How to Travel Peru on a Budget
Peru can be done comfortably on $35-50 per day by staying in hostels, eating at local markets, taking buses instead of flights, and booking tours locally rather than in advance. Focus your budget on experiences like Machu Picchu while saving on accommodation and transport.
- Book flights early but accommodation late. International flights to Lima are cheapest 2-3 months in advance. But book hostels and hotels only 1-3 days ahead—you'll find better deals and can negotiate in person, especially outside peak season (June-August).
- Use buses, not domestic flights. Bus travel costs 80% less than flights. Lima to Cusco by bus costs $25-35 and takes 20 hours versus $120+ for a 1.5-hour flight. Cruz del Sur and Oltursa are reliable companies with decent overnight buses.
- Eat where locals eat. Skip tourist restaurants. Eat at mercados (markets) where a full meal costs $2-4. Look for 'menú del día' signs—set menus that include soup, main course, and drink. Street food like anticuchos costs under $1.
- Book Machu Picchu tours in Cusco, not online. Tour companies in Cusco charge 30-50% less than advance bookings. Visit agencies on Procuradores or Plateros streets. Compare prices for the same tour—they vary wildly. Budget 2-day Inca Trail alternatives cost $150-200 locally versus $300+ online.
- Stay in family-run hostels and guesthouses. Dorm beds in hostels cost $8-15 per night. Family-run places (hospedajes) often charge the same for private rooms. Ask at bus stations when you arrive—owners often meet buses looking for guests.
- Get the Peru Rail student discount. If you're under 25, Peru Rail offers 25% off train tickets to Machu Picchu with an ISIC student card. The card costs $15 but saves $30+ on the mandatory train ride to Aguas Calientes.
- How much cash should I bring to Peru?
- Bring $300-500 in clean US bills (no tears or marks). ATMs are common in cities but charge $5-8 fees. Exchange money at casas de cambio (exchange houses) for better rates than banks. Keep cash in small denominations—many vendors can't break 100 or 200 sol notes.
- Is altitude sickness a real concern for budget travelers?
- Yes, especially in Cusco (11,152 feet). Budget an extra day in Cusco to acclimatize before Machu Picchu. Coca tea is free at most hostels and helps. If you feel sick, descend to lower altitude immediately—don't tough it out to save money on accommodation.
- Can I negotiate prices in Peru?
- Yes, for accommodation (especially off-season), tours, taxis, and markets. Don't negotiate for food at set-price places or long-distance bus tickets. Start at 70% of the asking price for tours and accommodation. Speaking basic Spanish helps significantly.
- How far in advance should I book Machu Picchu tickets?
- Book entry tickets online 1-2 weeks ahead during peak season (June-August), same week during shoulder season. The 4-day Inca Trail requires 3-6 months advance booking and costs $600+ including guide. Budget alternatives like Salkantay or Choquequirao can be booked locally.