The idea of traveling the world doing what you love and working digitally from exotic foreign locations may be appealing to some, but what are the real pros and cons of being a digital nomad? What should you take into account? And what are some solutions?
Let’s dive in!
Work from anywhere
Digital nomads are location-free, meaning they have the freedom to work from anywhere (as long as it has an internet connection).
Digital nomads tend to move around from country to country, hence the term, but the frequency with which they do so differs. Some people like to base themselves in one jurisdiction and travel frequently from there, whereas others are always on the move every few weeks or months or more.
Naturally, if you move around a lot, there’s all the more reason to have proper systems and controls in place to ensure what needs to get done gets done and automate time-consuming but essential processes such as invoicing so you get paid on time.
What you can do:
Good invoice software allows you to effortlessly send your invoices at the push of a button. You can also automate otherwise time-consuming tasks, such as reminders for past-due invoices.
Invoice Ninja is a leading free invoicing software for small business invoicing, online payments, tracking expenses and billable tasks. It also has customized invoice templates where you can upload your digital nomad logo and brand colors.
One less thing to worry about when you are sipping mocktails and sunning yourself on the beach in Goa!
Cost of living
Benefiting from a lower cost of living is an often-cited benefit of being a digital nomad. Of course, this will greatly depend on your home country’s cost of living when compared with your host country. Obviously, you won’t be paying money for commuting, but you will need accommodation and to cover day-to-day living costs.
What you can do:
One way to reduce or even eliminate accommodation costs might be to consider house or pet sitting. There are companies online that put homeowners from all over the world in touch with house/pet sitters. It’s a great way to see the world, especially if you like fur babies.
International clients
Digital nomads benefit from experiencing new and different cultures and living in other countries. This means you will likely be working with international clients, invoicing in foreign currencies (and possibly even in different languages), too.
What you can do:
Get invoice software that enables you to invoice international clients in a foreign currency.
Some invoice software providers charge more for this feature, but it’s free with Invoice Ninja. What’s more, you also get to set your invoice in different languages, making you even easier to do business with. Invoice Ninja also integrates payment gateways across the world, allowing your clients to pay an invoice in just one click.
The legal bits
Different jurisdictions have different residency and citizenship rules. So what’s allowed in one country (in terms of duration and conditions) likely differs in another. What’s more, residency is not the same as citizenship, and different permissions and rules can apply depending on your status. Some countries require you to have a Digital Nomad Visa. You may also be bound by your own country of residence’s tax obligations.
What you can do:
To navigate the requirements successfully, you should consider hiring an expert licensed consultant – or firm – for advice relevant to your particular circumstances. They will also be able to keep you up to date with any future changes in legislation.
Family and friends
While you may make new friends and meet interesting people traveling, these relationships are often transitory and can be like ships passing in the night. If you are at heart a homebody or have family commitments, being abroad or always on the move could overwhelm you, and you may miss your family and friends (and home comforts) and soon become homesick.
What you can do:
Before you decide to become a digital nomad, consider taking into account if you are someone who is okay in their own company or if you need a lot of people around you and are more of a social butterfly.
Either way, nowadays, there are some big expat digital nomad communities you can join where you can form some great relationships with people and benefit from an international network of friends and culture to dip into.
But check before you go if such communities exist in your preferred location. Join online before you leave, as they can be great sources of information.
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So, if you have a skill you can do remotely and would like to travel the world and explore different cultures, digital nomadism might be for you! But we strongly suggest you thoroughly research your potential host countries first and get professional advice before you take the leap!
