The official currency of Italy is the euro, but the country is still somewhat of a cash-based economy. You won't always pay in cash, as there are shops and merchants in Italy that are well-equipped to accept card payments — Visa and Mastercard are more common than American Express.

In 2026, you can navigate 95% of Milan using contactless payments (Apple Pay, Google Pay, or chip-and-pin cards), but having €20–€50 in "emergency cash" is still highly recommended. Milan is Italy’s most modern city, and by law, all merchants must accept cards. You can pay for the Metro, high-end shopping in the Galleria, and dining at most restaurants with a card. However, you will still encounter "cash-only" or "cash-preferred" situations for small purchases like a single espresso (€1.20) at a traditional bar, a small gelato, or at some open-air markets. Furthermore, the mandatory City Tourist Tax at smaller boutique hotels or Airbnbs is sometimes requested in cash. While you won't need a wad of bills, having a few coins and small notes ensures you aren't stuck when a card machine "breaks" or a local artisan vendor doesn't have a mobile reader ready.