Is Melbourne expensive? What things really cost in 2026
Short answer
Melbourne is expensive by global standards, similar to Sydney for food and slightly cheaper for hotels, and pricier than most European cities for eating out and drinks. A budget day is about A$140 per person, mid-range about A$310, and the money goes on hotels, restaurants, alcohol and day tours.
Daily budget: backpacker, mid-range, luxury
| Budget | Mid-range | Comfort | |
|---|---|---|---|
| Bed (per person, sharing) | A$75 | A$150 | A$350 |
| Food & drink | A$45 | A$90 | A$200 |
| Sights & tickets | A$15 | A$60 | A$200 |
| Local transport | A$5 | A$12 | A$50 |
| Per person, per day | A$140 | A$312 | A$800 |
Approximate 2026 prices, two people sharing a room. From our Melbourne day-cost table.
What things cost
| Item | Typical price* |
|---|---|
| Flat white | about A$5–6 |
| Pint of beer | about A$12–15 |
| Tram ride in the CBD | free in the Free Tram Zone |
| SkyBus airport–Southern Cross | roughly A$23–26 one way |
| MCG tour | about A$30–35 |
| Great Ocean Road day tour | about A$130–190 |
| Penguin Parade, Phillip Island | about A$30–35 |
| Mid-range CBD double | about A$220–350 |
* Approximate prices, October 2026. They change with season and exchange rates.
Where the money goes
Accommodation takes the biggest share, and prices jump during the Australian Open, the Grand Prix, the AFL Grand Final and Melbourne Cup week. Eating out is expensive, though menu prices include GST and tipping is optional. Alcohol is heavily taxed and costly in bars. Day tours to the Great Ocean Road, Phillip Island and the Yarra Valley add up, while public transport is reasonable and free trams cover the CBD.
When it is cheaper
Winter (June to August) usually has the lowest hotel rates outside big sporting weekends; summer and major events are the most expensive.
How to spend less
- Use the Free Tram Zone in the CBD, including the City Circle tram.
- Eat in Chinatown, Footscray and Victoria Street, Richmond, for cheap Asian food.
- Shop at Queen Victoria Market for picnic food.
- Visit free galleries such as the NGV permanent collection.
- Drive the Great Ocean Road yourself with friends instead of a tour.
- Avoid big event weeks if you want lower hotel prices.
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Common questions
Is Melbourne expensive?
Yes, by global standards, especially for eating out, alcohol and hotels.
How much does a day in Melbourne cost?
About A$140 per person on a budget, A$310 mid-range and A$800 in comfort.
Do I need to tip in Melbourne?
Tipping is optional; prices include GST.