Southeast Asia Backpacking Budget: How much does it really cost?

Even though Southeast Asia is one of the most budget-friendly destinations for backpackers, money can still be a concern. Here we outline common costs to plan for when building your Southeast Asia backpacking budget.

For those looking to pinch pennies, check out “10 Ways to save money as a solo backpacker” or “Backpacking on a Budget: How to travel Southeast Asia on $30 a day“.

Flights

The most significant costs of any backpacking trip to Southeast Asia are the flights to and from Asia. These flights will easily be the two largest sums of money spent throughout the entire trip.

Most backpackers fly into Bangkok to start their trip. From North America, one-way flights to Bangkok typically start around $500 USD and vary based on when you fly. We recommend that you book a one-way flight because many backpackers find it more convenient to fly out of a different location after months of travel. For example, we arrived in Bangkok, and after traveling for 7 months, we departed from Tokyo.

If you plan to visit places like the Philippines, Indonesia or the island of Borneo during your trip, you will need to take additional flights. Air Asia is the most popular airline for backpackers in Southeast Asia, with regional flights serving much of the area. Luckily these flights are much less expensive, typically ranging from $30-200.

Activities

Aside from flights, this is the category where backpackers should dedicate most of their budget. The most popular backpacking activities should not be missed, but they also won’t come cheap.

Even minor activities throughout Southeast Asia require a small entrance fee. Whether you’re visiting a waterfall or an ancient temple, you can usually expect to pay a couple of dollars up front. In general, these fees are 1-2 dollars each place, but plan on budgeting around $10/day for various activities. Any surplus can go towards funding the larger excursions listed above.

We outlined 6 bucket list activities while backpacking Southeast Asia here.

Transportation

Bus

After arriving in Southeast Asia, you will still need transportation to all of the different places you plan to visit. Most backpackers do the majority of this traveling via bus. The majority of lengthy bus rides cost around $10 USD, and vary slightly based on the company you choose. Public buses are the cheapest option, compared to private buses that usually have more leg room and air conditioning.

Scooter

The most convenient form of local transportation is renting a scooter or motorbike. In most areas of Southeast Asia, companies rent scooters for $5/day, and many backpacker hostels offer scooter rentals for similar rates on-site.

Taxi

Taxis and equivalents like tuk tuks are a good alternative to scooters if you’re uncomfortable driving on your own. A single taxi ride will usually cost the equivalent of renting a scooter for the day, but it is common for backpackers to split the cost for daily excursions. Regardless, taxis in Southeast Asia are a fraction of what they cost in North America or Europe. For example, we got stuck in Manila traffic for almost 2 hours and the taxi meter read $6.

Accommodation

Southeast Asia is notorious for it’s low-cost accommodation for backpackers. Basic accommodation typically starts at $5-10 USD per night throughout the region. From there, the price will go up depending on the location and the type of stay you are looking for.

Most backpackers will opt for hostels, guesthouses and homestays during their trip, all of which fall into the $5-10 price range. Of this group, hostels are by far the most popular option for backpackers due to their social atmosphere and experience tailored towards young travelers.

Food

The cost of food varies significantly based on what and where you eat. Street food is easily accessible in most areas for under $1 USD per meal, and it is by far the cheapest option. Whether it’s street food or at a restaurant, local cuisine is always cheaper (and better) than the alternative. By sticking to local food, it’s very feasible to get by on $4-6 per day, and for $10 a day you can eat like royalty.

Eating familiar food from back home is generally more costly at $4-5 per plate, but after months of traveling you will inevitably crave a cheeseburger or French toast at some point.

We should note, it is very possible to spend a lot of money on food in Southeast Asia if you put your mind to it. Major cities like Bangkok, Hanoi, Singapore and Kuala Lumper have incredible luxury restaurants. However, for most backpackers, the cost of a fancy dinner is equivalent to days or weeks of travel on a normal budget.

Drinks

It isn’t safe to drink the tap water in Southeast Asia, so plan on purchasing bottled water every day. Luckily, water is extremely cheap at local convenience stores, with large bottles costing under $1.

Alcoholic beverages are slightly more expensive, but still very cheap compared to North American prices. One 12-ounce beer typically costs around $2, while mixed drinks at a bar or restaurant are usually $4+.

Souvenirs

You will probably want to pick up a souvenir or two during your trip. The best advice we can give for souvenir shopping is to haggle the price of every item. Haggling is expected throughout Southeast Asia, so you are guaranteed to overpay if you purchase at the listed price. We regularly purchased items for less than 20% of the price listed, so do yourself a favor and haggle.

If you are unfamiliar with haggling, we dedicated an entire article to get you up to speed. Check out, “How to haggle in a foreign country“.

Currency Exchange

Currency exchange fees are a cost that many travelers overlook in Southeast Asia. While these small fees don’t seem like a lot, they can really add up over the course of a lengthy trip. ATMs and banks offer the best exchange rates throughout Southeast Asia. Most independent currency exchanges take a large cut of the transaction, so in order to insure you have the best rate possible, try to find an ATM or bank.

However, most ATMs also come with fees of their own. Local ATMs typically charge a $3-4 fee to withdraw cash, and some banks have additional charges on top of those. In Southeast Asia, $4 dollars can be a day’s worth of food, so even these small charges are significant.

Data Plan

Most backpackers elect to purchase a local data plan for their phone while in Southeast Asia. Cellular carriers vary by country, so you will need to purchase a new SIM card for every new country you visit. Despite this wrinkle, prices remain fairly consistent across Southeast Asia. A month-long data plan is typically about $20, and in our opinion, it is well-worth the cost for the convenience and peace of mind.

Recommended Southeast Asia Backpacking Budget

With all of the above factors considered, we recommend a minimum budget of $30/day for your time in Southeast Asia. This does not include flights to and from Asia, so be sure to dedicate at least $800 in that area.

Here’s how our $30 budget looks on a daily basis:

  • Accommodation – $10
  • Food – $6
  • Drinks – $4
  • Activities – $4
  • Surplus – $6

Keep in mind, larger activities alone will exceed the cost of your daily budget. Consider the “surplus” category each day as a means of saving towards these activities.

For a more in-depth look at this budget, check out “Backpacking on a Budget: How to Travel Southeast Asia on $30 a day“.

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