There’s a common misconception that domestic travel saves money. No need for international flights, no passport stress, and hey, it’s “just” a road trip or a short hop across the country. But factor in $300+ per night hotels, $50+ dinners, car rentals, parking fees, and tourist attraction costs, and that “more affordable” getaway ends up costing more than a trip abroad.

One summer, after we’d been married a couple years, my wife and I decided we needed to tighten our belts so we opted out of our annual trip abroad. We figured we’d save money by doing little weekend trips closer to home. To be fair, we lived in San Francisco, so close to home wasn’t necessarily budget friendly travel. Still, we were shocked at the end of the summer to find we’d spent as much staying home as we normally spent traveling abroad. That brought an abrupt end to our summer staycations. 

Travel costs in the United States

Keep in mind that was 1996, and things in the U.S. are significantly more expensive now. Take a look at these average weekly costs for a domestic vacation in the U.S.:

• Flights for a domestic round-trip: $300–$500  
• Hotels (7 nights at mid-range hotel): $2,100 ($300/night)  
• Meals: $70/day = $490  
• Local transportation & activities: $200–$400  

Total: $3,000–$3,500 for one week for one person (and that’s being conservative)

Travel costs to Mexico

Now, let’s look at Mexico, Asia, and Europe. Sure, the international flight might cost more upfront, but that’s where the big spending ends. The daily expenses in most every other country I visit are a fraction of what you’d spend in the U.S. Let’s take a trip to Mexico for example:

• Flight from the U.S.: $500–$700  
• Hotels or Airbnb: $30–$100/night = $210–$700/week  
• Meals: $30/day = $210  
• Transportation, tours, and activities: $100–$200  

Total: $1,000–$1,700 for one week for one person  

Yep, you read that right! It costs less than half of a U.S. vacation.

Travel costs to Southeast Asia

Now let’s compare something a little further abroad. When traveling to Southeast Asia, to places like Thailand or Vietnam, you’ll find costs similar like these:

• Flights: $900–$1,200  
• Hotels or guesthouses: $20–$60/night  
• Street food and local restaurants: $5–$10/day  
• Transportation (buses, tuk-tuks, scooters): pennies compared to Uber/Lyft

Even factoring in the higher flight cost, for a full week, you’d spend between $1,500–$2,000. And that includes massages, island hopping, and some of the best food you’ll ever taste. That’s also assuming you don’t use miles to fly like we do so it’s even cheaper! Plus you’re getting the excitement of experiencing a completely foreign culture. You’ll be amazed at how much you learn seeing how others live.

Travel costs to Europe

Finally, there’s Europe. Of course costs vary by region, but many parts like Spain, Portugal, Greece, and Eastern Europe are still very budget-friendly. A week-long trip including airfare, lodging, meals, and sightseeing can easily stay under $2,500. In fact, the only places I’ve traveled in the world that are consistently more expensive than traveling the U.S. are Australia and Scandinavia.

Recently, I had a tour company from Tennessee ask me to quote a one week tour in Oregon. When I sent her the itinerary, she said that’s more than a trip to Europe we did last year. I replied, “yep, that’s the cost of traveling in the U.S.”

When choosing between “spending less” domestically vs. “going big” abroad, people often miss the big picture. The real question isn’t just what the plane ticket costs. It’s how much you spend once you arrive. In the U.S., you’re paying high prices for everything: hotels, gas, food, tickets, and even national parks. Outside the U.S., the cost of living often works in your favor.

Traveling abroad might seem more expensive, but daily costs in places like Mexico, Asia, and Europe can make your dream trip more affordable than a week in your own backyard. Don’t let airfare fool you. A once in a lifetime adventure doesn’t have to break the bank, and you might find it becomes more than a once in a lifetime experience as I did.