In my opinion, digital nomads are the modern-day evolution of backpackers. They tend to be adventurous and curious people – and, if we’re honest, there’s often an inescapable aura of privilege about them.
I do see digital nomads as being separable into distinct groups, as we’ll get into below, but it’s important to call out this context up top because let’s be clear: digital nomading is not a new thing. It is, however, a fresh dollop of dopamine onto the Zeitgeist of anyone who may be any combination of fevered with the travel bug or catatonically understimulated at work and seeking a change.
However, a spectrum that large makes explaining, “What is a digital nomad?” more complicated than the simple answer, which suggests that a digital nomad is simply someone with no home base who works from “anywhere” (whatever that means).
The digital nomad persona
I’ve been as guilty as anyone of posting a photo of my laptop resting on a table on a terrace, with a beautiful natural backdrop. I’ve also included an inspirational quote, Instagram sticker proclaiming my gratitude for this moment, and other objectively cringe things.
…And I will do these things again because there’s nothing inherently wrong with sharing happiness and the beauty of where you are – if that’s indeed what you’re doing.
As a seasoned traveler, expat, and digital nomad, I do feel I have a responsibility to avoid too flippantly embodying what I call the “digital nomad persona.” I think of this as the stereotype that pops into the everyday person’s head when they think of digital nomads. The gratitude-soft brag post is one stock image, but so are other, much more potentially harmful ones, such as:
- irresponsible wildlife interactions,
- posts that proclaim an area as “cheap,” and, more recently,
- a rising tide of content promoting citizenship acquisition to escape taxation. 😤
Again, these are not new phenomena, but their entrance to mainstream consciousness is. And as with any minority (because indeed, that’s what digital nomads are), stereotypes are dangerous, particularly for those whose identity involves multiple minority statuses (e.g., female, person of color, non gender-conforming, and so forth).
What a digital nomad is, actually
Technically, a digital nomad is someone who does not have a designated home base and only requires an Internet connection to perform their work. They often run into challenges designating a mailing address for administrative purposes and can easily develop complex tax situations if they’re not careful. (This particularly applies to US citizens and green card holders.) However, I would venture to say that there are different types of digital nomads, much in the same way that there are different types of travelers.
Backpackers turned digital nomads
These are the salt-of-the-earth travelers who explore the world fueled by curiosity and in pursuit of new experiences. They are not driven by tax or financial incentives and instead may choose humble lives, such as volunteering administrative support at a hostel in exchange for free room and board, working seasonal jobs such as wine harvests or ski seasons, or exchanging assistance with various projects in exchange for food and accommodation through platforms like WOOF and Workaway. To these nomads, the “digital” is not necessarily a full-time descriptor.
Location-independent remote workers who patronize accommodation that supports their work needs
These are typically higher-earning nomads who have jobs that require some adherence to a routine and reliably strong internet connection. Remote workers tend to be reliant on one source of income and may be employed by a company with a Work From Anywhere (WFA) policy.
Self-employed workers who patronize accommodation that facilitates their line of work
This categorization would apply to a freelance writer, graphic designer, event planner, or really anyone who has multiple clients and a business entity. US citizens who become digital nomads often structure their business set up through a US-domiciled business entity. It’s worth mentioning though that when tax season rolls around, this can get complicated depending on which countries you travel to and how much time you spend there. Additionally, even if you have your tax situation figured out, complications could still arise around Social Security payments with respect to the US or your resident country/countries.
Who can become a digital nomad?
I can’t emphasize this enough: Anyone can become a digital nomad. While social media algorithms tend to favor the glitz and the glam of traveling and working abroad and many digital nomads are also travel content creators, the reality of the time, that’s not a digital nomad’s life.
Digital nomadism will appeal to people who are adaptable and curious travelers, good problem solvers, and enjoy being pushed out of their comfort zone. Digital nomads are fundamentally people who enjoy exploring new places, and, in my opinion, the best ones take the time to learn about the culture of the places they visit.
While plenty of challenges arise from this lifestyle, becoming a digital nomad is one way to completely redirect and take charge of your life. That said, there are plenty of challenges that come with this lifestyle, which we’ll touch on below.
Who should become a digital nomad?
So, this is where I get up on my high horse and say that people who appreciate the inherent privilege in being able to live wherever they want and earn an income should be first in the karmic line to become digital nomads.
Basically, thoughtful people. People who wonder if it’s worth it to take the leap and worry about the impact their curiosity might have on the local population. People who worry about the details, like how to say hello and have basic interactions in a foreign language. You should definitely become a digital nomad.
I strongly feel that when we travel as digital nomads, we have a responsibility to the communities we interact with
In some cases, visiting certain places is a bit like taking an airplane: the carbon footprint is inevitable, and so is contributing to overtourism if you visit a touristy place during high season.
But does that mean you shouldn’t travel by plane, or visit a particular place? Of course not. But it should mean that you take the time to explore alternative options to, say, a popular tourist destination during high season, if possible.
I know I’m walking a fine line here because in many cases, people set their sights on a certain destination after it’s been popularized on social media (looking at you, Emily in Paris). So to bow out gracefully, no, I don’t think it’s a horrible thing to want to visit Paris, or that you’re a horrible person if you do so in July. (Hey, I visited Barcelona and Girona in July 2019, I literally can’t say anything.)
But I do urge everyone to research the implications of their travel decisions and prepare and interact with their destination responsibly and ethically. This is particularly important in places with fragile ecosystems, like the Canary Island Lanzarote.
How to become a digital nomad
Ah, the ultimate piece to the freedom-seeker’s puzzle.
Before you can be a digital nomad, you must make a plan to become one.
Yoda, probably
Now, what that plan looks like will completely depend on the individual. However, there are certain questions that you can ask yourself when determining the best path forward.
Overview of questions to ask yourself (heart-based and practical)
Digital nomads might look like they live the dream, but some serious reflection should go into the decision to uproot and move abroad. To become a digital nomad, you will need to decide on a target country. Ideally, the country has a digital nomad visa, which facilitates your immigration pathway.
In my opinion, popular countries such as Portugal (haaave you traveled to Lisbon?) and Spain shouldn’t be excluded simply because many foreigners are already there. But, I do think foreigners who move there should be conscious of their impact on the local population and be extra-respectful to locals.
At the very least
- Make an extra effort to learn the local language (and, to that end, don’t get offended when the locals simply speak back to you in English)
- Do not impose your cultural norms and expectations on the country, and
- Refrain from speaking about the country in a disparaging or insensitive way on social media.
What is my current professional skillset?
Consider your existing skills and how they translate to remote work. Professions like web development, graphic design, social media management, writing, and digital marketing are particularly suited to the digital nomad lifestyle. Reflect on your expertise and try to dig in and reflect on what’s important to you when determining the best way to support a location-independent career.
What role does becoming a digital nomad play in my dreams for my future self? What am I looking to get out of the experience?
Visualize your goals and aspirations. Are you seeking an adventure in Cocora Valley in Colombia? The cultural enrichment that comes from being a volunteer to teach English in a foreign country? Perhaps you’re simply looking for a break from the 9-to-5 grind? Attempting to clarify your motivations and beginning a routine of asking yourself how the digital nomad lifestyle aligns with your long-term vision is a great exercise.
You might not know at the beginning (maybe that’s why you want to get out and explore a bit), but it’s important to establish a habit of checking in with yourself. Neglecting to do so can easily result in feelings of aimlessness that are intensified by feelings of being unmoored and generally cynical about the world.
Can I use becoming a digital nomad as an opportunity to reinvent myself professionally?
The digital nomad lifestyle can be a catalyst for career reinvention. If you’re applying for a digital nomad visa, the process of doing so and saving the necessary cash for a big move will take time anyway. So, you might as well invest in acquiring new skills to shift to a more fulfilling career path. The freedom to work from anywhere can open doors to opportunities you might not have encountered otherwise.
Do I want to work full-time or part-time as a digital nomad?
Decide whether you want to maintain a full-time workload or prefer a part-time schedule to have more time for exploration and leisure. This decision will impact your income, work-life balance, and overall experience as a digital nomad.
Do I want to be a remote worker?
Assess if remote work suits your personality and work style. While it offers flexibility and autonomy, it also requires self-discipline and effective time management. Ensure you can thrive in a remote work environment before committing.
What sorts of places in the world am I drawn to?
Identify the types of environments that inspire and energize you. Whether it’s bustling cities, the swell of waves breaking over beautiful beaches, or remote mountain villages, choose destinations that feel aligned with where you are at the time of becoming a digital nomad.
What is my comfort level with traveling?
Honestly evaluate your travel experience and adaptability. Being a digital nomad often involves navigating unfamiliar places, cultures, and languages. Ensure you are comfortable with the challenges and excitement of continuous travel. (In some cases, a travel coach may be helpful here, but take care. Vet them carefully. They should have extensive personal experience as digital nomads themselves, and ideally have visited the place(s) you’re drawn to.)
How important is it to be able to communicate in the local language?
Consider the significance of language barriers in your chosen destinations. While English is widely spoken in many places, learning the local language can enhance your experience and integration into the community. Decide how much effort you are willing to invest in language learning.
Next, some logistical questions:
- How long would you like to be a digital nomad?
- Which country or countries do I want to explore as a digital nomad?
- What sort of travel equipment do I need to purchase?
- What sort of visa do I need for my first destination?
- How much do I need to save before I can take the plunge?
- What travel insurance option is best for me?
- Which online currency exchange platform and money transfer service is best for my needs? (I strongly recommend Wise!)
- Should I get a travel credit card?
- What are the tax implications of my plan to become a digital nomad?
I highly recommend breaking the above and related questions out into a series of journaling sessions 🙂
What is a digital nomad visa?
A digital nomad visa is an immigration pathway created by a government to facilitate foreigners moving to their country. The idea is that wealthy foreigners will lead to a boost in the local economy, although in practice it’s not so straightforward.
Digital nomad visas are typically valid for at least one year and may or may not be renewable, depending on the country. For example, Croatia offers an extremely attractive digital nomad visa from a tax perspective, however, it is non-renewable, meaning that digital nomads have to leave after one year or find another way to stay (and likely pay higher taxes if so). (1)
Additionally, a digital nomad visa may offer an entry point to future citizenship. Notably, the Spanish digital nomad visa was released last year with a roadmap to citizenship. (2)
Countries offering digital nomad visas
Now, if you’re new to the travel and digital nomad travel scene, this concept will seem almost too good to be true.
Since Estonia launched the world’s first digital nomad visa in 2020, (3) governments all over the world have passed legislation to do the same.
The working theory is that digital nomad visas encourage higher-earning individuals to come and work in a country, thereby contributing to the economy. However, the design of the digital nomad visa varies by country, including the income threshold to qualify, the type or types of work contracts you’re allowed to hold, and more. One of the most attractive (and controversial) aspects of these visas is that they often come with significant tax breaks for digital nomads.
There are other sensitive details related to digital nomad visas to be aware of as well
The Portuguese government launched the first digital nomad visa program in Western Europe in 2022. (4) And, a horde of location-independent workers stampeded into the country, primarily flooding high-density areas such as Lisbon and Porto.
Today, the government is grappling with the aftershocks of their decision, with regular protests over the skyrocketing cost of living in major cities and regions, as well as local resentment toward foreigners. This is completely understandable when you consider that the average Portuguese salary is less than 1500 euros per month. (5)
Increasingly, European countries are offering digital nomad visas
While my adopted country is not on the list, plenty of countries in the neighborhood have joined the digital nomad bandwagon and created a visa pathway for location-independent workers. These include but are not limited to: Spain, Hungary, Ireland, Greece, Albania, the Czech Republic, and, recently, tantalizingly, Italy.
Determining the best digital nomad visa for you
My advice here is to go down some serious Internet rabbit holes. Take the time to follow and, if possible, connect with other digital nomads and expats in your target country. I make the distinction here because the feedback you get from someone who just arrived in a country six months ago may be very different from someone who has lived in the country for six years. Depending on the degree to which your career is on your mind as a prospective digital nomad, I would recommend checking out conferences and finding prominent location independent workers to follow and/or connect with on LinkedIn.
Pros and cons of being a digital nomad
As I mentioned at the very beginning of this piece, life as a digital nomad is far from sunshine and roses. This is particularly true if you are trying to
Pros:
- Flexibility: Work from anywhere, anytime, allowing for a personalized schedule.
- Cultural Experiences: Immerse yourself in diverse cultures and learn new languages.
- Increased Productivity: Choose environments that boost your focus and creativity.
- Cost Savings: Live in countries with lower living costs while maintaining your income.
Cons:
- Isolation: Loneliness can occur due to a lack of a stable community.
- Work-Life Balance: Blurring boundaries between work and leisure can lead to burnout.
- Unstable Income: Freelance and contract work may result in inconsistent earnings.
- Logistical Challenges: Constant travel requires meticulous planning and adaptability.
- Challenges dating: Building and maintaining relationships can be difficult with a transient lifestyle, particularly when everyone tends to be at a different stage in their journey and the self-reflection and deep periods of introspection that accompany travel do not always translate into the skills needed for stable and healthy relationships.
Considerations Before Becoming a Digital Nomad
Becoming a digital nomad is an exciting but significant lifestyle change that requires careful planning and reflection. Here are some key considerations to keep in mind.
Reflect on why you want to be a digital nomad
Becoming a digital nomad will likely be a shock to the system with mental breakthroughs (and breakdowns, in all honesty) occurring regularly. So, in order to weather those moments, it’s important to cultivate a practice of checking in with yourself prior to leaving – even if the act of practicing transparency with yourself feels odd or straight-up unnecessary.
As yourself: Are you looking for adventure, cultural experiences, professional growth, or a better work-life balance? Clarifying your reasons will help you set realistic goals and expectations for your experience.
Research Ethical Travel Practices
Educate yourself on how to travel responsibly to minimize your impact on local communities and environments. This includes understanding cultural norms, supporting local businesses, and practicing sustainable tourism. Investigate specific ethical guidelines for the countries or regions you plan to visit to ensure respectful and mindful travel.
Consider How the Tax Implications of Becoming a Digital Nomad
Tax laws vary significantly between countries and can affect your income and financial planning. Research the tax obligations in both your home country and your host country. Consider consulting with a tax professional who specializes in international taxation to ensure compliance and optimize your tax situation.
Digital Nomad vs Location Independence
According to a 2023 study by MBO Partners, “80% of digital nomads reported being highly satisfied, and 9% reported being satisfied with their work.” (6) While there is a fine line between digital nomadism and location independence, in general, workers who seek respite from office culture and the traditional corporate grind tend to find the embrace of a digital nomad and/or location independent lifestyle a breath of fresh air.
Digital Nomad
A digital nomad typically travels frequently, moving from one location to another while working remotely. This lifestyle is characterized by:
- Constant Travel: Regularly changing locations to explore new places.
- Temporary Residences: Often staying in short-term rentals, hostels, or co-living spaces.
- Dynamic Environment: A flexible and ever-changing work environment that can boost creativity and adaptability.
Location Independence
Location independence, while similar, focuses more on the freedom to choose where to live and work, but with less frequent relocation. Key aspects include:
- Stable Base: Often maintaining a home base and traveling occasionally.
- Long-Term Living: Settling in one place for extended periods, allowing for deeper integration into local communities.
- Predictable Routine: More stability and consistency in daily life and work setup.
Both lifestyles offer the freedom to work remotely, but the key difference lies in the frequency and nature of travel. Digital nomads embrace constant movement, while location-independent individuals prioritize stability and long-term living in their chosen locations.
Choosing one option does not exclude the possibility of having the other option later. Traveling is a process of discovering under what situations you feel happiest and healthiest and what you need and want from your work will likely be reflected in the digital nomad style you gravitate towards.
Safety for digital nomads
Ensuring your safety as a digital nomad is crucial for a successful and enjoyable experience. Here are some key points to consider:
- Research and Preparation: Thoroughly research your destination, including safety ratings, common scams, and local customs. Use reliable sources and traveler reviews to gather information.
- Health Precautions: Stay updated on necessary vaccinations, health advisories, and local healthcare facilities. Carry a basic first aid kit and health insurance that covers international travel.
- Personal Security: Use secure accommodations, keep your belongings safe, and avoid risky areas, especially at night. Utilize digital tools like VPNs for secure internet connections.
- Emergency Plan: Have a contingency plan for emergencies, including contacts for local embassies and a backup of important documents.
By following these guidelines, digital nomads can enhance their safety and well-being while exploring new destinations.
“Sure, traveling abroad does pose inherent risk. But as someone who’s experienced those risks firsthand, I can wholeheartedly say that the benefits and personal growth of being abroad FAR outweigh the costs of needing to be a little extra diligent. Truly, a little extra care is all it takes! Simple steps such as knowing which parts of a city to avoid, pre-planning reliable transportation from the airport, researching common scams, and catching yourself before you step into what I call “over-confidence mode” can support you in avoiding any trouble.”
-Arielle DeHaw, Founder of Solo Travel School
FAQs of Being a Digital Nomad
What is the point of being a digital nomad?
Becoming a digital nomad is a personal decision that can help alleviate feelings of stagnation, reinvigorate your soul, and inspire you to remember and pursue interests and passions that align better with you.
