Lao - $180.56

Lao is widely known to be one of the cheapest countries in South East Asia, an already very affordable corner of the world. Thanks to this, we were able to enjoy an amazing trip to Lao, while staying way under budget! One reason for the country’s low prices is Lao’s economic challenges, including a lack of development, high inflation, and their relatively small population. While in Lao, we made sure to tip frequently and generously. While we did negotiate some prices for activities and goods we never went below a price we felt was fair or equitable. Often times, prices were already so low that bartering wasn’t necessary in the first place. 

Our largest category of expenses in Lao was Lodging, totaling $464.09 or $59.50 per day. However, for this price we stayed at some very nice hotels, our favorite being the Riverside Boutique Resort in Vang Vieng. By traveling in the low-season we were able to secure this hotel for a much lower price than most, which is one way we’ve saved money across our entire trip.

Our second largest category of expenses in Lao was Flights, in this case simply our flight to get to Lao from Vietnam. We paid $151.50 each, breaking down to a combined per day cost of $38.85, significantly denting our remaining budget before even setting foot in Lao. Prices to fly there can come out higher than expected, simply because there is a limited number of airlines that actually fly there. Additionally, their national carrier, Lao Airlines, is not large enough to afford lower fares on more routes. To avoid these high airfares, many tourists, specifically backpackers, find other ways to get into the country, like long bus rides or slow floats down the Mekong. We did have the option to take a 24 hour bus connection from Hanoi to Vientiane, but decided to take the quicker option at a higher price.

While Food & Groceries are typically one of our highest costs, the $35.15 we spent per day while eating out felt incredibly reasonable. We were able to eat everything we wanted, go out to get drinks on several days, and indulge in afternoon snacks without having to worry about breaking the bank.  We found the food in Lao to be heavily influenced by Thai cuisine, but similarly to Vietnam there was also a hint of French influence, particularly in Luang Prabang.

Other Transportation was another large expense category for us, amounting to $12.52 per day. In Lao this category meant Tuk Tuk rides, taxis, and tickets on the Lao-China High Speed Railway (LCR). We’ve become accustomed to using Grab while in South East Asia, but since they don’t operate in Lao, we found the most common way to get around town is by bartering with a Tuk Tuk or Jumbo driver when you need a ride. While Tuk Tuk’s are great for in-town driving, for our jumps between cities we opted for the LCR, with reasonable ticket prices and good reliability, it’s a convenient way to get around the country. Pro tip: when taking the LCR you must go through airport style security so make sure to avoid bringing prohibited items or you’ll have to pay a “fee” to have the police return them to you at your destination. No guarantees that this will work every time!

Lao is full of activities, but luckily most are priced quite reasonably. We averaged $14.75 across Activities and Rental Cars, which in Lao were three moped rental days. Each time we rented a moped it cost us $6 per moped for the full day, excluding any fuel that we needed. Unlike rental cars, mopeds in South East Asia are generally given to you with a nearly empty tank and you can bring it back with as little fuel as you would like. For other activities like entrance fees to caves or river cruises, we typically paid no more than $8 for both of us meaning we could afford to do a lot each day.

Finally we had about $75 of miscellaneous expenses in Lao, mainly consisting of cash I can’t account for, and visa fees of $40 each. Similarly to most of Southeast Asia, cash is still king in Lao, so be prepared to either bring a lot with you or take out a significant chunk while you’re there, as it’s the only accepted payment method at almost all establishments. As we traveled into the country with US passports, we had to get a visa on arrival in Vientiane. This cost us $40 each and could only be paid for in physical US dollars, so make sure to apply for an eVisa before you arrive, or have cash ready when you land. There are a few countries that do not need a visa to enter Lao, like Switzerland or most ASEAN nations, but the vast majority of travelers need to secure a visa for their trip.

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Thailand - $153.02

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Vietnam - $192.36