New Zealand travellers spent more than $700 million on unplanned overseas costs over the past year, according to Wise research into the budgeting behaviour of 1,000 Kiwi travellers.
It found 42% of respondents exceeded their budget when travelling internationally, while 47% said they spent in the moment and worried about it later. Nearly half, or 48%, said money did not feel like "real" money when they were overseas.
The findings suggest a gap between travellers' intentions before departure and their spending once abroad. While 85% worried about the cost of their next overseas trip getting out of control, many were already trying to limit spending by booking flights or accommodation in advance or planning to buy food from supermarkets instead of eating out.
Once on the ground, however, costs appeared harder to manage. More than three-quarters, or 77%, said they felt anxious about how much they were spending during their last overseas trip, and 88% said they had already increased their travel budgets in response to recent disruption.
Hidden charges
The research suggests both psychology and extra charges play a part in overspending. It found 57% of travellers relied on rough mental currency conversions, which can make day-to-day purchases seem smaller than they are in New Zealand dollars.
Unexpected fees also featured heavily. About 69% said they had been caught out by at least one overseas charge in the past five years, including ATM withdrawal fees, foreign exchange transaction fees charged by banks, tourist-trap restaurant pricing and inflated taxi fares.
Bank-issued payment cards remain widely used on overseas trips. The survey found 75% of Kiwi travellers used either a debit card from their main domestic bank, a New Zealand-issued credit card or a prepaid travel card from a major bank, compared with 33% who used low-fee travel cards.
Wise also cited separate economic research by Edgar, Dunn & Company, which found international payment fees cost New Zealand consumers more than USD $100 million a year.
Travel habits
The data also underlines how resilient overseas travel remains for New Zealanders despite cost pressures. According to the survey, 77% of respondents saw travel as one of the few things they genuinely looked forward to, 70% said having a trip booked helped them get through day-to-day life, and 65% said it was a core part of who they were.
That attachment may be shaping spending decisions. Nearly half, or 47%, said they would find a way to travel overseas regardless of rising costs, even as household budgets remain under pressure.
The main spending triggers identified in the survey were eating out at restaurants and cafés, cited by 59% of respondents, followed by booking tours and activities at 41%, and shopping for clothes or accessories at 35%.
Separate official figures from Stats NZ show overseas travel has returned to its highest level since the pandemic, adding pressure to household travel budgets as more New Zealanders head abroad again.
Wise has more than 400,000 active customers in New Zealand. Globally, it supported about 14.8 million personal customers and 700,000 business customers in its 2025 financial year, processing about GBP £145.2 billion in cross-border transactions.
Tristan Dakin, ANZ country manager at Wise, said spending habits can shift once travellers leave home. "Before they travel, people are deliberate, comparing options to get the best deal. But once they're overseas, things can feel less tangible. Different currencies, unfamiliar prices, unexpected fees, and the urge to live in the moment all make it hard to track what they're really spending. And that's when 'travel math' takes over."
He said travellers could keep closer control of their budgets while abroad. "While there's no harm in giving ourselves licence to spend from time to time, no one wants to come back home with a financial holiday hangover. To beat travel math, the first step is making sure you know exactly what you're spending in your home currency, with an exchange rate that's up to date. And if you're particularly prone to splurging in certain categories, it's worth setting budgets and segmenting funds for those problem areas so you can keep them in check."
"Wise already offers low, transparent fees, but we know that how people track, budget and spend is equally important in helping them get the most from their money. By making international money as transparent and convenient as possible, with a clear, up-to-date view on costs, travellers have a better chance of enjoying themselves without looming spending regret," Dakin said.