Iceland Travel Budget - Visit Iceland on a Budget or Travel in Style

How much does it cost to travel to Iceland?

You should plan to spend around $89 (kr12,464) per day on your vacation in Iceland. This is the average daily price based on the expenses of other visitors.

Past travelers have spent, on average for one day:

  • $14 (kr1,998) on meals
  • $12 (kr1,735) on local transportation
  • $77 (kr10,771) on hotels

A one week trip to Iceland for two people costs, on average, $1,246 (kr174,494). This includes accommodation, food, local transportation, and sightseeing.

All of these average travel prices have been collected from other travelers to help you plan your own travel budget.

  • Average Daily Cost Per person, per day
  • One Week Per person
  • 2 Weeks Per person
  • One Month Per person
  • One Week For a couple
  • 2 Weeks For a couple
  • One Month For a couple
This data comes from the travel budgets of real travelers - How it works. Put these numbers on your website.

How much does a one week, two week, or one month trip to Iceland cost?

A one week trip to Iceland usually costs around $623 (kr87,247) for one person and $1,246 (kr174,494) for two people. This includes accommodation, food, local transportation, and sightseeing.

A two week trip to Iceland on average costs around $1,246 (kr174,494) for one person and $2,492 (kr348,988) for two people. This cost includes accommodation, food, local transportation, and sightseeing.

Please note, prices can vary based on your travel style, speed, and other variables. If you're traveling as a family of three or four people, the price per person often goes down because kid's tickets are cheaper and hotel rooms can be shared. If you travel slower over a longer period of time then your daily budget will also go down. Two people traveling together for one month in Iceland will often have a lower daily budget per person than one person traveling alone for one week.

A one month trip to Iceland on average costs around $2,670 (kr373,916) for one person and $5,340 (kr747,831) for two people. The more places you visit, the higher the daily price will become due to increased transportation costs.

How much do package tours cost in Iceland?

Organized tours are usually more expensive than independent travel, but offer convenience and peace of mind that your trip has been planned by a travel expert.

The average price for an organized tour package in Iceland is $572 per day. While every tour varies by total price, length, number of destinations, and quality, this is the daily average price based on our analysis of available guided tours.

Independent Travel

Traveling Independently has many benefits including affordabilty, freedom, flexibility, and the opportunity to control your own experiences.

All of the travel costs below are based on the experiences of other independent travelers.

Is Iceland expensive to visit?

Iceland is a moderately priced destination to visit. It's about average with most other countries for travel costs. The prices for food, accommodation, and transportation are all fairly reasonable.

Within Europe, which is known to be an expensive region, Iceland is somewhat more expensive compared to the other countries. It is in the top 25% of countries in Europe for its travel costs. While a few countries in the region are more expensive, Iceland is more expensive than most.

For more details, see Is Iceland Expensive?

How much money do I need for a trip to Iceland?

The average Iceland trip cost is broken down by category here for independent travelers. All of these Iceland travel prices are calculated from the budgets of real travelers.

Category Cost
Accommodation 1 (Double Occupancy) kr10,771 ($77)
Local Transportation 1 kr1,735 ($12)
Food 2 kr1,998 ($14)
Entertainment 1 kr2,148 ($15)
Tips and Handouts 1 kr7,346 - 22,039 ($52 - 157)
Alcohol 2 kr449 - 1,348 ($3 - 10)
Accommodation Budget in Iceland
Average Daily Costs

Calculated from travelers like you

The average price paid for one person for accommodation in Iceland is $38 (kr5,386). For two people sharing a typical double-occupancy hotel room, the average price paid for a hotel room in Iceland is $77 (kr10,771). This cost is from the reported spending of actual travelers.

  • Accommodation1 Hotel or hostel for one person
  • Accommodation1 Typical double-occupancy room

Hotel Prices in Iceland

Looking for a hotel in Iceland? Prices vary by location, date, season, and the level of luxury. See below for options.

Find the best hotel for your travel style.


Actual Hotel Prices
The average hotel room price in Iceland based on data provided by Kayak for actual hotel rooms is $150. (Prices in U.S. Dollars, before taxes & fees.)

Kayak helps you find the best prices for hotels, flights, and rental cars for destinations around the world.

Recommended Properties

Local Transportation Budget in Iceland
Average Daily Costs

Calculated from travelers like you

  • The cost of a taxi ride in Iceland is significantly more than public transportation. On average, past travelers have spent $12 (kr1,735) per person, per day, on local transportation in Iceland.

  • Local Transportation1 Taxis, local buses, subway, etc.

Recommended Services

Food Budget in Iceland
Average Daily Costs

Calculated from travelers like you

  • While meal prices in Iceland can vary, the average cost of food in Iceland is $14 (kr1,998) per day. Based on the spending habits of previous travelers, when dining out an average meal in Iceland should cost around $5.71 (kr799) per person. Breakfast prices are usually a little cheaper than lunch or dinner. The price of food in sit-down restaurants in Iceland is often higher than fast food prices or street food prices.

  • Food2 Meals for one day


What did other people spend on Food?

Typical prices for Food in Iceland are listed below. These actual costs are from real travelers and can give you an idea of the Food prices in Iceland, but your costs will vary based on your travel style.

  • Dinner (Fish Market)

Entertainment Budget in Iceland
Average Daily Costs

Calculated from travelers like you

  • Entertainment and activities in Iceland typically cost an average of $15 (kr2,148) per person, per day based on the spending of previous travelers. This includes fees paid for admission tickets to museums and attractions, day tours, and other sightseeing expenses.

  • Entertainment1 Entrance tickets, shows, etc.

Recommended Activities

What did other people spend on Entertainment?

Typical prices for Entertainment in Iceland are listed below. These actual costs are from real travelers and can give you an idea of the Entertainment prices in Iceland, but your costs will vary based on your travel style.

  • Art Museum
  • Wine and Spa

Tips and Handouts Budget in Iceland
Average Daily Costs

Calculated from travelers like you

  • The average cost for Tips and Handouts in Iceland is $105 (kr14,693) per day. The usual amount for a tip in Iceland is 5% - 15%.

  • Tips and Handouts1 For guides or service providers

Alcohol Budget in Iceland
Average Daily Costs

Calculated from travelers like you

  • The average person spends about $6.42 (kr899) on alcoholic beverages in Iceland per day. The more you spend on alcohol, the more fun you might be having despite your higher budget.

  • Alcohol2 Drinks for one day


What did other people spend on Alcohol?

Typical prices for Alcohol in Iceland are listed below. These actual costs are from real travelers and can give you an idea of the Alcohol prices in Iceland, but your costs will vary based on your travel style.

  • Beer

Water Budget in Iceland
Average Daily Costs

Calculated from travelers like you

  • On average, people spend $3.12 (kr437) on bottled water in Iceland per day. The public water in Iceland is considered safe to drink.

  • Water2 Bottled water for one day

Last Updated: Oct 26, 2023
Iceland On a Budget
Iceland Reykjavik, Iceland
Iceland is a beautiful country in the North Atlantic ocean. About ten percent of the country is covered by glaciers and natural beauty is abundant throughout the countryside. There are also many geothermal hotspots around the island.

Iceland is very close to the Arctic Circle, so it is important to consider what time of year you plan to visit. The days can be long in the summer, and very short in the winter. During June, the sun only sets briefly and it never gets completely dark. Alternatively, in December there are almost 20 hours of darkness. During the equinoxes in March and September, the days and nights are approximately the same length and comparable to elsewhere in the world. Despite Iceland's proximity to the Arctic Circle, the climate is not as cold as you might expect. In fact, Iceland is a great place to visit in November.

Most visitors to Iceland choose to rent a car. This allows for the most flexibility and lets you see the beautiful countryside at your own pace. Most of the popular sites throughout the country are easily accessible with good roads, but if you hope to get a little more off the beaten track, consider renting a four wheel drive vehicle. These cars can be in high demand so plan well in advance.

If you're not interested in renting a car, you can usually book excursions through tour companies in either Reykjavik or Akureyri. These can be expensive, but will allow you access to the country's most impressive volcanoes and glaciers.
At A Glance
  • The official language of Iceland is Icelandic. It is not uncommon for Icelanders to also speak English and Danish, both of which are taught from an early age in schools. It is still respectful to attempt to speak some Icelandic before referring to English. These efforts will be much appreciated. If you learn a few phrases ahead of time, you'll be well respected for your efforts.

  • Krona is the local currency in Iceland. It is recommended that you buy and sell krona in Iceland, where you will get the best exchange rate. Most business accept credit cards. Credit cards are also accepted by taxis and souvenir stands, so you really don't need to carry a lot of cash with you. Keep in mind that this country can get expensive, so here are some tips for budgeting in Iceland.

  • If you're looking to buy some interesting, local products, consider purchasing items made from Icelandic wool. The Icelandic sheep is unique and makes a soft but durable wool that is woven into hats, gloves and more. Other interesting local items include arts and crafts such as musical baskets and porcelain sculptures that can be found at the local craft shops.

  • Winters are surprisingly mild in Iceland. There is a maritime temperate climate and the winters are somewhat comparable to those in New England. Do be aware that the weather conditions can change rapidly. Although winters can be warmer than you might expect, summers are also quite cool, so come prepared for temperatures around 20 degrees Celsius during these months.

  • A favorite activity in Iceland is to go hiking. Some of the hiking is quite intense so come prepared with good walking boots and some food. Also, be prepared for the changing weather conditions as a beautiful day may suddenly be interrupted by a strong storm, particularly during the winter months.

Traveling independently and looking for a hostel in Iceland?
Are you organizing group travel and need a place to stay in Reykjavik?

Find a Contiki tour to Europe.
Top Tourist Attractions
The Blue Lagoon: This is a world famous Geothermal Spa in the southwestern part of Iceland. It is halfway between Keflavik Airport and Reykjavik, near the town of Grindavik. Its warm, mineral rich waters are the result of the nearby Svartsengi geothermal power plant. Bathing in this pool is a popular activity for almost all visitors to Iceland.

The Gullfoss Waterfall: Also called Golden Falls, this 32 meter high double waterfall is found along the White River. It is typically largest in the summer when the rains and glacial runoff are at their peak. It's also the largest volume waterfall in Europe. You can drive yourself to the falls, or take one of the many tours along the Golden Circle.

Geysir: This hot spring is the namesake for all geysers around the globe. It's also one of the most popular destinations in the country. Nearby are several other geysers which erupt more frequently, as well as some impressively colored hot pools.

Popular Foods
Icelandic food has continued to evolve in recent decades. In the past the cuisine was dominated by lamb and fish as staples but in recent years the options have diversified significantly. It's still a difficult country to visit as a vegetarian, as most dishes include some form of meat, but there are now several vegetarian restaurants in the capital city, and a few vegetarian options are found on most menus.

Skyr: This is a dairy product that is local to Iceland and is similar to yogurt. It is found throughout the country and comes in both unflavored and flavored varieties.

Harofiskur: This is a popular snack throughout the country. It is made with dried pieces of fish that are served with butter. It's also a good accompaniment with coleslaw.

Pylsa: This fast food item, basically a hot dog, is usually served with fried onions or fresh ontion, ketchup, mustard, and remoulade. It's a good cheap option if you're looking for something filling and quick. It's found in most convenience stores or small shops around town.

We've been gathering travel costs from tens of thousands of actual travelers since 2010, and we use the data to calculate average daily travel costs for destinations around the world. We also systematically analyze the prices of hotels, hostels, and tours from travel providers such as Kayak, HostelWorld, TourRadar, Viator, and others. This combination of expenses from actual travelers, combined with pricing data from major travel companies, gives us a uniqe insight into the overall cost of travel for thousands of cities in countries around the world. You can see more here: How it Works.

1 Categories averaged on a per-item basis.
2 Categories averaged on a per-day basis.
For example, the Food2 daily average is for all meals for an entire day, while Entertainment1 is for each individual purchase. Thus, the overall daily average cost is not a summation of the individual categories.

Budget Your Trip is all about finding out how much everything costs so that you can travel cheaper and longer. Created by avid travelers Laurie and Bryan, our goal is to help you plan your next trip on the right budget. With average daily travel costs that are calculated from the budgets of real travelers, plus an analysis of hotel and tour prices, you can find out how much money you need to plan your next adventure. We also have plenty of travel advice, accommodation reviews, and activity suggestions.

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