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FAQs
How Much Money Do You Need to Travel the World?

Thorough planning is key to managing the costs of a round-the-world trip. You should create a detailed budget, research your destinations, and make informed choices based on your travel style so you have a good idea of what your expenses will be before you leave home for an extended period. If you plan to travel simply, and on a small budget (ie. "backpacking" style) you may be able to spend a year abroad on a budget of $20,000—$30,000 USD. On the other hand, those who prefer more comfort and luxury can spend well over $100,000 USD for a similar journey. Here are some factors to consider as you plan for a round-the-world dream trip:
  • Destinations: The cost of living and traveling in different countries can vary significantly. Visiting more expensive countries in Europe or North America will generally be pricier than traveling in parts of Asia or South America.
  • Travel Style: Your choice of accommodations, and dining will have a big impact on your budget. Staying in luxury hotels and dining in upscale restaurants will cost more than staying in hostels or budget guesthouses, eating street food, and cooking for yourself when possible. The activities you choose to partake in will also affect your budget.
  • Transportation: Round-the-world plane tickets or multiple one-way flights can be a significant expense. Your choice of airlines, travel class, and how far in advance you book can affect the cost. Using trains, buses and other local forms of transport could help you save money. You may also consider looking into car rentals for long excursions within one country.
  • Currency Exchange and Banking Fees: Currency exchange rates and the fees associated with ATM withdrawals and credit card usage while abroad can be expensive and add up quickly. Online money transfer services that reach many nations around the world can be a convenient way to manage finances while you travel.
  • Miscellaneous Fees: As you work on your travel budget be sure to account for often-overlooked fees like those for required vaccinations, visas, entry fees, souvenirs, and personal necessities. [WC: 345]
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