When someone asks how much a trip to Iceland costs, there are two correct answers: “as long as a piece of string” or “about a million dollars”.
I kid, kind of. It’s easy to go crazy booking the best activities in Iceland since for many it’s a one-in-a-lifetime visit. But if you’re trying to visit Iceland on a budget or are short on time, it helps to narrow things down to the Iceland tours that are actually worth your hard-earned money and limited vacation time.
Luckily for you, our family tested and vetted tons of different paid experiences in Iceland so that we can recommend only the best! I’ll say that all of the Iceland tours we went on were good and interesting but if you really have to be selective I’d focus on the options below – they aren’t ranked so just pick what’s interesting to you from the best tours in Iceland.
1. Glacier hiking in Iceland
One of the last additions to our Iceland itinerary was hiking on a glacier and I’m so glad we did it! Upon the recommendation of a friend who visited a week before us, we booked a private glacier hike in Iceland for our family with Glacier Encounter and it was the perfect choice – you can save 10% using coupon THEFAMILYVOYAGE10.
First of all, what is glacier hiking? Quite literally you put on stiff boots and crampons and go hiking on a glacier! The trick is that (as you might expect) there are aspects that are more technical and dangerous than traditional hiking on solid ground. That’s why it’s extremely important to go with a good guide and don’t attempt to do it yourself (our guide actually had to rescue two young ladies who got themselves into a very precarious situation in order to snap a pretty photo).
Guide Jökull of Glacier Encounter has exactly the disposition you want for this type of activity: adventurous and fun, but also incredibly methodical and detail oriented. We and our kids felt totally safe at all times with Jökull (which translates to “glacier”) and his trainee guide/fiancee Heather.
All of Glacier Encounter’s tours are private, whether you choose the regular “glacier hike” (as we did) or the “extreme encounter” (which our friends did since their kids are a little older). While the cost is higher when doing a private tour, there are two huge benefits. First, you get much more ice time than on a group tour (2.5+ hours vs as little as 45 minutes) since there’s no waiting for a large group to be safely geared up. Second, each tour is totally different and is tailored to your group’s interests and abilities. When we said we had the steam to go a little higher to an interesting area, off we went without anyone checking a clock. When the kids wanted to learn another skill, we paused while Jökull taught them.
In a country that’s more than 10% glaciers, there’s no better way to get a feeling for the geology and processes that shape the land than to get up close and go for a hike.
2. Whale watching in Húsavík
We’ve gone whale watching all over the world – Maui, Argentina, Canada and more – and truly nothing has topped the experience we had whale watching in Iceland! There are 23 different species of whales in Iceland’s waters and in the summer you have an incredibly good chance of seeing them on a whale watching cruise from Húsavík in the north.
We opted to go exploring with Gentle Giants, which did a great job. Our boat was staffed by an Italian PhD student in marine biology and she provided fascinating information on whale behavior while helping us spot the gentle giants. The rest of the crew were also incredibly kind and helpful, going so far as to proactively cover our sleeping daughter with a rain coat when a drizzle began.
On our cruise (the traditional whale watching) we saw dolphins jumping playfully in the water, a pair of humpback whales traversing the bay together – an uncommon sight for these usually solitary animals – and plenty of puffins flying and bobbing along the surface. We felt like we truly hit the jackpot! At one point, a humpback whale surfaced just a few meters off the side of our boat. It’s the closest our family has ever been to a whale and was really amazing.
In terms of logistics, we were all provided insulated water-resistant coveralls to wear over our clothes and rain coats to put over those. Unless it’s very cold, you may not need more than a thin shirt under the coveralls because they get very warm! There is water splashing up on to the boat deck so I recommend wearing your most waterproof shoes.
If you have your heart set on seeing whales in Iceland, schedule your tour for the first day you’ll be in the area. They sometimes have to be cancelled or rescheduled if sea conditions aren’t safe, and arranging the tour for early in your time in the north gives you the flexibility to go a different day if need be.
As with any wildlife viewing, a camera with a good zoom lens is key if you want to take good photos, though be careful to put the gear down at some point and just take it all in. I use this camera with this really flexible lens – it offers a huge range so I don’t have to worry about swapping lenses unless I really want to and both the body and lens are weathersealed so I didn’t have to stress about rain. Alternatively if you don’t already have a camera with great zoom and don’t care about switching lenses, you may want to consider this option that has a massive zoom lens built in.
While you’re in town, be sure to stop by the whale museum just a few meters away. It’s incredibly well done and fascinating!
3. Luxury Geothermal Baths
One of the most unique things to do in Iceland is bathe in the amazing geothermally-heated water no matter how cold it is outside! You can do that at massive public swimming pools, “hot pots” by the side of the road or one of Iceland’s famous luxury geothermal baths.
You can’t crack an Iceland guidebook without seeing a photo of milky blue waters of the Blue Lagoon, located near the airport. In many ways it epitomizes the luxury bathing experience in Iceland, with even the basic package including a robe and face mask. Be sure to book early if it’s on your Iceland bucket list, as it typically sells out a day in advance during busy times.
But did you know that there are a number of other luxury geothermal baths in Iceland? My husband and kids absolutely love Vök Baths in Egilsstaðir (eastern Iceland) – pictured above. It’s a newer facility opened in 2019 and has a lovely setting jutting out into a lake – the pools are actually floating! You can take advantage of a variety of different temperature pools and even take a cold plunge in the lake to refresh yourself. After you’ve cleaned up, help yourself to an included warm cup of herbal tea in the lobby. One thing that’s unique at Vök is the option to buy an annual pass; as such, you’ll actually find some locals enjoying the waters if you visit in the evening or on a weekend.
The same designer built GeoSea in Húsavík in 2018, and that was my personal favorite. It offers geothermally heated saltwater pools on a cliff overlooking the ocean and glaciers on the other side of the fjord. How much more scenic can it get? We stopped here for a few hours after our whale watching tour and then watched other boats go in and out of the harbor while occasionally we could spot puffins in the distance as they flew to their nests on nearby Lundey Island.
We skipped Forest Lagoon in Akureyri in favor of the town’s amazing public pool, but it looks like a great new option (thanks to its mid-2022 opening, it’s not even in some Iceland guidebooks yet). Myvátn Nature Baths is another classic and is sometimes considered the “Blue Lagoon of the north”, and hopefully the renovation that will wrap up in 2025 adds a touch more luxury.
The catch with these Iceland geothermal baths is that the prices can really add up – adult admissions range from around 7,000 ISK to 15,000 ISK. If you’re visiting Iceland with kids it’s worth knowing that the youngest kids are generally free while school age kids are half price. The Blue Lagoon and Myvátn Nature Baths are notable exceptions here: kids are free as long as they share a locker with their parents! That makes Myvátn Nature Baths by far the best value for a family since the adult admission is on the more reasonable side.
One important tip: if you have your heart set on visiting a specific Iceland geothermal bath and your schedule is tight, buy your tickets at least a few days in advance. We weren’t able to get into the Blue Lagoon by the time we decided to go, and in Myvátn we had to return several hours later.
Read more: 10 Quirky Things You’ll Experience When Traveling in Iceland
4. Lava Show and/or Lava Tunnel
In this activity you’ll get an up close look at how Iceland’s volcanic activity works and how it shapes the island you see today. I’ll give you a two-for-one here not because I’m indecisive but because the adults and kids disagree on this one – and honestly if you have the time and budget, I recommend doing both since they complement each other nicely!
Option 1 (kids’ pick): The Lava Show, which you can attend in Reykjavik or Vík. This hour-long activity is a demonstration using real lava of how lava flows, cool and changes shape. It’s fascinating, has a huge “wow” factor and is easy to fit into just about any Iceland itinerary.
Our program was led my a geology graduate student who did a great job simplifying some of the more complex elements (I say that as a former geologist). Attendees of all ages were totally captivated from the moment the lights went out!
There are a few logistical elements to note: first, the show is only offered every two hours because they need time for the lava to (mostly) cool and then get molten again. Second, there’s really no need to pay for the “premium” option – the regular ticket is just fine and the rooms are small enough that there’s mostly no bad seat.
The Vík location is right in town and attached to the ever-popular Soup Company – great food, though it gets busy during the day when the Lava Show is running and is much quieter in the evening. This is the original location and a somewhat simpler setup than the newer Reykjavik location.
Having seen both spaces, I have a slight preference for the new location in Reykjavik. It has cushy stadium seating and the lava “chute” is longer and more steeply angled, making it easier to see the dramatic cooling process. It’s located in the new harbor development so it’s adjacent to plenty of other family-friendly attractions like Fly Over Iceland and the Omnom chocolate and ice cream shop. Both rooms have fairly small capacities to ensure great visitbility, so be sure to reserve your spot!
Option 2 (adults’ pick): The Lava Tunnel in Raufarhólshellir, just off the Golden Circle in southwest Iceland. This is one of the largest lava tunnels in Iceland and visiting is an amazing way to get a better understanding of how lava flows and shapes the land.
You’ll enter through an area where the ceiling collapsed shortly after the lava stopped flowing through the area and then walk about a quarter mile through the tunnel. You can see different types of lava that reflect different cooling rates, observe a variety of colors left behind by mineral inclusions and much more.
This is a one hour guided tour and it’s offered every 30 minutes during summer and hourly off-season – but since the temperature is pretty constant underground, it’s a great activity to do in Iceland in winter! While you don’t need to be in amazing physical condition to go on this tour, there are some places where the ground is uneven and you’ll be going up and down some stairs. The minimum age is 3 but I think 5 is more realistic to be an enthusiastic participant in the tour.
If we had gone with older kids, we would have considered Inside the Volcano. It’s a once-in-a-lifetime opportunity to take an elevator down into the dormant Þríhnúkagígur volcano. This the only place in the world where you can actually enter a lava chamber. The tour has a minimum age of 8 but it also requires a 3km hike in each direction – most 8 year olds can handle that, but some may not have the stamina or maturity required since it is a group tour. The tour itself lasts around 4 hours, of which about a half hour is spent down in the lava chamber. Inside the Volcano is also just off the Golden Circle (it’s in the same area as The Lava Tunnel).
Option 3: Do both! If you have the time, I think The Lava Show and The Lava Tunnel make a great pair. We did The Lava Tunnel on our first day and the Lava Show on our last day, but if it makes sense for your schedule the reverse order is better.
5. Puffin boat tour (a bonus!)
I’m counting this as a bonus because unfortunately we didn’t get to do it, but more on that in a minute. If you’re a wildlife lover you probably already know that Iceland is home to 60% of the world’s Atlantic puffins during their summer breeding season. (I know this because I live with a puffin-crazy tween.)
In theory you can see puffins on cliffs in nearly all of Iceland’s coastal areas in the summer but there are a few that they strongly prefer. Often your best option for getting up close and personal (at a safe and respectful distance) is by boat. Whatever you choose, you shouldn’t leave Iceland without see puffins!
Here are some great puffin tours in Iceland to consider:
- Westman Islands – Of all the places in Iceland, puffins love the Westman Islands most! Storhofdi even has a dedicated puffin viewing shelter. You can take a boat tour that goes partway round the islands, exploring the amazing rock formations and nesting cliffs, with local guide Halli as you hear his stories about life growing up in the area.
- Husavík – While you head out looking for whales, you can also opt to take a slightly different tour that swings by North Lundey Island to visit the nesting puffins! Choose between a 3.5 hour traditional boat tour or a 2+ hour RIB boat tour, which gets you up closer but is too much thrill for some people (and has a 130cm/8yo minimum).
- Reykjavik – Perhaps the fastest and eaiest way to see puffins is on a quick cruise from the Reykjavik harbor! In just about 15 minutes you’ll be at one of the small islands where puffins routinely spend their summers, you’ll spend around 30 minutes watching them, and then it’s a quick 15 minutes back.
With all of these options, you may wonder why I say that we didn’t do one of these boat tours. Well it wasn’t for a lack of trying! We booked puffin boat tours for both Westman Islands and Reykjavik and they were both cancelled due to rough seas – this is one of the realities of travling in Iceland, even in the best conditions.
To maximize your chances of going on one of these tours, again I recommend booking it for your first day in the area. Had I taken that advice in Reykjavik, we would have had no problem! Don’t worry, we saw many puffins in the Westman Islands – the guide took us for a 2+ hour van tour instead of the hour-long boat tour, and it included a visit to Storhofdi. We also saw tons of them on the water during our whale watching trip in Husavík though that’s not quite the same as seeing a whole colony together.
If you want to go puffin watching, be sure to bring binoculars with you to get an even better view. Sadly I couldn’t find ours when I was packing, but we love this compact pair and travel with them often.
6. Reykjavik city tour (another bonus!)
I can’t but help throw in another bonus option for you. This one is definitely worth your time, and I’d say it’s worth the money because it’s technically free: a walking tour of the city of Reykjavik.
This excellent tour follows the “free + tips” model and was totally worth the two hours we spent doing it. We learned a lot about Iceland’s history along with many interesting thing about the country today. It also covers a ton of ground – everything from Iceland’s earliest buildings to the famous Hallgrímskirkja church to the new development on reclaimed harbor land.
It’s offered basically every day at 10:30am and 1:30pm, so it’ll be easy to fit into your schedule. You can only book ~4 days in advance, so just set a reminder on your phone to sign up.
Planning your trip to Iceland
Iceland is an amazing country but it requires a ton of planning to make the most of your experience! Be sure to check out these helpful resources to get started: