Budget Yosemite Vacation

Personally I would do Housekeeping Camp over Curry Village for a couple of reasons. You can have a campfire, cook at your "tent" and really experience nature. Curry village is, just as the name implies, a small city of tents very close together. You must eat at the cafeteria for every meal. As for Housekeeping, it's a little more rustic but if you buy a cooler when you arrive (you'll likely need one for the rest of your trip anyway) you can cook at the site. They have bedding, firewood and other camping stuff to rent (very cheap) or buy for the people who travel by air. Get a river view site and wake up to the Merced river at your doorstep and half dome towering above.

You need to rent bikes for a day of cruising around the valley, skip the cheesy tour deal and ride around to find a little more privacy. The main areas will be crazy in the summer but if you plan right and go where the crowds aren't you will have a much better experience.

Staying in a hotel in the valley you will feel ripped off. The "budget" place is Yosemite Lodge and it'll run you over $250 for a dumpy little room, Awahnee is $500 plus and the catch is you will NOT feel like it's worth it. Basically quadruple other rates at hotels you've stayed at, you're paying for the location not the room.

Trying to drive back and forth to the Valley will not afford the same experience as actually staying there so I would plan a couple of nights roughing it in the valley and then splurge on a night at The Tenaya. It's an awesome family resort and there is tons to do on that side of the park.

We go to Yosemite frequently and it is really one of the most amazing places on earth. PM me if you have other questions about your trip. Not only have I lived in CA my whole life, traveled all over the state but I am also in the vacation business. Good luck!

They have tent cabins in Yosemite. It's a lot like camping (the walls of the cabin are canvas, but the floor is wood). I've stayed there before, and it's a fine way to experience Yosemite on a budget! http://www.yosemitepark.com/curry-village-cabins.aspx

Have fun - Yosemite is even more breathtaking in person than pictures could ever convey! If you have time, Sequoia National Park is not all that far away from the South edge of Yosemite, and contains some of the largest and oldest trees on the planet. (It's also generally much less crowded/expensive than Yosemite.) We have stayed at the Wuksachi Lodge in the past, and it is beautiful and quite reasonably priced: http://www.visitsequoia.com/lodging.aspx

Google it. There are many many different options. Only you know what "budget friendly" means. One person it might be $50, another $200.

I LOVE yosemite. The first time I went, we stayed in housekeeping camp, which is like camping, but they provide a cabin (loosely defined, 3 walls and a canvas front with cots inside). You can rent bedrolls, etc, so you can still camp even if you fly in. Housekeeping Camp is nice because it's one of the only places left in the park where you can build a campfire, so we could cook over the fire.

The 2nd time we went, we didn't want to camp, so we stayed one night at Wawona Hotel, which is right next to the giant redwood trees up on the top of the mountain. Then, the next day we drove into the valley and stayed at Yosemite Lodge which is in Yosemite Valley. I would strongly encourage this plan if you can do it. Each day, there is tons of day visitor traffic, and especially on weekends, it can literally take hours to drive the few miles from outside the park into the valley. I would have pulled my hair out if I had to do it every day. It is so much easier if you are staying in the valley. We stayed for 5 days total (1 at Wawona, 4 at the Lodge) and I wished we had at least 1 more night because there were so many things we didn't see.

Also, right next to the Yosemite Lodge, there is a cafeteria that is open for all meals. To cut down on meal costs, we stopped at a grocery store on the way into the park and bought a foam cooler, drinks, and snacks, and kept that in the room. We also bought sandwich food and kept it in the room so that each day we could make packed lunches to take on our hikes. Then all we had to do each day was put in some new ice from the ice machine. There is also a full grocery store in the valley if you forget anything, run out of bread for sandwiches, etc. Prices are a little higher than outside, but not significantly.

What to do there? Well, mostly it is hiking and biking to see amazing things. If you see nothing else, you have to stop at Glacier Point on the way into the park. Other than that, the park info office can give you maps of trails and let you know which are best for your fitness level. The trails range from wheelchair accessible to basically mountain climbing, with everything in between. Oh, white water rafting in the park is also fun.

You will love it! But you need to reserve your hotel or campsite now. Housekeeping camp and the Yosemite Lodge can fill a year in advance.

ETA: When we stayed at Wawona, we had dinner at Tenaya Resort. It is beautiful. I'm certain that it has more amenities and nicer rooms than the places I mentioned, and if that's important to you, then definitely consider it. The downside to it, IMO, is the drive into the valley each day. I liked being able to just get up and go, and not have to spend the time to drive in and out - especially since I would have gotten carsick each time. But if you want a more upscale place to stay and you don't mind the traffic in and out each day, then Tenaya may be for you.

Okay, this is not budget, but I really like Tenaya Lodge. I have been off season so it was less expensive and super fun with the snow. The summer is usually the expensive time of year. I feel like even if you do not stay here and pick a less expensive inn, there are still fun things to do at this place. Will you have a car? If not you might want to pick a place that has a shuttle.

http://www.tenayalodge.com/Specials-And-Hot-Deals.aspx

Yosemite is really busy during the summer, so for sure book something soon.
It's not cheap but Tenaya Lodge is a really nice resort, just outside the park, that's where we stayed several years ago.
You should also go on Tripadvisor, you can sort hotels by price, location and amenities and you can read tons of reviews. You'll get a lot more info than you will here.
Have fun!

I like a good, clean hotel. I cannot take musty smells and bugs in a hotel room. An econo-lodge or apartment type can be best for me. I can scrimp on food by making my own meals.

Sandwiches, spaghetti, all you can eat places, pizza, etc.