Top Tips For Visiting Iceland on a Budget
With a bit of planning, a trip to Iceland doesn’t have to drain your bank account. Here are the top tips for keeping costs down while still getting the most out of your time here.
Use Special Discounts When Eating Out
Eating out in Iceland adds up fast, so it pays to be a little strategic about where and when you sit down for a meal. The food scene here is genuinely excellent, and you don’t have to skip it entirely — you just need to be a bit selective.
Even fast food isn’t cheap, and you might be surprised to find that the gap between a burger at a casual spot and the lower-end dishes on a fine dining menu in Reykjavik isn’t always that wide. It’s worth checking menus online before you go — most are available in English — and keeping an eye out for lunch deals. A lighter dinner after a proper midday meal can save you a fair bit.
If you’re a member of Guide to Iceland’s VIP Club, dining out gets considerably more affordable. Many of Reykjavik’s top restaurants offer discounts on their entire menu, and on Mondays and Tuesdays you can get up to a 40% discount on tasting menus at places like Monkeys Food & Wine and Kol.
For something more casual, spots like Lebowski Bar, Bastard Brew & Food, and Litli Barinn also offer discounts on their already reasonably priced menus. It’s worth making full use of your VIP membership — the dining deals are genuinely good.
Buy Your Alcohol at Keflavik Airport
Alcohol prices in Iceland are among the highest in Europe, and that can come as a real shock if you’re not expecting it. The single best move you can make is to pick up what you need at Keflavik Airport the moment you land. The duty-free shop there is significantly cheaper than anywhere else in the country.
You’ll find a solid range of spirits, wine, beer, and Icelandic craft brews. Stock up when you arrive — it’s easily the most cost-effective way to buy alcohol during your stay, and you won’t get another chance like it once you’re out of the terminal.
Choose Cheaper Groceries
Grocery prices in Iceland can catch you off guard, but shopping at the right stores makes a real difference. Krónan is one of the best options for budget-conscious shoppers — prices are noticeably lower than at many other supermarkets, and the range is solid, covering everything from fresh produce to pantry staples.
What you want to avoid is leaning on convenience stores like 10-11 for your regular shopping. They’re handy in a pinch, but prices can be triple what you’d pay at Krónan for the same item. For snacks, drinks, and basics, the difference is stark.
If you’re heading out on a road trip, plan your grocery run before you leave the capital. Once you’re in more remote parts of Iceland, options get limited and prices go up. Krónan has locations around the capital region and dotted throughout the country, so it’s worth stocking up while you can.
Never Buy Bottled Water in Iceland
Iceland’s tap water is some of the best in the world, and it comes out of every faucet for free. Buying bottled water here is one of the classic tourist traps — and a completely unnecessary one.
You can ask for tap water at virtually any café or restaurant, and you’ll never need to pay for it. The cold tap water is the same water being bottled and sold at a premium. Just let it run for a second and fill up your own bottle. Your wallet and the environment will both thank you.
Carry a refillable bottle and use it throughout your trip. It’s one of the simplest ways to cut costs without sacrificing anything.
Keep An Eye Out for Happy Hours
Drinks are expensive in Iceland — there’s no getting around it. But happy hours are a real thing here, and they’re worth planning around. They typically run in the late afternoon to early evening, though times vary by bar, so it’s worth checking before you head out.
If you’ve booked with Guide to Iceland, VIP Club access unlocks exclusive discounts at some of the best bars in Reykjavik. Some bars even extend happy hour pricing well into the evening for VIP members. You can get a beer for 1000 ISK until 11 PM at places like Kaldi Bar, English Pub, Irishman Pub, and Den Danske Kro, or pick up award-winning cocktails at Kokteilbarinn with a 15% discount. A night out doesn’t have to be a budget disaster.
Visit the Public Pools in Iceland
The Blue Lagoon and Sky Lagoon are genuinely special, but the entry prices are steep. If your budget is tight, Iceland’s public swimming pools are one of the best alternatives going — cheap, well-maintained, and far more representative of how Icelanders actually spend their time.
Pool culture here runs deep. Icelanders treat their local pool as a social hub, and the tradition is taken seriously enough that Icelandic swimming culture is being considered for UNESCO’s list of Intangible Cultural Heritage.
There are over 120 public pools across the country, most with hot tubs and saunas. After a long day of hiking or sightseeing, an evening soak at a local pool is hard to beat — and it won’t cost you much at all.
