About ten years ago, the question "Is Thailand cheap?" wouldn't have been necessary. Thailand was undeniably an inexpensive travel destination, although it wasn't nearly as popular as it is today; service and amenities were also considerably simpler.

While the variety and quality of activities in Thailand have improved enormously in recent years, travel costs have risen accordingly. Of course, it's not as expensive as in Europe or North America, but it's also not as cheap as in neighboring countries like Cambodia, Myanmar, or even Vietnam.

Whether you have a specific question, such as "How cheap is Thailand?", or simply want a general overview of the costs you can expect in the Land of Smiles, you've come to the right place.

The myth of Thailand as a cheap paradise

One reason the question "Is Thailand cheap?" has taken on a life of its own is the widespread dissemination of information. Many travelers who now pass judgment on Thailand haven't been there in a long time. This means that it was either actually cheaper when they were there, or they've forgotten about the costs. Furthermore, many who still consider Thailand extremely cheap have spent more time in Europe and wealthier Asian countries and are unaware of the truly affordable countries in Southeast Asia.

Is Thailand cheap? Relatively speaking, yes, especially if you come from a Western country or have traveled there before. While some statements still hold true (five-star hotels in Bangkok, for example, are cheaper than in almost any other city in the world, perhaps with the exception of Kuala Lumpur), you should be aware before and during your trip that most people who describe Thailand as a cheap country don't really know what they're talking about.

Breakdown of travel costs in Thailand

Hotels

To be honest, Thailand is affordable when it comes to hotels. From five-star hotels in Bangkok like the So Sofitel Bangkok and the Eastin Grand Sathorn to luxurious resorts on the beaches of Krabi like the Sunrise Tropical Resort and even the extravagant Rayavadee, you get significantly more comfort for the price of most accommodations in Thailand. At the other end of the spectrum, you can find budget hotels or Airbnb apartments for next to nothing, often for US$20 per night or even less. And let's not even talk about hostels in Thailand – the costs are negligible!

transport

Another factor that can influence your trip to Thailand is transportation. Generally, getting around in Thailand is inexpensive, whether you take the BTS or MRT in Bangkok, use the Grab app (the Southeast Asian equivalent of Uber) to book rides throughout the country, or fly with budget airlines like Thai AirAsia and Thai Smile. However, there are exceptions, such as in areas with taxi monopolies, like Koh Samui or some parts of Phuket. Tuk-tuk rides, on the other hand, can be very expensive, as drivers are aware of the scarcity of these vehicles and charge accordingly.

Food and Drink

Is food cheap in Thailand? Yes, at least if you eat Thai food. When I lived in Bangkok, my apartment was right in the middle of the street food paradise of Soi Suan Phlu 8. There, I could enjoy home-style classics like Khaaw Man Gai (chicken rice) and Pad Ga Prow Gai (fried chicken with holy basil) for 30 or 40 baht per plate. This is true even for upscale Thai restaurants. However, anyone looking for foreign (especially non-Asian) cuisine in Thailand should forget about this. Seafood can also be quite expensive, particularly near upscale resorts in Phuket, Krabi, or on the islands of the Trat archipelago in the southeast. Alcohol (at least real alcohol!) is also relatively expensive in Thailand; it's not hard to find good cocktails for 400 baht or more. (TIP: You can reduce the cost of your culinary adventures in Thailand with one of these great travel credit cards. Many of them are fee-free and reward you for every purchase!)

Activities

Why is Thailand so cheap? Well, for some activities, that's definitely not true. The good news in the case of Elephant Nature Park near Chiang Mai (or similar facilities near Chiang Rai) is that part of the cost (a half-day trip can cost around US$100 in total) is due to ethical principles. On the other hand, things need to be viewed relatively rather than absolutely. Diving in Thailand, for example, is expensive by local standards, but quite affordable compared to prices in other countries.

Other travel expenses for Thailand

What's cheap in Thailand? What's expensive? Some of the most annoying travel costs in Thailand are hidden until you arrive – I'm talking about fees. Did you know, for example, that most Thai ATMs charge 220 THB (about US$7–8) per transaction? And even if you can pay by credit card (which isn't always the case), many shops add another 2–3% fee to secure their profit. You also need to be savvy to avoid paying the so-called "farang price" (foreigner price); you should practice your bargaining skills before visiting places like the Chatuchak Weekend Market in Bangkok.

The curious case of the Thai baht

Is Thailand cheap? To answer this question, one should first look at the value of the Thai baht. During my travels to Thailand, the currency fluctuated between a low of about 36 baht per US dollar and a disastrous high of about 29 baht, which significantly drove up prices. The reasons for these fluctuations are complex: near-full employment, the enormous gold reserves of the Thai royal family, and the—one might say—incompetence of the Thai central bank.

To avoid disappointment or even shock while traveling, I generally try to view the value of the baht through a fixed lens that often overestimates it. This means that 20 baht (the smallest banknote) is worth slightly less than one dollar; 100 baht is worth three dollars; 3,000 baht is worth 100 dollars, and so on. Assuming the value of the baht is somewhere between 30 and 33 baht per US dollar is generally a very simple and effective way to avoid major disappointments.

Does Thailand offer good value for money?

Whether or not you consider Thailand a bargain ultimately comes down to value for money. In some cases, the answer is a resounding yes, particularly when it comes to excellent hotels and guesthouses throughout the country, as well as culinary delights – from delicious street food in Chiang Mai to rooftop restaurants in Bangkok. Transportation is less straightforward: locals find Bangkok's public transport (BTS and MRT) expensive relative to their salaries; and domestic flights in Thailand are hardly cheaper than in other parts of the world.

Is Thailand still affordable? That's a matter of opinion. However, I can say that a trip to Thailand still offers very good value for money – even compared to its neighboring countries. Cambodia and Vietnam, for example, are cheaper, but you also have to deal with more problems there (fraud, traffic accidents, food poisoning, etc.) than in Thailand, which is relatively modern and cosmopolitan by comparison.

Frequently asked questions about travel costs in Thailand

How much money do you need per day in Thailand?

How cheap is Thailand? Well, if you're happy with simple hotels or hostels, you can probably get by on US$25 (about 900 baht) per day or less. However, I would say that most travelers should budget at least twice that; US$100 per person per day guarantees a comfortable stay in Thailand.

How much does a meal cost in Thailand?

Is Thailand still cheap? As far as food is concerned (at least street food), yes. You can enjoy many Thai classics, from Pad Thai to Khaaw Man Gai (chicken rice), for 30 baht (1 USD) or less per plate, even in the heart of Bangkok.

How much does a holiday in Thailand cost?

Thailand may not be as cheap as Vietnam, but a holiday there still offers good value for money. Two weeks in Thailand, for example, cost less than US$3,000 for two people, excluding flights. So, is Thailand cheap? With the right planning, it can be.

Conclusion

Is Thailand a cheap travel destination? That depends, of course, on what you mean by "cheap." These days, however, it's difficult to travel in Thailand (at least comfortably) without spending at least US$50 per person per day. Nevertheless, compared to countries in Europe and North America, Thailand offers excellent value for money. While costs are higher compared to its neighbors, so is the quality of services and amenities. Need help planning your dream trip to Thailand, regardless of your budget? Create your personalized Thailand itinerary today!