NCS
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A brand new yr is a becoming time to decide to big-picture objectives — and for some, that may imply a dream of dwelling abroad.
And due to the rise of distant work, new visa applications and tax incentives that entice digital nomads, buyers and households, folks contemplating a global move have extra paths to discover.
Of course, the capability to move abroad is a privilege that extends solely to folks fortunate sufficient to be in possession of the proper passport, with doorways remaining closed to many nationalities.
For those that have the choice, the resolution about which nation to make your new house is a huge one which requires intensive analysis and planning. Beyond the “I could live here!” daydreaming that may bubble up throughout trip, shifting abroad means a deep dive into tax implications, work visas, well being care and quality-of-life comparisons, simply to call a few.
One particularly useful useful resource is the annual Expat Insider survey by InterNations, an expat neighborhood with greater than 5.1 million members. The survey, which has been operating for a decade, displays enter from almost 12,000 expats representing 177 nationalities in 181 countries or territories. It conveys their satisfaction stage with numerous features of expat life on the foundation of things akin to high quality of life, ease of settling in, working abroad, private finance, housing and language.
In addition, retirees can make the most of assets together with Live and Invest Overseas, whose annual index ranks its prime 10 abroad retirement locations. The 2024 index was launched in early January, with Valencia, Spain, topping the checklist, adopted by Braga, Portugal, and Mazatlán, Mexico.
It’s additionally essential to contemplate the affect of your move on a new host nation, particularly in locations that are seeing huge upticks in immigration from the United States and different rich nations, says Megan Frye, a relocation marketing consultant and author who has lived in Mexico City for the previous eight years.
Frye advises purchasers contemplating a move from the United States to Mexico — which has ranked amongst the prime 5 countries in InterNations’ annual survey since 2014 — to pay attention to the inequities in migration insurance policies between the two countries.
“My focus with my clients is to be very clear about the gentrification problem that Mexico faces, and to give them an opportunity to think about what our role is in that situation,” says Frye, who’s initially from Michigan. “I believe all people should be able to move freely wherever they want, but there’s a clear injustice considering how easy it is for US citizens to relocate to Mexico in comparison with the other way around.”
While there are dozens of locations to contemplate for a move abroad to a new nation, the following checklist prioritizes a vary of expat-centric subjects, together with high quality of life, affordability, security and entry to tradition and outside actions. We’ve additionally included a few of the downsides to contemplate, in addition to information on find out how to make the move.
This checklist has basic recommendation for folks making the move from wherever in the world, however focuses mainly on US residents.
A longtime retirement vacation spot for Americans, Mexico additionally has attracted extra households and the digital nomad set over the previous few years.
Mexico City — the largest in North America, with about 22 million folks in the metro space — has been particularly fashionable, and the capital’s inhabitants grew between 2019 and 2023 by 3%, about 600,000 folks, in response to The World Population Review. And from 2019 to 2022, the variety of Americans who utilized for or renewed residency visas spiked from about 17,800 to greater than 30,000.
Elsewhere, cities together with Oaxaca, San Miguel de Allende and Playa del Carmen are additionally havens for US expats, a lot of whom level to Mexico’s decrease price of dwelling and relaxed life-style as robust attracts.
Pros: Mexico ranked first in InterNations’ 2023 Expat Insider survey and has ranked amongst the prime 5 countries since 2014. According to the newest outcomes, expats recognize components akin to the ease of settling in, a fulfilling social life and robust help networks. Mexico’s affordability and laid-back life-style additionally rating excessive.
Cons: As with different international locations which have acquired an inflow of Americans as of late, some Mexican cities with massive expat communities are experiencing pushback in opposition to foreigners.
Mexico additionally has a excessive crime charge. Homicide charges are almost 4 occasions as these in the US, in response to Mexico’s National Institute of Statistics and Geography. And these numbers could also be even larger, since information from the Human Rights Watch means that an estimated 90% of crimes in Mexico are by no means reported.
How to make the move: Moving to Mexico isn’t so simple as packing a bag, hopping a flight and toasting to your new life over a margarita on the seashore. Traditionally, legitimate passport holders from countries that don’t require a visa (together with the United States) who are coming to Mexico for leisure or enterprise have been allowed to stay in the nation for as much as 180 days. (They nonetheless should full a customer’s allow, or Forma Migratoria Multiple or FMM, at their port of entry.)
However, that period of time is not the default, and the precise variety of days allowed is at the discretion of the immigration official processing entry.
Mexico doesn’t supply a digital nomad visa, however these contemplating a everlasting move can look into a Temporary Resident Visa, which permits as much as 4 years in Mexico. Meanwhile, official retirees can apply for a Permanent Resident Visa.
Portugal’s reputation amongst expats has exploded since the nation launched its Golden Visa program in 2012. It has change into the most profitable of its variety, inspiring different countries to launch their very own plans to draw overseas funding.
However, in the spring of 2023, Portugal made significant changes to the program, successfully ending the actual property funding facet. It additionally modified its nonhabitual resident regime, says Alex Ingrim, a licensed monetary advisor and president of world wealth administration agency Chase Buchanan USA.
“Portugal’s a little bit harder of a place to immigrate to 1766649064 if you want the flexibility of a Golden Visa,” Ingrim tells NCS Travel. “It’s not as attractive from a tax jurisdiction standpoint. And we’ve seen a lot of people kind of lose interest in Portugal frankly, and start planning for other jurisdictions in Europe.”
Pros: Portugal is hard to beat for its affordability, high quality of life, year-round delicate climate and high-quality health-care system. The price of dwelling is mostly extra inexpensive than most countries in Europe, and, in response to Numbeo, the world’s largest crowd-sourced high quality of life database, it’s 35.5% decrease than in the United States. In addition, Portugal is the seventh-safest country in the world.
Cons: As is the case in Mexico and different countries with massive expat communities, there’s rising backlash in opposition to the inflow of foreigners, particularly Americans, and particularly in Lisbon. Critics say the ensuing spike in rents and real estate prices has pressured out longtime residents and altered the material of sure neighborhoods.
How to make the move: The Golden Visa program continues to be in place, though the nation has now eradicated the actual property funding choice. As Ingrim notes, Americans nonetheless in pursuing residency through that route “need to be really cognizant of how it affects their financial planning, how it affects their US tax obligations and whether it’s still kind of the best option for them moving forward.”
A stunning local weather, certainly one of the lowest prices of dwelling in Western Europe, and vibrant, culture-rich cities and cities from the Mediterranean to the Atlantic: No marvel extra Americans are eagerly proclaiming “Viva España!” for their subsequent life chapter.
Madrid, Barcelona, Seville and Bilbao all boast massive English-speaking expat communities, whereas the coastal metropolis of Valencia is rapidly gaining traction as a coveted spot, too: It ranked first in InterNations’ 2022 Quality of Life Index, and in addition topped the annual index by Live and Invest Overseas for 2024.
Pros: There’s mucho to like about Spain: trendy cities and quaint small cities, high-quality common well being care and a world-renowned eating and nightlife scene, simply to call a few.
According to the International LGBTQ+ Travel Association, Spain is also one of the most culturally liberal and welcoming countries for LGBTQ+ vacationers. In 2005, it grew to become certainly one of the first countries to legalize same-sex marriage, and it hosts certainly one of the world’s largest Pride celebrations, which pulls some 1.5 million folks yearly.
Cons: English is mostly not extensively spoken outdoors of bigger cities (and in the northeastern area of Catalonia, Catalan is the official – and sometimes most popular by locals – language). The distinctly Spanish lifestyle can also take some getting used to for foreigners, as schedules for working, eating and socializing are later than American requirements. The workday typically runs from 9 a.m. to 7 p.m., with a lengthy lunch break throughout the afternoon siesta (throughout which era many companies are closed), and Spaniards often eat dinner no sooner than round 8:30 p.m.
Politics in Spain can be changing into more and more extra divisive (and occasionally violent), particularly as the northeastern area of Catalonia continues its push for independence.
How to make the move: Several choices exist for expats trying to relocate to Spain. Anyone with enough funds to help themselves and any dependents can think about the non-lucrative visa (or NLV), which is good for retirees and people who produce other types of passive earnings that originates in the United States. (However, you’ll be able to’t earn earnings whereas in Spain with this visa.)
Spain additionally affords a digital nomad visa and an entrepreneur visa.
The Netherlands
This bicycling-obsessed nation ranked fifth in Gallup’s 2023 World Happiness Report, which assesses numerous indicators throughout life satisfaction and social and financial properly being. It additionally topped Numbeo’s 2023 survey for high quality of life.
More than 31,000 US citizens at present name the Netherlands house candy house. The capital of Amsterdam is an particularly fashionable spot, with its picturesque canals, historic structure and relaxed vibe drawing a massive worldwide crowd.
Pros: For energetic sorts, it’s exhausting to beat the Netherlands’ world-class biking infrastructure and tradition – in reality, the nation is claimed to have extra bikes (fietsen) than folks. The Netherlands additionally is thought for its robust training system, with most training in any respect ranges funded at the very least in half by the authorities.
One main tax benefit for expats: Highly expert staff can apply for what’s often known as the 30% ruling, a tax benefit in which they’re granted a tax-free 30% allowance of their gross wage for 5 years. However, the Dutch government recently implemented a cap on the quantity of wages eligible for the ruling.
Cons: Compared with another European countries, the Netherlands is expensive: Rents for unfurnished flats hit an all-time excessive in November 2023, in response to data from Statista. Outside foremost hubs, smaller cities and cities together with Haarlem, Delft, Leiden and Maastricht are significantly inexpensive.
In addition, earnings taxes are excessive, with a tax charge of 49.5% on salaries exceeding €73,031 (roughly US $81,135). That can come as fairly a shock following 5 years of being taxed at 30% — which leads many expats to start out contemplating their subsequent move after their eligibility ends.
Finally, the climate — which is darkish and wet in the winter (situations that make biking a lot much less fulfilling) and continually windy (there’s a purpose for all these windmills) — could be tough for some to adapt to.
How to make the move: The Netherlands doesn’t supply a digital nomad visa, however you’ll be able to apply for a long-stay visa, also referred to as an authorization for short-term keep (in Dutch, it’s MVV for quick). In the United States, you’ll be able to apply at the Netherlands embassy in Washington or at the consulates-general in Miami, New York or San Francisco.
Germany is the European Union’s largest financial system, and its robust job market and sturdy welfare system — to not point out heritage-rich cities and cities — are interesting for auslanders, particularly Americans. According to the latest national figures, greater than 121,000 Americans at present name Germany house. Berlin has an particularly massive worldwide neighborhood of English-speaking internationals, however different hubs akin to Munich, Frankfurt and Stuttgart even have robust expat communities.
Pros: Germany is a nice match for households, due to common well being care and social advantages akin to a month-to-month kindergeld (“children money”) stipend, closely backed childcare and beneficiant parental go away.
In addition, in contrast with another European countries, Germany’s freelancer visa is pretty straightforward to get, Arielle Tucker, a Switzerland-based certified financial planner, tells NCS Travel. She additionally notes that “one benefit that US citizens have over some non-EU countries is that they can apply for a Freelance Visa in Germany, as US citizens do not need an entry visa.”
Cons: Germany doesn’t have a few of the similar conveniences to which many Americans are accustomed, akin to 24-hour grocery shops or drive-through pharmacies. On Sundays, most shops are closed (with the basic exception of eating places and bakeries). And the nation’s forms could be maddening, with many authorities processes counting on official paperwork that’s delivered by means of the mail.
That reputation amongst auslanders has contributed to a housing pinch in main cities, particularly Berlin, the place discovering lodging is certainly one of the most irritating features of a move. And past main cities, English is just not extensively spoken.
How to make the move: Germany’s skilled worker visa permits sure people with a qualifying diploma or certificates a six-month window to look for employment in their space of qualification. Its self-employment visa can be pretty simple.
Plenty of overseas nationals are singing Singapore’s praises: In 2022, this subtle city-state ranked third on InterNations’ Expat Essentials Index. It’s seen as certainly one of the prime countries in which to reside and work, due to a thriving job market, glorious training and well being care, and certainly one of the world’s best transportation techniques.
Pros: Singapore is a prime monetary and funding hub in Asia, with glorious job prospects and financial stability. Foodies, in the meantime, will love its dazzling eating scene, from full of life night time markets to Michelin-starred eating places. And journey fans can make the most of easy accessibility to certainly one of the world’s most awarded aviation hubs, Changi Airport.
Cons: Singapore could be very costly, and a few folks might have hassle adjusting to its humid, tropical local weather. It’s additionally a great distance away from the United States — which could be tough for visits house.
How to make the move: Singapore doesn’t supply a digital nomad visa, however those that have labored lined up can apply for an Employment Pass. Entrepreneurs in beginning a enterprise in Singapore can apply for an Entre Pass.
Costa Rica’s ample pure magnificence, tropical local weather and inexpensive price of dwelling have lengthy appealed to expats wanting for their very own slice of pura vida, which accurately interprets to “pure life” and is each the nationwide slogan and life-style. The Central American nation has lengthy been a fashionable vacation spot for Americans.
Pros: Costa Rica has a wonderful health-care system that constantly ranks excessive. It’s additionally certainly one of the most sustainable countries in the world. Locals have a tendency to steer wholesome existence, whether or not that’s browsing year-round or doing day by day yoga postures on the seashore.
In addition, Costa Rica affords some tax incentives that attraction to overseas nationals. “Costa Rica only taxes income earned in the country, which means that non-Costa Rican pensions, investments, or employment income do not incur an additional Costa Rican tax burden,” David Lesperance, founder and principal of Lesperance & Associates, a tax and immigration advisement agency, tells NCS Travel.
Cons: Costa Rica’s laid-back life-style can also have an effect on how enterprise is finished, and the tendency to point out up late is sometimes called “Tico Time.”
In addition, some creature comforts could also be missing in contrast with what Americans are used to. In older buildings, for instance, it’s not unusual to throw toilet paper in bins as an alternative of flushing it down the bathroom. And due to its geography and site alongside the notorious Ring of Fire, Costa Rica experiences earthquakes, tsunamis and volcanic exercise — it’s house to 6 energetic volcanoes.
One essential be aware on the tax entrance: There isn’t any tax treaty between Costa Rica and the United States, so claims on US tax returns for overseas tax credit or overseas earned earnings are extra difficult for expats.
How to make the move: With the nation’s new digital nomad visa, distant staff can keep in Costa Rica for as much as a yr with an choice to increase for one other yr.
Often described as the Miami of Central America, Panama is a outstanding monetary and enterprise hub linking North and South America. In latest years, it’s been drawing extra Americans past simply the retirement set.
Lesperance says he’s seen a notable bump in strikes amongst high-net-worth purchasers with Hispanic heritage, in addition to staff in the monetary sector, who are shifting there “en masse,” particularly as Miami has change into extra crowded and costly.
Pros: Year-round heat climate, a mixture of cosmopolitan hubs akin to Panama City and relaxed seashore cities, and easy accessibility to each North and South America make Panama a wonderful choice for frequent vacationers. And certainly one of the largest benefits for Panama’s Golden Visa scheme is that it offers perpetual residency with out requiring buyers to reside there. Maintaining everlasting resident standing requires a go to to Panama at the very least each two years.
Cons: In 2023, the price of creating residence in Panama elevated considerably, from $300,000 to $500,000.
In addition, as a result of Panama additionally doesn’t have a tax treaty with the United States, claims on US tax returns for overseas tax credit or overseas earned earnings are difficult, Lesperance notes.
How to do it: Panama affords a number of sorts of funding alternatives that supply everlasting residency and a path to Panamanian citizenship after 5 years.
The Panama Qualified Investment Immigration (or PQII) program, usually often known as the Panama Golden Visa, is a residency-by-investment process. The minimal funding is $500,000 (which elevated from $300,000 in October 2022), which should be held for at the very least 5 years. Investors can qualify through actual property purchases, financial institution deposits or investing in funds.
Panama additionally has a retirement visa program. However, Lesperance notes that though the retirement route technically comes with Panamanian citizenship after 5 years, “in practice it is not straightforward. Therefore advantages of the PQII pathway versus the cost of a retirement visa are questionable.”
It’s exhausting to think about a nation that boasts a extra universally romantic notion of dwelling abroad, and thanks in half to the reputation of funding schemes akin to the one euro properties that many small cities have launched, expats now have extra choices of fulfilling their goals of la dolce vita.
Pros: Access to a few of the world’s hottest vacationer cities, picturesque countrysides and immersion in a tradition that values household, meals and wine — what’s to not love about Italian life? Italy’s health-care system can be good, and plenty of expats give a huge thumbs-up to the total friendliness of Italians.
Cons: Prospects for employment in Italy aren’t as ample as they are in different European countries. Beyond main cities, English typically isn’t extensively spoken, and also you’ll possible want to rent an lawyer to assist navigate authorized processes akin to buying a house. And be ready for Italy’s infamously glacial authorities forms.
How to make the move: Americans who are planning to remain greater than three months should get an entrance visa at an Italian consulate earlier than arriving. Italy’s visa choices embody a lengthy or short-term self-employment visa, or lavorno autonomo, and a start-up visa.
While the actuality of dwelling in France is drastically completely different from what’s portrayed on display screen à la “Emily in Paris,” there’s nonetheless a lot to say oui! to: common well being care, extremely valued work-life stability (keep in mind all these protests in response to the French authorities elevating the retirement age?) and a few of the world’s most coveted meals and trend scenes.
Although it may be dear, France additionally affords intensive social applications and advantages for residents: common well being care, for one, in addition to quite a few public holidays. The nation scores properly on InterNations’ indexes for high quality of life.
Pros: Residents can make the most of quite a few social advantages, together with common well being care, financial stability and quite a few public holidays — to not point out a 35-hour work week. In addition to the glorious high quality of life, from a tax standpoint “because they have some good treaties with the US,” Tucker says. “For example, they are one of the few countries where Roth IRAs are considered qualified retirement accounts and their tax-free nature is preserved. So even though the tax rates are higher, if you can do some pre-immigration planning, it can still be an attractive country for US expats.”
Cons: As Tucker notes, earnings and social taxes in France are excessive: as much as 45% (and high-income people additionally might have to pay a surcharge of three% on a part of their earnings).
Outside of main cities akin to Paris, Lyon and Strasbourg, the language barrier could be problematic should you don’t have a stable grasp of French.
How to make the move: Anyone trying to keep in France for greater than three months might want to apply for a long-term visa. France doesn’t supply a visa for digital nomads; as an alternative, you’ll want a long-stay visa should you plan to work or examine. There are a number of classes below France’s Carte de Séjour Residence Permit, every with numerous situations and restrictions.