When planning a vacation in a foreign country, finding inexpensive lodging and transportation is an important first step, but there are also the costs for food, additional travel, shopping, and other daily expenses. To properly budget for those costs, first determine how much of that country's currency your U.S. dollars can buy.
Currency conversion rates can change daily, so double-checking foreign exchange rates is good practice before traveling. If a country you hope to visit has a good exchange rate relative to the value of the dollar, it might be wise to switch some dollars into that currency beforehand, in case the dollar weakens.
Though inflation is battering the U.S. economy, the dollar has seen an increase in value and is now on par with the euro — $1 equals about 98 euro cents — making European travel more affordable than it has been in some time. Outside of the eurozone, many other countries offer favorable exchange rates.