Not because you want to travel the world does not mean that you should spend most of your savings. If you are a wise traveller, you will know that going to expensive destinations may not be a good idea.
While you can definitely travel to expensive cities in Europe but if you are aiming to travel for a year or more and you are not that rich, well, you can find more countries that can allow you to travel to different great locations without actually breaking your bank.
Here are some things that you should consider to travel cheaply
Are you a city person or can you stay anywhere?
There is a huge difference in prices between staying in the city and small town countries. Whether you are in a third world country or a developed one, the prices are always up if you stay in the city.
In many cases, the prices are doubled if you stay in the city like if you are going to stay in London vs Nottingham, Mumbai vs Hampi, Buenos Aires vs Cafayate, Prague vs Mikulov, Budapet vs Eger, and so on.
If you plan to stay mostly in the city, make sure to double your budget. Otherwise, stay there for a couple of days, then move to a less crowded place.
Can you put up with a little discomfort?
Along with your travels, you will encounter some challenges in places where you might stay and the prices for them. You need to asses if you can settle without hot water while showering or if your room is not that comfortable.
There are ways to cut your budget for lodging such as couchsurfing, housesitting, and crashing with a friend or with friends of friends, but if you do not have these, better plan this in advance. And better to test the water if you can live without some not so necessities such as hot water for showers, a comfy bed, an air-conditioned train rooms and so on. If you think you can handle without them, then you will be able to save more.