Making Money While Abroad - 2026
Tips for Digital Nomads and Expats Looking to Move Abroad or Stay Abroad
Living abroad as a digital nomad or expat is a dream for many. It promises a better quality of life, a cheaper cost of living, and the opportunity to explore new cultures. However, at least once a week, I receive a question asking how one can live abroad and still make a decent enough income to take advantage of all a city offers.
After living in Mexico City through the pandemic, I noticed a large influx of people arriving, followed by a significant drop-off for many reasons.
High Cost of Living: Many popular expat destinations, especially in urban areas or tourist hubs, have a high cost of living compared to the individual’s home country. This includes expenses such as accommodation, healthcare, transportation, and daily necessities, all of which can quickly deplete bank accounts, particularly if individuals are relying solely on savings or a fixed income.
Currency Fluctuations: Currency exchange rates also play a significant role. For example, in the case of Mexico, the exchange rate was 21:1 during the pandemic and dipped into the mid-16s before finally settling in the mid-17s. When the currency of their home country weakens against the local currency of their destination country, individuals not only face inflation but also experience a decrease in purchasing power.
Limited Employment Opportunities: One of the biggest challenges is the “return to office” campaign. Many individuals with the income for this lifestyle were often tied to companies that began limiting remote work opportunities, let alone work in another country. Additionally, there’s a group of would-be expats who attempt to find work in their host country. This requires fluency in the local language or specialized skills that most people, frankly, don’t have.
The “Social Circle” Audit: Why Your Friends Keep You Broke
In every expat hub, there is a “Degenerate Layer.” These are the guys who moved to Mexico or Medellín to party on their $15k savings. They have no hustle, they spend every afternoon at the same three bars, and they will drag you down to their level of mediocrity. If you want to make money abroad, you have to avoid the “Perpetual Tourist” crowd and find the “Builders.” If your social circle’s biggest accomplishment this week was finding a new happy hour, you need a new circle.
In this guide, we’ll delve into various strategies for making money while living abroad, hopefully providing valuable insights and resources for those seeking financial independence and location flexibility.
Understanding the Cost of Living Abroad:
Before delving into strategies for making money abroad, it’s crucial to grasp the cost of living in different countries. The income required to live comfortably varies greatly depending on the location.
Data from Numbeo reveals that the cost of living index in Mexico is generally 45% lower than in the United States. Depending on your lifestyle and where you’re coming from, it could be even cheaper. Countries like Brazil and Colombia are sometimes even cheaper than that.
Example: Let’s consider Max, a friend of mine who lived in Mexico City. Max worked remotely as a consultant and earned around $8,000 per month. Living in Washington D.C. meant that half his income alone was spent on basic survival expenses like rent and food. In Mexico City, however, he managed to live relatively cheaply, with about $3,500 covering all his expenses.
