Budget travel to Iceland is a reality – the ultimate guide to Iceland

Iceland can be eye-wateringly expensive, so travelling to Iceland is not for the budget-conscious folks. This is a myth. The reality is that budget and wallet friendly travel to the land of fire and ice is possible. There are a few guidelines to travelling in Iceland, which when followed, can make your trip to this Artic country a memorable and a happy one.

  • When to visit Iceland: The season you travel to Iceland plays a determining factor for your budget. The offseason winter months, or early spring and late fall are best if you wish to take advantage of low travel fares and economical accommodation rates etc., Iceland has plenty to offer in each season, so your offseason visit could leave you with a fantabulous experience and you won’t regret missing out on anything.
  • Travelling to Iceland or using it as a stopover: Either ways you can avail of good rates if you travel by discount carriers like WOW or IcelandAir, which offer up to 7 nights of stopover in Iceland on your trip from North America to Europe. Make the choice between a solo trip or a combo trip depending on your budget.
  • Accommodation arrangements: While hotel stays are expensive and off radar for the budget traveller, there are several decent, inexpensive options like Nordic hostels, Airbnb cottages if you are going as a group or couch-surfing (the ultimate experience to connect with the locals).
  • Travelling around Iceland: The best and inexpensive options are the buses and the rent-your-car schemes. Travelling in a rental car can be beneficial, because it allows you visit the best free attractions like the sighting of the Aurora Borealis (just keep an eye on the northern lights forecast and drive down accordingly) and the splendid Gulfoss waterfalls. It is splendid to view the Strokkur geothermal springs or drive around the stunning landscapes of the Thingvellir National Park. Most of these are free and travelling in your rental means you can plan it as per your convenience.


Some of the best attractions come for free in Iceland. You can choose to do some tour options. But, the ideal choice would be to drive or hike for awe-inspiring views and breath-taking landscapes.

  • Save on fine dining expenses: Opt for the popular Icelandic hotdog or better still do some self-catering and prepare some ready-to-eat stuff. Carry your own refillable water bottle. Iceland has some of the best water quality. So, it’s safe to drink tap water. Also, go easy on the booze. Alcohol is very expensive in Iceland. You can indulge in cheap beer here and there, but a check on your alcohol consumption may also check on unwarranted indulgences.
  • Go for free soaks than the over-the-top expensive ones: The blue lagoon is a popular tourist hotspot and an unforgettable experience. But, the entrance fee and the drinks or towel rentals can be very expensive. So, opt for the several free geothermal springs available. And, don’t forget to carry your own towels to save on the rentals.


Iceland, will leave you speechless with its fantastic natural beauty. It is a dream destination. It’s cold, but it’s gorgeous, don’t miss this destination because you’re going somewhere more popular!