Exploring India on a Budget: 14 Tips for an Affordable Experience

India is a paradise for budget-conscious travelers. Few destinations in the world offer such a wealth of enriching travel experiences at such affordable prices, especially when utilizing budget buses, trains, and staying in economical hotels or hostels.

When organizing a budget-friendly trip to India, keep in mind that cost and comfort are intertwined. While unreserved train carriages are incredibly cheap, they come with hard benches, no air conditioning, and can be quite crowded. It's wiser to consider the value; spending a little more for air-conditioned or sleeper-class options will enhance your comfort and likely still cost less than similar services elsewhere. 

One of the greatest advantages of traveling in India is the level of control you have over your spending. If you're on a tight budget, you can save on accommodation by opting out of air conditioning, private bathrooms, or scenic views. If urban areas are straining your finances, retreat to the countryside for more affordable options. Many travelers choose to economize at certain points in their journey to indulge in luxuries like extravagant meals or stays in former royal palaces.  

No matter your travel style, here are our top suggestions for making the most of your budget trip in India.

1. Travel during the most affordable time of year

When planning your trip to India, it's essential to think about the destinations you wish to visit and the corresponding weather conditions. The cooler, dry winter months from November to March are the most costly and popular times for travel, offering the best conditions for sightseeing. The monsoon season, from June to September, presents lower prices and fewer crowds in most regions, except for areas like Ladakh, where peak travel occurs as the snow melts from the mountain passes.   

April is typically the most economical month for booking flights, but temperatures can exceed 32°C (90°F) in favored regions like Rajasthan, Tamil Nadu, Kerala, and Goa, potentially making travel uncomfortable.

Be aware that many beach resorts shut down during the rainy season, and some mountainous regions become inaccessible in winter due to snow blocking the roads. 

2. Plan your trip around festivals 

Always check the festival calendar. Major celebrations, such as Durga Puja in Bengal, can lead to massive crowds, causing accommodation and transportation prices to soar. The Indian government provides a calendar of official holidays, but local religious festivals can also attract large numbers of visitors. If you intend to attend a festival, ensure you book your transport and lodging well in advance to get reasonable rates.

3. Opt for overnight travel to cut accommodation costs

One of the best strategies to save money is by taking an overnight sleeper train, which eliminates the need for hotel expenses while preserving your valuable sightseeing time. First-class tickets are comfortable but pricey, keeping you separate from other travelers; instead, consider air-conditioned two-tier or three-tier carriages, or fan-cooled sleeper options, which are much more affordable. For solo female travelers, there are designated carriages that may offer added comfort. 

On premium trains like the Duronto, Shatabdi, and Rajdhani, the ticket price includes dinner and breakfast. For other trains, you can purchase affordable packed meals and snacks from vendors either on board or at station platforms.

Traveling by night bus can also help you save on hotel expenses, but be aware that many services feature loud music or movie showings, and some drivers may drive recklessly on quieter roads.

4. Reserve train tickets in advance during peak times

It may seem obvious, but the earlier you book your train ticket, the less you'll pay. Indian Railways allows reservations to open 120 days prior to departure, and popular class seats can fill quickly, forcing latecomers into pricier or less comfortable unreserved options. The easiest way to book is through online platforms like 12GoAsia; if you're already in India, you can also reserve in person at the station.

Consider the train type you choose as well. Seats on newer trains like Duronto and Vande Bharat are more expensive due to their speed and limited stops. In contrast, Express and Mail trains, which are slower and make more frequent stops, offer much lower fares and fewer onboard services. For a comprehensive guide to India’s train classes, visit the Man in Seat 61.

5. Explore offbeat destinations

Visiting India's major cities—especially Mumbai—can lead to high prices for accommodation, food, and drinks. It’s wise to explore alternative, less frequented hubs where you can enjoy similar experiences at lower costs. For instance, Hyderabad boasts some of the best biryani, markets, museums, and Islamic architecture in the country, all while maintaining a significantly lower cost of living compared to Mumbai or Delhi (unless you opt for a stay at the luxurious Falaknuma Palace Hotel).

Instead of the heavily visited temples at Ellora and Ajanta in Maharashtra, consider the monuments at Hampi, Badami, and Aihole in Karnataka, which attract fewer tourists and provide cheaper accommodation options. If you're looking to escape the crowded beaches of Goa, think about visiting Puducherry in Tamil Nadu, known for its promenades, surfing, and beach yoga.

6. Consider staying at one of India’s modern hostels

Finding budget-friendly accommodations in India is quite straightforward. Numerous budget hotels and guesthouses are available for booking through sites like MakeMyTrip and Agoda. However, larger cities can still be expensive, and opting for the cheapest hotels might come at the cost of comfort, cleanliness, and sometimes even safety.

To strike a good balance between affordability and comfort, look for India’s emerging hostels, where affordable beds also provide opportunities to connect with fellow travelers.

With comfortable mixed and female-only dorms, as well as private rooms, the Zostel hostel chain has locations nationwide, from Jaipur and Delhi to Aurangabad and Alappuzha (Alleppey). The Hosteller is another growing chain with hostels ranging from Agra to Udaipur.

7. Inquire about discounts

Numerous hotels in India offer seasonal pricing, providing significant discounts during quieter periods. If you’re traveling off-season, it’s always beneficial to ask at the front desk about any available discounts, whether for a lower rate or an upgrade to a nicer room.

This principle holds true even for five-star hotels—most have dynamic pricing available on their websites. You might score an even better deal by inquiring at reception on the day of your stay; early evening is a good time, as staff may be willing to lower prices to fill vacant rooms.

8. Bargain (but don’t go overboard)

One of the joys of exploring India’s captivating markets and bazaars is haggling with vendors to secure a great deal. Negotiating prices is a customary practice for both locals and visitors, but keep in mind that it’s not a confrontation. The initial price you’re quoted may be inflated, so offer a lower amount and observe the vendor’s reaction—through some negotiation, you should arrive at a mutually agreeable price.

Haggling should always remain friendly and non-confrontational. If the seller’s final price is still beyond your budget, graciously decline and seek another vendor. It’s generally not worthwhile to haggle over trivial amounts; while you might end up paying a bit more than the standard price, remember that many vendors earn modest wages, and that extra ₹20 could significantly impact someone trying to support their family.

9. Confirm the fare before you start your journey

If you can’t locate a prepaid taxi stand, make sure to agree on a fare with the driver beforehand. Although most taxis and autorickshaws are equipped with meters, some drivers may hesitate to use them, so it’s best to negotiate a price or confirm that you’ll be paying 'by the meter' before you begin your ride.

For cycle rickshaws, it’s essential to settle on a fare ahead of time. Keep in mind that rickshaw drivers earn modest wages for their labor-intensive work—offering a few extra rupees beyond the standard rate may not significantly impact your budget but will certainly provide a little more for their earnings.

10. Purify your own drinking water

Although bottled water may appear affordable, the costs can add up quickly if you grab a new bottle every time you feel thirsty (and it contributes to a significant amount of plastic waste). Tap water in India isn’t safe to drink, but many hotels will allow you to refill your water bottle from their purified supply for free. Alternatively, you can purify water on the go with a travel water filter or chlorine tablets. If you’re trekking, purifying as you hike will reduce both weight and waste, helping to keep the mountains clean.

11. Share a vehicle and driver for greater flexibility

Renting a car or 4WD with a driver for a day (or even longer) is an excellent way to explore off the beaten path in India and discover the hidden gems between well-known destinations. When shared among a group, it can often be more economical than joining a guided tour. Connect with fellow travelers at budget accommodations, hostels, or popular cafes to find trip partners and plan your itinerary together. You can find drivers and vehicles at taxi and 4WD stands in many towns, with many drivers’ collectives posting price lists for local trips.

12. Indulge in street food

Cuisine in India varies dramatically from state to state, and sampling local specialties from street vendors is one of the best ways to experience this diversity. It’s also an economical choice. Look for street food stalls in bustling bazaars, business districts, and transport hubs, where you’ll find affordable delights like freshly stuffed pani puri (crispy filled dough balls) and crispy vegetable pakoras.

Vendors that attract long lines of hungry customers are generally trustworthy when it comes to hygiene and food quality. If you're hesitant about trying street food, opt for vegetarian options to minimize the risk of illness. Items that are cooked fresh and at high temperatures, like vada pav (fried potato balls in a bun) and dosas (rice and lentil crepes), are typically safe bets. Don't hesitate to ask locals for their favorite street food spots; they're often eager to share their recommendations for the best food carts and small eateries.

13. Cut costs when using local transportation

The same principle applies to local transport. To save money while exploring the city, consider using rideshare services, which are becoming more popular in urban areas. This way, you’ll pay the standard fare rather than a marked-up 'tourist price.' You can easily request rides through apps like Uber, Ola, Lyft, and Bla Bla Car.

Another smart way to save is to utilize dedicated prepaid kiosks for taxis and autorickshaws located at airports and train or bus stations. These typically have a booth where you can book a ride at a fixed price. The staff will provide you with a receipt that includes your vehicle's registration number, which you then give to the driver.

14. Cut expenses on calls and internet usage

Most countries don't offer favorable roaming rates for India, leading to high costs for calls, texts, and internet access. To keep in touch affordably, consider purchasing a local prepaid SIM card from providers like Jio, Airtel, or Vi. These companies typically offer data packages, allowing you to browse and make calls while on the go. Ensure your phone is unlocked from your home network, or buy an inexpensive device locally.

If you're landing in a major city like Delhi or Mumbai, you can obtain a SIM card at the airport. Alternatively, you can purchase one from a local phone shop, which will require a couple of passport photos, a local address, and the contact details of someone who can verify your identity (often provided by the phone office). This process can be slow and bureaucratic, with activation taking up to 24 hours, but it significantly simplifies transportation and online bookings, including train tickets.

Daily expenses

• Hostel accommodation: starting from ₹400
• Budget hotel room: ₹500 to ₹1500
• Short autorickshaw ride: starting at ₹100
• Half-day bus journey: approximately ₹500
• Cost for a vegetarian thali: starting from ₹100
• Evening meal at a nicer restaurant: from ₹1500
• Bottle of beer: about ₹150
• Average daily expenditure: ₹3000 to ₹30,000