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You are here: Home / Archives for budget

Reflections on our Budget

February 24, 2011 By Danny

We recently participatedinacolumn where several travelers compared their budgets head-to-head.  We were surprised to see that we spent less per month than any other traveler featured on the page.  This got us pondering why and how this happened and reflecting on if there had been anything we regret skipping on account of our budget.

More to the point though; did keeping to our budget leave us with any lingering regrets?  We have a few, but as we discussed them last night a certain peace came over us as we realized there weren’t too many, and they weren’t huge things that we feel cheated from enjoying.

  • IMGP3045Patagonia – We spent a lot of time busing down to the tipofArgentina and back up again.  In hindsight we wished we’d take the ferry down the Chilean coast of Patagonia to where we hikedtheW and then worked our way back up.  We would have seen far more (courtesy of the ‘cruise-like’ ferry) and broken up the return journey north a bit better.  We also might have had slightly nicer weather in Bariloche, Argentina.  Cost was the principle driver in not taking the ferry but timings, a desire to hit some whitewaterinPucon, and a hope of getting to Antarctica all combined to help us make the wrong decision.
  • After hikingKilmanjaro, enjoying a Safari, whitewaterboogieboarding in Jinja, and paying the bill for GorillatrackinginUganda…we were feeling like we’d completely destroyed our bank accounts in a matter of days.  This led us to bus across Kenya from Uganda to coastal Lamu.  We soon wished we’d flown.  The flights didn’t work out perfectly but it would have been better than that hectic 24 hours of bus after bus after bus.  At that point in time we also had no idea how we were going to be heading northtoEthiopia and were expecting to fork over some major cash for big, last-minute African airfares in the coming weeks.

It seems that there were two very big keys to keeping our costs down.  First, overland travel meant sleepingonbuses and trains rather than paying for constant airfares.  We decided early on that we enjoyed traveling this way and don’t regret that decision.  Second, we spent only one month in Europe and skipped on Australia and New Zealand.   Although we’d hoped to make it to the South Pacific, we were simply too tired and homesick when the time came.  Our route also kept us traveling most of the time in shoulder seasons where the climate wasn’t quite perfect (not a lot of vacationers driving prices up) but still good enough for us to enjoy ourselves.  The only time the whole trip we had to deal with high season was while we were traveling through Turkey.

While in the Americas we generally erred on the side of keeping to our budgets and passing on the big items (e.g. Galapagos Islands) because we are from United States and those sites are much easier to enjoy to later in life than say, Uzbekistan. For the rest of the planet, we adopted a mental policy of treating ourselves to the big ticket items if we wanted to do them.  Faced with $100-$200 bungee jumping and adventure swings in South Africa and Zimbabwe, we decided to skip and don’t regret those decisions….We also don’t regret the big bucks we spent for game viewing, visas, and climbing mountains.

Although many travel with philosophies that differ from ours, we all have budgets and all make decisions…both good and bad.

IMGP6055

Filed Under: Headline, Travel & Planning, Travel Reflections Tagged With: budget, budgeting, summary, travel budget

Two Years of Travel Costs Less Than You Think?

February 2, 2011 By Danny

We’ve made no secret of our budgets as we’ve posted our spending for each and every country we’ve passed through along the way. Just about everything included brings us to a grand total of:

$59,114

That number is for both of us for 21 months of travel. It includes all of our airfare, (except the one trip we took between the US and Europe since that was for a wedding and not for travel) buses, food, lodging, gifts, souvenirs, postage fees, visas and medical expenses. And again, that’s for BOTH of us….a combined total.

Could we have spent less…absolutely. In Africa we spent $5000 climbing Mt. Kilimanjaro, taking a safari to the Ngorogoro Crater and visiting the Mountain Gorillas of Uganda. Take out that two week period and our total trip cost went down by nearly 10%.

What else isn’t included? I think I left off our travel medical insurance. Anything we purchased back in the US isn’t included, which does account for most of our gear, but on the other hand we sold a ton of stuff before we moved out which more than covers that expense. I also didn’t include all the tailored clothing we purchased in SE Asia, since that really had nothing to do with our trip at all.

Otherwise it’s all there. Transportation accounted for nearly one third of all of our spending. Activities averaged out to be about a quarter and food and lodging combined for 28%, but we spent a touch more on food than we did on sleeping, probably thanks to couchsurfing. The remaining 15% or so were the miscellaneous things that can vary dramatically such as how many souvenirs we purchased, over $2500 in visa fees, and how much time we spent at the Internet cafe or on the phone.

The point of all of this, of telling you our deepest darkest secret, is to make it abundantly clear how easy this is to do if you make it a goal and stick to it. We’ve just developed a new financial planning website to help others do the same, so feel free to use it!

Country Days Food Lodging Activity Trans Misc Daily Avg
TOTALS 580 $16.58 $11.34 $25.12 $33.65 $15.24 $101.92
Mexico & C Amr 111 $17.76 $10.33 $23.31 $20.50 $9.96 $79.25
South America 135 $15.68 $10.21 $19.71 $31.73 $9.42 $86.75
Africa & Levant
174 $16.44 $12.09 $39.90 $36.35 $19.84 $124.63
Europe
32 $21.93 $6.26 $11.94 $40.22 $9.54 $90.01
Silk Road
50 $16.46 $17.96 $19.50 $29.01 $19.40 $102.33
Asia
78
$14.64 $10.21 $13.07 $33.42 $20.67 $92.01

Filed Under: Headline, Travel & Planning Tagged With: budget, budgeting, costs, money, travel budget

Budget Report: The Silk Road

October 18, 2010 By Danny

The fabled silk road.  We completed Istanbul to China, our last great overland adventure of this trip.  Traveling our modified silk road proved to be far more expensive than we thought it would be. Visas ate up a huge amount of our budget (about $10/day between us), but there’s really no way around that.  Turkey was every bit as expensive as any place we ever went in Europe. Add to that the transportation challenges we faced and these rather cheap countries ended up being quite expensive. To see our spending for the entire trip visit our RTW budget page or if you’re interested in finding out how to save and budget for a trip around the world, check out our other finance pages.

Country Days Food Lodging Activity Trans Misc* Daily Avg
MEX & C. AMR.
111 $17.76 $10.33 $23.31 $20.50 $9.96 $79.25
SOUTH AMERICA 135 $15.68 $10.21 $19.71 $31.73 $9.42 $86.75
AFRICA & LEVANT
174 $16.44 $12.09 $39.90 $36.35 $19.84 $124.63
EUROPE
32 $21.93 $6.26 $11.94 $40.22 $9.54 $90.01
Silk Road
50 $16.46 $17.96 $19.50 $29.01 $19.40 $102.33
Turkey
23 $19.22 $16.11 $35.97 $23.95 $7.83 $103.09
Georgia 9 $13.94 $28.56 $5.71 $10.00 $17.77 $75.98
Armenia 5
$13.59
$14.73 $5.97
$7.01
$5.68
$46.98
Uzbekistan 8
$7.19
$16.25
$5.76
$16.97
$53.59
$99.75
Kazakhstan
5 $25.95 $13.30
$4.07
$30.31
$29.43
$103.06

TURKEY: Despite the high price Turkey comes with, we allowed ourselves to have a very nice time there. Springing for a small cruise drove our activity budget up but helped to bring everything else down as the tour was all inclusive. Overnight buses were expensive for transportation but those, combined with couchsurfing in both Istanbul and Trabzon helped to keep lodging down. Actually, hostels in many parts of Turkey were over $30 for the two of us, more than many places in Europe, and we spent most nights in dorm rooms.

GEORGIA and ARMENIA: Both of these countries are quite cheap and represent a great value while traveling there. The biggest difference between the two with regard to our budget was that we were able to couchsurf while in Yerevan, Armenia and didn’t buy the same amount of Soviet era souvenirs in Armenia (Misc. Budget) that we purchased in Georgia. Both countries use alternative (read: cheap and dangerous) fuels for cars meaning that transportation is surprisingly cheap and spending time hiking is always easy on the budget. Our biggest expense in the whole region was our lodging in Tbilisi, Georgia.

UZBEKISTAN: The country itself is one of the cheapest we’ve been to. There were always just enough choices for lodging to keep prices below the $20 mark for a night and food and transportation were both quite inexpensive. The obvious big budget item were our visas, costing us nearly $200 each. Had we stayed a couple of days longer and moved a touch slower our numbers here would look quite different but as it was we didn’t move particularly fast. We’d been told by several people that a week would be plenty of time to see the sights and that was quite accurate. Spending additional time in the countryside with locals is difficult on account of government restrictions.

KAZAKHSTAN: The home of Borat is not so poor after all. There is a natural resources bonanza taking this country by storm and many of its cities are quite pricey. That being said, we really only used Kazakhstan as a transit country for getting into and out of Uzbekistan and our lack of lingering pushed our cost per day up quite a bit. With two overnight trains and one night couchsurfing, we only paid to sleep 2 of our 5 nights, but this meant our transport was quite expensive. Food was the big shocker here, but like I said, it’s not such a cheap place. The multi-entry visa cost us $60 each, plus shipping fees, accounted nearly all of our miscellaneous spending for the country.

NOTE: Our flight over the Caspian Sea, from Armenia to Kazakhstan, are not applied to any single country, instead that cost is only included in the transportation totals for the Silk Road leg of the trip.

Filed Under: Asia & Oceania, Europe, Headline, Middle East, Travel & Planning Tagged With: budget, Travel & Planning

Report Card #1

July 8, 2009 By Danny

So  now we’re home in the states for a week so we’ll take this opportunity to take stock of how we’ve done so far and what it is we need to change.  Overall, it looks like our preparation has paid off.  We’ve rarely been without something we’ve needed and have never been completely unprepared.  Since leaving the US we have not met another backpacker with smaller packs than we have (we do have the added benefit of being able to share a few things) but we have met many with things we wish we did have.

Our supplies have treated us well but we are swapping a few things out that don’t seem to be standing up to the wear and tear we put them through or just aren’t quite perfect enough for our uses.  Mostly this has to do with our  wardrobe…we’ve put several reviews up this week and several more are coming.  Once we’re done with all our trips to REI and repacking our bags we’ll update our gear page and link to the reviews we’ve written.

As for budget, which is what we are most concerned with on a daily basis, we’re spending less than we budgeted but a bit more than  we had hoped to spend.  All in all though we’re not in such a bad position.  Reminder, these numbers are updated each time we finish a country on the $$$ tab.

Country Days Food Lodging Activity Trans Misc* Daily Avg
Mex & C. Amr. 111 $17.76 $10.33 $23.31 $20.50 $7.35 $79.25
Mexico 29 $13.71 $9.57 $21.64 $31.80 $6.50 $83.22
Guatemala 36 $19.37 $10.17 $28.18 $7.69 $6.79 $72.20
Belize 4 $22.17 $0.00 $7.75 $51.35 $14.42 $95.69
Honduras 20 $18.44 $11.23 $27.47 $22.96 $4.12 $84.22
Nicaragua 7 $19.21 $9.31 $13.76 $7.94 $3.03 $53.25
Costa Rica 10 $18.88 $15.28 $12.60 $11.60 $6.25 $64.61
Panama 5 $19.10 $12.00 $28.50 $18.64 $7.00 $85.24

MEXICO:  Our first country so we weren’t so savey yet.  Having said that, we didn’t so do badly.  We did some expensive activities, several of which we would not pay so much for now.  Overnight buses and couchsurfing helped to keep lodging low but those same buses made for some high transportation costs.

GUATEMALA: This is a very cheap country.  We could have lived there very inexpensively, especially given how long we spent there.  Spanish school is the sole reason for this being as expensive as it was.   Additionally, living with a host family proved to be far more expensive than had we lived alone.

BELIZE:  Only went here to visit some family and had a wonderful time staying at their fancy (free lodging) house.  Getting there and back from Honduras, by boat, proved to be a very expensive endeavor.

HONDURAS:  Another cheap country, but we spoiled the budget here by getting PADI certified.  How dare us!  Add to that the expense of transportation to some isolated villages in La Moskitia and the island of Utilia and this country looks more expensive than it really  was.

NICARAGUA:  Not really any cheaper than Guatemala and Honduras, but as we didn’t have any major adventures here we were more on target with our spending.  That being said, this spending still represents a few small splurges.

COSTA RICA:  Really proved to be too expensive for us to do many of the things we had hoped to do…so we visited some monkey infested beaches (mostly free) instead and continued onto Panama earlier than we intended.

PANAMA:  Home to our most expensive hotel room, two overnight (low lodging costs, high transportation costs) bus rides, and finally some awesome whitewater…oh, and a canal!

Filed Under: Belize, Central America, Costa Rica, gear, Guatemala, Honduras, Mexico, Nicaragua, Panama, USA Tagged With: budget, spending, summary, travel

Spending Smartly

March 11, 2009 By Danny

Part 3 in the series on our decision, our saving and our spending. Missed parts one and two?

So we made the decision to travel and saved the money, but how we’re going to make that money last is probably more important than how we saved it in the first place. It should be obvious by now that we will not be staying at 5-star resorts, but we do still plan to enjoy ourselves. I think when it comes to spending money while traveling there are three main categories: lodging, food, and transportation.

Let’s talk about food first, since that is probably the easiest to explain. Eating out three meals a day is simply not an option, both from a fiscal and a health perspective. We travel with two items to help us prepare our own food, a squishy bowl and a pair of sporks. Wherever we’re living we should generally be able to shop for food at a local market and prepared small meals ourselves. Outside of that, street food is totally in play as long as there is a long line of locals eating the same. By eating with the locals we’ll taste more authentic foods and have far more exciting adventures battling the revenge of Montezuma than we could ever have with a year’s supply of energy bars from the states.

When it comes to resting our heads there are a few different places we plan to use often. The most obvious, yet rare in the USA, is the hostel. Hostels are common across the entire globe, are nearly always affordable, and often have private rooms as well. One step up from hostels are small mom & pop hotels. Lastly, and probably our favorite option, is couchsurfing. You can see our earlier post on couchsurfing here. We participated as hosts for our final 8 months in DC and had nothing but great experiences with our CSers, many of whom we plan to see again on our travels and are likely reading this website right now.

The last major source of our trip spending comes with regard to transportation. Anyone who is thinking about meeting us somewhere has already realized how expensive international airfare can be…which is why we aren’t buying any. Instead we will be traveling overland as much as possible. For most of our trip this will mean using buses or rail travel where possible. Traveling slowly overland, besides being less expensive, also allows us to get a better feel for a place and see all of it, not just the touristy hot spots. It’s also another way for us to meet and interact with locals.

We may, upon reaching Europe, purchase a RTW airline ticket, allowing us one way passage through the rest of the globe at vastly reduced rates. We are not starting out with a ticket like this because they limit, amongst other things, our travel timeframe and the destinations we can travel to. Once we finish the Americas and Europe however we’ll likely be OK flying over large parts of war-torn Eurasia and so one of these tickets might work out better for us then.

So we’ve explained how we intend to save our money on the everyday activities but that is only so that we have the money to spend when it comes time to do the not so everyday activities. We hope to get SCUBA certified, hike Machu Picchu, tour the pyramids at Giza, go on an African Safari, and well, you get the picture.

Filed Under: Travel & Planning, USA Tagged With: budget, saving, Travel & Planning

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