The Ultimate Guide to Planning a Trip to Iceland: From Budget to Itinerary

By Thomas

Nov 08, 2024

In Europe Travel

Iceland, the Land of Fire and Ice, is a destination that has captured the hearts of travelers worldwide. With its breathtaking glaciers, cascading waterfalls, geothermal pools, and awe-inspiring landscapes, Iceland offers a unique and unforgettable travel experience.

Planning a trip to Iceland can be both exciting and daunting. But fear not, this comprehensive guide will walk you through every step, from budgeting to itinerary, ensuring a smooth and memorable journey.

1. Budget & Travel Time

Iceland is known for its high cost of living, but with careful planning, you can enjoy a fantastic trip without breaking the bank. Consider these factors when determining your budget:

Season: Summer (June-August) is the peak season, with higher prices for flights, accommodation, and activities. Spring (April-May) and autumn (September-October) offer milder weather and fewer crowds, but some attractions might be closed.
Accommodation: Choose from budget-friendly guesthouses, hostels, or campsites to luxury hotels and resorts.
Food: While dining out can be expensive, grocery shopping and cooking your meals can significantly reduce costs.
Transportation: Car rentals, public transportation, and organized tours all have varying price ranges.
Activities: From glacier hikes to whale watching, there are countless activities to choose from, each with its own price tag.

Sample Budget:

This is a rough estimate based on a 7-day trip in the shoulder season (May or September):

Flights: $500-$800
Accommodation: $350-$700
Food: $350-$700
Transportation: $200-$400
Activities: $300-$600
Total: $1,700-$2,600 (excluding souvenirs and personal spending)

Remember, these are just estimates, and your actual spending may vary depending on your preferences and choices.

2. Best Time to Visit Iceland

Iceland is a year-round destination, each season offering unique experiences:

Summer (June-August): Longest daylight hours, warmest temperatures, and ideal for outdoor activities like hiking and camping.
Spring (April-May) and Autumn (September-October): Mild weather, fewer crowds, and stunning autumn foliage (in autumn).
Winter (November-March): Witness the Northern Lights, enjoy winter sports, and experience a magical snowy landscape.

The best time to visit depends on your priorities and desired experiences. For example, if you want to see the Northern Lights, winter is the best time, while summer offers the best weather for hiking and outdoor activities.

3. Getting to Iceland

The main international airport in Iceland is Keflavík International Airport (KEF), located about 50 km southwest of Reykjavík. Most international flights arrive here. From Keflavík, you can take a shuttle bus or taxi to Reykjavík or rent a car.

If you're on a budget, consider flying into Reykjavík's domestic airport (RKV) or taking a ferry from Denmark or the Faroe Islands.

4. Getting Around Iceland

Iceland offers a variety of transportation options, each with its own advantages:

Car Rental: The most popular and flexible option, allowing you to explore the country at your own pace. However, driving conditions can be challenging, especially in winter. Driving on the Ring Road (Route 1), a major highway circling the island, is an excellent way to see the highlights. Remember to book your car rental in advance, especially during peak season.
Public Transportation: Buses are a convenient and affordable option for traveling between cities and towns. However, they might not be as frequent in remote areas. There are also buses from Keflavík Airport to Reykjavík.
Organized Tours: Day tours, multi-day tours, and package tours are available for various destinations and activities. This is a great option for those who prefer a more organized and guided experience.

5. Accommodation Options

Iceland offers a wide range of accommodation options to suit every budget and preference:

Hotels: From budget-friendly hotels to luxurious resorts, you'll find a hotel to match your needs.
Guesthouses: More affordable than hotels, guesthouses offer a charming and intimate experience.
Hostels: A great option for budget travelers, hostels offer shared dormitory rooms and social spaces.
Apartments and Villas: Perfect for families or groups, apartments and villas provide more space and privacy.
Camping: A budget-friendly and adventurous option, camping is popular in Iceland, especially during the summer months. There are many campsites located throughout the country.

Remember to book your accommodation in advance, especially during peak season.

6. Essential Things to Pack

Here's a list of essential items to pack for your Iceland trip:

Warm clothing: Iceland's weather can be unpredictable, so pack layers, including a waterproof jacket, fleece, and warm hat and gloves.
Comfortable shoes: You'll be doing a lot of walking, so pack sturdy and comfortable shoes suitable for hiking.
Waterproof gear: Pack a waterproof jacket and pants, especially if traveling in the winter or during rainy periods.
Swimsuit: Don't forget to pack your swimsuit for a dip in one of Iceland's geothermal pools.
Camera: Capture the breathtaking landscapes of Iceland with your camera.
First-aid kit: Pack a basic first-aid kit for minor injuries.
Travel insurance: It's essential to have travel insurance in case of emergencies or unforeseen circumstances.

7. Itinerary Ideas

Here are a few itinerary ideas for a 7-day trip to Iceland:

Itinerary 1: The Golden Circle & South Coast

Day 1: Arrive in Reykjavík and explore the city's charming streets, museums, and art galleries.
Day 2: Embark on the Golden Circle tour, visiting Þingvellir National Park, Gullfoss Waterfall, and Geysir geothermal area.
Day 3: Explore the South Coast, admiring the stunning waterfalls of Seljalandsfoss and Skógafoss and the black sand beach at Reynisfjara.
Day 4: Hike on the Sólheimajökull glacier or visit the Jökulsárlón glacier lagoon.
Day 5: Explore the East Fjords, with their picturesque villages and dramatic landscapes.
Day 6: Return to Reykjavík and enjoy the nightlife.
Day 7: Depart from Iceland.

Itinerary 2: The Westfjords & Snæfellsnes Peninsula

Day 1: Arrive in Reykjavík and explore the city.
Day 2: Drive to the Snæfellsnes Peninsula, visiting the Kirkjufell mountain and the charming town of Stykkishólmur.
Day 3: Explore the Snæfellsnes Peninsula, hiking to the top of Snæfellsjökull glacier or visiting the black church at Búðakirkja.
Day 4: Drive to the Westfjords, stopping at the Dynjandi waterfall and the picturesque village of Ísafjörður.
Day 5: Explore the Westfjords, hiking to the top of Hornbjarg cliffs or taking a boat tour to the islands of Viðeyjar.
Day 6: Return to Reykjavík and enjoy the nightlife.
Day 7: Depart from Iceland.

These are just a few itinerary ideas, and you can customize your trip based on your interests and time constraints. Remember to factor in travel time between destinations, especially if you're driving.

8. Tips for Traveling in Iceland

Here are some tips for making your trip to Iceland even more enjoyable:

Learn a few basic Icelandic phrases: Even though English is widely spoken, a few Icelandic phrases will go a long way in showing respect and appreciation.
Pack layers: Iceland's weather can change quickly, so be prepared with layers of clothing.
Be aware of the weather: Check the weather forecast before embarking on any outdoor activities and adjust your plans accordingly.
Respect the environment: Leave no trace behind and follow the rules and regulations set forth by national parks and other protected areas.
Embrace the Icelandic culture: Experience the local cuisine, music, and folklore.

9. Frequently Asked Questions

What is the currency used in Iceland?

The currency used in Iceland is the Icelandic króna (ISK).

What language is spoken in Iceland?

The official language of Iceland is Icelandic.

Is it safe to travel to Iceland?

Iceland is generally considered a very safe country to travel to. However, it's always wise to exercise caution and take precautions against theft and other common crimes.

Do I need a visa to travel to Iceland?

Most visitors from Western countries do not need a visa to enter Iceland for tourism purposes. However, it's always best to check with the Icelandic embassy or consulate in your country for the most up-to-date information.

What are the best things to do in Iceland?

Iceland offers countless attractions, including:

The Golden Circle: Visit Þingvellir National Park, Gullfoss Waterfall, and Geysir geothermal area.
South Coast: Explore stunning waterfalls, black sand beaches, and glaciers.
Snæfellsnes Peninsula: Discover a diverse landscape of mountains, glaciers, and charming villages.
Westfjords: Experience remote beauty, dramatic cliffs, and picturesque fjords.
Reykjavík: Explore the city's museums, art galleries, and vibrant nightlife.
Northern Lights: Witness the breathtaking Northern Lights during the winter months.

Iceland is a truly magical destination, and with careful planning, you can have an unforgettable travel experience. From breathtaking landscapes to rich cultural heritage, Iceland offers something for everyone.