The first and the most important thing to do is to plan your budget beforehand. Plan everything depending on the place and duration of your stay. It goes a long way toward saving some expenses unless you try to go with the flow and realise the mistake after coming home.

If you are really strapped for cash but are in desperate need of a vacation, then house-sitting is ideal for you. All you do is essentially watch someone's house while they are away. Pick a destination and see what is available and you can get to see a new place in a whole new light. You'll save money, not have to worry about accommodation and just chill. Home swaps have also become a popular trend in recent years.

The best way to learn about a new city is to walk through and around it. Almost 90% of the big cities in Europe have free walking tours. It is also becoming popular in Asia and South America. If you are unsure if your destination has such a service do a quick search on the internet.

There are many benefits when you choose to use the sharing economy. You will be able to find tour guides, cheaper places to stay and even home-cooked meals prepared by local chefs. Locals will be able to help you find the cheapest supermarket, best sales and where to find good tasty food at affordable prices.

Sometimes the best way to save your money is to be flexible with your destinations. If you're dead set on visiting Paris in the month of July, you're going to end up spending a ton. So, either change your place of travel or wait until getting to that place can be a cheap option for you.

Wherever you go, if you're exploring a city's touristy spot, make sure that you avoid the businesses there. They'll always be a lot more expensive than the rest of the city. Instead, walk at least five blocks away from the place as that's where the crowds will disperse so things will be a lot cheaper. Say you're heading for lunch, you might just end up getting something better for half the price.

Wherever you plan on staying, make sure they have a kitchen available. This way you could just carry a few things and cook your own breakfast. Not only will you be starting your day on a healthy note, but you'll also end up saving a lot of money by not eating outside.

Every place you go will have its own different cuisine. When you're out exploring the place, don't head to a fancy restaurant. Opt for street food instead. You'll get to taste their local food while also saving up on all that money. And who knows, you might end up liking it a lot more than all that fancy food.

Whenever you are exploring a new city, avoid travelling by local taxis. Be resourceful and give yourself enough time to figure out and use public transport. Try to travel by metros and subways and if they are not available, try buses or other forms of transport. This way you can explore the city more and reach faster to your destination.

While booking your trip try to be smart as it can help you pay in the long run. As you will earn points and save a lot of money, like knowing the time for cheapest travel and other deals, booking a round trip rather than buying tickets separately can also save you a lot of money.