Iceland, with its stunning landscapes, waterfalls, glaciers, and geothermal wonders, is a dream destination for many travelers. However, it’s also known for being one of the most expensive countries to visit. But don’t let that discourage you! With some smart planning and budgeting, you can explore Iceland’s natural beauty without overspending. Here are some essential tips to help you travel Iceland on a budget.
1. Visit During the Shoulder Season
While summer is the peak travel time in Iceland, with long daylight hours and warmer weather, it’s also the most expensive time to visit. To save money, consider traveling during the shoulder season, which includes late spring (May) and early fall (September). Prices for accommodation, flights, and tours are generally lower during these months, and you’ll still have good weather for exploring outdoor attractions.
2. Look for Affordable Flights
Getting to Iceland doesn’t have to be expensive. Watch for flight deals from budget airlines like WOW Air (now defunct, but other options exist) and low-cost carriers offering competitive rates to Keflavík International Airport. Use flight comparison websites and set price alerts to grab the best deals. Booking several months in advance can also help reduce airfare costs.
3. Stay in Budget Accommodation
Accommodation in Iceland can be pricey, especially in popular areas like Reykjavík. Here are a few budget-friendly options:
- Hostels: Iceland has a network of hostels that offer affordable dormitory-style rooms and private rooms. You’ll also have access to kitchens, allowing you to save on dining costs.
- Camping: If you’re visiting during the warmer months, camping is a fantastic option. Iceland has numerous well-maintained campsites, and some of them are close to popular attractions. Consider renting a camper van to combine transport and accommodation, which can be a cost-effective solution.
- Airbnb: Renting a room or apartment through Airbnb can be cheaper than staying in hotels, especially if you’re traveling with a group.
4. Cook Your Own Meals
Dining out in Iceland can quickly eat into your budget, with even casual meals costing quite a bit. To save money, consider cooking your own meals. Many accommodations, especially hostels and campgrounds, offer kitchen facilities. Stock up on groceries at supermarkets like Bonus, Krónan, or Nettó, which offer the best prices. You can prepare simple meals like sandwiches, pasta, and salads to keep food costs low.
5. Take Advantage of Free Attractions
Iceland’s natural beauty is the main attraction, and the good news is that many of its breathtaking sights are completely free to enjoy. Some of the top free attractions include:
- Waterfalls: Explore iconic waterfalls like Seljalandsfoss, Skógafoss, and Gullfoss without any entrance fees.
- National Parks: While some national parks may have minimal parking fees, access to sites like Þingvellir National Park is free.
- Hiking Trails: Iceland offers incredible hiking opportunities, from the dramatic landscapes of Landmannalaugar to the scenic trails around Hveragerði. Bring your own gear, and you can enjoy these trails for free.
6. Rent a Car and Share Costs
Public transport in Iceland is limited, so renting a car is often the most efficient way to explore the country. While car rental can be expensive, you can offset the cost by sharing with travel companions or fellow travelers. Websites like Carpool Iceland or Samferda.net connect people looking to share rides, helping reduce transportation costs. If you’re comfortable driving in Iceland’s often unpredictable weather, a rental car will allow you to see more while sticking to a budget.
7. Skip Expensive Tours
Many of Iceland’s top attractions can be visited independently, so there’s no need to pay for expensive guided tours. With a rented car and a good map or GPS, you can drive to most tourist spots, including the famous Golden Circle and the South Coast. Plan ahead by researching the best routes and using apps like Google Maps or Maps.me to navigate. Some tours, like whale watching or glacier hikes, are worth the cost, but for most natural attractions, self-guided exploration will suffice.
8. Bring Your Own Reusable Water Bottle
Tap water in Iceland is some of the purest in the world, and it’s completely free. Avoid buying bottled water by bringing a reusable water bottle that you can refill from taps or streams as you travel. It’s a simple way to save money and reduce plastic waste.
9. Use Free Wi-Fi and Skip Mobile Data
Internet access in Iceland can be expensive, but many hotels, cafes, and even public buses offer free Wi-Fi. Take advantage of this by downloading maps, researching attractions, and staying connected without paying for mobile data. Download necessary information beforehand, and consider using apps that work offline to navigate the country.
10. Book in Advance for Major Attractions
For paid activities like the Blue Lagoon, it’s wise to book in advance. The Blue Lagoon can be expensive, but reserving your ticket early can save you money, as prices increase closer to the date. Consider visiting less popular but equally stunning alternatives, like the Secret Lagoon or Myvatn Nature Baths, which tend to be cheaper and less crowded.
11. Travel with a Group
Traveling with friends or family can help split costs for accommodations, car rentals, and meals. Group travel is especially helpful in Iceland, where prices for services and tours tend to be per person. By pooling resources, you can significantly cut down on expenses while still enjoying the best of what the country has to offer.
12. Opt for Budget-Friendly Activities
If you want to add some adventure to your trip without breaking the bank, there are plenty of budget-friendly activities in Iceland. Consider:
- Geothermal Pools: While some geothermal spas are expensive, there are plenty of affordable or free natural hot springs, like Reykjadalur or Seljavallalaug.
- Free Walking Tours: Explore Reykjavík on a free walking tour, where you can learn about the city’s history and culture from local guides. These tours operate on a tip-only basis, making them an affordable way to get to know the capital.
Iceland may have a reputation for being expensive, but with the right planning and budgeting strategies, it’s possible to explore the country’s stunning landscapes without overspending. From camping and cooking your own meals to visiting free attractions and taking advantage of budget-friendly activities, you can experience Iceland’s magic on a budget.