There’s nothing worse than unexpected travel expenses when you’re on vacation. Surprise travel expenses can arise during your trip and cut into your budget. Hidden charges come from cell phone roaming charges, hotel fees, tourist taxes and more. Don’t get caught off guard when traveling abroad.
I have traveled the world for over twenty years and have learned some of these lessons the hard way. Keep reading to learn the worst hidden travel fees and how to avoid them.
DISCLOSURE: PLEASE NOTE THAT SOME LINKS BELOW CONTAIN AFFILIATE LINKS. I EARN A MINIMAL COMMISSION THAT SUPPORTS MY SMALL BUSINESS AT NO ADDITIONAL COST TO YOU.
What Are Travel Expenses?
First, it’s important to clarify the difference between standard travel expenses and business travel expenses. According to the Internal Revenue Service, “Travel expenses are the ordinary and necessary expenses of traveling away from home for your business, profession, or job. You can’t deduct expenses that are lavish or extravagant, or that are for personal purposes.”
Business travel expenses differ because they might be deductible for tax purposes. In this article we will discuss everything you might spend on your vacation from A-Z, but not expenses related to business travel.
How to Budget For A Trip
If you are new to travel, read up on how to budget for a trip. You will want to set a travel budget before you start planning. Your travel style will dictate how much you will spend on vacation. Whether you are traveling on a student budget or a luxury traveler, include these essentials on your travel expenses list:
- Airfare
- Hotels/lodging
- Transportation during the vacation
- Excursions & sightseeing
- Meals
- Travel Insurance
Allow for at least 10% of the total for unexpected travel expenses.
Seeking Stamps Tip: Every traveler has unique needs and vacation plans. Make a traveling expenses list that matches your trip plans and be realistic.
Make Sure to Have These Favorite Travel Essentials Before You Leave!
Unexpected Travel Expenses: What to Budget For Before You Travel
1. Passport Fees
Before you take an international trip, you have to have a passport. International passport fees in the U.S. are $165 for adults and $135 for kids (including execution fees).
Don’t forget to add the price of passport photos too. Take passport photos at local drug-stores for about $9-15 dollars.
U.S. passport processing time will take approximately 8-11 weeks. If you need to rush your passport, you may also incur expedited fees of $60.
2. Travel Visa Fees
It is not uncommon for travelers to have to pay for entry visas to enter foreign countries. Depending on your destination you either get a visa on arrival or pay for one in advance. Visa costs around the world can vary from $20-$130 dollars.
3. Vaccination and Travel Medicine Costs
Often travel vaccinations and medications are required to travel abroad. Vaccinations for illnesses such as Yellow Fever, Japanese Encephalitis, Tetanus and Hepatitis are common. In addition, travelers might need medications such as antimalarials or antibiotics. An appointment to a travel clinic, which usually isn’t covered by insurance, is also required to get these items. Make sure to include these in your budget so you are not surprised with expensive medical bills.
4. Purchase Travel Insurance
Travel insurance policies can be expensive up front. Yet, there are many reasons to purchase travel insurance. If you have medical issues abroad or flight cancellations, travel insurance can save you thousands. Despite the cost, purchasing travel insurance can protect you from unwanted travel costs.
Unexpected Travel Expenses During Your Flight
5. Baggage Fees
Baggage fees and weight limits can vary, so read the rules and restrictions for your ticket. One tip for saving on luggage fees is to prepay for checked luggage, rather than paying at the airport.
One of the most common unexpected travel costs is a result of overweight luggage. Agh- this is my downfall too! Cue the frantic opening and shuffling of items while your undies fall onto the airport floor. An inexpensive travel scale can save you stress and excess baggage fees. Avoid the unexpected travel expense by weighing luggage to avoid baggage fees!
Need Tips for Sleeping On the Plane? Read This Blog Post . . .
6. Fees With Miles Or Flight Upgrades
Miles can be real money savers on flights. When you use miles to reserve a flight or upgrade, check the rules for use. Often you have to pay a portion out of pocket, in addition to your miles.
7. Seat Selection Fees
Flights are already pricey and now it seems like you have to pay for your seat or you risk having to sit in the middle. It is important to note that you do not have to pay for airline seat selection if you prefer to save money. Often the cheaper the flight, the more likely there will be baggage and seat fees. For roomier exit row or bulkhead seats, plan to pay extra seat selection fees. Learn how to avoid airplane seat fees so you don’t end up overpaying!
Seeking Stamps Tip: I recommend pricing out the options all the way to the final page before you book a flight. Often “flight deals” have hidden baggage and seat fees. Sometimes, choosing the flight with luggage and seats included will actually be cheaper.
Make Sure to Avoid These Common Travel Blunders On Your Next Vacation!
Unexpected Travel Expenses During Transit To Your Destination
8. Airport Parking Fees
Airport parking fees are so overpriced! Try to avoid leaving your car at the airport, if possible. One trick is seeing if a nearby hotel offers parking and free airport shuttles. Off-site long term parking tends to be less expensive than parking at the airport.
9. Expensive Airport Meals
You finally made it to the airport, parked your car, and checked in for your flight. Now you have the dreaded 1-2 hours to kill in the airport before your flight departs. UGH! Cue the over-priced dining options. Save money by eating before you arrive or bring snacks with you from home. If you have a credit card with lounge access, you can score a free meal there.
10. In-Flight Meals, Drinks and Entertainment Costs
Airlines seem to be regularly cutting back on in-flight amenities. On international flights, you will get free meals and alcohol. However, on domestic flights snacks and cocktails can quickly add up. Entertainment expenses while traveling can also accrue if you have to purchase headsets or wi-fi.
Unexpected Travel Expenses at Your Destination
11. Expensive Rental Cars, Insurance, and Gas
If you plan to rent a car abroad, make sure to plan for the costs of car insurance, gas, and an international driver’s license.
12. Verify Cell Phone Coverage to Avoid Roaming Charges
Avoid the mistake of incurring unwanted travel expenses from your cell phone. You may need GPS and the ability to send text messages to travel companions. Therefore, verify and activate an international cell phone plan. Roaming charges can get costly if you aren’t careful.
Seeking Stamps Tip: If you cannot use your phone abroad, take screenshots of museum tickets, maps, etc. before you travel.
13. Avoid Unexpected Travel Expenses- Get a SIM Card or Turn On Airplane Mode
If you cannot use an international cell phone plan buy a SIM card or turn your phone on airplane mode to avoid charges.
14. Foreign Transaction Fees With ATMs and Credit Cards
Next, figure out whether your credit cards or atm cards will incur foreign transaction fees. Here is a list of some great travel cards without fees. A quick phone call to your credit card company can save you from unexpected card fees after you arrive home from your vacation.
Seeking Stamps Tip: Select “DO NOT CONVERT” or “DECLINE CONVERSION” when paying by credit card or withdrawing from the ATM so you pay fewer fees.
15. Currency Exchange Fees
Learn where to change currency without travel fees. It is important to pay attention to the exchange rate and transaction fees.
It is common for currency exchange booths to advertise low rates, with hidden fees in the fine print. Currency exchange centers in the airport are often the most expensive places to exchange money.
Also, save your currency exchange receipt because you can return cash in some countries when you depart.
Seeking Stamps Tip: Purchase currency from your bank before you travel. Search Tripadvisor forums to find currency exchanges that offer better rates.
16. Tourist Taxes
Another hidden travel fee that may surprise unsuspecting travelers are tourist taxes. You might be wondering, “What is a tourist tax?”. Tourist taxes or occupancy taxes, are travel fees added to hotel rooms. Occupancy taxes counteract the negative effects of tourism. These fees are usually a few dollars per night.
17. Hotel Resort Fees
Another one of the worst hidden travel fees are hotel or resort fees. So, what are resort fees? You might think you found a perfectly priced hotel room. Then at check-out, they slap on another fee to purportedly cover amenities (such as parking or the pool). This is the dreaded resort fee and they can really add up. Compare final prices to know whether your room rate is a good deal.
How do you avoid resort fees? You usually can’t, but you want to account for them and choose an accommodation within your budget. According to Forbes.com, “Make sure you don’t take the first word on the price for your stay. You may need to click through several pages of fine print to find resort fees, taxes and other costs that can add to the price of your room.”
Seeking Stamps Tip: Try searching for hotels without resort fees. Airbnb and similar sites can potentially save you money. It’s also worth asking the hotel to waive resort fees; you might get lucky.
18. Restaurant Fees
Before you go to a new destination, learn whether additional fees apply to dining. Some examples of unexpected expenses may include charges for bread, water, or dining on the patio vs. dining indoors. In the U.S. it is not common practice to charge for these items, but unexpected costs occur abroad.
Importantly, take note of whether the service charge is already included in the bill. Learn tip etiquette around the world so you aren’t paying twice.
Avoid Unexpected Travel Expenses While Sightseeing
19. Plan For Gratuities On Tours
It’s common to budget for sightseeing tours. But, how many times have you forgotten to plan for a guide’s gratuity? Make sure to look up the tipping customs in the country you are visiting and account for that in your travel budget.
20. Reduce Transportation Fees
I have been guilty of overzealous travel plans. While it sounds fabulous to see EVERY site possible in a new city, it can get expensive to pay for transportation. Take the time to plan your sightseeing so you can be efficient and save money. Try taking mass transit, it will save you cash over taxis.
Seeking Stamps Tip: Note surcharge times with ridesharing services. These expensive premiums can double the cost of transportation.
21. Avoid Travel Expenses By Researching Local Scams
Before you head out to sightsee, do a quick google search of common tourist scams. This can save you from a nasty pick-pocket taking your money in Spain or an overpriced tuk-tuk ride to a gem store in Thailand. There are tons of costly tourist scams you can avoid with a few minutes of effort.
Unexpected Travel Expenses: Additional Items You Forgot To Budget For
22. Additional Expenses for Souvenirs
One of the best parts of travel is coming home with interesting gifts and souvenirs. One of our favorite rooms in our home is filled with trinkets from around the globe. Each time I pass by them, I have fond memories of all the amazing places we have been. Factor in extra money for gifts and souvenirs.
23. Plan For Incidental Purchases Abroad
No matter how well you plan for your vacation, things can go awry. It’s common to forget an umbrella, sunscreen or other toiletries. On my last vacation, I brought uncomfortable shoes and had to buy a new pair. Plan for unexpected expenses and leave a cushion in your travel budget. Experts say at least 10% of your travel budget should be set aside for unplanned travel expenses.
Save Money After You Travel: VAT On Travel Expenses
First, you may be wondering what the heck is VAT? It stands for “value added tax”. This is a tax on goods that travelers buy abroad. You can submit receipts for these items to get reimbursed. Sometimes these taxes can be as high as 20%!
There are specific rules to qualify. Make sure to save your receipts and understand the requirements of the country you visit. Read about VAT on travel expenses to learn how to get these travel fees back after you return home.
Apps to Manage Your Travel Expenses
Staying on budget while on vacation can be a chore, but there are several travel apps that can help you manage your money. Trabee Pocket, Trip Coin and Splitwise are some of the best apps for travel expenses.
Unexpected Travel Expenses: Final Thoughts
Now you know about some unexpected travel expenses and how to avoid them. Use these helpful tips to avoid excessive travel costs and stick to your travel budget. These examples of unexpected expenses illuminate the worst hidden travel fees. Keep travel prices from soaring with these money saving tips on your next vacation!
These are really good tips! As you say, nothing worse than budgeting your travel and discovering hidden costs you weren’t expecting. Resort fees always catch me out!
I always dread the resort fees also! UGH!
This is such an insightful post! I have never thought much about unexpected travel expenses, except for my frustration at them when they come up during my travels, haha. I try to cut down on expensive airport food by bringing my own snacks and I create a budget for as many of these items as possible to avoid the surprise. Thanks for sharing!
I think it’s the surprise expenses that are the most painful! Hopefully this article helps avoid some of the fees.
These are absolutely great tips, a lot of them I’ve never even thought of before! Will definitely be helpful for my next trip.
Oh good! I’m grateful you found the article helpful.
YES YES YES! What a great write up and sharing this with all my first time traveler friends. I can’t agree with you more that the issues that mount up are hidden like transportation costs and tourist tax fees and yes to bring at least 10% of emergency funds. I always bring a hidden $100 bill with me if ever. Bookmarking!
Thanks for your kind words! I know I learned the “hard way”, so hopefully this can spare a few people from over spending! 🙂
Oooh these hidden fees are the worst! Especially the resort fees…and the added taxes, just when I think I scored a perfectly priced hotel stay!
Thanks for the great tips! Hidden fees are so frustrating. By the time you add in a resort fee, taxes, and parking, the nightly rate can dramatically increase, so it’s good to be on the lookout for these fees.
Wow this is is an incredibly helpful post. I could have used it a while ago before prior trips!
What a helpful post! Thanks for sharing with us