developing or developed nations? Will you stay during peak tourist seasons or opt for the off-season?
Travel style: Do you mind pasta dinners for three consecutive nights and sleeping in hostels with its golden rules? Or are you more of a luxurious backpacker?
The unknown factor: Who can predict what unexpected opportunities or challenges may present along your journey?
The big plan (that you’re probably not gonna respect)
If you are a well-organised picky traveller and stand to hold a budget, it’s respectable. For those for whom travelling with a budget may seem daunting, this is a wise habit you should quickly adopt if you want to last long in this game.
Whether you prefer handling your budget by yourself or seek a more effortless approach, the key is to allocate money for the main backpacker expenses sources: accommodation, food, activities, drugs if needed, and transportation. Remember to reserve a part for unexpected costs, shaping each category based on insights from previous planning phases.
Important to know
The most crucial element is to think medium-long term when travelling on a budget. Some online banks provide great insights on where your spendings go to further adapt your purchase behaviours.
I know, and I can feel that you want a concrete number. So to not make you wait any longer, let’s talk about the percentages. Usually, accommodations are a real money-guzzler, and a significant chunk of your budget, around 30-40%, is necessary. Transportation follows, fluctuating between 10 and 20%, depending on how far you are going and if you are applying the tips below. Travel gear and insurance modestly contribute to 2-3% of your budget, while activities (drinks and parties included ) can easily range from 10 to 20% based on your trip’s nature and habits. I recommend safeguarding 5-10% for the unexpected. Finally, food closes the deal, and again, depending on your diet and preferences, between 20-40% of your money.
For those desiring simplicity, consider the efficiency of an online travel bank. This smart choice provides a comprehensive overview of your expenses in real time, empowering you to make informed adjustments as your journey advances.
The 10 SlowSight Soul holy tips and tricks for backpacker on a budget
Wait! Before anything: get insured!
It isn’t something to play with; it might just be the point to save big bucks. I always emphasise that “you don’t want to end up in a situation where you are broke and harmed – Myself”. This statement from a great man isn’t just a hypothetical scenario; having an accident in a foreign land could easily surpass the total cost of your entire expedition in medical bills. So, to spare your loved ones from selling their belongings (Am I being overly dramatic?), you should carefully select a travel insurance for backpackers tailored to your needs and invest a few coins each month. Once again, the key lies in preparation!
Find free or affordable places where to crash
The heaven of a backpacker (exploration aside) resides in its shelter. Yet, finding such a place at an affordable cost isn’t always the easiest task. Several backpacker accommodation options exist, but today, we’re talking cheap!
The mention of ‘cheap’ inevitably resonates with ‘free,’ as Mister Camping pops up, imposing himself in this category. No permissions are needed (at your own risk). Just armed with the right camping gear, deploy your tent, settle a cosy floor mat and look at the sky wrapped up in your warm sleeping bag. Sounds like a dream right? Even if it requires you to, perhaps, avoid the city centre, nights like this are memorable and free!
If the prospect of camping doesn’t spark enthusiasm, don’t worry. You can download hosting apps like CouchSurfing or Bewelcome, platforms where sharing your adventure offers you a place to crash, often accompanied by a warm meal. Not a bad deal.
For those seeking a compromise between cost and comfort, hostels are a reliable option, although a bit pricier than free. However, these places are perfect for a backpacker’s budget, and I still enjoy staying at hostels for numerous reasons. Moreover, platforms like HostelWorld offer a range of affordable choices globally, letting you tailor your selection based on budgetary constraints.
Reduce transport costs
Greetings, intrepid wanderer! Feeling a bit lost, eh? WHAT?! Do you have no idea how to navigate within the country you just landed at a cheap price? Man…Well, grab this worldwide transportation guide and get out now, you newbie explorer!
But hold on a sec, if you’re keen on tips about reducing transport costs, stay a bit longer. First, dive into the previously mentioned guide; it’s a treasure full of worldwide transportation offers, a penny-saver’s dream.
Now, how did you plan to move within the country or cross the border? Considering a national flight, don’t you? Besides being an awful decision for our beloved Mother Earth and not aligning with the SlowSight Soul mindset, it could burn a hole in your wallet. Isn’t there a bus or train to take, making you discover other places you would not have otherwise?
Hitchhike can be a precious ally in your backpacking budget quest
Ah, the much-anticipated arrival of the king of cost-free travel, Sir Hitchhiking! I honestly don’t think you could find a cheaper way to move. However, it may come with some discomfort. Many things are expected when hitchhiking, and there is a way to do it correctly. Prepare yourself for potential longer-than-expected waits and the possibility of landing in a town that wasn’t your intended destination, but damn! Hitchhike is probably one of the best ways to meet locals and hear crazy stories while reducing the cost for your budget backpacking, 100% approved!
Eat local, cook your food, and try Dumpster divings
Local Market exploration
One of the best ways to save money is still to eat locally. Try to resist the temptation to hunt for that French cheese thousands of kilometres away or it might cost you an arm and a leg (although, it’s tempting). Wander in the street markets and local grocery shops, where pre-prepared local meals, street food, or fresh ingredients for home cooking let you explore the local flavours. Embracing this approach has not only saved me a small fortune over the years but has also been a great help to immerse myself in the local cultures. Lose yourself through the markets or street food stands, and you might find not just mouthwatering food but stories, history, and new friends. I get some of my best travel stories to begin with myself starving and looking for food.
Dumpster dive - An Interesting experience
Have you ever heard of dumpster diving? It’s probably not the most fancy option, I agree. Nevertheless, the food quantity wasted daily is astonishing! And this is not even the kind of rotten food you think about.
Most of the waste is still edible but unsellable because of hygiene restriction laws. Airports, supermarkets, and restaurant bins are treasure troves for free meals. But, be careful! Laws on this vary, and a night raid over local bins could result in an unexpected fine. Research the local regulations before launching a dumpster diving adventure. Moreover, ensure any products have been poured into the waste to prevent consumption. In this crazy world where even waste has its rules, some companies don’t hesitate to sprinkle toxic products on their food waste to avoid people and animals consuming it.
The art of bargaining
Let me put a red warning sign here! Bargaining isn’t accepted worldwide. In fact, some countries strongly oppose it, seeing it as disrespectful and bringing more harm than good. That being said, you can and should try to bargain across most destinations, depending on your approach. Whether hotels, restaurants, activities or shopping, no one can resist the charm of a broke backpacker living on a budget and trying to finish its odyssey. Even more, if this smiley backpacker is you, little cutie.
In some countries, it’s even the norm to bargain to avoid paying seven times the real price (if you are a blondie with blue eyes like me, the price is x10). Observe and learn from locals around you to decipher genuine prices and avoid potential scams. Nevertheless, you could never be entirely immune to scams and out bargain certain nationalities. They have it encoded in their DNA. But, young fella, don’t give up! Getting duped for a couple of euros is infinitely preferable to a ten-euro steal, huh?
Get a fucking job
Maybe this is what your mom yelled at you for years. After all, the best way to save money is to make some, right? One option is to trade your skills and time for accommodation and sometimes meals through volunteering, wwoofing, au pairing, or house-sitting platforms. Typically, these jobs involve dedicating around 4 or 5 hours daily, following a determined schedule. It’s an ideal approach for embracing Slow Travel, allowing you to immerse yourself in a single location for weeks, discovering all its secrets and mysteries.
If this option doesn’t seem tempting, you can try to embrace the digital nomad lifestyle. Already running your own business? Good for you! But remember, the life of an entrepreneur or digital nomad isn’t fuck*ng easy. While it may seem simple to work remotely, earning enough money to live from is completely different.
In the same idea, you might opt to teach online for a more financially stable path, earning by the hour. Platforms like Superprof, Wiingy, or Preply are good deals to look after. So, why not catch the opportunity to earn as you explore? Sell your services, earn money, travel longer!
Learn local language
This one comes along with the bargaining tip. By learning a bit of the local language, you will foster sympathy and curiosity from the locals (except French, we only like you if you perfectly speak our beautiful language. If not, don’t even dare to try). This simple gesture can open doors to better deals and help you delve into a richer local scene. Breaking through the language barrier often leads to unexpected encounters and deeper insights into the community’s way of life.
Adopt a travel buddy
“Share the travel, Split the cost,” said my wise grandma (she never said it, but I needed a source to quote).
Travelling with a buddy can seriously relieve your backpacking budget. Whether splitting in for meals, transportation costs, or sharing accommodation, bringing mates into your adventure can be advantageous. Even activities can come with group discounts. Many businesses are willing to take you on your own for this tour, but you will pay the 10-person price. So, if you persuade fellow travellers to join you, you will enjoy the sights without bleeding cash.
But it’s not all about the money. Before you start recruiting your BFF for your next escapade, consider the pros and cons of travelling with a companion. Compatibility matters more than currency when you’re out exploring the world together.
Avoid banking fees and follow your expenses
Do me a favour and put banks into the ‘budget enemies’ category, can you? Usually, the words “banks” and “good for your savings” don’t easily share a sentence. If you wonder why, flashback to your economics classes. Abroad, it is even worse if you are not correctly prepared and haven’t chosen the best bank while travelling. Fees can go through the roof, and your budget could drastically suffer.
But hold on, it’s not all gloom and doom. Some (online) banks have engaged in making globetrotters’ lives easier. Therefore, even if I do not advise you to put all your money within the same bank, you need one to withdraw cash or pay (considering that you are the fool carrying his whole savings in cash within his backpack. If yes, send me location please, for a friend)
The choice of the bank becomes crucial, and you want to consider these factors as the main ones:
– Cash withdrawal fees and limits
– Card payment fees and limits
– Accessibility and reachability for any queries
And let’s not forget the charm of having an online application to track your expenses. Trust me it’s valuable, although it might make you question your beer consumption habits.
Take the tough cookie way
Sometimes, you have to be a tough cookie to save some coins. A tough cookie is willing to sacrifice comfort and convenience to cut costs within his backpacking budget. He is a man of respect (or just dump). This mindset operates with simple and small actions that may reward you further in the medium and long term by the possibility of extending your journey. Whether sleeping at the bus station and taking the early morning one to avoid the expensive (but so comfy) VIP night bus or walking instead of taking a taxi or city transport ride, this path is not easy. And more importantly, remember that it’s about applying all the above tips.
By doing that, you are not just a fearless tough cookie backpacker. You become part of this big community, the SlowSight Soul community. If you choose this path, you are probably realising an incredible odyssey making your dreams a reality. So, even if it’s hard sometimes, remember to enjoy yourself, you are living your best life!
You are now ready to travel (almost) infinitely
Congratulations, savvy backpacker! As we finish the Chapter 5 lesson of our ultimate backpacker starter pack, you’ve now graduated from the School of Travel Budget Tips and Tricks. Remember, during your adventure money may be king, but kindness and joy will forever dominate.
Budgeting doesn’t mean you must live like a homeless traveller, eating dry bread with cheese daily. It’s all about finding balance and embracing the experience without letting financial matters stop our journey.
Furthermore, it’s crucial to distinguish between budget-driven choice and financial necessity. Don’t let your will to save money turn you into someone you’re not, haggling relentlessly over a few cents in a foreign land or refusing to share a meal with someone genuinely in need just because you’re on a tight budget. Remember, most of us backpackers are privileged in our own ways.
After all, it’s not just about stretching your budget; it’s about stretching your horizons.
Bon voyage!
Wander with purpose – Connect with Heart.
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