Staying on budget in Madrid will come down to three things: plazas, tapas and free museums. Stick close to these three Spanish elements, and you'll be able to experience Madrid's fiery passion for life without breaking the bank.

Plazas of Madrid

One of the best ways to experience Madrid is in its beautiful, and numerous, plazas--all yours to explore for free. The obvious starting point is Plaza Mayor, the geographic and cultural heart of the city. Elegant buildings adorned with wrought-iron balconies and stunning frescoes surround the buzzing cafe tables and sun-strewn cobblestones where the city comes to life. Take a trip into history in regal Plaza de Oriente, a sort of Spanish Versailles where grand apartments overlook marble statues of ancient monarchs. Catch an impassioned football celebration/riot at Plaza de la Cibeles, an over-the-top monument of belle epoque. Go to Plaza de Santa Anato to feel the pulse of the city--and the rhythms emanating from the many nearby music venues. Not a Plaza, Parque del Buen Retiro makes for a blissful stroll, especially on the weekends when the park comes to life with residents seeking a little escape from urbanity.

Tapas

Tapas are traditional in Madrid, and one of the finest ways to experience the city's gastronomical and social culture. Thankfully, tapas in Madrid are relatively low-cost, so long as you're not seeking a hearty meal. While the city is ripe with such eateries, you'll find the tapas headquarters in the La Latina neighborhood, where you can expect to pay 10-15 Euros for a light meal. Traditional Almendro 13 is one of Madrid's most popular tapas joints, while Casa Labra is one of its most historic (it's been serving since 1860!). Corazon Loco features especially well-priced wines, while Casa Revuelta offers some of the best deals, and some of the best bacalao (cod). For something a little grittier, head to lively Huertas, home to La Casa del Abuelo's grilled prawns, Las Bravas' fried potatoes, and Arola Madrid's pig's ear.

Free Museums

Madrid's home to some of Europe's best museums, many of can be enjoyed free of charge. Museo del Prado and Museo Arqueologico Nacional are free Sundays, while Museo Municipal de Arte Contemporaneo de Madrid is always free. If you're really craving an art fix, pick up a Madrid Card, a multi-day pass that, along with other perks, offers free entry to over 40 museums.