Bali sometimes gets an unfair review as being an overhyped and overly-touristed exotic destination. On the contrary, my husband and I enjoyed our three weeks there immensely. We divided our time between unassuming, coastal Jimbaran and Ubud (of Eat, Pray, Love fame).
Jimbaran is a convenient launching spot for exploring Bali as it's close to the airport, but far enough away from the more popular, yet tasteless, Kuta. Our simple but extremely pleasant $18 a night guesthouse (Villa Puri Royan), was located in a residential neighborhood, allowing us to mingle with the locals and even participate in their special family ceremonies. We were also within walking distance from a traditional market, countless temples and the beach. We left Jimbaran having had rich experiences and a feeling that we were truly immersed in the Balinese culture.