The younger, the better
Europe is very kind to young people. If you are under 26, you get a whopping 35 per cent discount on the Eurorail pass. That is nearly one-third of your travel expenses slashed in one go. Besides, there are all kinds of discounts offered to students at museums, attractions, cinemas, theatres, public transport and even shops. But remember to carry a valid International Student Exchange Card or ISEC as it is popularly called. For details on how and where to get it, check their website.
Expensive Europe, cheap Europe
Most European countries may share the same currency, but that does not mean they are all equally expensive. Generally speaking, the more North you are in Europe, the more expensive it gets. Switzerland and Norway are perhaps, the most expensive countries. In general, the Southern European countries (barring the French Riviera) are cheaper, and Eastern Europe is the cheapest.
Cash concerns
Most banks charge a fee for every international debit or credit card transaction you make. If the rate is high, you are better off making a rough calculation of how much cash you are likely to spend, and debit it in one single transaction. Also, beware of currency exchange kiosks at airports, trains and bus stations. They usually offer the worst exchange rates. Instead local shops or kiosks are a better option. If you are in the UK, you can even exchange currency at the post offices, which do not charge a commission on the transaction.
Youth hostel accommodations
Youth hostels may not make for the most glamorous accommodation option, but if your vacation costs are mounting, it is worthwhile to remember that they do offer private and family rooms as well at fairly reasonable prices (between 25 and 45 euros a night). But remember to book much in advance, as they are also the first rooms to go.