Oct 26, 2026

What ‘Budget’ Travel Actually Looks Like in 2026: Flight Tickets, Road Trips and More

According to MMGY’s 2026 Portrait of American Travelers Fall Edition survey, Americans reported planning to spend an average of $5,655 on leisure travel over the next year, as reported by Hotel News Resource. When it comes to saving money, 35% of travelers plan to travel during the slower season to save, while 32% are cutting back in other areas to fund their travel budgets.

However, with current economic pressures, such as higher gas prices and the loss of a budget airline like Spirit, travel budgets may look different this year.

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As a result, MoneyLion spoke with travel experts to determine how people are affording travel despite inflation hitting everything.

Americans Are Changing How They Travel

Andres Serra, a trip planner and head of operations at Optimise Travel, shared that clients are changing how they travel instead of canceling plans. For example, travelers might leave a day or two earlier or later, shorten a seven-night trip to five nights, or stay in one place instead of paying to visit several cities when making plans in the near future.

Here are a few other ways the experts found that travelers are embracing budget travel:

Choosing a more centrally located hotel so they can skip renting a car. The reality is that saving $25 a night by staying farther away doesn’t help if you end up spending $35 on parking.
Using public transportation instead of private airport transfers. Taking the bus can save you at least $50, and you can explore your new destination.
Dropping activities from the itinerary that just fill up the schedule. Instead of booking up days with random experiences, tourists are intentional about what they sign up for.
Adding up costs to ensure the savings are worth it. For example, using a smaller airport may not be worth it if you’re 60 miles away from your unit.

Travelers Are Changing Where They Travel

“With airfare and gas prices putting more pressure on the overall cost of a trip, travelers are looking beyond simply finding the cheapest flight and thinking about the total cost of the vacation,” remarked Eric Goldreyer, a travel expert and founder of Savvy.com, a direct-booking marketplace for short-term vacation rentals.

He has noticed that destinations closer to home are being chosen since this could become a road trip to save on flight costs. They’re also looking into booking directly through a marketplace to avoid unnecessary platform fees, since accommodations and flights usually account for the majority of a travel budget.

Travelers are taking a serious look at where they travel, as expensive tourist hotspots may not be as enticing in this economy.

Travelers Are Using Rewards For The Most Expensive Parts

Serra advises clients to save their rewards for the most expensive parts. It’s important to compare the cash price, the points needed, and any extra fees. Then you can use your points for the most expensive flights or hotel nights, such as on weekends or during school holidays. By embracing rewards, trip planners can reduce costs and make travel more affordable.

Travelers Are Becoming More Intentional About Trade-Offs

Goldreyer observed that instead of cutting an entire trip, tourists are looking for ways to save without sacrificing the experience. This could range from choosing a vacation rental with more space and amenities to reduce extra costs, staying slightly outside the most expensive central tourist zones, or being flexible about dates.

The general sentiment is that those planning trips are willing to make small compromises when it allows them to preserve the parts of the trip they care about most. This means that a budget trip isn’t about finding the lowest price, but more about getting the best value.

Travelers Are Paying Attention to Hidden Fees

Travelers are also paying more attention to fees that can get buried in the booking process. Many are staying in a professionally managed vacation rental, where amenities like a kitchen can help reduce dining and other extra costs. Others are reviewing the terms to ensure that there aren’t any hidden service fees. Some are using rewards to cover an expensive flight, which would otherwise raise costs.

Goldreyer concluded, “Rather than trying to make every part of a trip as inexpensive as possible, travelers are looking at the trip as a whole and figuring out where their points, miles and dollars will have the most impact.”

This article was provided by MoneyLion.com for informational purposes only and should not be construed as financial, legal or tax advice.

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Written by

Martin Dasko

Martin Dasko is a personal finance writer, a mortgage broker, and a lifelong student of building a better life. With 18 years of experience helping people make smarter financial decisions, Martin writes about money, real estate, side hustles, and creating a better life. His work has been featured in major publications including the Toronto Star, Financial Post, and New York Times. Through his writing, he explores how people can build wealth, take control of their finances, and design a life that goes beyond simply chasing a paycheck. When he’s not writing about money, Martin is usually training Brazilian jiu-jitsu, playing soccer, lifting weights, or experimenting with ways to stay healthy without sacrificing the things that make life enjoyable.

Edited by

Zuri Anderson

Zuri is an editor with over 8 years of digital content and news experience. When she's not managing her freelance writers, voraciously editing copy and coming up with engaging stories, she's catching up on her favorite shows, books, movies and video games.