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As far as western countries go New Zealand is probably the cheapest to travel. Food, transportation and accomodation prices are generally lower than in other western countries.
Unless you have come especially for skiing, the best and definitely the cheapest time to visit New Zealand is in the summer from December until March. In this period you can live really cheap by camping. New Zealand is dotted with campsites from top to bottom. Some have all the modern facilities such as laundries, fully equipped kitchens and swimming pools. To stay in one of these costs about US$5 a night. There are more basic campsites with simple facilities which set you back about US$3 a night per person. In more remote areas the Department of Conservation manages a network of campsites which are FREE and situated in beautiful spots. Usually the only facilities are toilets and a cold tap. It is also possible to camp for free pretty much anywhere. New Zealand is very uncrowded and it is not hard to find some place where you won't be disturbed. Farmers usually don't mind campers on their property as long as permission is sought first and the place is left as it was found.
Second hand cars ar very cheap to get hold of in New Zealand. Something decent can be picked up for about US$400. Unfortunately the price of petrol has spiralled in recent years but it is still economical to have your own transportation if you plan to do a lot of traveling or are traveling with others who can share the cost. With a car it's easy to find a quiet spot to park up for the night and pitch a tent.
In the cities and larger towns campsites can be found but cheap accomodation is also available in backpacker establishments from about US$6-US$12 a night depending on whether you want a dorm room or a private single. These places vary quite a lot in quality so it pays to look around a few establishments first.
The cheapest way to eat is to buy food from supermarkets and prepare your own meals. PAK'N SAVE and NEW WORLD stores are generally the cheapest. Most backpackers' hostels and campsites have facilities to cook your own food. US$30 a week is plenty to cover groceries for one person.
In the larger centres such as Auckland, Wellington and Christchurch there are FOOD FOR LIFE restaurants run by the Hari Krishna organisation where you can eat as much vegetarian food as you can for US$2. Other budget options are fish and chips which is a kiwi tradition and is available virtually everywhere. Coffee shops and cafes are pretty expensive for what you get but most usually have some specials on offer.
If you are a student remember to bring your ISIC card as it entitles you to a lot of discounts on New Zealand's transport network and a host of other savings at tourist attractions, museum entry fees and accomodation in National parks.
Hitch hiking is quite common in New Zealand and is an option used by many young travellers. Its a great way to see the country for free and meet interesting people along the way. New Zealand is a safe country but some common sense and wisdom should be used before accepting a ride.
Cycling is an increasingly popular way of touring the country. Bicycles can offer a lot of freedom of movement and can give access to places difficult to reach by other means. Many companies rent bikes and equipment for short or long terms.
If travel funds run low it's possible to pick up some seasonal work picking fruit or vegetables. To travel in summer staying in campsites, preparing your own food and hitch hiking you can easily get by on US15 a day. If you take public transport or are driving and eat some meals in Cafes and restaurants expect to spend about US$30 a day. Other seasons can be a little more expensive as camping is not an option although backpackers establishments drop their prices out of season.
New Zealand's greatest attractions are all free. The beaches, forests, rivers and mountains are what makes a trip to New Zealand so memorable and they don't cost a cent.
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