by Lacey Pfalz
Last updated: 8:45 AM ET, Tue August 26, 2025
Labor Day travel is expected to be cheaper across the board for Americans this year, according to new data by AAA.
“Labor Day caps off summer travel and provides one final holiday weekend before the fall routine begins,” said Stacey Barber, Vice President of AAA Travel. “The top cities on the domestic and international lists are Seattle and Vancouver, both port cities for Alaska cruises. While some people are going on dream cruises or European vacations, many travelers are staying closer to home and taking road trips to nearby beaches or national parks.”
Gas prices for road-trippers are at a five-year low, with the average price of a gallon of gas hitting $3.13. While still inflated overall, it's likely that road-trippers will be able to save this Labor Day on gas compared to last year.
Labor Day Domestic Travel Trends
Flights, hotels and even car rentals are pricing cheaper than they did last year, with domestic roundtrip flights pricing out 6 percent less, at $720 a ticket. That’s still pretty high, though.
Travelers will save 11 percent on hotels this year, while those planning to rent a car to drive somewhere or to use once they arrive at their destination will save about 3 percent. Gas prices are matching the price they were in 2021, which is a little lower than it has been previously, but still not enough to ease the wallet significantly.
The top destinations for domestic travel include Alaska cruise ports: Seattle, Washington and Anchorage, Alaska place first and fifth, respectively. In second and third place are the heavyweight tourism champions, Orlando and New York City, followed by Boston.
The last five top domestic destinations include Chicago, Atlanta, Denver, Miami and Las Vegas.
Labor Day International Travel Trends
International travel will be a little different: hotels are pricing 2 percent less than last year, but international air is 8 percent more expensive this year, largely due to the high demand for international travel.
Just like the top domestic destinations, the Alaska cruise port of Vancouver, Canada tops in first place for Labor Day travel, followed by destinations across Europe: Rome, Dublin, London, Paris, Amsterdam, Barcelona, Athens, Edinburgh and Lisbon. The list shows that travelers are planning trips further north as the Mediterranean summer season draws to an end.
The Best and Worst Times to Start Your Road Trip
According to data from INRIX, the best times to drive during Labor Day are before lunchtime. For those hitting the road on Saturday, it’s better to start as early as possible, especially with more people taking day trips on the weekend.
Travelers driving on Thursday, August 28 will find the easiest driving experience before 1:00 p.m., and the worst anytime after through 8:00 p.m.
Those driving on Friday, August 29 will find the best driving experience before noon, and the worst from noon to 8:00 p.m.
Road trippers on Saturday, August 30, should head out as early as possible, as the roads are expected to grow congested from 10:00 a.m. to 6:00 p.m.
Sunday drivers on August 31 should get the most of their driving in before 11:00 a.m., as the worst congestion is expected between noon and 5:00 p.m.
Lastly, those heading home on September 1 should get out early, driving the most before noon, as the most congested time for driving will hit around 1:00 p.m. to 4:00 p.m.
The Best and Worst Times to Fly This Labor Day
NerdWallet analyzed TSA screening data from the past five years to predict which days during the holiday travel period are the best and worst to fly.
Friday, August 29 is shaping up to be the worst time to take off, especially for those who don’t want to take off work that day. Fares and crowds are expected to be worse.
The worst day to fly back after a Labor Day trip is most definitely September 1. It’s unsurprising, since almost everyone gets the day off and many try to cram in a short weekend trip before heading home, without taking another day off work. If you’re traveling on September 1, expect crowds.
So what are the best days to fly out? Tuesday, August 26 is the least busiest, marking about half as many travelers in airports than on Friday, August 29. Tuesdays are also typically cheaper to fly. Saturday, August 30 is also a great option for travelers who don’t want to take off work to travel.
Those who fly back from their trips on Sunday, August 31 or Tuesday, September 2 will find the least crowds at the airports. And for those who really want a longer vacation, flying back on September 3 is another great option.
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