Jul 12, 2026
Traveling with friends can be a great bonding experience in many situations, but there are also times when it can tear friends apart. According to a survey by Experian, over half of Gen Zers and millennials who travel with friends said they’ve had a money-related disagreement during a trip, while one in five actually ended a friendship over a money conflict.
Splitting costs fairly and facing unexpected expenses during trips were two of the biggest sources of conflict among group travelers of all ages, which isn’t surprising because deciding how to divide up costs can be a tense subject. In fact, problems can start even before you depart as you consider how to share the cost of accommodations.
Advertisement
Let’s pretend, for example, that Stacy is planning to rent a four-bedroom beach cottage with five other friends this summer. Four of the travelers are married couples, while Stacy and one other person are both single.
Thanks for subscribing!
Take control — get our free newsletter.
By signing up, you accept Moneywise Terms of Use, Subscription Agreement, and Privacy Policy.
Stacy and her other single friend both feel like the best approach is to split the cost of the cottage six ways, with each person paying an equal share. But her married friends favor splitting the cost per room, so doing a four-way split.
But does this make sense, or does it disadvantage Stacy and the other person who isn’t part of a pair?
The case for splitting per room
Splitting the costs by room is a common approach, and it’s the option recommended by Corey Bates, a financial and investment advisor at Solomon Financial. However, Bates recommended a twist that doesn’t involve just dividing the cost four ways when there are four rooms.
“The fairest approach to splitting a house or cottage would be to assign each room a value based on size,” he told MoneyWise. “For example, let the couples have the master and larger rooms, but they pay a bit more, and let the singles stay in smaller rooms but pay a bit less.”
This method could also account for other discrepancies. For example, if one room has an ocean view and another overlooks a brick wall, that could be taken into account as well.
And it provides flexibility for the group. A single person with a bigger budget might want to pay more for a better room in the house, while a married couple who are stretching to pay for the vacation may be happy getting cozy in a smaller space. Giving each room a value gives all of the travelers an option to find what works for them.
Must Read
- The ultra-rich use these 5 real estate strategies to build wealth while they sleep — you can start with just $100
- Here’s the average income of Americans by age in 2026. Are you keeping up or falling behind?
- Insurance companies profit most from drivers who auto-renew without shopping around. Comparing 100+ quotes takes 2 minutes and costs nothing
Join 250,000+ readers and get Moneywise’s best stories and exclusive interviews first — clear insights curated and delivered weekly. Subscribe now.
The case for splitting per person
Of course, there’s also an argument to be made for splitting per person.
After all, each person going on the trip increases the total overall cost of accommodations, since a group with fewer people might have been able to rent a smaller place. Plus, this system is simpler, everyone benefits from the property, and it represents a shared trip mindset since the group is having a collective experience.
Advertisement
“I’ve been married for 15 years and love going on vacations with my single and married girlfriends. We split the cost of the rental house equally among everyone staying there, not by room,” Mary Ware, a CFP®, senior wealth advisor and managing partner at Carnegie Private Wealth, told MoneyWise.
“The single room is a preference, not a penalty,” she explained. “And we know that as longtime friends, things change from year to year, and it all shakes out in the end. We really just want to have a good time with one another.”
A hybrid approach could also work
If a friend group can’t agree on either of these options, you could also take a hybrid approach. This may work especially well in situations where all of the rooms are the same.
“If all the rooms are identical, maybe still have the couples pay slightly more based on common space usage to help out,” Bates suggested. “If you do it strictly by room or by person, it is likely unbalanced in one direction.”
Ultimately, the key thing to remember both during the planning process and during the trip is that the experience is supposed to be fun. And fighting over a few dollars here and there undermines the point of traveling together to make memories and enjoy each other’s company.
“My favorite piece of financial advice is to invest in experiences, like vacations, not things,” Ware said. So, if your friends choose a reasonable method, but not your preferred solution, for splitting costs, consider just accepting their preferred arrangement as an investment in making memories with your friends.
You May Also Like
- JP Morgan sees gold hitting $6,000/oz before 2027 — and a Gold IRA lets you hold the physical metal while deferring the tax bill. Get your free guide from Priority Gold
- Dave Ramsey warns nearly 50% of Americans are making 1 big Social Security mistake — here’s what it is and the simple steps to fix it ASAP
- Thanks to Jeff Bezos, you can now become a landlord for as little as $100 — and no, you don't have to deal with tenants or fix freezers. Here's how
- Millionaires under 43 are reshaping investing — just 25% of their portfolios are in stocks. Here’s where their money is going
Christy Bieber has 15 years of experience as a personal finance and legal writer. She has written for many publications including Forbes, Kilplinger, CNN, WSJ, Credit Karma, Insurify and more.
