Gain experiences, memories and a substantial contribution to your future nest egg
Medellín, Colombia, has become a popular destination for expat remote workers.
Moving abroad after retirement is becoming an increasingly attractive option for older adults seeking a lower cost of living and higher quality of life. A recent Harris poll reveals that nearly half of Americans have considered a move beyond U.S. borders.
We have written extensively about the topic here at MarketWatch, and are ourselves expats who have lived in Cuenca, Ecuador, for over 16 years.
In addition to retirees, there is another demographic group that could enjoy the adventure of a lifetime, plus achieve an enormous head start on their retirement savings by spending a few years abroad: young remote workers.
While headlines about return-to-office mandates make it seem like this type of employment is a dying relic of the pandemic, FlexJobs, a leading online site for remote employment, reported a 22% increase in postings for the first half of 2026. And the World Economic Forum predicts global digital jobs will grow by 25% to over 90 million by 2030.
A unique opportunity
For an online employee, the beginning of a career is a unique window in adult life that potentially combines a good income with few ties to a specific geographic area. What if just five of those early years were spent seeing the world - and possibly adding over $1 million to your savings by the time you retire?
This idea isn't about the aggressive sacrificing embraced by hardcore followers of the FIRE movement. In fact, the exact opposite is true. We will illustrate how you can simultaneously enjoy an upscale lifestyle abroad for a fraction of what it would cost to live in the United States, while radically increasing your savings.
The goal isn't to quit working at 40. It's to eventually return home, continue building a career and have a family, if that's part of your life plan. What you bring back with you is not only lifelong experiences and memories but also a substantial contribution to your future nest egg.
Meet Michael, our fictitious 30-year-old remote worker earning $100,000 per year (ZipRecruiter puts a remote software developer's salary at about $112,000 on average). After taxes, his net income is approximately $80,000. While the median 30-year-old has only about a $16,000 401(k) balance, he is serious about maximizing his retirement account.
Let's examine the relative costs and long-term financial impact of Michael residing in four different countries around the world, all in cities with vibrant coworking communities: the U.S., South America, Europe and Southeast Asia. The three places outside of the U.S. offer special digital-nomad visas and, importantly for our comparison, require no personal vehicle.
Figures for housing, food, utilities and other routine expenses are primarily from Numbeo. Numbers are rounded and intended to represent a comfortable lifestyle, rather than a bare-bones budget.
Since individual expenses for debt repayment, healthcare and insurance can vary considerably, these categories are not included. Likewise, taxation abroad is country-specific and usually tied to residency and visa rules.
Austin, Texas
We chose Austin as our U.S. benchmark because it's a major technology and remote-work hub with a large population of young professionals and a strong digital economy. While Austin is one of the more expensive cities in Texas, its cost of living is relatively moderate compared with pricier cities on the East and West coasts. With a vibrant social scene and plenty of recreation, it provides a realistic baseline for comparing the financial advantages of living and working abroad.
Medellín, Colombia
We spent two months in Medellín and loved it, so we're not surprised it has become one of Latin America's most popular destinations for digital nomads. A mild, springlike climate makes it comfortable year-round, and the cuisine is outstanding. There is an extensive public-transit system (including the country's only light rail), and Uber (UBER) rides rarely cost more than $3. Because Medellín is in the Eastern time zone for part of the year and only an hour different for the rest, remote workers can maintain normal working hours with employers and clients based in the U.S.
Colombia's digital-nomad visa allows residency for up to two years, and the application can easily be resubmitted for a longer stay. The monthly income requirement is around $1,400.
Valencia, Spain
Valencia has become one of Europe's premier locations for digital nomads. This Mediterranean city seems to have it all - 300 days of sunshine, miles of beaches, a lively restaurant and nightlife scene, a beautiful and highly walkable historic center, and excellent public transportation. Plus, the cost of living is around 25% less than in Madrid and Barcelona.
Spain's digital-nomad visa is annual and can be extended for up to five years. The monthly income requirement is around $3,000.
Chiang Mai, Thailand
Chiang Mai is one of the most popular cities in the world for remote workers. Digital nomads rave about the affordable cost of living, phenomenal cuisine, lightning-fast internet and easy connections to other destinations in Asia. Chiang Mai has plenty of inviting cafés and coworking spaces to choose from. The locals' reputation for being welcoming, kind-hearted and generous is well-deserved. It should be noted that from March through May the weather is quite hot, and there is bad air quality due to nearby agricultural burning.
The country's Destination Thailand visa is a five-year, multiple-entry tourist visa that permits a stay of up to 180 days per entry. Annual proof of income is roughly $15,000.
Cost-of-living comparison
Below is roughly what it costs to live in the four locations:
Austin Medellín Valencia Chiang Mai
Rent $15,300 $8,400 $14,000 $5,400
Utilities, internet, phone $3,800 $1,800 $2,300 $1,200
Food, dining out $9,000 $5,000 $7,000 $4,000
Transportation $11,600 $1,200 $500 $900
Misc. personal expenses $6,000 $4,000 $5,000 $3,500
Total $45,700 $20,400 $28,800 $15,000
Source: Numbeo. Numbers are rounded and intended to represent a comfortable lifestyle.
As the chart shows, living expenses in these other locations can be dramatically less than in the U.S. It costs 46% less for Michael to live a comparable lifestyle in Medellín, 37% less in Valencia and 68% less in Chiang Mai.
The next chart shows that living in Austin, Michael has the potential to save $34,300. For our analysis, what he does with that money is up to him. We want to demonstrate what happens to his retirement account if he decides instead to live abroad for five years in one of the other three cities and invests only the difference in living expenses.
Austin Medellín Valencia Chiang Mai
Income after taxes $80,000 $80,000 $80,000 $80,000
Annual living expenses $45,700 $20,400 $28,800 $15,000
Potential annual savings $34,300 $59,600 $51,200 $65,000
Extra savings vs. Austin over 5 years - $126,500 $84,500 $153,500
Approx. value at 65 at 7%* - $1.11M $740,000 $1.35M
*Assumes the additional savings are invested annually for five years beginning around age 30 and then left invested until approximately age 65, earning an illustrative 7% annual return. Investment returns are not guaranteed.
The magic of compound interest allows Michael's additional savings over that five-year period to add around $1 million or more to his retirement account by the time he reaches age 65.
Broadening your horizons
Medellín, Valencia and Chiang Mai are certainly not the only places where this strategy can work. Our own hometown of Cuenca offers many of the same advantages.
Affordable destinations with reliable internet and a high quality of life can be found throughout Latin America, Europe and Asia. And dozens of countries now offer visas designed to attract remote workers.
MW Want to retire with more money? Leave the country for work early in your career.
By Edd and Cynthia Staton
Gain experiences, memories and a substantial contribution to your future nest egg
Medellín, Colombia, has become a popular destination for expat remote workers.
Moving abroad after retirement is becoming an increasingly attractive option for older adults seeking a lower cost of living and higher quality of life. A recent Harris poll reveals that nearly half of Americans have considered a move beyond U.S. borders.
We have written extensively about the topic here at MarketWatch, and are ourselves expats who have lived in Cuenca, Ecuador, for over 16 years.
In addition to retirees, there is another demographic group that could enjoy the adventure of a lifetime, plus achieve an enormous head start on their retirement savings by spending a few years abroad: young remote workers.
While headlines about return-to-office mandates make it seem like this type of employment is a dying relic of the pandemic, FlexJobs, a leading online site for remote employment, reported a 22% increase in postings for the first half of 2026. And the World Economic Forum predicts global digital jobs will grow by 25% to over 90 million by 2030.
A unique opportunity
For an online employee, the beginning of a career is a unique window in adult life that potentially combines a good income with few ties to a specific geographic area. What if just five of those early years were spent seeing the world - and possibly adding over $1 million to your savings by the time you retire?
This idea isn't about the aggressive sacrificing embraced by hardcore followers of the FIRE movement. In fact, the exact opposite is true. We will illustrate how you can simultaneously enjoy an upscale lifestyle abroad for a fraction of what it would cost to live in the United States, while radically increasing your savings.
The goal isn't to quit working at 40. It's to eventually return home, continue building a career and have a family, if that's part of your life plan. What you bring back with you is not only lifelong experiences and memories but also a substantial contribution to your future nest egg.
Meet Michael, our fictitious 30-year-old remote worker earning $100,000 per year (ZipRecruiter puts a remote software developer's salary at about $112,000 on average). After taxes, his net income is approximately $80,000. While the median 30-year-old has only about a $16,000 401(k) balance, he is serious about maximizing his retirement account.
Let's examine the relative costs and long-term financial impact of Michael residing in four different countries around the world, all in cities with vibrant coworking communities: the U.S., South America, Europe and Southeast Asia. The three places outside of the U.S. offer special digital-nomad visas and, importantly for our comparison, require no personal vehicle.
Figures for housing, food, utilities and other routine expenses are primarily from Numbeo. Numbers are rounded and intended to represent a comfortable lifestyle, rather than a bare-bones budget.
Since individual expenses for debt repayment, healthcare and insurance can vary considerably, these categories are not included. Likewise, taxation abroad is country-specific and usually tied to residency and visa rules.
Austin, Texas
We chose Austin as our U.S. benchmark because it's a major technology and remote-work hub with a large population of young professionals and a strong digital economy. While Austin is one of the more expensive cities in Texas, its cost of living is relatively moderate compared with pricier cities on the East and West coasts. With a vibrant social scene and plenty of recreation, it provides a realistic baseline for comparing the financial advantages of living and working abroad.
Medellín, Colombia
We spent two months in Medellín and loved it, so we're not surprised it has become one of Latin America's most popular destinations for digital nomads. A mild, springlike climate makes it comfortable year-round, and the cuisine is outstanding. There is an extensive public-transit system (including the country's only light rail), and Uber (UBER) rides rarely cost more than $3. Because Medellín is in the Eastern time zone for part of the year and only an hour different for the rest, remote workers can maintain normal working hours with employers and clients based in the U.S.
Colombia's digital-nomad visa allows residency for up to two years, and the application can easily be resubmitted for a longer stay. The monthly income requirement is around $1,400.
Valencia, Spain
Valencia has become one of Europe's premier locations for digital nomads. This Mediterranean city seems to have it all - 300 days of sunshine, miles of beaches, a lively restaurant and nightlife scene, a beautiful and highly walkable historic center, and excellent public transportation. Plus, the cost of living is around 25% less than in Madrid and Barcelona.
Spain's digital-nomad visa is annual and can be extended for up to five years. The monthly income requirement is around $3,000.
Chiang Mai, Thailand
Chiang Mai is one of the most popular cities in the world for remote workers. Digital nomads rave about the affordable cost of living, phenomenal cuisine, lightning-fast internet and easy connections to other destinations in Asia. Chiang Mai has plenty of inviting cafés and coworking spaces to choose from. The locals' reputation for being welcoming, kind-hearted and generous is well-deserved. It should be noted that from March through May the weather is quite hot, and there is bad air quality due to nearby agricultural burning.
The country's Destination Thailand visa is a five-year, multiple-entry tourist visa that permits a stay of up to 180 days per entry. Annual proof of income is roughly $15,000.
Cost-of-living comparison
Below is roughly what it costs to live in the four locations:
Austin Medellín Valencia Chiang Mai
Rent $15,300 $8,400 $14,000 $5,400
Utilities, internet, phone $3,800 $1,800 $2,300 $1,200
Food, dining out $9,000 $5,000 $7,000 $4,000
Transportation $11,600 $1,200 $500 $900
Misc. personal expenses $6,000 $4,000 $5,000 $3,500
Total $45,700 $20,400 $28,800 $15,000
Source: Numbeo. Numbers are rounded and intended to represent a comfortable lifestyle.
As the chart shows, living expenses in these other locations can be dramatically less than in the U.S. It costs 46% less for Michael to live a comparable lifestyle in Medellín, 37% less in Valencia and 68% less in Chiang Mai.
The next chart shows that living in Austin, Michael has the potential to save $34,300. For our analysis, what he does with that money is up to him. We want to demonstrate what happens to his retirement account if he decides instead to live abroad for five years in one of the other three cities and invests only the difference in living expenses.
Austin Medellín Valencia Chiang Mai
Income after taxes $80,000 $80,000 $80,000 $80,000
Annual living expenses $45,700 $20,400 $28,800 $15,000
Potential annual savings $34,300 $59,600 $51,200 $65,000
Extra savings vs. Austin over 5 years - $126,500 $84,500 $153,500
Approx. value at 65 at 7%* - $1.11M $740,000 $1.35M
*Assumes the additional savings are invested annually for five years beginning around age 30 and then left invested until approximately age 65, earning an illustrative 7% annual return. Investment returns are not guaranteed.
The magic of compound interest allows Michael's additional savings over that five-year period to add around $1 million or more to his retirement account by the time he reaches age 65.
Broadening your horizons
Medellín, Valencia and Chiang Mai are certainly not the only places where this strategy can work. Our own hometown of Cuenca offers many of the same advantages.
Affordable destinations with reliable internet and a high quality of life can be found throughout Latin America, Europe and Asia. And dozens of countries now offer visas designed to attract remote workers.