This paper addresses the problem of designing a household waste collection system for rural insular areas using a barge for transportation, based on a novel mixed integer programming model that simultaneously integrates decisions of waste collection sites selection within the islands to be served, visit schedule for each selected collection site, and multi-period vehicle routing. An application to a real-world instance consisting of small rural islands located in the south of Chile shows the effectiveness and complexity of the model, along with the advantages of using a waste compactor instead of transporting the waste using bins onboard a barge.