How much does a trip to Iceland cost?

A tailor-made trip to Iceland with travoHolidays starts from USD 1,678.40 per person for five nights, and from USD 2,028 per person for an eight-night South Coast self-drive (travoHolidays package prices, November 2026). Both are per person, two sharing, land only, so international flights are extra. On top of that, budget for small official charges such as park parking fees, plus meals and optional activities.

Our Iceland package prices

These are the current starting prices for our Iceland itineraries. They are per person based on two people sharing, exclude international flights, and vary with travel dates, hotel choice and car category. Your specialist will confirm a live price when you enquire.

Worked out per night, the five-night aurora trip comes to roughly USD 336 per person and the eight-night self-drive to roughly USD 254 per person. Longer trips usually work out cheaper per night because fixed costs such as airport transfers are spread over more days, and a self-drive replaces daily guided excursions with a hire car.

Official fixed costs to budget for

Visas and travel authorisation

Iceland is part of the Schengen Area. Visitors who need a Schengen short-stay visa pay a visa fee of EUR 90 per application, or EUR 45 for children aged 6 to 12, with children under six exempt, according to the Government of Iceland (as of November 2026). Applications go through Iceland's external service provider, which can add a service fee of up to half the visa fee.

Visa-exempt travellers currently pay nothing to enter. The EU's Entry/Exit System has been fully operational since 10 April 2026 and registration is free. The separate ETIAS travel authorisation is not yet operating as of November 2026, and no confirmed start date has been published, so nobody needs to buy one yet.

Accommodation tax

Iceland levies an accommodation tax per unit (room or pitch) per night. Iceland Revenue and Customs (Skatturinn) lists ISK 800 per night for hotels and guesthouses and ISK 400 per night at campsites and motorhome pitches. In our packages this is already included in the hotel rate.

National park parking and service fees

Some of the most visited natural sites charge for parking. Þingvellir National Park, the first stop on the Golden Circle, lists ISK 1,000 for a passenger car with five seats or fewer. Vatnajökull National Park charges a regional fee of ISK 1,110 per car at Skaftafell and Jökulsárlón, valid until midnight on the day of payment, with a 50% discount if you have already paid at another fee area of the park that day. On a self-drive you pay these as you go; on guided tours they are normally covered by the operator.

VAT refunds on shopping

Non-residents can reclaim VAT on goods taken out of the country if a single receipt totals at least ISK 12,000, according to Skatturinn. Forms are stamped and processed at Keflavík airport before departure.

Cost components at a glance

What drives the price of an Iceland trip

• Season: July and August are the busiest months, and hotels in small south-coast villages price accordingly. Shoulder months usually cost less for the same room.
• Hotel class and location: countryside hotels near the sights are limited in number, so the better-located rooms sell out first.
• Car category: a 4x4 costs more than a 2WD but is advisable in winter and essential on highland F-roads in summer.
• Guided versus self-drive: guided touring includes driving and parking fees but costs more per day; self-drive gives flexibility at a lower base price.
• Activities: glacier walks, ice caves, boat trips and geothermal lagoons are where budgets most often grow.

Ways to save without missing the highlights

• Travel in May, September or early October for longer days than winter and lower demand than summer.
• Stay longer in fewer places: an eight-night loop costs less per night than a short break, as our package prices show.
• Base yourself near the sights you most want to see, such as the South Coast, to cut fuel and transfer costs.
• Pick a few headline activities rather than booking one every day; many waterfalls and beaches are free to visit apart from parking.
• Self-cater some meals using supermarkets, especially on longer self-drive trips.

Currency and paying in Iceland

The local currency is the Icelandic króna (ISK). Card payment is the norm, and ATMs operate around the clock in the Keflavík airport terminal. Package prices are quoted in US dollars, while park fees, fuel and restaurant bills are charged in krónur, so the exchange rate on the day affects your on-trip spending.

To compare seasons before you commit, read our month-by-month guide to the best time to visit Iceland. For entry rules, driving and safety, see the first-timer's Iceland travel guide, and explore all our ideas on the Iceland page.

Frequently asked questions

Want a price for your own dates and hotel style? Request a tailor-made Iceland quote and a specialist will cost it for you.

Sources

1. Government of Iceland — Visa to Iceland
2. Skatturinn — Gistináttaskattur (accommodation tax)
3. Skatturinn — Tax free / VAT refund
4. Þingvellir National Park — Parking service
5. Vatnajökull National Park — Price list
6. European Commission Migration and Home Affairs — Entry/Exit System
7. Newland Chase — EES flexibility lapses as ETIAS launch appears likely to move to 2027
8. Keflavík Airport — Currency exchange and tax refund