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Some of the latest data from Speakwise states that there are roughly 40 to 43 million digital nomads worldwide. The appeal is obvious. Sitting on the beach and doing a 9-to-5 (or something with considerably fewer hours than that) or working in a vibey cafe in Thailand is so much better than trudging into the office every workday.
If that’s exactly why you want to become a digital nomad, follow this guide first so that you’re prepared to do it right.
How to Keep Yourself Safe Online When Working On-The-Go
It’s a misconception that every cafe or airport network is unsafe. That said, you should always check for HTTPS encryption and the lock symbol before you use a website. Or, better still, use a VPN to hide your IP address and encrypt your connection.
If you search ‘whats my IP address’ or follow the link, you might be surprised by how fast your unique IP address pops up and the fact that it knows exactly where you are.
For remote workers, the risk is:
- Handling work accounts
- Dealing with client documents
- Dealing with sensitive financial information across unfamiliar networks and devices.
A VPN can add another layer of privacy by encrypting traffic between the device and VPN server.
It’s also recommended to enable multifactor authentication on email, cloud storage, banking and work accounts.
CISA says MFA can protect an account even when the password has been stolen. You should also keep laptops, phones, browsers and VPN software updated and use automatic updates where possible.
How to Make and Manage a Stable Income
One of the biggest problems digital nomads face is income consistency. A high-earning month is nice, but it doesn’t help much if the next two are quiet. Base your budget on a realistic average, not your best month.
The strongest setup is usually to diversify income sources instead of relying on one client or employer. For example, you could combine one main remote role with freelance work or retainers. Monthly retainers and long-term clients are the best option.
The Consumer Financial Protection Bureau recommends building an emergency fund for people with irregular income. For a digital nomad, that buffer can also cover unexpected flights, medical costs, a laptop replacement, or a sudden loss of work.
How to Track Expenses and Manage Money Globally
Part of managing your income well is tracking your expenses and managing the money you earn.
Always keep records of your income and business expenses throughout the year for tax purposes. That’s first and foremost.
A practical system is then to keep business and personal spending separate. Track spending over several weeks or months rather than guessing so you can spot unused subscriptions and understand your real monthly baseline.
You can use apps that connect to your bank accounts and help you manage your expenses and spending. That’s probably the best option. You can see everything and know exactly how much money you need for essential payments and how much you have left over to enjoy.
The Best Locations For Digital Nomads
These are the best locations for digital nomads based on the remote-work schemes they offer. You can’t just go to any country and work unless you stay for a short amount of time on a tourist visa and keep moving around. The best countries where you can actually get a work visa and stay are:
- Spain
- Portugal
- Costa Rica
- Croatia
- Thailand
Check each country’s work visa rules to see whether you’re eligible. You should also understand how and where to pay tax in the countries you stay in.
Are you ready to be a digital nomad? The freedom is amazing, but there are definitely a few things to consider so that you’re financially stable and don’t have to come running home to a 9-to-5.
