How much does a trip to Iceland cost? The short answer: 2 weeks in Iceland costs around €3,000–4,500 for 2 people – depending on travel season, car rental and accommodation style. We spent 3 weeks in Iceland and tracked every single expense. Here’s our complete budget breakdown – from flights and car rental to groceries and activities.
Iceland is expensive – no question. But with the right tips, you can save quite a bit. We’ll also share what we’d do differently and how to plan a more budget-friendly Iceland trip.
Last updated: May 2026
Iceland Trip Cost at a Glance
Our Trip – Key Facts
Duration: 3 weeks (21 days)Route: Ring Road + Westfjords + Highlands
Season: June (shoulder season)
Accommodation: Guesthouses & cottages
Total Costs for 2 People
Total: €6,063 (3 weeks)Per person: ~€3,032
Daily budget: ~€289/day (2 people)
2 weeks: approx. €3,000–4,500
Currency Information
Iceland’s currency is the Icelandic Króna (ISK). The exchange rate is approximately 1 Euro = 145 ISK (as of 2026).
Iceland Travel Cost – Getting There
Iceland is served by direct flights from most major airports across Europe. Flights typically cost around €200–400, depending on the season and how far in advance you book. Due to a last-minute Corona booking, we ended up paying €932 for 2 people – significantly more than necessary.
Another option is the ferry. This is especially popular with travellers who bring their own campervans or motorhomes. The ferry from Denmark to Iceland takes around 2 days and costs approximately €1,700 return for 2 people with a standard car, including a double cabin.
Getting Around Iceland
If you’re only spending a few days in Iceland, you can explore the island on guided day tours or multi-day tours*. Reykjavík is the natural base for this.
For maximum flexibility, renting a car is the way to go. With a car, you set your own pace and decide which highlights to visit along the way.
We booked through Iceland specialist northbound.is* – a platform that compares prices from all Icelandic car rental providers, making it especially easy to find vehicles suitable for the Highlands. We were completely satisfied with the booking process, the car, and the support from Northbound – highly recommended.
Car Rental at the Iceland Specialist with Years of Know-How:
Northbound.is
Northbound.is- compares all Icelandic car rental providers
- specialized in Iceland roundtrips and the highlands
- specialized insurances for the rough Iceland available
- free cancellation up to 48h before start of rental period
- normal rental cars, campervans, motorhomes, SUV (also with roof tent) & off-road vehicles available
Find The Best Prices for Iceland Rental Cars at northbound.is*
Calculating Fuel Costs
Once you’ve mapped out your rough route, you can calculate your estimated fuel costs here*.
Alternative: Travelling by Bus
If you want to leave Reykjavík without a car, you’ll need to rely on long-distance buses. Several companies operate routes, but none covers the entire island. Bus travel in Iceland is also not as cheap as you might expect – from 2 people onwards, renting a car often makes more financial sense.
More information on car rental and the bus alternative:
Car Rental Iceland | Which Car for a Road Trip? | Highland Tips
Note: Our car rental was significantly more expensive than usual (€1,968) due to a last-minute Corona booking. We also chose a Highland-capable vehicle with appropriate insurance. With normal advance booking, car rentals for Iceland are available from around €800 for 2 weeks – vehicles with F-road insurance cost more. More in our Iceland car rental guide.Our Iceland Itinerary
We spent 3 weeks in Iceland, completing a full loop of the Ring Road, visiting the Westfjords and making several detours into the Highlands. Since most travellers spend one to two weeks, here are some suggested itineraries:
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Westfjords Iceland | 3-Day Itinerary through Iceland’s Most Beautiful Region
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Iceland Road Trip | 14-Day Round Trip Including the Highlands
Iceland Cost – Accommodation
During our trip, we stayed mostly in guesthouses – often a double room with a shared bathroom and communal kitchen. On average, accommodation cost us around €80 per night. We also rented small private cottages on some nights, which typically ran €120–150. Travelling in June meant slightly lower prices – in July and August, rates go up further.
If you want to travel more cheaply, camping is a great option in Iceland. You can either rent a car with a rooftop tent or bring your own tent and sleeping bag.
Affordable Hotels in Iceland on Booking.com *
How Much Does Food Cost in Iceland?
When travelling, we like to save money by cooking for ourselves and eating out only occasionally. In Iceland, we cooked almost every meal. Our food costs are therefore almost entirely made up of supermarket shopping – with just three portions of (very expensive) chips as our only restaurant indulgence.
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Shopping in Iceland, we found that some items are only slightly more expensive than at home, while others – like bread and cheese – cost noticeably more. One thing you definitely don’t need to buy is water. We picked up two large bottles at the start of our trip and refilled them from the tap throughout – Iceland’s tap water is excellent.
How Much Do Activities Cost in Iceland?
Iceland is generally expensive – but when it comes to activities, you can actually get away fairly cheaply. Most things to do involve being out in nature: hiking, waterfalls, canyons, lava fields. And those are free. Only a handful of attractions charge for parking or entry.
Our most expensive activities were the whale watching tour in Húsavík and a visit to the Blue Lagoon. Both were absolutely worth it. We spent our last afternoon before the return flight at the Blue Lagoon – a great way to end the trip.
Iceland Cost – Miscellaneous Expenses
Beyond accommodation, food and transport, there are usually a few other costs to factor in. In our case, these were limited to just two things: souvenirs and postcards for family back home.
Iceland Cost – Total for Our Road Trip
So how much did our Iceland trip cost in total? As expected, it was expensive. The main ways to save are travelling outside peak season (May–June or September onwards) and booking everything as far in advance as possible – especially the car rental.
If you haven’t sorted your car rental yet, check out our car rental guide or go straight to what we consider the best rental platform for Iceland: northbound.is*.
Iceland on a Budget – Our Money-Saving Tips
Iceland is expensive – there’s no getting around it. But with the right approach, you can save a significant amount on a road trip. Here’s what we’d do differently next time:
- Travel outside peak season: May/June or September are significantly cheaper than July/August – and often just as beautiful. We travelled in June and paid noticeably less than summer visitors.
- Book your car rental early: At least 3–4 months in advance through a comparison platform like Northbound*. We booked last minute and overpaid considerably – our biggest planning mistake.
- Cook your own meals: Restaurants in Iceland are extremely expensive. We cooked almost every meal for 3 weeks and spent just €372 on food – by far our biggest money-saving tip. The cheapest supermarket in Iceland is Bónus (recognisable by the pink piggy bank logo), found almost everywhere on the island.
- Drink tap water: Iceland’s tap water is drinkable everywhere – and it’s excellent. We bought two large plastic bottles at the start and refilled them throughout the trip. Never buy bottled water.
- Focus on free activities: Waterfalls, volcanoes, beaches, glaciers – most of Iceland’s highlights are free. Only a few attractions like the Blue Lagoon or whale watching make a real dent in the budget.
- Camp or rent a rooftop tent car: For those who want to seriously cut accommodation costs, a car with a rooftop tent is the way to go. Campsites in Iceland usually cost just €15–25 per night – a huge saving compared to €80–150 for a guesthouse.
How Much Does Iceland Cost Per Day?
As a rough daily budget for Iceland, plan for around €150–200 per person – or around €280–400 for 2 people. This covers accommodation, food and fuel, without expensive one-off activities like whale watching or the Blue Lagoon. If you camp and cook all your meals, you can get by on €100 per person per day.
Note for 2026: A total solar eclipse will be visible over Iceland in August 2026. Accommodation and car rental prices around that date are significantly higher than usual – book as early as possible if you’re travelling in August.
Iceland Costs 2026 – What Has Changed?
Our trip was a few years ago and prices in Iceland have shifted since then. Our car rental was also inflated by a last-minute Corona booking. Here’s a realistic comparison for a 2-week trip for 2 people:
| Category | Our Costs (3 weeks, 2021) | Reference 2026 (2 weeks) |
|---|---|---|
| Flights (2 people, return) | €932 (last-minute Corona booking) | €300–600 |
| Car rental | €1,968 (F-road, 21 days) | €800–1,500 (depending on vehicle type) |
| Fuel | €788 (21 days) | €400–600 |
| Accommodation | €1,681 (21 nights, avg. €80) | €900–1,400 (14 nights, avg. €65–100) |
| Food | €372 (almost exclusively supermarket) | €300–500 |
| Activities | €285 | €200–400 |
| Total for 2 people | €6,063 (3 weeks) | approx. €3,000–4,500 (2 weeks) |
| Per person | ~€3,032 | ~€1,500–2,250 |
Note: Our car rental was significantly more expensive than usual due to a last-minute booking during Covid. With normal advance booking, car rentals in Iceland start from around €800 for 2 weeks – with F-road insurance correspondingly more. The 2026 figures are indicative for peak season. Cheaper rates apply from May to June and from September.
Do you have any questions about Iceland trip costs, or did your expenses look different? Leave us a comment below!