These steps might help achieve your goal:
1. Draw a table with two columns.
2. Column A is for Expense Items. Column B is for Estimated Costs.
3. List all the things you can think of that you will need to pay for while traveling in column A. These items should include: air flights, car hire/fuel allowance, travel passes, sight-seeing tours, accommodation, food, insurance, immunizations, and souvenirs.
4. In column B estimate how much you think each of these things will cost while on your trip. Using the internet you can research your travel costs quite easily. Estimating a food allowance might be a bit more difficult. If you are traveling alone, as a couple or in a family you will need to budget food costs accordingly.
5. Finally add up the costs in column B. This will give you an estimate of how much your trip will cost. Can you afford it? If the answer is “yes” - then this is a realistic budget for you. If not, then you may have to rethink your destination and the type of travel experience you want.
Please remember that this table is only an estimate of your anticipated travel costs. You will also want to budget for incidentals and put aside some money in case things do not go according to your plan.
For example, have you got enough money in your budget to buy new clothes if your luggage goes missing? A realistic travel budget will have extra built in to it to cover emergencies.
Setting an emergency budget of sixty-five dollars a day, if traveling alone, is a sensible amount. If you are traveling as a family or in a group, this number will be vastly different.
Begin making your travel plans with your budget in mind. Don't exceed your budget, always keep a little in reserve so you can buy those amazing Italian shoes or go jet-skiing in Hawaii if the desire takes you!