Money Matters: Budgeting and Currency for Your Vietnam Trip

It is one of the most common questions travelers ask before heading overseas: “How much cash should I bring, and what kind of budget do I need?” While credit cards are increasingly common, navigating Vietnam’s financial landscape requires a bit of local know-how.

Whether you’re wondering about the best way to get local currency or how much a bowl of street-side Pho will set you back, we’ve got the answers for your upcoming Vietnamese adventure.

Understanding Currency in Vietnam

First things first: the local currency is the Vietnamese Dong (VND). Today, it exists almost exclusively in paper (or more accurately, polymer) banknotes. While coins technically exist in denominations of 200 to 5,000 dongs, they have been rendered obsolete by inflation and are rarely seen in daily transactions.

Expect to carry a lot of bills and—momentarily at least—become a millionaire! Banknotes range from 1,000 to 500,000 dongs. To give you some perspective, a 500,000 VND bill is worth approximately $20 USD (around £16).

Where to Exchange Money

Currency exchange booths, banks, and authorized money changers are everywhere in major cities and tourist hubs. Interestingly, you can often get some of the best rates at local jewelry shops or through hotels and travel agencies.

Pro-tips for exchanging:

• Compare rates: Don’t settle for the first booth you see at the airport.
• Check the condition: Ensure the USD or EUR bills you bring are crisp and clean; many places will refuse torn or heavily creased notes.
• Ask for small bills: Large denominations are hard to break for small purchases like street food or water.
• Watch the zeros: It’s easy to confuse a 50,000 bill with a 500,000 bill at a glance. Always double-check your change!

The ATM Dilemma

While ATMs have sprouted up across the country, they aren’t always the most efficient way to get cash. Most Vietnamese ATMs have a relatively low withdrawal limit—often less than $100 (£80) per transaction.

Between the local machine fees and the foreign transaction fees from your home bank, those small withdrawals can add up quickly. Treat ATMs as a “last resort” or a backup rather than your primary source of cash.

Which Currency Should You Bring?

The US Dollar (USD) is the most widely accepted foreign currency. In the tourism sector—hotels, tours, and high-end restaurants—prices are often quoted in USD. Euros (EUR) and British Pounds (GBP) are also easily exchangeable in cities, but the Dollar remains the “gold standard” for travelers here.

Ways to Pay: Cash, Card, and Apps

• Cash is King: While hotels and modern boutiques accept major credit cards (including contactless), you’ll need cash for markets, street food, and smaller guesthouses.
• Digital Payments: Locals use QR code payments (like MoMo) everywhere. However, these usually require a local bank account.
• The Grab Exception: For transportation, download the Grab app (the Southeast Asian equivalent of Uber). You can link your international credit card to the app, allowing you to pay for rides and food deliveries seamlessly without needing physical cash.
• The Exit Strategy: The Dong has no value outside of Vietnam. Try to spend your remaining cash or exchange it back to USD/EUR at the airport before you fly out.

Budgeting for Your Trip

Vietnam remains one of the most affordable destinations for Western travelers. If you are traveling as a couple on a backpacker budget, you can comfortably get by on $45 to $55 per day. For those seeking a bit more comfort and mid-range amenities, a budget of $65 to $90 per day is usually plenty.

Note on Visas: For US and UK citizens, you will likely need an e-visa before arrival. Ensure you factor in the $25 application fee when planning your initial costs.

Price Breakdown

To give you a better idea of what things cost on the ground, here is a quick breakdown (estimated in USD and GBP):

• Budget Guesthouse (Double Room): $11 – $17 (£9 – £13)
• Mid-range Hotel (Double Room): $33 – $45 (£26 – £35)
• Street Food or Local Market Meal: $2.50 – $3.50 (£2 – £2.75)
• Tourist Restaurant (Full Meal): $17 – $22 (£13 – £17)
• Car with Private Driver (Full Day): $65 – $110 (£50 – £85)
• Bicycle Rental (Day): Under $6 (£4.50)
• Motorbike/Scooter Rental (Day): $9 – $13 (£7 – £10)
• Local Bus or Train: $2.50 – $3.50 per 60 miles (£2 – £2.75)
• Domestic Flight (One-way): $55 – $110 (£43 – £85)
• Halong Bay Day Trip: $45 – $65 per person (£35 – £50)

What Might Break the Bank?

• The Tet Festival: During the Vietnamese New Year (late January to February), prices for transport and accommodation skyrocket, and many shops close.
• Halong Bay Cruises: While a must-do, high-end overnight cruises can take a significant bite out of a modest budget.
• Western Luxuries: Imported goods, wine, and Western-standard luxury services are priced similarly to what you’d find at home.

Bargaining and Tipping

Bargaining: This is a standard part of the culture in souvenir shops and markets. A good rule of thumb is to aim for about 50% of the initial asking price and meet somewhere in the middle. Be aware that “tourist prices” exist; if a price seems high, it probably is.

Tipping: Tipping isn’t strictly expected in local bars or restaurants, but it is highly appreciated. For tour guides, it is customary to tip around $6 – $7 per day, and about half that for private drivers. It’s also polite to leave a small donation in the collection boxes at temples and pagodas.