How much does it cost to travel in Iceland?

Generally speaking, we can say that traveling in Iceland is expensive, and Iceland certainly doesn’t belong on the list of the cheapest countries. But we can say with equal certainty that it is truly an experience worth every penny.

For many years, Iceland was an out-of-reach destination: costs were extremely high compared with other European cities. Today, fortunately (thanks to the major economic crisis that hit the country in 2008), prices are more accessible. Accommodation, food, and transport are still fairly expensive and can have a big impact on your travel budget, but there are also alternatives to help keep costs down.

We’ve put together a handy cost guide to give you an idea and help you estimate the cost of a trip to Iceland.

The cost of Iceland: here are all the prices

Prices in Iceland: how much does food cost?

On every trip, food is one of the first expenses to take into account! In Iceland, together with accommodation, it is one of the biggest costs you’ll face.

In the main cities you’ll find plenty of places to eat, but prices are anything but low. You can easily spend €15 on breakfast, while a fish soup in the evening can cost as much as €35.
At a restaurant, a main course costs on average between 3,000 and 4,500 Icelandic króna (ISK), roughly €25–40, while a full meal costs around 6,000–7,400 ISK (€50–60). A cheaper alternative is the fast food spots scattered around the island, where you’ll find more affordable burgers, pizza, and hot dogs. They may not be local specialties, but they can be a good option for an inexpensive bite. A sandwich, burger, or pizza usually costs between 1,800 and 2,400 ISK (€15–20) in a restaurant or café, and a little less in fast food places.
A soft drink, coffee, tea, or a bottle of water in a restaurant costs approximately 337 to 560 ISK (€2.82–4.69).

Here are a few examples of a day’s spending at restaurants:

• Breakfast at a café: pancakes + coffee – €15
• Lunch: burger at a restaurant with Coca-Cola – €25
• Dinner: a cod dish with salad and two slices of bread + water – €38

What we do with Sto Gran Tour, on our group trips to Iceland, is create a good balance between eating out and cooking at home. By staying in private cottages and doing a group grocery shop at the beginning of the week, food costs go down considerably. This way you can save money without giving up the chance to try local specialties!

In general, supermarket prices are not too far from those in other European capitals, although some items are incredibly expensive! Here are a few examples to give you an idea:

• Packaged sliced white bread: 274 ISK (€1.80)
• 400 grams of sliced cheese: 1,827–2,284 ISK (€12.00–15.00)
• 200 grams of cooked ham: 500 ISK (€3.30)
• 1 liter of milk: 246 ISK (€1.60)
• Breakfast cereal: 700 ISK (€4.69)
• 0.5 kg of pasta: 260.49 ISK (€1.71)
• Pasta sauce: 337 ISK (€2.82)
• Frozen pizza: 837 ISK (€5.50)

And here’s what a typical supermarket shop might look like:

• Eggs (12): €5.00
• Chicken breasts (1 kg): €25.00
• Sliced cheese: €15.00
• Water (1.5 L): €1.80
• Coca-Cola (0.33 L): €3.00
• Bottle of wine: €17.00

Traveling to Iceland: how much does the flight cost?

The cost of a flight depends on several factors, starting with the time of year you travel—high or low season—and how far in advance you book.

In general, summer—especially August—has the highest prices, often exceeding €600 per person for a round trip, while at other times of the year, if you book well in advance, you may spend around €300/400.
 

Prices in Iceland: how much does accommodation cost?

Accommodation in Iceland, together with food, is one of the most expensive parts of the trip. There are several options for staying in Iceland, from hostels to luxury properties.

For a hostel, prices are around 3,500 ISK (€30) per night for a dorm bed and 14,000–18,000 ISK (€120–150) for a private double room. With Sto Gran Tour, we prefer staying in private traditional wooden cottages, with double rooms, surrounded by nature. This way we have an entire little house to ourselves where we can also cook and head out at night, without disturbing anyone, to spot the Northern Lights.

Traveling in Iceland: how much does transportation cost?

Transportation? What transportation? There are no trains in Iceland, and a car remains the best way to get around the island freely.
If you stick to the main Route 1, a standard city car is enough. But be careful! In winter, it’s a completely different story: the car must absolutely be a 4x4, preferably with studded tires. Sometimes snowstorms are so intense, with winds reaching 200 km/h, that even parked cars can move. Before driving, you also need to check road conditions: take a look at this article to discover all the road safety apps we use in Iceland. The cost of renting a 4x4 for 7 days, including insurance, is about €800.

Now that you have a clearer idea, you can estimate the cost of a DIY trip to Iceland. Or even better, you can see how great and cost-effective it is to travel to Iceland with Sto Gran Tour: check out our organized trip to Iceland.