The Expert’s Guide to Long Term Travel Budget in 2025

The dream of every adventure-seeker around the world: to travel long term. But how do you do it?

One of the most important things to factor into the equation is your finances.

Traveling long term can be quite expensive, and depending on where you're going or why, you may not have an income during that time.

In this guide, we're going to take a look at how to budget for long term travel!

How to budget for long term travel

There are several things you can do to assess whether or not you have the finances in order to travel for an extended period of time.

While finances aren't the only thing you need to think about (visas, for one), they are an extremely important factor to make sure that you can travel safely, sustaining yourself for the duration of your travels.

Assess your current financial situation

Exploring a long term budget begins with assessing your current financial situation. It's time to look at all of it - the good, the bad, and the ugly.

It's time to take a look at any and all checking and savings accounts you may have. It's also important to consider your long term goals, like saving for a specific intention or retirement funds.

In addition to looking at the funds you currently have, you need to also look at the debts and bills you have too. Do you have minimum monthly payments you will be required to make during your travels?

You will need to make sure that the funds you have will be enough to cover all of these bills while also supporting your journey around the globe.

Evaluate your income

It is much easier to travel (financially speaking) when you have a consistent income. Perhaps you are retired and have a pension, or maybe you have passive income (such as an investment property).

Look at how much money you have regularly coming in to see if it can support your current bills/debts and consistent traveling.

Understand the local laws and regulations for income

If you have a job and are hoping to travel while you work remotely, you may not be able to.

Many countries (including most European countries) don't allow foreigners to work on their soil, even remotely for a company back home, unless they have the proper visa.

Depending on how you're planning to travel, you may need to apply for a visa to continue working. If this is the income you rely on, it can get tricky.

If you rely on work income, one of the first things you should do when you're planning your travel budget is look at the laws and regulations for working in your destination(s).

Make a travel blueprint

Making a "travel blueprint" can help you get a big picture of what you have, what you owe, and what you will need. While it's not a perfect science, getting everything on paper can help you understand the feasibility of long term travel.

Your travel blueprint should include your current funds you're planning to travel with, any income you're relying on, and bills you will still need to pay while you're traveling.

Research your destination(s)

Your blueprint should also have information about your destination(s). Nowadays, finding average costs and the cost of living in destinations around the globe is much easier than it used to be.

Some of the things you should look for are:

• Cost of transportation to and from the location (airplane tickets, trains, etc.).
• The average cost of accommodations. Using booking tools can help you get a good idea of nightly or even monthly rates. Depending on the type of accommodation you're looking for, the prices you can expect to pay vary greatly.
• Cost of food and drink (groceries, dining out, etc.).
• Cost of activities and entertainment.

Add in buffer room

When traveling, it's also important to add buffer room in your budget. One of the most exciting parts of traveling is the unpredictable nature of it. However, that can also come with unpredictable costs.

You never know what's going to happen when you're abroad, so having buffer room in your budget is essential.

How much money do you need to travel long term?

While it's not the most helpful answer you can receive, it is the most honest one: It depends.

There are so many things that factor into a budget: how long you're traveling for, where you are going, and the type of lifestyle you want to have during your travels. A long term luxury trip is going to require a vastly different budget than a backpacking one. On the same note, 3 months of traveling will be far less expensive than 3 years of traveling.

This is why it's important to take a look at your current finances, your current bills, your income, and your destination(s) to get an idea specific to you.

Tips for cutting costs when traveling long term

If you are budget-concerned (as most travelers are), there are some things you can do to help cut the costs of your trip without sacrificing the adventure of it all.

• Book your airline tickets at the right time. If you book them too far out from your trip, they're going to be more expensive. The same is true if you book them too close to your trip.
• Use a VPN or incognito window when looking at flight prices. You may notice the price of airline tickets increasing when you start looking at them. By using a VPN or incognito window, you may see different (cheaper) pricing.
• Pay in the local currency. If you're using your credit or debit card abroad, select the local currency as your payment method. If you choose to pay in your home-currency, the business can charge you more in a conversion rate. You'll get the best price by paying in the local currency.
• Avoid tourist areas. This doesn't mean you can't go to any tourist areas or enjoy the must-see sites - you definitely should! However, when it comes to your hotel, grocery stores, and restaurants, try to do the bulk of your shopping outside the tourist area. Tourist areas are generally more expensive than other areas of the city. Many global cities have great public transportation and/or are walkable, so staying outside of those main areas might even be easier than you think!