Local transport: Landing up in NYC, people generally are too confused too search out any other options and prefer to take a cab directly to the hotel. A ride from JFK to Manhattan can end up costing you $50 plus. To save on the cab costs, use other options like the Airtrain, the New York Airport Service Express Bus for Manhattan, ETS Air Shuttle to Brookln, Queens and the Bronx, and the Super Shuttle Manhattan which will take you through to all parts of the CIty and outlying areas. Once you're in, and for transportation within the City, learn to use the subway - Its fast, easy and cheap. End of a 3 day trip, provided you avoided excessive use of cabs, you'll find you've saved more than $200, including costs to and from the airport.
Hotel Booking: Probably the one area where you can save the most. Hotels in and around Times Square are priced way out of the normal, with $300 per night being a standard. Couple of things can save you at least $100 per night. First, most major hotels in NYC are part of the 'Sunday Stays' program, where you get Sundays free, if you book for the weekend. More details here. Second, if you want to reduce your expenses even more, opt for a good Bed & Breakfast. There are lots in and around Manhattan, quite decent, with most of the facilities and amenities offered by big hotels. These B&B's not only cost less, but you also have the option of saving a bundle on food, since breakfast is free, and you are offered use of a kitchen, which should help you cut down on at least one more meal. Here's a good searchable database of New York hotels, which will allow you to filter your choices down based on your preferences, like price and type of lodging (hotel, B&B, motel, etc.).
Sight Seeing: A primer on all the things to do in New York would be an entirely dierent article, but there's a couple of things you can keep in mind to cut down on the costs. First, here's the official list of free attractions and places in NYC (this does not include the newly opened NYC Waterfalls, which are also free to view). Second, for the ones which you need to pay for, get a New York Explorer Pass, which will give you discounted access to all the major attractions. Optionally, you can book yourself in on a Grey Line tour. Believe me, if you visit enough attractions for three days individiually, you'll end up paying a heck of a lot more than you would with a tour or with the Explorer card.
Shopping: Fifth Avenue may be famed for its shopping, but in truth, the shops are way overpriced. The same goods, from the same brands and designers, are available for 60-70% discounts at other stores like Century21 and Gabay's. You can get everything you want, and at really low prices.If possible, avoid buying anything on Fifth Avenue (though its good for a tourist stroll, if you can bear the jostling of the crowd).
I can't help you much with saving money on food, because that basically depends on what kind of food you like. Other than the B&B mentioned above, there are lots of places where you can get cheap and decent food, but again, it depends on where you are, so it would be kinda idiotic to try and save money by going all the way to a spcific restaurant. But from a tourist's point of view, a couple of restaurants and diners worth visiting are Katz's Deli and Nobu. That leaves Broadway shows, tickets for which you can get on the cheap, and sometimes even for free. Visit sites like Nytix.com and Broadwaybox.com. The official site is here.
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