I don’t know about you, but I’m incapable of reading about round the world trips without thinking in the back of my head, well that’s great, but how much did it cost?
The truth is, it depends. The title of this post is somewhat misleading. I can’t tell you how much it will cost you to travel around the world. I can only tell you how much it cost us to travel around the world. Everyone’s travel style and tolerance varies widely. Even in the realm of budget travel, there is a lot of variance. So much depends on things like the season, the country, the current economic state, and the strength of your local currency against the foreign currency, let alone personal factors like can you handle sharing a bathroom? Sleeping in a room with strangers? Taking cold water showers? Not having wi-fi? Going without a/c in the tropics? Taking public transport? Long haul bus rides? Eating on the street? Do you want to hop from country to country or city to city or do you like to stay in one place for a long time? Do you eat ramen to stay on budget or do you splurge on nice meals?
Besides travel style and other variables, the other thing to keep in mind when comparing long-term travel budgets is to determine what the numbers include. Some people include pre-trip costs like vaccinations and gear. Some people don’t. Some people include transport in their daily averages. Other people don’t, or only include certain types. Some people couch-surfed or stayed with friends, whereas others had to pay for all of their accommodations. What about things like prescriptions? Gear you pick up on the road? Travel insurance? Health insurance? Renter’s, home owner’s, or car insurance at home? Storage costs of keeping all your crap? Big ticket items like scuba certifications? Souvenirs for yourself? Holiday or birthday gifts for your family? Bills you have at home? Money you lost selling your home or your car at a reduced rate? There’s many direct and indirect costs that factor into how much a trip of this scale costs. When you’re checking out other people’s budgets, make sure you’re comparing apples to apples.
Even though I can’t tell you how much it costs to travel around the world, I’m sharing our numbers with you in the hopes that it may be a helpful starting point to someone who is trying to put together a budget. So without further ado, here’s our…
For the two of us to travel to 26 countries over thirteen and half months (409 days, to be precise), it cost us $71,897.46.
In this number, I’ve included the items that are most helpful for someone planning a budget:
- day to day costs (such as accommodation, meals, snacks, drinks, alcohol, activity fees, intercountry transport, tips, etc.);
- miscellaneous costs (laundry, ATM fees, exchange fees, gear and supplies picked up on the road, internet, etc.); and
- intracountry (i.e. cross-border) transport ($11,432.11).
I did not include the following items in the grand total. Many of these costs will vary widely based on your own situation. Plus, we didn’t track our pre-trip costs closely. When you are doing budget research, don’t forget to keep these costs in mind even if you don’t include them in your daily average estimate. Remember other people’s budgets may include some, none, or all of these things.
What’s not included:
- Student loan payments paid while we were away
- Minimal car insurance we kept on our car sitting at home
- Renter’s insurance for our items at home in storage (incidentally, I highly recommend looking into a renter’s insurance policy. It was cheap and turned out to cover items we brought abroad – like our stolen SLR. Our renter’s policy covered most of the loss when our World Nomads travel policy did not).
- Extra money saved as a buffer
- Cost of obtaining wills/power of attorney
- Costs of selling house/temporary housing
- Costs of selling house/stuff/car
- Costs of obtaining passports/passport photos/international drivers’ licenses
- Accountant fees for filing our tax returns while we were away
- Vaccinations, doctor co-pays for physician visits before we left, and prescriptions (guesstimate of about $2,500)
- Supplies & gear purchased before the trip (guesstimate of about $4,000 for everything except our SLR camera and camera gear)
- Storage for items we kept at home (about $1400 for the months we were away)
- High deductible health insurance we purchased to cover us in the United States (about $1,673 for the months we were away)
- World Nomads travel insurance ($1,113 for 12 months; we didn’t extend for the last 6 weeks)
- Scuba certifications ($1,201 for both of us to get our PADI certification in Koh Tao, Thailand and our advanced PADI certification in Perhentian Kecil, Malyasia)
- Gifts & souvenirs (about $2,100; includes our souvenirs, Christmas, birthday/Father’s Day/Mother’s Day/general gifts for family and friends, and shipping)
We’re pretty happy with our grand total. We never intended our budget to be firm and unyielding. Instead, we viewed it as more of a guide. We’re not the best budgeters, but it’s funny how lack of an income and a desire to keep traveling will keep you on track. We originally estimated $60,000. Had we not made the decision to add on 6 more weeks in New Zealand and Hawaii, our costs for our original plan of one year would have been about $62,710.
BUDGET IN CONTEXT
To put those numbers in context, we traveled with our budget in mind and watched expenditures, but we generally went for the best value instead of the absolute cheapest. This means, for example, that we might shell out an extra five dollars in Asia for a hotel room that was cleaner and brighter, or perhaps we would take a more expensive train instead of a bus if it got us there a lot faster. We always did our homework to be smart about our spending. We kept a close eye on ways to cut costs, like doing our own laundry when coin-op machines were available, or booking a service directly if it was just as easy to figure it out ourselves, or paying with a international fee-free credit card any place that would take it. We always had a private room and usually had private bathrooms, but from time to time we’d get a room with a shared bathroom if we were in a money saving mood. We sought out rooms with wi-fi and occasionally splurged on a/c. Because we love food and found food to be the way to the heart of a country, we ate almost all of our meals at a restaurant or on the street. We ate what the locals ate most of the time, but threw in some pricier Western style meals when we got sick of the local cuisine. We moved around a fair amount, and followed the weather even if it meant jumping around. We generally only flew when we had to, although we did take a few intercountry flights in India and one in Vietnam. We rented cars in a number of countries, but only compact or older cars. We didn’t shy away from doing activities even if they were costly, taking a when in Rome approach. (See, e.g. food and beer fest in Belgium; staying in a riad in Morocco and a ryokan in Japan; white-water rafting in Slovenia; cruising with Easy Riders in Vietnam; scuba diving in Thailand, Malaysia and Hawaii; taking a cooking class and visiting an elephant conservation center in Thailand; a candlelight tour of Petra; going up to the viewdeck on the world’s largest building in the UAE; getting up close and personal with whales in South Africa; going jetboating in New Zealand; etc.)
There’s no doubt that WHERE you travel constitutes the biggest difference in your overall trip cost. Traveling through countries that are not as developed will drastically reduce your costs. We averaged $97.54 a day in countries that were generally less developed than at home – think of the type of places where cash is king. Our average was almost double in countries that were more developed, or about $190.69 a day. On the other hand, don’t assume that just because a country is less developed that it automatically is inexpensive. We found countries like Morocco and Jordan to be much pricier than countries like Laos and India (but much cheaper than countries like Spain and South Korea).
(Note: In order to give you an idea of what it costs to travel through different types of countries, these daily averages only include day to day costs (such as accommodation, meals, snacks, drinks, alcohol, activity fees, intercountry transport, tips, etc.) and miscellaneous costs (laundry, ATM fees, exchange fees, gear and supplies picked up on the road, internet, etc.). They do NOT include intracountry (i.e. cross-border) transport).
No big shocker here, but it was our experience that your dollar stretches the furthest in Southeast Asia, which is why we spent four months in that region. You really can get really nice rooms for $12-$25 (as long as you are willing to put up with your fair share of not so great rooms in the same price range, as quality can be somewhat inconsistent). And if you are willing to eat on the street (and hopefully you are, because the food is delicious and that’s how Southeast Asians eat), you really can get dinner for two for a couple of dollars. Our daily average in Southeast Asia was $81.70 a day, and it would have been possible to go much lower. Our daily average in Asia overall was $109.09 – flanked by a very expensive Japan on one end and a very cheap Laos on the other.
By sticking mostly to Central Europe, our European daily average was $175.92. (Note: our earlier post about European costs did not include intercountry transport, which is why those figures were lower).
Fiji - $53.48
Laos – $59.82
Germany – $72.71
South Korea – $74.10
Thailand – $80.44
Malaysia – $82.92
Cambodia – $91.53
Vietnam – $100.16
India – $107.09
Hungary – $108.78
Poland – $120.63
UAE – $121.64
NYC – $129.74
France – $130.54
Czech Republic – $149.21
Jordan – $149.87
Croatia – $161.39
Slovenia – $175.83
Morocco – $180.68
Portugal – $186.78
Northern Ireland – $195.51
Spain – $202.83
New Zealand – $205.03
South Africa – $222.89
Japan - $237.02
Hawaii - $237.36
Ireland - $261.03
SETTING THE BUDGET AND MAKING IT HAPPEN
Traveling around the world sounds like a pipe dream, but all it takes is prioritizing travel above other things in your life, whether it be your car, your house, your wardrobe, your gadgets, etc. Getting Sean’s sweat equity out of our fixer-upper before we left was instrumental increasing our money stockpile, but so was living well below our means and several years of saving. If you want to do it – really want to do it in reality, not just in theory – you can make it happen. And you should make it happen. Because I can tell you, as much as it stung to find out in the middle of India that the sellers to whom we sold our house – you know, the one that we poured our hearts and souls into for four years – sold the house for $30,000 more less than a year after we sold it to them, the sting dissipates quickly when you realize, holy crap, I’m in India.
If you want to travel but don’t have the ability, desire, or time to save $60,000 or $70,000, don’t be scared by our numbers. It is absolutely possible to travel around the world for a long period of time for less than we spent. Check out two good round-ups of other traveler’s budgets here and here. If you want to or need to spend less, there are many ways to reduce the grand total. (And many ways to increase it, should you want to travel more extravagantly). For example, to cut costs, go for 11 months instead of a year. Go to fewer places for longer periods of time. Stick to countries that are less developed. Go in the off season. Skip pricey activities and stick to soaking up the atmosphere. Select accommodations where you can cook yourself. Consider couch-surfing. Don’t rent a car and take public transport. Limit the amount of fancy gear you buy in advance. There’s lots of ways to save, so don’t let money stop you from traveling. Prioritize what it important to you when traveling – location, accommodations, activities, comfort, value, lowest cost, weather – and the rest will fall into place.
We were fortunate to have enough money in the bank that we didn’t have to be slaves to our budget and could travel, for the most part, without money hindering our choices. We could have spent less, sure, but at this stage in our lives, we wanted a certain level of comfort and decided if we were going to do it, we might as well do it. And we could have spent more; there were times when we felt like spending a little more money would have allowed us to do more things or be more comfortable. But overall, we were happy with our style of travel and what it cost to travel that way. Because there are so many variables, setting your budget will not be an exact science. Once you have an idea of how much it cost other people to travel the world, you may want to pick a number that is feasible for you to save and that you feel comfortable with spending, and work from there to make your travels fit your number.