Average Cost of Vacations in 2023
After years of COVID-19 lockdowns, Americans are ready to travel. According to a survey by AAA Travel, 55% of Americans went on a vacation in 2022—even if only for one night.
With many people looking to take a vacation, you may be wondering how much it will set you back. After all, when you return home, go back to work, and receive your credit card statement, reality will hit. By planning and understanding the costs involved, you can reduce the sticker shock.
Let’s take a look at the average vacation prices in 2023, based on:
- Transportation
- Lodging
- Food
- Entertainment
Average transportation costs per person per vacation
We’ve all seen the headlines. Airfares have gotten extremely expensive over the past year or so. However, where you choose to travel will heavily impact how much money you spend. In other words, a trip to far-flung destinations like Bora Bora or Australia will be much more expensive than a domestic trip to New York City. Plus, once you arrive at your destination, you’ll have to determine how you’ll get around while there.
Renting a car for the entire trip, or depending on rideshare services like Uber or Lyft, can add up quickly. A more cost-friendly option may be to drive your personal car to the destination or consider a destination like Chicago, New York, or Tokyo that has extensive public transportation options.
- Domestic round-trip flight -- $330
- International round-trip flight -- $810
- Rental car -- $73 per day
- Gas -- $57 per day
- Airport parking -- $32.50 / $75 per day
- Public transit and rideshare services -- $37 per day
- Subway daily pass -- $9
- Taxi to airport -- $31
Average lodging cost for a vacation
Whether traveling by plane, train, or automobile, getting to your destination is only a small chunk of the expenses. Where you stay will also play a major role in the overall cost of your vacation. Fortunately, now there are many more options for accommodations than hotels. Some accommodations offered via Airbnb and VRBO are more budget-friendly—especially for groups of friends or large families.
Lodging
- Hotel or hostel for one person -- $103 per night
- Double-occupancy hotel room -- $206 per night
- Campground fee -- $23 per day
- Airbnb -- $208 per night (whole home)
Source: Budget Your Trip and AllTheRooms
Average food costs for a vacation
Food and drinks can quickly eat away at your budget. While food and drinks are a necessity, most people don’t take the costs into account when budgeting for a vacation.
To keep your food expenses lower, try to limit the number of meals that you eat out at restaurants. By booking an accommodation with a kitchen, for instance, you can purchase local foods at a supermarket and prepare them yourself for much cheaper.
- Per person (3 meals) -- $46 per day
- Average restaurant meal -- $18 per person
- Alcohol for one person -- $21 per day
Source: Budget Your Trip
Average cost of entertainment for a vacation
Unless you’re visiting family, it is unlikely that you’ll only stay in your accommodations during vacation and not seek out some type of entertainment. However, entertainment can add up quickly if they’re not planned.
Some activities, like ski resorts and sporting events, are much pricier than others. A cheaper alternative could be to visit US National Parks, which only charge by vehicle and can be a much more cost-effective option.
- US National Park Entrance Fee -- $30 per vehicle
- Museums -- $15 to $32 per person
- Ski Lift Tickets -- $524 per day (family of 4)
- Concerts -- $96 per person
- Amusement Parks -- $96 (for 2)
- Zoos and Aquariums -- $75 (for 2)
- Sports Events -- $140.50-$195.50 per adult (NFL game)
Source: Budget Your Trip
Tips for budgeting on vacation
Planning a vacation should not be something done on a whim. Rather, try to plan to maximize savings, and stick to a budget. Below are a few budgeting tips to help keep your vacation within reach.
- Travel to locations outside of their peak seasons for discounts on airfare and lodging. Opt for the low season when prices are lower.
- Book your vacation in advance. According to a study conducted by CheapAir, the best time to book your flight is 47 days in advance for the lowest possible price.
- Of course, you want to enjoy the local food but consider cooking some of your meals or booking hotels that offer free breakfast.
- When traveling overseas, look for countries with favorable currency exchange rates.
- Use credit cards that have travel rewards or customer loyalty programs.
All these factors considered, the average amount of money that one person can spend for a one-week vacation in the US is $1,919 or $274.10 per day. However, this is a rough estimate, as the actual amount varies by so many factors such as destination and activities, so the actual amount may be higher or lower.
Co-buy a vacation home
Another way to keep your vacation costs low is to invest and co-buy a vacation home with your friends. Let’s face it–sometimes finding a decent hotel or vacation rental is a hassle. One of the beauties of owning your own home is you don’t have to worry about that. You can go whenever you want, at a price you already know fits your budget.
Additionally, short-term vacation rental properties are one of the best financial investments of any kind of property. You can rent out your vacation home to other travelers as often as your wish, for rates that will cover your mortgage and then some.
So, if you’ve had enough of the escalating vacation costs, make your vacations more predictable by co-buying a home with friends. If you can generate some extra income, that, too, will help reduce the post-vacation blues when the bills come due.
Nestment, Inc. does not guarantee and is in no way responsible for the accuracy of information provided in this blog post. All information is provided “AS IS” and with all faults. Data presented here may not reflect all real estate activity in the market. While the information on this site is about legal and tax issues, it is not intended as legal or tax advice or as a substitute for the particularized advice of your own attorney and tax professional.
