Guide
How to split trip expenses when you pay in different currencies
The short answer: choose one currency for the whole group to keep score in. Convert every expense into it at the rate on the day it was paid, and never convert it again. Add up what each person paid and what each person's share was, and settle the difference with as few payments as possible.
1. Pick one currency to keep score in
Usually that's the currency most of the group uses at home, because that's what people will pay each other back in. Expenses can still be paid in anything: euros for dinner, yen for the train, dollars for the flights. Each one is converted into the group currency so the totals can be added up.
2. Convert each expense on the day it was paid
Use the exchange rate from the day of the expense, and save it with the expense. If you wait until the end of the trip and convert everything at once, the rate will have moved, and the person who paid ends up credited with a different amount from what actually left their account.
For example, a ¥90,000 hotel at 1 yen = $0.0067 is $603.00. If the group converts it a week later, when the yen is at $0.0064, it counts as $576.00, and whoever paid is $27.00 short through no fault of their own.
If you know exactly what your card was charged in your own currency, use that amount: it includes the bank's rate, so it's what you really paid. If your bank adds a foreign-transaction fee as a separate line, add that too.
3. Work out who owes whom
For each person, add up what they paid and subtract their share of every expense they were part of. A positive number means the group owes them; a negative number means they owe the group. The numbers always add up to zero.
Worked example
Ana, Ben and Cara spend a weekend in Tokyo and keep score in US dollars. Everything is split three ways.
| Expense | Paid by | Amount | Rate | In USD |
|---|---|---|---|---|
| Hotel, 2 nights | Ana | ¥90,000 | 0.0067 | $603.00 |
| Dinner in Shinjuku | Ben | ¥15,000 | 0.0067 | $100.50 |
| Train tickets | Cara | ¥18,000 | 0.0067 | $120.60 |
| Total | $824.10 | |||
Each person's share is $824.10 ÷ 3 = $274.70.
| Person | Paid | Share | Balance |
|---|---|---|---|
| Ana | $603.00 | $274.70 | gets back $328.30 |
| Ben | $100.50 | $274.70 | owes $174.20 |
| Cara | $120.60 | $274.70 | owes $154.10 |
So Ben pays Ana $174.20 and Cara pays Ana $154.10. Two payments, and everyone is even.
4. Settle with as few payments as possible
You don't need to pay back each expense separately. Once you have everyone's balance, the people who owe pay the people who are owed. With a few people that's easy to do by hand. With six or eight people and dozens of expenses, working out the fewest payments is harder, and an app helps.
Common questions
Which exchange rate should we use?
The rate on the day of the expense. A published market rate is fine; if you know what
your card actually charged, that's better, because it's what you really paid.
What about amounts that don't divide evenly?
Split to the cent and give the leftover cent to one person, so the shares add up to
exactly the bill. $100 split three ways is $33.34, $33.33 and $33.33.
Can people settle up in their own currency?
Yes, but agree the rate when you pay, and use one for the whole settlement. Keeping
score in one currency and settling in it is simplest.
What if only some people were part of an expense?
Split it only among the people who shared it. Their shares come out of the same
total, so the balances still add up to zero.
Do it with eQualed
eQualed does all of this on your iPhone. Add an expense in any currency and it saves that day's exchange rate with it, so balances never drift. Friends join from one link with no account, and when the trip is over it works out the fewest payments to settle everyone. It's free, with no ads.