Traveling to Portugal: Essential Costs and Budget Tips

We’ll start with the good news: Portugal is a small country and one of the most affordable countries in Western Europe. We have just returned from our 3rd time in Portugal and have a good idea what the costs of visiting this country are right now. It’s a captivating country of cliff-laden coastlines, with sea caves like Benagil and picturesque village scenery less than an hour inland. And that’s all before even thinking about its hearty cuisine, which is full of delicious pastries and seafood dishes.

As a whole, Portugal is not expensive to visit, especially when compared to other European countries. However, if you want to save money even further, there are definite ways to do so. Whether you choose to stay in major cities or a remote village near the Algarve, this guide will show you what to expect to pay when visiting Portugal. Most importantly, it will help you stretch your precious dollars further to have an even more incredible experience for less money.

Is It Expensive to Visit Portugal?

Portugal is not one of the stereotypical expensive countries in Europe. Sure, you get the usual peak season rates, especially in tourist hotspots. However, Portugal is great for those on a budget. It has such a laidback travel style that it naturally encourages lower prices. You have stunning landscapes and beautiful beaches; chances are you’ll be enjoying nature for nothing more than public transportation costs at most.

Don’t just take our word for it, though. How much it costs for you to visit Portugal will depend on your personal preferences. Here are the different categories and their costs per travel style that you should budget for.

Cost of Accommodation

Portugal has a great selection of accommodations and a solid tourist infrastructure. The main thing to note is that it has areas of condensed tourism, which mostly sit along its coastline, while inland areas, especially around the Spanish border, are nearly empty of mainstream visitors.

Larger cities like Lisbon and Porto offer wider choices in accommodation types, with many mid-range properties and even hostels. More remote areas have more B&Bs and vacation rentals. Costs vary depending on location, with demand being the factor that most spikes prices.

Keep in mind that for remote areas and vacation rentals, you’ll likely require car rentals at an extra cost. Accommodation location might seem like something you can skimp on to save money, but in reality, it often shifts the cost elsewhere – either to public transportation or car rental. So make sure you incorporate those additional expenses into your accommodation choice when picking where to stay in Portugal. Private properties in the countryside tend to be isolated, and with the potential for European bushfires, it’s wise to have a solid method of independent transport.

Another thing to remember is that peak seasons get busy, and accommodation sells out quickly on the main tourist routes. You should always aim to book in advance, especially for summer travel dates or popular destinations. The best deals go fast – be that because of location, accommodation quality, or value for money.

Accommodation is your largest travel expense in Portugal, so it pays to do your research. Here’s a breakdown of accommodation types to give you an idea of what you can get for your dollar.

Accommodation Types

Here’s what you can expect for each budget level when visiting Portugal.

Budget: $40 a Night

Portugal has two levels of low-cost accommodation: hostels and budget hotels. Generally, you can expect to pay around $50-60 per night for hotels. If you’re on a really tight budget, you can find hostel stays for around $20-30, averaging about $40 per night.

Hostels typically involve dormitory rooms and shared facilities like kitchens. This is great for meeting new people and saving money on eating out. You can also reserve private rooms at many hostels in Portugal, just expect to pay slightly higher prices.

Here are a few examples of hostels with dorm room prices:

• LX Hostel: In Lisbon for $30
• Porto Lounge Hostel and Guesthouse: In Porto for $30
• Casa da Madalena Backpackers Hostel: In Faro for $40

Budget hotels are better for those who want their own space and don’t mind eating out. You get comfortable but basic rooms and save money for more exciting things, like sightseeing.

Here are a few examples of budget hotels:

• Guest House Estrela: In Porto for $43
• AL Barbinha: In Faro for $60
• Embassy Arriaga: In Lisbon for $48

Mid Range: $100 a Night

Portugal is overflowing with mid-range hotels, especially in popular tourist destinations. If you compare mid-range prices with budget options, you’ll find a rough estimate of around double the price. Mid-range prices typically offer more centrally located accommodation with tastefully decorated rooms and comfortable amenities.

Here are a few examples of mid-range properties:

• Hotel Sol Algarve by Kavia: In Faro for $99
• Yotel Porto: In Porto for $129
• Lisb’on Hotel: In Lisbon for $111

Luxury: $300 a Night

For luxury accommodation, start with rough estimates of around $180 to $400 per night, as you can often snag a great deal during off-season dates. Call it an average of $300 per night. However, luxury hotels can rise above $400 and even $500 a night, especially in Porto or Lisbon.

Here are a few examples:

• Boavista Eco Luxury House: In Porto for $180
• 3HB Faro: In Faro for $261
• TURIM Boulevard Hotel: In Lisbon for $387

Cost of Transportation in Portugal

If you take a city break to Portugal, no public transport is necessary. If you stay central, you’ll be within walking distance of all the major sights. This means you don’t have to pay anything and avoid queues and cramped seating areas. Portuguese cities are easily accessible.

Even if you stay on the outskirts, you’ll at most take a local bus, Metro, or train service—all of which cost around 2 dollars for a one-way trip. So, if you choose a city break, budget a few dollars a day for transportation in Portugal.

Those staying for a week or more in Portugal should consider public transport. How you should get across Portugal varies depending on your itinerary. For instance, many visitors split a week between Lisbon and Porto. In this case, you can buy a train ticket to travel between the two. Train tickets from Lisbon to Porto cost less than $20 when booked in advance—a fantastic deal. If you’re traveling throughout Portugal, budget about $10-15 a day on average.

Whether or not tourists need a rental car varies depending on their itinerary. Are you planning on several day trips to remote areas with limited buses and trains? Or will you be staying in a remote villa outside of major cities like Lisbon and Porto? If you answer yes to either of those, then budget for car rentals in your total cost. Ensure you have proper travel insurance if you rent a car.

If you’re planning a short city break: Budget $2 to $4 a day at most.

If you’re planning a holiday with day trips to remote areas: Budget $11 a day for average car rental prices.

If you plan a longer, multi-destination holiday: Budget around $15 a day on buses and trains.

Cost of Food in Portugal

You won’t break the bank with food in Portugal. The country has millions of local eateries that serve tasty homemade goods for a fraction of what you might expect elsewhere in Europe—the average meal costs just $10, including a drink and a hearty main dish. A cappuccino costs less than $2, while supermarket prices are reasonable, for example, 1kg of chicken for under $7.50 and a pint of milk for around $1.

Of course, your food budget will vary depending on your tastes and style, but Portugal offers a baseline budget-friendliness. You’ll spend less than in most of Europe for the same type of meal. Whether you choose fine dining or stick to grocery shopping and self-catering, Portugal remains a cost-effective choice for food.

Here are a few must-try dishes when visiting Portugal:

• Pastel de Nata: A soft egg custard tart popular in bakeries and coffee shops across Portugal.
• Piri Piri Chicken: A spicy chicken dish originating from Portugal that’s widely available.
• Bacalhau: A salted and dried cod dish deeply rooted in Portuguese culture.
• Arroz de Marisco: A flavorful seafood rice dish reminiscent of paella.

Budget Food: $15 Per Day

If you are on a tight budget, you’ll be cooking meals at your accommodation and primarily relying on groceries. In this case, you can easily get by on $15 a day.

Mid-Range Food: $40 Per Day

A mid-range food budget should allow for a takeaway lunch and a sit-down dinner. Breakfast can be a grocery snack or included in your stay.

Luxury Food: $100 Per Day

A luxury food budget allows for three meals out a day, totaling roughly $60 for lunch and dinner, plus an additional $40 for breakfast and drinks.

Cost of Activities

Activities in Portugal can vary widely. Most tourist attractions are along the coastline, with beaches that offer free entry. Given the sunny climate, Portugal is a fantastic place to enjoy the outdoors. You could spend a day at the beach for free or rent a lounger for around $10.

Major cities also offer many free attractions. For instance, in Lisbon, you’ll find several free museums, and the city’s architecture is awe-inspiring.

Consider these free activities in popular locations:

Faro

• Explore the Old Town
• Relax at Praia do Faro
• Visit Faro Cathedral

Porto

• Porto Cathedral
• Ponte de Dom Luis
• Mercado Bom Sucesso

Lisbon

• Gulbenkian Museum
• Church of Sao Roque
• Explore local markets

In addition to free attractions, Portugal also has plenty of paid activities. You can budget around $20 in entrance fees for places like aquariums, football stadium tours, castles, and palaces. Half-day tours typically cost around $40, while full-day experiences can go up to $100.

Budget: $0 to $10 a Day

It’s easy to stay within a $10 a day budget by focusing on free activities, such as museum visits and beach outings.

Mid-Range: $50 a Day

If you want a mix of free and paid activities, budget about $50 a day. This could include entry fees for palaces or castles along with free exploration.

Luxury: $150 a Day

A luxury budget allows you to spend between $100 and $200 a day on premium experiences, including guided tours and exclusive activities.

A Budget For a Week in Portugal

Let’s summarize the budget for a typical week in Portugal. For this overview, we’ll assume a round-trip flight cost of $650.

1. Accommodation

• Budget: $280
• Mid-range: $700
• Luxury: $2,100

2. Transport

• Not including flights: Budget $15 per day for transport.
• Including flights: Budget $775 for return flights and transport for a week in Portugal.

3. Food

• Budget: $105
• Mid-range: $280
• Luxury: $700

4. Activities

• Budget: $70
• Mid-range: $350
• Luxury: $1,050

So, What Should You Budget For a Week in Portugal?

With all this in mind, a low budget can feasibly allow for a week in Portugal for under $1,200, while a mid-range budget should be around $2,100. If you’re on a luxury budget, we’d suggest allowing at least $4,600 for a week in Portugal.

A Budget For Two Weeks in Portugal

If you want to stay even longer, you should factor in your extra expenses, including accommodation and food. Below is a budget overview assuming a round-trip flight of $650.

1. Accommodation

• Budget: $560
• Mid-range: $1,400
• Luxury: $4,200

2. Transport

• Not including flights: Budget $210 for two weeks, allowing for $15 per day on transport.
• Including flights: Budget $860 for return flights and transport for two weeks in Portugal.

3. Food

• Budget: $210
• Mid-range: $560
• Luxury: $1,400

4. Activities

• Budget: $140
• Mid-range: $700
• Luxury: $2,100

So, What Should You Budget For Two Weeks in Portugal?

A low budget can total around $1,770 for two weeks, while a mid-range budget would be about $3,520, including flights. Those on a luxury budget should allow $8,560 for two weeks in Portugal.

Budgeting for Portugal is straightforward. Several factors can influence your costs, including whether you’re staying in major cities, making cultural trips, or enjoying artisanal experiences.

Frequently Asked Questions About Portugal Travel Costs

How much does a meal cost in Portugal?

Budget around $10 for a meal at an inexpensive restaurant, or expect to pay around $40 for a three-course meal for two at mid-range restaurants.

Is Portugal expensive for Americans?

Not at all! Portugal is about 50% cheaper for Americans compared to their home country, especially concerning accommodation and food.

Can you live in Portugal on $3000 a month?

Yes, you can comfortably live in Portugal for $3,000 a month. For a family of four, the average cost is around $2,500 per month.

Is Spain or Portugal cheaper?

Portugal is generally less expensive than Spain, except for major tourist destinations like Lisbon and Porto, which can have higher prices.

What To Budget While Visiting Portugal

Travel expenses for a week in Portugal can range from $1,200 on a tight budget, around $2,100 for mid-range travelers, and up to $4,600 for luxury travelers, including round-trip flights. Portugal has infrastructure to cater to all budget levels, making it an affordable and enjoyable destination.

Whatever your plans, enjoy your stay in Portugal. You’ll love it.