Envision this: you’re on a sun-soaked beach in Bali, coconut in hand, as you hit “Send” on your latest project update. Or maybe you're nestled in a cozy café in Portugal, the one with the strongest Wi-Fi signal to hop onto that next Zoom call.
The magnetic pull of exploring new cultures, paired with the flexibility of remote work, isn’t some distant fantasy. It's the reality for some of those immersed in the digital nomad lifestyle.
But to figure out whether it’s right for you, you’ll need to tap into your self-awareness. Going months without seeing your loved ones, having no home-base, and constantly traveling can be draining. Here are some tips to work as a digital nomad and pros and cons to help you determine if this lifestyle is right for you.
What is a digital nomad?
Digital nomads embody a new wave of remote workers untethered to a specific location. These are people who work remotely from various locations instead of the same office each day.
For some, that might mean working remotely. But for many, it’s a travel-oriented working style that redefines what a digital worker is.
Thanks to advancements in technology and the proliferation of places to look for jobs online, digital nomads have the freedom to work from all over the globe. Coworking spaces in countries like Mexico or Indonesia and hostels across Asia and Europe become their makeshift offices.
This location-independent approach isn’t just about work. It's about blending the excitement of travel with the seriousness of a full-time remote job. Instead of working all year to save up vacation days for a few weeks of European vacation, you can take that vacation while you’re on the clock (if your company or industry allows it).
How to know if the digital nomad lifestyle is good for you
If you think the nomad lifestyle is up your alley, you’re not alone. According to a survey from MBO Partners, an organization that connects independent contractors to organizations needing their services, 17.3 million American workers described themselves as digital nomads in 2023.
The allure of novel experiences, new horizons, and the freedom to work from anywhere can be compelling. If you can consistently self-motivate, prioritize tasks over wanderlust at crucial times, and adapt to varying levels of comfort and connectivity, then you might be ready to learn how to be a digital nomad.
There’s also a chance that jetsetting is your ideal working life but these flexible traits seem out of reach. Maintaining a strict routine could feel more your speed. If that sounds like you, there’s no need to give up your apartment and switch to the gig economy.
See if your employer lets you work from other countries and try taking short trips, where you work from another location for a week or two at a time to test the international waters.
And don’t be fooled by the Instagram-perfect snapshots or TikTok lifestyle content. It takes more than a love for travel to find success living this way. Behind the scenes, there’s a lot of discipline and hustle that goes into making digital nomadism a sustainable lifestyle.
After all, those shimmering beaches and vibrant marketplaces, while enticing, are also potential distractions. You need to know that you can keep working regular hours to avoid the stress of procrastinating or rushing to meet deadlines.
6 benefits of being a digital nomad
A study by Global Workplace Analytics found that 56% of US workers have jobs they can perform remotely, and more than 80% of the workforce want a remote-only option. No lifestyle is entirely without drawbacks, but the work-from-home or work-on-the-go lifestyle has many advantages. Here are the top benefits of becoming a digital nomad:
1. Constant exploration
Being a digital nomad isn’t just about work — it's a ticket to experience the world. Working as a digital nomad allows immersion in new cultures and diving head-first into environments that expand your worldview.
Whether you're wandering through the bustling markets of Thailand, savoring tapas in Spain, or enjoying the serene landscapes of Bali, every day becomes an opportunity for a new adventure.
2. Flexibility
While you might have the opportunity to adjust your work hours according to a different time zone, some roles may still require you to adhere to core hours, regardless of where you are in the world. That said, this lifestyle can offer other forms of flexibility.
With the digital nomad lifestyle, you have a greater degree of control over how you allocate your time, which can lead to a healthier work-life balance. Perhaps you're setting your breaks around the best surf times in Australia or spending mornings relaxing on the beach before working into the evening.
3. Cost-effective living
Stretch your dollar further by setting up shop in countries with a lower cost of living. While city-dwellers in places like the US or Canada often grapple with skyrocketing rent and expenses, digital nomads can live comfortably in countries across Asia or Central America, where the cost of living is a fraction of what they're used to.
The average American renter spends 30% of their annual income on rent, and in countries like Indonesia, rent prices are about 60% lower. This means more money in your pocket for experiences, savings, or even passive income ventures.
4. Networking opportunities
It's not all solo work and sightseeing — digital nomads have a vibrant and diverse community at their disposal. Hubs like Bali, Thailand, and Portugal have become hotspots for nomads, teeming with coworking spaces and networking events.
Whether you’re sharing a workspace in Europe or attending networking events in South America, there’s always an opportunity to connect with other entrepreneurs, digital nomads, and freelancers. These interactions can lead to collaborations, new side gigs, or even lifelong friendships.
5. Skill development
Navigating the digital nomad life isn't just about doing your job from a new location — it’s a constant learning curve. Adapting to different cultures, managing work across time zones, or even handling the occasional Wi-Fi outage at a café demands resilience and problem-solving skills.
As you juggle these challenges, you’ll find yourself picking up new skills, from practicing basic phrases in a new language to maximizing your productivity to work smarter, not harder. It’s a journey of both personal and professional growth that enriches your life.
6. Personal well-being boost
Something is refreshing about breaking away from routine, and the digital nomad lifestyle epitomizes this escape. Immersing yourself in different environments — be it the tranquil beaches of Indonesia or the lively streets of Europe — positively impacts personal growth and mental and physical well-being.
Exposure to new experiences, people, and cultures stimulates the mind and reinvigorates the soul. Away from the confines of an office, you’re free to choose a workspace that resonates with your mood, whether it’s a quiet cafe overlooking the sea or a bustling coworking space filled with vibrant energy.
6 disadvantages of being a digital nomad
Global mobility has taken off in recent years. Following the catalyst that was the pandemic, MBO Partners reported that remote work saw a 131% increase since 2019. However, the freedom of location-independent work comes with its own set of challenges. Here are some of the downsides that every aspiring digital nomad should consider:
1. Connectivity issues
As much as working from a remote beach in Bali sounds enticing, reliable Wi-Fi can be elusive. Not every café, hostel, or coworking space offers the high-speed internet connection essential for tasks like web development, online courses, or video meetings. There's nothing more frustrating than a dropped Zoom call when you're sealing an important deal.
Even the most flexible companies require reliability, so know that constantly missing deadlines because you can’t get a signal might strain your working relationships.
2. Loneliness
Embracing the digital nomad life means constantly meeting new people, but it also means frequently dealing with goodbyes and loneliness. This transient lifestyle can lead to feelings of isolation, especially in a place where you don’t speak the primary language.
While there are digital nomad communities and forums to connect with, nothing replaces the comfort of long-term, face-to-face relationships and quality time with family or friends.
3. Visa challenges
While some countries are introducing digital nomad visas, navigating both the visa and tax landscapes can be intricate. You might find yourself in a beautiful spot like Thailand or Portugal but have to leave sooner than desired due to visa restrictions.
Additionally, working in a foreign country might also mean that you're subject to local tax obligations. Some countries offer digital nomad visas that lower your tax rate, but it varies. Do your research before traveling to a foreign country to determine what your tax obligations are.
And no matter where you are in the world, you have to pay American taxes if you’re a US citizen (with some exceptions), adding another layer of complexity to your stay. You might only have to pay US taxes, but it’s good to know who you’ll owe before you make an international move.
Staying informed about visa requirements, from application fees to paperwork, alongside understanding potential tax implications, can sometimes feel like a full-time job in itself. It's essential to be thorough and seek appropriate advice when needed, ensuring you stay compliant and enjoy your digital nomad experience to the fullest.
4. Healthcare
You can't predict when you'll need medical attention, so finding health insurance that caters to the digital nomad's unique circumstances is critical.
Nomad-tailored providers like SafetyWing offer global health insurance tailored for digital nomads, covering them across various countries without the need for multiple policies. While it simplifies the insurance process for nomads, understanding specific coverage details in different locations remains crucial.
However, managing these policies and seeking healthcare in unfamiliar places can be daunting, especially if you need to access healthcare in a language you don’t speak. Prioritizing your health is essential, but it's another task to add to the to-do list.
5. Financial fluctuations
The freedom of freelance work can sometimes mean an unpredictable income. Platforms like Upwork or Fiverr offer numerous gigs, but there might be dry spells where work isn’t as plentiful.
Plus, fluctuating travel or living costs can impact your budget as you're hopping between places and countries. If you’re a digital nomad relying on freelancing or living without a stable paycheck, you need a sound financial strategy to ensure you have enough money to support your digital nomad lifestyle and any relocations.
6. Constantly adapting
The thrill of new experiences is part of the allure, but it also means you're perpetually in adaptation mode. Every time you settle in a new country, there's a slew of new customs, laws, and sometimes even time zones to adjust to.
While discovering new cultures is enriching, it can also be mentally taxing to always be the "new person" trying to figure things out. Balancing work and the hustle of settling into a new place might wear down even the most adventurous souls.
How to become a digital nomad: 8 tips
The digital nomad lifestyle undoubtedly offers unparalleled freedom and flexibility. Yet, like any lifestyle choice, it requires strategic planning and thorough preparation. Before packing up your laptop and booking a one-way ticket, it’s critical to set yourself up for success. Here are some tips to send you on your way:
1. Identify your skill set
As a nomad, zeroing in on what you’re good at is essential. By leveraging your strengths, you can ensure a steady income, achieve greater job satisfaction, and truly enjoy the balance of work and exploration in diverse settings.
Dive deep into your capabilities and talents, then start scouting for remote jobs that resonate with your expertise and won’t be automated by AI. Platforms like Upwork and LinkedIn are gold mines for remote work opportunities, with job boards often dedicated to digital nomad jobs.
If your current role lets you work abroad and you don’t need to find a new position, be honest with yourself about how you’ll manage the transition to a nomadic employee. Knowing where you’ll struggle — like motivating yourself to work in another time zone because you value working a strict 9–5 — helps you prepare.
2. Plan financially
Living the digital nomad lifestyle requires meticulous financial planning and a base level of financial wellness. Make sure you have an emergency fund, ideally with enough to book a last-minute ticket home if something comes up, to protect you from getting stranded.
Aside from securing a reliable, recession-proof job, you’ll need to open a bank account designed for travelers. Such accounts come with benefits like lower foreign transaction fees, no worldwide ATM withdrawal fees, real-time currency conversion rates, and security measures tailored for a nomadic lifestyle.
This simplifies international transactions and currency exchanges and optimizes your financial experience abroad. For cost-effective and efficient international money transfers, services like Wise and MoneyGram are great options.
3. Get tech-ready
Your technology game has to be on point as a nomadic worker. Invest in a high-quality laptop that suits your work needs. Also, prioritize security — a dependable VPN protects you from potential cyber threats, especially when hopping onto different Wi-Fi networks.
And don’t forget to buy a local SIM card to stay connected with your family, friends, and clients, if they need to reach you by phone.
4. Learn continuously
The digital world constantly evolves, and so, too, do the most in-demand jobs. Stay relevant and boost your employability by enrolling in online courses. For digital nomads, this is particularly crucial to ensure their skills remain updated and they stay connected to the industry's developments — lest you lose your nomadic status.
Sites like Coursera or Udemy offer a plethora of subjects, ensuring you're always at the forefront of your industry. It might even be beneficial to explore new opportunities in marketing, communications, or popular jobs for career changes.
5. Join digital nomad groups
Loneliness can be a challenge. But thanks to the ever-growing digital nomad community, you're never truly alone. Make an effort to find Facebook groups or forums tailored for digital nomads. Even consider working from coworking spaces in the city you’re in, since these spots offer a blend of networking opportunities and a touch of that cherished home base feel.
6. Sort your documentation
Navigating the maze of visas and customs is about as fun as it sounds, so do your homework and prepare beforehand. Start by researching digital nomad or tourist visas for countries on your bucket list.
Each country has its own set of rules, and it will save you time and money to be well-informed. And always — always — have a backup plan. You never know when you'll need to pivot, and you don’t want to get stuck in an airport or a different country.
7. Secure your health
Adventurous as you might be, never play dice with your health. While travel insurance covers those unforeseen trip mishaps, it’s also vital to have health insurance tailored to your nomadic lifestyle.
8. Embrace local cultures
As you traverse different countries, immerse yourself in the local culture. It’s more than just a travel experience — it's a way to enhance your productivity and well-being. Understand the local customs, etiquette, and work ethics. If you're in Spain, perhaps adapt to the siesta culture; if you’re in Bali, embrace the tranquility that comes with the island life.
This isn’t just about fitting in. It's about harnessing the best of each place to boost your work and enrich your digital nomad life. Remember, every country offers unique insights, and embracing them can give you a fresh perspective on your work and life.
Embracing the digital nomad life
Embarking on a journey as a digital nomad isn’t just about the thrill of new sights and experiences. It's about embracing a way of life where work and wanderlust intertwine seamlessly.
While it comes with its challenges, the professional and personal rewards make the hustle worthwhile. So, if you’re looking for more than just a 9-5, the world is your office. Dive in, explore, and redefine what work looks like for you.
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