How Much Does a Trip to Iceland Cost? A Full Budget Breakdown

Visiting Iceland is a bucket-list experience — but it’s not known for being cheap. From rental cars to geothermal spas, your Iceland itinerary can add up quickly if you don’t plan ahead.

So how much should you budget for a trip to Iceland in 2025?

In this guide, we’ll break down the full cost of a trip to Iceland based on trip length, travel style, and season — plus tips to stretch your króna further.

Average Cost of a Trip to Iceland (Per Person)

These estimates include flights, accommodation, transport, food, and some tours.

Flight Costs to Iceland

Average Roundtrip Flight Prices (USD):

• From Europe: $100–$300 (budget airlines like Wizz Air, EasyJet)
• From East Coast USA: $300–$600
• From West Coast USA: $500–$900
• From Canada: $400–$700

Tip: Look for flight deals with Icelandair or Play Airlines. Booking 3–6 months ahead usually gives the best rates.

Accommodation Costs

Lodging is one of the biggest expenses in Iceland, especially during summer.

Per Night Prices (2025)

• Hostels (shared): $30–$60
• Budget guesthouses: $90–$130
• Hotels (mid-range): $140–$250
• Luxury stays: $300–$600+
• Rural cabins / Airbnb: $120–$250

Book early during peak seasons (June–August, December holidays). Many countryside accommodations fill up months in advance.

Transportation Costs

Car Rentals (Per Day)

• 2WD compact: $50–$90
• 4x4 SUV: $100–$180
• Campervan: $160–$250

Fuel Costs

• $9–$10 per gallon (around $2.50/liter)
• A full tank (diesel or gas) = ~$100+

Tours & Transfers

• Golden Circle bus tour: $60–$100
• Glacier hike tour: $130–$200
• Airport transfer (Reykjavík): $25–$45 one way

Tip: Driving gives you the most freedom and may be cheaper for groups, but be sure to factor in fuel and insurance.

Food & Drink Budget

Eating out in Iceland is pricey — even casual meals can cost a lot. Self-catering can save you big.

Sample Food Prices:

• Fast food combo: $15–$20
• Restaurant entrée: $25–$45
• Coffee: $4–$6
• Beer (pint): $10–$14
• Grocery meal cost/day: $20–$35 per person

Visit discount chains like Bónus, Krónan, and Netto for groceries.

Popular Activities & Tour Prices

Iceland Attractions & Tours:

• Blue Lagoon: $70–$100
• Sky Lagoon: $65–$90
• Northern Lights tour: $90–$120
• Whale watching: $90–$130
• Ice cave tour: $150–$250
• Snowmobile: $180–$300
• Reykjavík museums: $10–$20

Many of Iceland’s natural attractions — waterfalls, beaches, hiking trails — are free. Use your rental car to get to these spots without paying for organized tours.

Sample Budgets for 7-Day Iceland Trip (Per Person)

Budget Traveler (Backpacker Style)

• Flights: $350
• Accommodation (shared dorms): $280
• Car share or bus: $150
• Groceries only: $150
• Basic tours: $100
• Total: ~$1,030

Mid-Range Traveler

• Flights: $500
• Hotels / guesthouses: $1,050
• Rental car: $500
• Food mix: $250
• Blue Lagoon + 2 tours: $250
• Total: ~$2,550

Luxury Traveler

• Flights: $800
• 4-star hotels: $2,100
• Private SUV rental: $1,200
• Fine dining: $700
• Premium tours: $700
• Total: ~$5,500+

Cost-Saving Tips for Iceland

• Travel in shoulder season (May or September) for lower rates
• Make your own meals at guesthouses with kitchen access
• Try camping (only in summer) to save on lodging
•  Share rental costs with friends or family
• Drink tap water — it’s free and crystal-clear
• Prioritize free sights like waterfalls and volcanic beaches
• Skip expensive tours unless truly necessary

Is Iceland Worth the Cost?

Absolutely.

Yes, Iceland costs more than many destinations — but it offers once-in-a-lifetime experiences you can’t find anywhere else. Between powerful waterfalls, active volcanoes, glacier hikes, and the chance to spot the Northern Lights, Iceland is a nature lover’s dream.

If you plan smart, book early, and keep a flexible budget, your trip to Iceland will be an unforgettable — and manageable — investment.

There is more to see in Iceland and if you want to get the best price for your trip, feel free to check out Blue car rental travel info hub.