Portugal offers some of the best value for money in Western Europe. The reference budget of €75 per person per day covers a comfortable mid-range trip: a three-star hotel or characterful guesthouse at €50-90 per night for two, lunch in a local tasca at €10-18 per head, dinner in a good restaurant at €20-35, plus a museum or two and local transport.
A budget traveller can manage comfortably on €40-55 per day: a hostel or simple guesthouse at €20-35, the outstanding prato do dia (set lunch, typically soup + main + drink + dessert for €10-14), and walking or public transport rather than taxis. Many national museums are free on Sunday mornings until 2pm. The historic centre of most Portuguese towns is compact and easily walkable.
At the luxury end, Portugal punches well above its weight. Lisbon's finest boutique hotels (Bairro Alto Hotel, Torel Palace, Memmo Alfama), the Alentejo's converted quintas and the Pousadas network (historic castles, convents and monasteries converted by the state hospitality chain) offer genuine quality at rates significantly below comparable French or Italian properties. Expect €200-400 per night for the finest addresses.
By category: accommodation typically accounts for 35-40% of the daily budget. Food and drink (25-30%): a pastel de nata costs €1.20-1.50, a bica (espresso) €0.80-1.20, the prato do dia lunch €10-14, a tasca dinner €15-25 per head, a gastronomic restaurant €50-100 per head. Attractions (10%): Jerónimos Monastery €10, Tower of Belém €6, Palace of Sintra €14, National Azulejo Museum €5, many smaller sites free or discounted on Sunday mornings. Transport (15-20%): Tram 28 €3, metro single €1.65, Lisbon–Porto train €25-50, car hire €30-60/day.
A few practical pointers. Always pick up the rechargeable Viva Viagem card (€0.50 for the card, recharge as needed) for seamless use of Lisbon's metro, buses and trams. At restaurants, couvertura (the bread, butter, olives and cheese placed on the table) is charged per person (€1-3) if you eat it — politely decline if you don't want it. Tipping is not expected; rounding up or leaving 5-10% at a better restaurant is appreciated. EU roaming applies fully, so no local SIM is needed for short stays.
Read also
- Lisbon and its Peninsula — The capital on its seven hills, the Tram 28, Sintra palaces and the beaches of Cascais within easy reach.
- Porto and the North: Douro and Minho — Port wine cellars, UNESCO-listed vine terraces and the generous gastronomy of northern Portugal.
- Algarve: Golden Cliffs and Beaches — Europe's sunniest coastline: Lagos, Sagres, Tavira and the wild coves of the Vicentine Coast.
- Alentejo: Vines, Cork and White Villages — The vast interior plains, prehistoric megaliths and characterful wines of the Alentejo.
- Lisbon, City on Seven Hills — Alfama azulejos, Tram 28, pastéis de nata at Pastéis de Belém and fado in the lanes of Mouraria.