South America is one of the best-value long-haul destinations in the world for budget travelers. A $50-per-day budget — covering accommodation, food, transport, and activities — is genuinely achievable across most of the continent, and in some countries (Bolivia, Colombia outside Bogotá, coastal Ecuador) you can stretch it considerably further. Here's a country-by-country breakdown with real costs and honest logistics.
Colombia: $35–$50/Day
Colombia is consistently the best-value entry point for South America. Medellín has a world-class hostel scene — the Poblado and Laureles neighborhoods are packed with well-reviewed budget options at $12–$18 per night in a dorm, or $35–$45 for a private room. Street food and local restaurants (called "corrientazos") serve a full lunch — soup, main course, rice, and juice — for 12,000–18,000 COP (approximately $3–$4.50 USD).
For more on this topic, see our guide on how to use google flights to find cheap last-minute deals.Cartagena on the Caribbean coast runs 30–40% more expensive than Medellín, particularly for accommodation. Budget $45–$60/day there. The bus network is extensive and cheap: Medellín to Cartagena costs around $25–$35 by overnight bus, saving a night's accommodation.
Peru: $40–$55/Day
Peru is anchored by Cusco and the Inca Trail, both of which push costs upward. The classic 4-day Inca Trail trek requires a $200–$230 permit (non-refundable, books out months in advance) plus guide and equipment costs, typically $500–$650 total per person. Budget accordingly — this is a splurge that most Peru itineraries include.
Outside the Cusco–Machu Picchu circuit, Peru is very affordable. Lima's Miraflores and Barranco neighborhoods have excellent hostels for $12–$20/night, and ceviche at a local market costs 15–25 PEN ($4–$7). The bus network (Cruz del Sur, Oltursa, Peru Hop) is comfortable and covers the entire country affordably: Lima to Arequipa runs $15–$25 on a night bus.
Bolivia: $25–$35/Day
Bolivia is South America's cheapest country for travelers. La Paz has a dense cluster of hostels on Sagárnaga and surrounding streets: dorms for $5–$8, private rooms for $15–$20. Local almuerzo (set lunch) costs 25–35 BOB (roughly $3.50–$5). The Salar de Uyuni salt flat tour (2–3 days, all inclusive with accommodation and transport) runs $80–$120 depending on the operator — one of the best value-per-experience calculations on earth.
Argentina: $45–$70/Day
Argentina is complex due to exchange rate volatility. As of 2026, the "blue dollar" (informal exchange rate) gives significantly better value than the official rate — check DolarHoy.com for the current spread. Hostels in Buenos Aires run $12–$20/dorm in Palermo or San Telmo; a parrilla (grilled meat meal) at a mid-range restaurant costs around $15–$25 at the informal rate.
Patagonia (El Chaltén, El Calafate, Bariloche) pushes daily costs to $70–$100 due to the remoteness and tourism infrastructure. If that exceeds your budget, consider entering from Chile via Puerto Natales to Torres del Paine and spending fewer days in Argentine Patagonia.
Accommodation Strategy
- Book the first and last night only: In most South American cities, you'll find better deals by asking at the hostel or walking in than by booking weeks ahead on Hostelworld or Booking.com (which charge commissions).
- Couchsurfing: Still active and genuinely useful in South America. Hosts in Medellín, Buenos Aires, and Lima are particularly welcoming. Free accommodation plus a local contact is invaluable.
- Work exchanges: Worldpackers and Workaway list opportunities to swap 15–25 hours of work per week for accommodation and sometimes meals. Language schools in Cusco and Cartagena frequently take on volunteers.
Food Budget
The single biggest variable in your daily budget is whether you eat at local restaurants or tourist-facing ones. In Cusco, a tourist-district menu del día (set meal) costs $7–$12. Two blocks from the main square, the same meal is $3–$4. Learning a few Spanish phrases — "¿Tiene menú del día?" — opens doors to local eateries that don't advertise to tourists at all.
Street food is safe across most of South America when the stall is busy (high turnover indicates freshness). Empanadas, arepas (Colombia), tucumanas (Bolivia), and anticuchos (Peru) cost $0.50–$2 and are genuinely excellent.
Transport Between Countries
Overland bus travel is significantly cheaper than flying: La Paz to Cusco runs $15–$25 (8–10 hours via Copacabana), Buenos Aires to Santiago $35–$50 (20 hours via the Andes crossing). Flying saves time but costs $60–$150 even on budget carriers. Use the bus for legs under 15 hours; fly for longer hauls.
Sample 3-Month Budget
- Colombia (4 weeks): ~$1,200
- Peru (5 weeks, including Inca Trail): ~$1,800
- Bolivia (2 weeks, including Uyuni): ~$500
- Argentina (4 weeks): ~$1,600
- Flights (international in/out + 2 internal): ~$900
- Total: approximately $6,000 for 3 months
That's $67/day all-in including international airfare. Strip the flights out and you're comfortably under $50/day on the ground.