Bustling Berlin has a youthful, cosmopolitan feel and, as such, is a key destination for backpackers and young people on a tight budget. But while there are plenty of options for those who are seriously strapped for cash, watching the budget in Berlin doesn't necessarily mean roughing it in a dorm bed or bypassing the city´s nightlife. A few smart decisions can make your travel money go a long way during your visit to Berlin.

Where to Stay

Perhaps the most important travel decision in planning a bargain Berlin break is deciding where to stay. Hostels and self-catered accommodations can cut costs not only in terms of the price of a night´s stay but also in the cost of eating out. For those who are looking to socialize, the city has a fantastic hostel scene. Forget any notions of dirty, cramped hostels that are strictly for the young and the poor. Berlin´s hostels attract all ages and are generally fun, lively places that offer a chance to meet new friends. One of the most popular is the Generator Hotel, located next to the Landsberger Allee metro station. The hostel has been voted among the best in the world and is absolutely huge--with over 900 beds! Pricing starts at under 15 euros per night, a free walking tour of the city is included, and its lively bar offers drinks starting 1 euro.

For those looking for a little more privacy, there are scores of companies offering self-catered apartment accommodations, including www.onlyapartments.com. With prices a fraction of those charged by hotels, self-catering apartments are a great way to see Berlin on a budget.

Inexpensive Food

It's easy to eat well and inexpensively in Berlin. For those who are self-catering, the city's supermarkets are well-stocked with all kinds of foods--from staples like pasta to German specialties like spiced sausages. Additionally, there are plenty of places to enjoy a low-cost meals in Berlin. One case in point is Joseph Roth Diele, at 75 Potsdamer Strasse. With sandwiches starting at around 2 euros and daily specials from 3 euros, this is a great spot to enjoy a bite to eat and a drink without blowing the budget. Berlin has a vast number of inexpensive Turkish food stands offering tasty bargains. Just look for signs saying 'Imbiss'.

Nightlife on a Budget

Berlin´s bar and nightclub scene is world famous, and varies from plush wine bars to more hip and trendy bars that tend to be a good deal cheaper. Most places don´t get busy until after midnight so party goers might want to enjoy a few drinks in their hostel or apartment before heading out. There are countless bars in the city, but avoid those with vast number of tourists and follow the locals to their neighborhood hangouts--prices will invariably be less expensive.

Vibrant Culture

Berlin is awash with museums and galleries, many of which are free to enter. Don´t miss the Eastside Gallery, which stretches along nearly 1.5 km of the intact Berlin Wall and is home to over 100 paintings inspired by the fight for freedom. There are countless parks and gardens in Berlin that make great places to spend time without spending money. Stock up on picnic items and wine or beer from a supermarket, visit a park, and you have a perfect low-cost afternoon in Berlin.