How to Travel Around Israel on a Budget
Read our guide on what are the best ways to save money while traveling around Israel. Can you really travel around Israel on a budget? What are the best budget tips to save money while there? Let's find out.
So, right from the start, we have to state that Israel is an expensive country to visit. There is no way around it.
And although we knew from the beginning this won't be the cheapest trip ever, some of the prices (mostly for accommodation) still caught us by surprise.
On the other hand, expensive countries give you plenty of space for maneuvering and finding ways to reduce spending.
There are numerous ways to do Israel on a budget, but it mostly depends on your travel style and definition of the word 'budget.'
Even if your backpacking days are over, and camping, couch surfing, or hitchhiking is not your thing anymore, there are always ways to cut your expenses.
Therefore, it's still possible to save money while traveling, even if you visit a pricey country such as Israel.
While some budget tips for Israel are obvious, some might be more hidden.
That's why we decided to create this guide on the best ways to save money while traveling in Israel.
Here, you will find how to keep your trip costs down while in Israel.
Travel in Off-Season
One of the most obvious pieces of advice to keep your budget at bay is to travel outside the main season.
While this might be a bit of a general travel tip that's true in almost any other country, it's still one of the best ways to cut down your expenses.
And we believe the more expensive the country is, the more money you can save.
Accommodation is really costly in Israel, and the prices skyrocket during the peak season.
Be prepared that your holiday can get very expensive very quickly if you're arriving in Israel without reservations for hotels.
Moreover, avoid visiting Israel on major national holidays such as Yom Kippur or Passover.
Also, avoid traveling to Israel during the summer holidays, as this is one of the most popular times for locals to travel.
For more information, read our guide on when to visit Israel.
Book Accommodation in Advance
Accommodation is always one of our highest fixed costs on almost every trip, and our trip around Israel was no exception.
One of the things that surprised us the most was how much hotels ask for a standard room, even at very basic properties.
Finding cheap accommodation in Israel is not easy.
The typical travel advice to stay in basic and cheap hostels is not as helpful in Israel as in some inexpensive countries we had previously visited.
Simply put, there are often no budget options at all. Moreover, the cheapest hostels in popular places such as Ein Gedi or Makhtesh Ramon sell out very quickly.
On top of that, the cheap hostels in Israel are often not as affordable as you would wish.
To make matters worse, Israel's cheapest accommodations often have poor reviews leaving you in a delicate situation.
Will you survive the night in a shabby-looking room, or will you pay extra for not being worried about being woken up in the middle of the night by uninvited guests crawling from under your bed?
We don't like to pay 100 USD for a room with a shared bathroom with an average rating of 5.4 on Booking either.
Before booking a hotel in Israel, check the cancellation policy to avoid fees if you suddenly need to change your plans.
Free Things to Do
Regardless of the destination you want to visit, always search whether some attractions are free.
Luckily, there are plenty of free things to do in Israel, even in popular cities such as Tel Aviv or Jerusalem.
For example, there is no entrance fee to Jerusalem's Old City, meaning you can visit this incredible area for free.
Moreover, even the top attractions within the city, such as the Western Wall, Dome of the Rock, Via Dolorosa or Church of the Holy Sepulchre are available to all visitors without any cost.
Israel Museum or Yad Vashem is free of charge as well. Similarly, there is no entry fee to Mount of Olives.
As you can see, there are plenty of free things to do in Jerusalem.
Tel Aviv is often considered one of the most expensive cities in the world, but there are still plenty of free things to do as well.
You can explore the Old Jaffa, walk through Carmel Market, visit Neve Tzedek, discover local street art, admire Ben-Gurion House or enjoy one of the many beaches along the Mediterranean coast.
Simply put, you don't have to spend a lot of money to enjoy quite a bit of what Israel has to offer.
Make Plans for Shabbat
One of the most important things to know about Israel is that Shabbat is not something you should underestimate.
And unlike other major Jewish holidays that often present inconveniences for tourists, Shabbat is held every week.
Depending on the location and owners' religion, restaurants and grocery stores will be closed, same as rental offices, and public transport won't be running.
Therefore, it's essential to make realistic plans for Shabbat. You don't want to get stuck somewhere just because the public transport shuts down during this time.
Remember, time is money, even if you're backpacking or traveling long-term.
Similarly, make sure that you will not be picking up (or dropping off) a car on Shabbat as the office will be simply closed.
So, what to do on Shabbat? The national parks and nature reserves are open, so it's not difficult to find a program regardless of your location.
Visiting places such as Masada, Caesarea, the Dead Sea, or the Sea of Galilee is perfectly fine, even on Shabbat.
For example, we visited the West Bank on Shabbat.
Get a Full Tank in Eilat
While this little tip will save you only a few shekels, the point is that every penny counts.
Getting a full tank in Eilat is also a smart thing to do as there are not that many gas stations in the Negev Desert.
It's also an interesting fun fact that Eilat is a VAT-free zone, making it a popular shopping destination.
We thought about naming this section Shopping in Eilat due to this fact, but we are a bit skeptical on this one.
Always make sure that you're getting a good deal, even without the VAT.
Save on Food
Whether in Akko, Tel Aviv or Rosh Pinna, restaurants are expensive in Israel, so you will need to find some alternative to cut your expenses down.
Preparing your own meal is always a good way to save money, and it's easy to do as Israel has many great local markets.
Whenever it was possible, we bought hummus at a local market, fresh veggies, fruits, and bread.
It was not only a healthier way to eat while on the road, but we were able to save a lot of money this way.
Even though the prices in nicer-looking restaurants in Israel are not low, it's still feasible to find a decent eatery serving hummus, falafel, or shakshuka for affordable prices.
Street food is fairly affordable in Israel, usually vegetarian, and really delicious.
If this is your hard-earned vacation, don't go crazy about saving on food, though.
Israeli cuisine is definitely worth trying, despite the fact that visiting restaurants can be costly.
And even though the main idea is to avoid eating out every day, it never hurts to enjoy some delicious local meals from time to time.
The Mediterranean cuisine combined with Middle Eastern influences and Jewish traditions is simply delicious.
Stay Longer
While we understand that not everyone can afford to spend at least ten days in Israel, staying here longer will reduce some of your expenses.
The initial investments for your holiday are usually the most expensive ones.
Especially flight tickets to Israel can be costly depending on the country and city you will depart from.
Therefore, it's always better to have a 14-day vacation over two separate seven-day or even shorter trips.
And we honestly believe that two weeks in the Holy Land will allow you to get the most out of the country.
Get a Local SIM Card
It's cheap, easy to install, even for tourists, and you can buy it on every corner.
Technology makes modern-day traveling more accessible than ever, so why not take advantage of it?
The opportunity to find last-minute hotel deals, search for walking or driving directions, pay for parking, or whether some free events are held in the city will save you money.
Save on Tours
We can all agree that tours are often quite pricey. And if you're looking for ways to reduce your expenses, try visiting places of interest without a guide.
The good news is that you can easily explore Israel on your own. Whether you want to visit Beit Shearim, Caesarea, or Beit Shean, you don't need a guide.
The Dead Sea is not only the lowest point on Earth but also one of the top Israels' natural attractions. And it can be easily visited without a tour, even if you don't have your own transport.
You can take a bus to the Dead Sea from Jerusalem to some of the Dead Sea beaches.
Moreover, you can find beaches on the Israeli side that are free of charge, which makes this trip even more affordable.
By the way, swimming in the Dead Sea has some specifics, so make sure to read our guide for first-time visitors.
On the other hand, the history and the current situation can be quite overwhelming, especially for first-time visitors.
For instance, that's why we decided to take a West Bank Tour to visit important tourist sites and have a knowledgeable guide with us.
Get a Travel Insurance
Some things never change, and having good travel insurance is usually one of our first pieces of advice when traveling abroad.
Travel insurance is a small investment that will help you avoid paying some ridiculous amount of money if something goes bad while on the road.
We never travel without one, as it doesn't make any sense.
Travel insurance protects against theft, flight delays, injury, illness, cancellations, and much more.
World Nomads provides travel insurance for travelers to cover their trip essentials, including sports and adventure activities.
SafetyWing is affordable travel insurance for backpackers, long-term travelers, and digital nomads.
When traveling by car, make sure also that you get good insurance for your vehicle. Remember that the rental companies are not afraid to charge a lot of money even for minor scratches.
Travel smarter and safer!
Choose the Right Airport
As mentioned above, flight tickets can take a huge chunk of your travel budget.
When searching for flight tickets to Israel, the first thing you will probably do is try to find a deal at the Ben-Gurion Airport.
It is the main international airport between Tel Aviv and Jerusalem, where most tourists arrive.
Due to its perfect location, it's an obvious choice for most visitors. Quite frankly, there is nothing wrong with it.
Still, you might want to also look for flights to Eilat and compare the cost of the tickets.
Eilat is a popular beach and resort destination with a newly built airport.
The modern Ramon Aiport can sometimes be a better and cheaper alternative to Ben-Gurion Airport, so don't forget to check this option out.
We have relatively cheap tickets to both airports from Prague, so we opted for Ben-Gurion as it didn't make much difference in our case.
It might be a different story for you, though.
By the way, you don't have to worry about being stuck at the southernmost tip of the Negev Desert.
There are plenty of things to see and do in Eilat, and it's also very easy to rent a car there.
Therefore, starting your Israel road trip in Eilat was never easier.
Purchase Israel Pass
One of the easiest ways to save some money is by buying the Israel Pass while there. It includes dozens of national parks and nature reserves and is a great money saver.
Honestly, you can't travel around Israel without stopping at many of the national parks or nature reserves.
Without any doubt, it truly is one of the best ways to save on sightseeing.
Whether you want to visit one of the most beautiful Israel waterfalls in Hermon Stream, snorkel at the Coral Beach, or admire stunning mosaics in Tzipori, Israel Pass will save you money.
Learn from our travel mistakes, and make sure to get the right one.
We didn't do proper research on how many places are included in Israel Pass and bought the cheaper, limited version.
In fact, we should have opted for the option that includes more parks and is not significantly more expensive.
Rent a Car
We loved getting around Israel by car. Everything was simpler that way, and we were able to see more places even in a short time.
Moreover, driving in Israel is easy.
In our opinion, road tripping is one of the best ways to explore Israel on a budget.
Obviously, getting around Israel by public transport will be cheaper, but it will not be as time-efficient as by car.
And time is quite often the most precious thing we have, especially when vacationing. Simply put, time is money.
By the way, if you want to maximize your savings, avoid Highway 6 and Carmel Tunnels, as they're not free and have tolls.
Here you can find the best deals on rental cars in Israel.
Free Parking
If you decide to rent a car in Israel soon, you will face another problem. Parking in Israel is not only quite often problematic, but it's also often very expensive.
Try always to find free parking when visiting a new destination, whether it's the city center or a public beach.
For example, we were able to find free parking in Safed, which is fairly close to the city center but had no luck in Ein Bokek, where we had to use designated paid parking.
Locals are great at finding free parking spaces and will park pretty much anywhere possible, but they know what they're doing.
Whenever you're in doubt, it's better to leave your car in paid parking to avoid hefty fines.
Save 17% on Tourist Tax
As a tourist, you don't need to pay an additional 17% tax as Israelis when checking into a hotel.
Therefore, make sure to keep safe the small piece of paper you get at the border control when you arrive in Israel.
It's proof that you are a tourist, and it can save you at least a few hundred dollars on your vacation. It's really inconspicuous, so don't throw it away.
Moreover, if you do a lot of shopping in Israel, you might be eligible to ask for a VAT refund before leaving the country.
If the goods you purchase in Israel from approved stores cost more than 125 shekels and qualify for a refund, you can ask to get a refund at the tourist counter (usually at the airport).
Don't Use a Car in Jerusalem and Tel Aviv
When you decide to rent a car in Israel, approach it smartly.
Let's say you want to spend the first few days of your trip in Jerusalem, then Tel Aviv (or vice versa), and then see some other places such as the Dead Sea, Golan Heights, or Timna Park.
So technically you don't need to rent a car for half of your holiday.
Driving in Jerusalem or Tel Aviv is not the most exciting thing to do, and you can easily cover both towns on foot or by public transport.
Quite frankly, the terrible parking situation and huge traffic jams in both cities are simply not worth it.
We knew about this unpleasant fact, so that's what we did.
As a result, we saved quite some money.
When you put it that way, it might seem a really obvious thing to do. But not everyone knows that, especially when visiting Israel for the first time.
While we advocate for renting a car in Israel for the countryside, public transport has its pros when you decide to stay only in the cities.
And only by combining the best of both worlds can you indeed reduce your expenses.
Use Public Transport
As mentioned above, Israel has a great public transport system, so it's relatively easy to get around some areas without a car.
Don't be afraid to combine buses, trains or sheruts when getting around the country to really take advantage of the public transport.
Most importantly, public transport is fairly cheap in Israel, making it a perfect option for budget travelers.
Don't forget that you should get a Rav Kar smartcard first, as it's the most convenient way to pay for your rides.
Depending on your Israel itinerary, taking buses or trains can save you a lot of money.
Walk Everywhere
Not only is walking good for your health and allows you to stay fit while traveling, but it's also the cheapest way to get around any area.
Israeli popular cities such as Safed, Nazareth, or Tiberias can be easily explored on foot. Moreover, most places we've visited in Israel were very safe, even after dark.
Still, don't forget that staying safe in Israel has its own specifics and requires some effort from your side.
If you're planning on visiting Masada, forget about the cable car and hike the Snake Path Trail instead. It's not only free but also very rewarding.
Just make sure to bring enough water with you as it gets extremely hot during the day in the Judean Desert.
Similarly, you can take a cable car to Haifa's Stella Maris Monastery, but we believe that walking there will be much more rewarding (and cheaper).
Travel Resources
Here you can find links to all the travel resources we use and which you might find helpful when planning your next holiday.
Accommodation: When looking for accommodation, we usually search hotels via Booking.com or Hostelworld.
Tours: Although we love to travel independently, some places are better to visit with a guided tour.
We prefer GetYourGuide for its easy-to-use interface and solid reputation. Another great alternative is Viator.
Rental Cars: When going on a road trip, we always use Rentalcars.com, a reliable site for booking a rental car in advance.
Flight Tickets: When looking for flight tickets, you can search Skyscanner to find the best price.
Travel Insurance: World Nomads and SafetyWing cover against risks of travel.
