Are you considering moving abroad to a warmer climate? Would you love to have the opportunity to travel and live somewhere new? Becoming an expat is something that can be a reality for you. But you will have to do your preparation when it comes to finances first. Indeed, a common question is; how much does it really cost to move abroad? Let’s break it down.
The Financial Side
You and your family may be emotionally ready to move abroad. But you are going to want to consider the financial side before you dive into your new life. Of course, you have your flights to book and all of your personal items. But you really need to think of the expenses that are going to come your way as an expat.
Primarily, the big expense you are going to have when you become an expat is your cost of living. We are talking about paying for accommodation and your day-to-day living. Most people rent at first when they move abroad. This allows you time to see whether you like living in the country and to find the right neighborhood for your family. Then you need to budget money for food, healthcare and other essentials. Be aware that you may have to pay out or a security deposit on your accommodation too.
In order to work out how much it is going to cost to move abroad, you will have to do your research. Some countries have a lower cost of living than others. For example, moving to Singapore is going to have higher expenses than moving to Mexico. Create a budget spreadsheet to work out how much the following are going to cost you so you know how much to save:
- The monthly cost of living
- Insurance policies
- Additional expenses
Moving Abroad in 2021
When it came to travel in 2020, it was largely disrupted by COVID-19. In fact, it caused a lot of worry for people that were planning on moving abroad. Some borders were closed and there were restrictions put in place across the world to deal with the global pandemic. Therefore, families will be wondering whether their expat dream can come true in 2021 as the coronavirus economic impact has been severe.
It is hoped that some progress in suppressing the coronavirus will be made in 2021. While some expats have expressed their desire to return home, others have found they are confident with their financial situation abroad. This will have to be something you consider personally. You will have to do some research on whether it will be possible to move abroad to your new country during this time. You will also want to weigh up what the healthcare system is like and if you have the financial backing to support you and your family. If you were planning on traveling and exploring as an expat, it may be best to delay your trip as this may not be done safely.