Is $50/day realistic in expensive countries like Chile?

Yes, but you'll spend $40-45 daily and need cheaper countries to balance your average. Santiago hostels cost $15-20, but you can find $8 meals and free activities.

Should I book everything in advance?

No. Book first 2-3 nights only, then book 1-2 days ahead as you go. This gives you flexibility and you'll meet other travelers with recommendations.

How much cash should I carry?

Keep $200-300 USD cash plus local currency for 2-3 days expenses. Many places are cash-only, especially in Bolivia and rural areas.

Budget $30-50 for travel insurance per month. Pharmacies are everywhere and medications cost much less than US/Europe. Private clinics charge $20-40 for basic consultations.

How to Backpack Through South America on $50 a Day

You can absolutely backpack South America on $50 daily by staying in hostels ($8-15), eating local meals ($3-8), using buses for transport ($20-40 between cities), and choosing free activities like hiking and city walking tours. Argentina and Chile will stretch your budget more than Bolivia and Peru.

Pick your route based on currency strength. Start in expensive countries (Argentina, Chile, Brazil) when your budget is fresh, then move to cheaper ones (Bolivia, Peru, Ecuador). Your dollars go 2-3x further in Bolivia than Argentina.
Book hostels, not hotels. Use Hostelworld to book dorm beds 2-3 days ahead. Budget $8-12 in Bolivia/Peru, $12-18 in Colombia/Ecuador, $15-25 in Argentina/Chile/Brazil. Always read recent reviews.
Eat where locals eat. Find 'menu del día' (daily menu) restaurants for $3-6 complete meals. Street food costs $1-3. Avoid tourist restaurants near main squares - they cost 3x more for worse food.
Use overnight buses strategically. Book semi-cama or cama seats ($25-45) for long routes to save a night's accommodation. Companies like Cruz del Sur and Andesmar are reliable. Bring snacks and entertainment.
Choose free activities first. Free walking tours in every major city. Hiking costs nothing in Patagonia, Andes, or around cities like Cusco. Museums often have free days. Beach time costs zero.
Withdraw cash strategically. Use ATMs at banks, not random machines. Withdraw maximum amounts to minimize fees. Keep some USD cash for countries like Argentina where black market rates are better.

Is $50/day realistic in expensive countries like Chile?: Yes, but you'll spend $40-45 daily and need cheaper countries to balance your average. Santiago hostels cost $15-20, but you can find $8 meals and free activities.
Should I book everything in advance?: No. Book first 2-3 nights only, then book 1-2 days ahead as you go. This gives you flexibility and you'll meet other travelers with recommendations.
How much cash should I carry?: Keep $200-300 USD cash plus local currency for 2-3 days expenses. Many places are cash-only, especially in Bolivia and rural areas.
What if I get sick?: Budget $30-50 for travel insurance per month. Pharmacies are everywhere and medications cost much less than US/Europe. Private clinics charge $20-40 for basic consultations.