Are you dreaming of a new life abroad? Becoming a digital nomad or an expat means combining work and travel to explore more of the world, but which lifestyle is right for you?
We’ve put together a handy overview of the differences between an expat and a digital nomad.
A digital nomad moves from location to location every few weeks or months while continuing to work online. They are location-independent people who are constantly on the move. They can typically do 100 per cent of their work remotely or online, whether that is in the form of freelancing, running an online business, or working remotely for a company. Digital nomads often work in fields such as IT, graphic design, writing, marketing, or any job that can be done remotely. All you need is a laptop and a stable internet connection.
The digital nomad lifestyle is not just about work, it’s a mix of travel, flexibility, and the ability to experience a variety of different cultures and destinations, making it an attractive option if you’re seeking a non-traditional work environment and lifestyle. You could be working from a beach shack, a rainforest retreat, a ski lodge, or a hilltop villa. And typically, a digital nomad only pays income tax in their country of origin.
Travelling and working on-the-go is one of the many perks of being a digital nomad, but the lifestyle can come with challenges too. Digital nomads are constantly on the move and because they have no place to call home, it can be hard to make new friends or form long-term relationships. Being away from family, friends, and other support systems can be difficult. Moving frequently can be expensive too, as the costs for flights and short-term accommodation can quickly add up.
An expat, or expatriate, is someone who has left their home country to settle in a new country, either temporarily for a couple of years or more permanently. What distinguishes an expat from a digital nomad is an expat doesn’t hop from one country to another. An expat is usually looking to put down roots.
Expats move abroad for a variety of reasons. Some are driven by career opportunities, seeking international experience, or assignments in multinational corporations, and their employers often provide a host of perks including housing allowances, school fees, relocation allowances, and other financial benefits. Other expats relocate for personal reasons, such as joining a spouse, or seeking a better quality of life.
The expat life, of course, is not without its challenges too, which can include learning a new language, understanding local customs, and the inevitable culture shock of living in a new country. Expats can also feel lonely, particularly if they have difficulty making local friends or are separated from family and support networks at home. Everyday tasks, such understanding local laws and regulations, can be challenging. Being more established in a job and country may also limit opportunities to travel.
So, whether you choose to begin your life overseas as a digital nomad or an expat, it is a matter of deciding which lifestyle is best suited to you. Whichever you choose, we hope you have the adventure of a lifetime.
At Allianz, we’re here to help you and your family, providing expert advice, information and assistance, wherever you are in the world. Our Helpline is here for you 24/7. Contact us today.
