Stop Overpaying: How to Calculate the True Cost of Your Holiday in Australia (Beyond the Flight)
When you’re planning a holiday to Australia, it’s easy to focus just on getting the cheapest flights. But if you only budget for the airfare, you could be in for a nasty surprise later — because the true cost of a holiday goes well beyond that plane ticket.
Here at DGS Finance, we believe in smart spending. So, let’s break down how to calculate the full cost of your trip — and how to make sure you don’t overpay.
Accommodation: More Than Just a Bed
Accommodation tends to be the biggest chunk of your holiday budget after flights. According to a survey, nearly 50% of Australians say they spend the most on accommodation.
On average, travellers to Australia (excluding flights) spend around AU$263 per day when staying in typical hotels, paying for food, local transport, and activities.
If you’re travelling mid-range, you might pay AU$80–150 per night, depending on whether you choose hotels or Airbnbs.
Book your accommodation well in advance, especially during peak tourist season. Use comparison tools and flexible booking options so you’re not stuck paying a premium.
– Expert
Food & Drink: Where Your Money Really Goes
Dining out in Australia can range from “cheap café lunch” to “fine dining treat.” Here’s a rough breakdown based on recent traveller data:
On average, travellers spend AU$57 per day on food.
In New South Wales (which includes Sydney), that average can climb to AU$104 per day, depending on restaurant choice.
For foodies who love mid-range dining, you might budget AU$20–40 per meal.
Transportation: Local Moves & Getting Around
Getting around isn’t free — even once you’ve landed in Australia. Local transport, taxis, and domestic travel can definitely add up.
According to transport data, average weekly transport costs in Australia are still quite high.
For daily travel, budget-travellers often spend AU$10–30 a day on public transport, while mid-range travellers might spend AU$20–50 depending on their mode of transport.
If you take taxis, rideshares, or private transfers, costs can go up quickly. Always check public transport passes or multi-day tickets.
💡Use public transport when you can. Buy city travel cards (like the Opal card in Sydney) so you cap daily spend. Also, plan your itinerary to minimise back-and-forth travel, which reduces transport costs.
Activities & Attractions: The Real Money Trap
You might have planned to visit the Opera House, take a harbour cruise, or explore national parks. These extras can really tip up your budget.
Guided tours, wildlife experiences, and day trips can cost AU$50–100+, depending on what you pick. Flavor365
Once the tours, museums, and paid attractions are in your plan, it’s easy to blow your daily “fun money” budget.
Pro tip: Prioritise. Decide what you must see, then what can be a “nice-to-have.” Book experiences ahead through reliable agents who can bundle things — it can actually save you money in the long run (and that’s where a good agent like Airways Travel helps).
Hidden Costs: Insurance, Visas & Banking Fees
Often overlooked items like travel insurance, visa fees, and transaction costs can drain your budget.
Travel insurance is essential. Without it, a small accident or trip cancellation might end up costing way more than you saved by skipping it.
Visa fees depend on where you’re coming from, but they add up — check current prices and include them in your travel budget.
Banking and card fees: According to recent data, travellers are losing money on transaction fees while abroad. News.com.au
Exchange rates matter. Even a small difference can swing your total cost by hundreds.
Use a travel-friendly credit card or bank account that minimises foreign transaction fees. Also, always photograph or keep records of your insurance and receipts in case anything goes wrong.
– Expert
Transport Within Australia: More Than Just Public Transit
If you’re travelling between cities, you’ll likely use domestic flights, trains, or hire a car — each has its own cost.
According to budget-traveller data, transportation between cities ranges from AU$30–100+ per day, depending on your choice.
Renting a car gives you flexibility, but fuel, insurance, and license fees quickly add up.
On the other hand, internal flights can be cheap if you book early — but last-minute bookings tend to be costly.
Pro tip: Mix modes of transport. Use budget flights for long legs. Use trains or buses for regional hops. For local sites, rely on public transport or walks.
Currency Risk & Money Management
Understanding how currency conversion works is crucial if you’re coming from overseas. A few dollars here and there aren’t negligible when you’re spending for days on end.
Track the AUD exchange rate before and during your trip.
Avoid currency exchange at airports when possible — you lose value.
Use cash wisely — and keep a reserve for emergencies.
How to Calculate the True Cost: A Simple Framework
Putting it all together, here’s a basic formula to help you work out the real cost of your holiday (excluding flights):
True Cost = (Accommodation per night × Number of Nights)
+ (Daily Food per person × Number of Days)
+ (Local Transport per day × Number of Days)
+ (Cost of Activities & Tours)
+ (Miscellaneous: Insurance, Visa, Fees)
+ (Internal Transport Between Cities)
When you do this exercise, you might be shocked at how much more your holiday could cost.
💡Use a spreadsheet or budgeting app. Estimate high, and then add a “buffer” of 10–15% for unexpected costs. That way, you’re not caught off guard.
Ways to Save Without Sacrificing Experience
Now, let’s talk about how you can make smart choices so you don’t overspend — while still enjoying a great trip.
Travel in shoulder season: Visiting just before or after peak season often means cheaper accommodation and tours.
Book in advance: Flights, hotels, and experiences are cheaper when booked early.
Bundle through agents: Use trusted travel agents like Airways Travel to compare tailored packages. They can often get better deals than what you find on your own.
Mix your accommodation: Combine cheaper stays (hostels or budget hotels) with a few nights in a mid-range or unique place to balance comfort and cost.
Use public transport: Save on taxi rides.
Be selective with tours: Not every paid attraction is worth the cost. Pick the ones you’ll remember.
Manage money smartly: Use travel cards, pay attention to exchange rates, and avoid large ATM withdrawals with high fees.
Conclusions
It’s tempting to think of the flight price as your “big number” when planning a holiday. But when you add up accommodation, food, transport, tours, and unexpected costs — the real number can surprise you.
By estimating all these costs upfront, you’ll be more prepared, less stressed, and more confident. Plus, you’ll be far less likely to overspend. Use a trusted travel partner, like Airways Travel, to build a realistic and flexible budget.
When you do that, you’re not just booking a holiday — you’re making a smart financial investment in a memory that’s worth every dollar.
