What is a budget for travel?

If there's one thing most of us can agree on, it's this: we love saving money, and we love travelling. Budget travel is not about missing out, it's about spending smart. It means having a set amount to work with and still treating yourself to great experiences within those limits. And guess what? You’re not alone. This is one of the biggest travel trends of 2025.

According to a recent report by Vio.com, 51% of travellers now spend under $1,000 per trip, showing a clear shift in how people prioritise travel. Millennials are the most cost-conscious, averaging $1,666 per trip, while Gen Z travellers dedicate the highest percentage of their income, 11.5%, to travel. Gen X, on the other hand, spends the most overall, with an average of $2,089 per trip.

Motivation? People want more frequent, meaningful trips without financial stress.

A study by Simon-Kucher found that 45% of Millennials and 40% of Gen Z actively seek budget-friendly accommodations like hostels, home rentals, and low-cost hotels, proving that comfort doesn’t have to come at a premium.

If you're planning your next trip and looking for destinations that won't drain your savings, consider these four top picks for budget travel:

1. Azerbaijan

Think Silk Road history, futuristic architecture, and stunning mountains. 

2. Georgia 

With ancient monasteries, friendly locals, and some of the best wine in the world, Georgia is a budget traveller’s dream. 

3. Slovenia 

Bordering Italy and Austria, Slovenia is a hidden gem for nature lovers. Hiking, cycling, and lakeside towns await, all at more reasonable prices than their western neighbours.

4. Montenegro

Picture Mediterranean beaches without the crowds or price tags. 

How can you achieve this?

Plan ahead - Vio.com’s data shows that travellers who book 4–6 months in advance spend less but enjoy greater satisfaction and fewer surprises. Last-minute travellers, while more spontaneous, end up taking shorter or more frequent trips.

Sustainable choices matter - Eco-conscious travellers are opting for trains over planes, longer stays over quick hops, and green accommodations over big-chain hotels. “Slow travel” is not just trendy—it’s budget-friendly too.

Plan for alternative cities - Why pay Paris prices when Reims offers great wine and architecture for less? Choosing lesser-known cities like Brescia instead of Milan gives you more value, fewer crowds, and deeper cultural immersion.

Budget travel in 2025 isn’t about giving things up, it’s about getting more out of every trip. Whether you’re planning a quick escape or a long adventure, there are smart ways to stretch your money and still have an incredible experience.

So, pack light, plan smart, and remember: the world is still very much yours to explore—on a budget.