Budget Breakdown: How to *Actually* Afford a Vacation to Europe [2023 edition]

We moved to Italy in November 2019 - prior to that, we traveled to Europe 5-6 times a year. We don’t have unlimited funds, so we’ve designed our business and our itinerary service around finding ways to experience luxurious travel experiences without the cost of luxury travel.

Note: This article is an update from our article from 2017, in which we outline the typical cost for a Little Roads-style trip to Europe. In five years, naturally, costs of things are expected to rise; and especially in the age of the pandemic, lodgings and restaurant prices have risen somewhat. Nevertheless, we still strive to find the most economical ways to experience meaningful and memorable travel, for our clients as well as for ourselves.

Here are a few tips on what you can expect to spend, and how to budget so that you have a trip that is immersive, authentic, and affordable - and you won't even notice the “budget” aspect of it. 


Note: Cost estimates are shown in Euro (€) currency

Budget estimate for a typical “Little Roads Europe” 8-day trip for two people: €5400

Budget breakdown:

Airline tickets: €2200
Car/gas/tolls: €600*
Eating out: €1200
Hotels: €1100
Stuff: €300 

* Note: Rental cars with automatic transmission are more expensive than manual transmission - see section 2, below

What this budget does not include:

Travel into large cities: Parking, bars & restaurants, lodging, admissions – everything costs a lot more in places like Rome, Florence, Venice, Dublin, and so on.
Guides and drivers:
These cost extra; our style of travel is a do-it-yourself approach.
Museum tickets and other admission fees: The small-town sites that we visit are often free or cost a negligible amount.
Tastings/tours/cooking classes: Again, we often do our tasting of wine/beer/cheese “on the ground” as it were – that is, we gradually eat or drink our way through an area’s culinary offerings at the restaurants and bars and shops that we visit.
Other exceptional experiences: Shepherd walks, hawk-flying, ballooning, fishing or other water sports.

There’s nothing wrong with occasionally indulging in any or all of the above; but if you do these things, of course, budget for a corresponding price tag. Over the years we have sourced out some particular experiences that we think are well worth the money.

1. Airline Tickets:

Sometimes you can find a great deal; you can anticipate paying more if traveling in high season. But if you are flexible, you can find deals. What does “being flexible” mean? It means having a flexible schedule; or being willing to fly in and out of different airports. 

To save even more, check out the “Vacations” tab on airline sites — you can combine your plane fare with a rental car. Often great deals can be found here, because the exact distribution of airfare and car rental costs are not broken down, which allows airlines to sell cheaper fares without revealing its true cost to the consumer (and therefore not creating expectation of cheap fares in the future).

We have booked several trips using this feature. In each instance, the cost of the Flight+Car (for 2 passengers) was only a little more expensive than *one* flight only! Many of our clients use this trick to great effect. 

2. Cars/gas/tolls

During the initial Covid lockdowns in 2020, car rental companies sold much of their stock of vehicles; when travel resumed, inventories were depleted and therefore prices were much higher than we were used to. Though the car supply has since been more or less balanced again, rental companies are still keeping their prices higher than pre-pandemic levels.

Be sure when booking your car that you know where you will be picking up the car. Sometimes you’ll find that the cheapest car is so priced because you have to take a long shuttle bus to get to their satellite location. After you’ve been on a 10-hour flight, you’ll regret saving the extra 25 bucks if you have to schlep all your stuff and blow a lot of time just to get to the car. There is a fee for picking up a car at the airport, in our opinion it’s better to pay the fee and get going quickly, versus taking a train to a smaller town to save a few bucks.

You’ll also need to do some research on insurance. Different countries have varying rules on what insurance is required when renting a car. Italy requires CDW (collision damage waiver), so that is built into the price. CDW will be offered in other countries as an option; it’s up to you to decide whether or not you want to upgrade. Your credit card or your personal car insurance might cover extra insurance, so before you leave, just know what insurances you plan to purchase or decline so you can save time at the rental counter, where they will invariably try to upgrade you on every option. If your credit card does indeed cover extra insurance, you might want to bring a copy of the policy with you.
[Also: See notes below on car rentals in Ireland]

One good thing to know: While there is a fee for dropping off cars at different locations within the same country, it is considerably less than a similar charge in the US. So, for example, you can pick up a car in Rome and return it in Milan; this is worth noting if you are employing an “open-jaw” plane ticket.

* Note: In most of Europe, cars with manual transmission (stick-shift) are the norm - you can expect to pay a good bit more for an automatic transmission. It may be worth the price though - don’t get a stick-shift car unless you are 100% comfortable driving one.

2A. Renting a car in Ireland:

Car rental prices in Ireland are now much higher than they used to be, and higher than comparable rentals in Italy. And the insurance (CDW) is not only more costly, but it is mandatory. Furthermore, Irish rental companies will NOT accept third-party insurance coverage, such as you might purchase from a broker such as Travelocity, Expedia or the like. We suggest that, after shopping around, you get your car directly from the individual company (Hertz, Europcar, Sixt or whichever) and also get the CDW coverage from the same company at the same time. This will be a sticker shock, but it will avoid unpleasant surprises at the rental desk.

 

3. Food/Eating Out

Food is always an important part of our trips; as “foodie” writers we are always seeking out great places to eat. We like to budget €150/day for food. Even if we eat out twice a day, it’s not hard for us to stick to this budget. Sometimes we will spend €150 on a single meal, and then make up for that by eating at cheaper places for a day or two. We don’t worry too much about the daily €150 mark, but rather focus on the weekly €1200. 

A lot of travel bloggers will suggest cutting food budgets by eating packaged sandwiches, loading up on a free breakfast at a big chain hotel, or even bringing power bars with you. That is not a sacrifice we are willing to make. A big part of the enjoyment of the trip for us is experiencing the culture through food. So we have figured out ways to cut our budget while still having a meaningful trip. 

Finding a cheap restaurant to eat at doesn’t mean it has to be a bad restaurant. This is one of the hallmarks of our service - we balance out Michelin-star spots with excellent “mom & pop” restaurants.

To *really* cut your budget, consider cooking for yourself, and picnicking. You don’t have to be a great cook to cook for yourself! Anyone can bake a few local sausages and make a simple salad. In Ireland, we like to shop at farm shops, buying local fruit, meat, cheese, veg, meat pies, and bread. The food is local and delicious, and cheap! In Italy, we like to shop at the weekly markets held in small towns. Again, we pick up a variety of items. It’s not unusual for us to have a supper of fresh bread, olive oil, olives, fruit, local cheese, salami, and local wine. It’s easy to enjoy a meal like this for €20 for two people. It’s cheap, local, and we have never felt deprived. Bonus: There are often benches and sometimes even picnic tables placed in beautiful spots like overlooks, or in parks, so it’s easy to find a inviting place to picnic. We often help our clients identify the best places to buy good local food, and then the beautiful spots to sit and enjoy these goodies.

 

4. Lodging

In small towns, hotels are family-run affairs. You’ll find plenty of B&Bs as well. In Italy, try an agriturismo (farm stay). You’ll be out in the country, in a beautiful setting, and often have a chance to sample cheese, veg, honey, meat and wine from the farm. Many agriturismo locations offer dinner as well (for an extra fee). B&Bs can be a great way to stay in a small walled town, and feel like you are living there, even if just for a few days. In the off season, often hotels and B&Bs in small towns offer reduced rates. 

We will often pair a farm stay or modest B&B with a more expensive stay (e.g. a castle or a lighthouse). It gives us a completely different experience, and keeps us within our lodging budget. 

To *really* trim your budget, search for apartment/house rentals in small towns. We sometimes situate our budget-conscious travelers in a single lodging, ranging out to different locations during the day and returning to their place at night where they can cook for themselves (see above - yet another cost-cutting measure). Covering less ground (but exploring it more in-depth) also means lower costs for fuel and tolls. Far from being a deprivation or a compromise, many travelers - artists, writers, photographers, or just simply people looking for a break - highly value the inspirational factor, as well as the authenticity, when they stay out in the country or in small villages.

5. “Stuff”

Ah, “stuff.” Well, by “stuff,” we mean liqueur, wine, oil, ceramics, gifts, etc. etc. etc. Whatever strikes your fancy. We like to include a budget of €300 for “stuff”, so we know a little money is set aside and can feel comfortable to buy something if we really want it. But this is obviously the easiest category to cut, or eliminate. 

The key is to find things that locals like, to have time to enjoy them, and be willing to learn and explore. It’s easy to have a memorable, immersive trip, even on a budget!


Here are a few pics from lodgings we’ve stayed (and sent our clients to) in recent years - these all fit within our target average costs, and some are priced even lower!