What Is A Digital Nomad?

Have you been hearing about the remote work craze and asking what is a digital nomad? Although it’s becoming a popular way of life, many people still have questions.

I’ve been a digital nomad since 2022 and have the answers for you.

What is a Digital Nomad?

Simply put, a digital nomad is a person who works online and who can work from anywhere. And, as the name implies, they are nomadic – they travel around. They aren’t settled in any one place for a long period of time.

Are Digital Nomads The Same as Remote Workers?

Working remotely has become a pretty big thing. Millions of people are working at their same jobs but from home. But is being a remote worker the same as being a digital nomad?

It depends on who you ask but the short answer is… maybe.

All digital nomads who work for someone else are remote workers. But not all remote workers are digital nomads.

People who work remotely for a company usually have to be available during specific hours. They may also be required to use the company’s computers and other equipment. Very often, the company they work for keeps tabs on where they are.

It’s also common for an employer to require their remote employees to be physically located in their country, or even in the same city. Obviously, these people can’t be digital nomads.

Computer monitor showing a beach and ocean flowing out of the monitor onto the keyboard.

Are Digital Nomads Ex-Pats?

An ex-pat, or ex-patriot, is a person who has left their own country to live full time in another. This is very popular with retirees. Panama, for example, has a much lower cost of living than the United States. Panama also has great benefits for retired ex-pats.

A remote worker could also be an ex-pat. They may live full time in Croatia while their employer is located in Germany.

In both examples, the people are still citizens of their home country. They just don’t live there. They may have dual citizenship, or they may be permanent residents of their new country. But they aren’t digital nomads.

A digital nomad could be considered an ex-pat if they are traveling indefinitely outside their country. But since they don’t typically stay in one country long enough to become a permanent resident, they are unlikely to identify as an ex-pat.

Pros and Cons of Being a Digital Nomad

Just like any lifestyle, being a digital nomad comes with both the good and the bad. It’s important to know what you’ll be getting into. I have an entire blog post about how to know if you’re cut out to be a digital nomad.

Good Things About the Digital Nomad Life

Happy face, medium face, sad face, with check boxes.

Travel, Travel, Travel

What is a digital nomad? Someone who travels!

The biggest reason to become a digital nomad is to travel the world. When you are location-independent, you can work anywhere.

Low Cost of Living

You can live in countries with a very low cost of living while earning your regular wages. Or you can work less and still live quite well. After spending some time in less expensive cities, you can splurge on a trip to places that cost more.

Many people feel stuck in their home country. I know, being from California in the US. It’s crazy expensive to live there. Now I’m in Mexico and my entire monthly budget is less than what I was paying for rent in California.

Adventure Can be Right Outside Your Door

Not only do digital nomads travel a lot, they also have more opportunities for adventures. I don’t know about you, but where I’m from zip lining isn’t readily available. Neither is parasailing, surfing, or exploring Mayan ruins.

But if you’re living in Cancun, Mexico, like I did, you can do all those things on the weekends. And more.

Hobbies become bigger and better when you have a world of adventures at your fingertips.

Bad Things About the Digital Nomad Life

Being Away From Family

Unless you plan on spending a lot of time (and money) flying back to your home country, you’ll likely miss out on a lot of family events. Birthdays, weddings, graduations, and more will go on without you.

Video calls can help with this a lot. At least you can be there digitally. But it’s not the same.

Not Having a “Permanent” Home

You know how you’re on a long trip and it feels so good to be back home? You’re not really going to have that feeling. Wherever you are IS home.

Of course, you may keep a permanent residence in your home country, but for many digital nomads, that isn’t financially feasible. Why pay for a home that you rarely spend any time in?

For me this was the biggest thing to get used to. It helps to think of home as more of a state of mind than as a physical location. Also, I’m traveling with my little dog, so wherever she is always feels like home. (What? Traveling full-time with a dog??? You bet!)

Harder to Make Friends

If you’re one of those people who make friends effortlessly, this probably won’t apply to you. But many digital nomads find it hard to make friends when traveling. This is especially true if you don’t speak the local language.

Facebook groups of fellow nomads are a good way to meet people. But still, how close can you get when you’re only in the city for a month?

And then if you are lucky enough to find a strong connection to someone, you’ll soon be moving on. It gets hard to keep leaving friends behind.

For some, the answer to the question, “What is a digital nomad” is “A lonely person.” This isn’t necessarily true for everyone, but it does happen.

How Long Do Digital Nomads Stay in One Place?

There is no one answer to this question. I know people who move every week. Others stay in one place for months. (They often are called slow-mads.) It all depends on where you are and how easy it is to get to the next place.

As for me, I won’t stay anywhere for less than one month. I feel that’s the minimum amount of time to really get the feel for a place. I’m not here as a tourist. I have to work, so I don’t have all day to spend at the beach. (Trust me, you do not want to take your laptop to the beach!)

Also traveling with my dog makes it more difficult to get to the next place. And more expensive.

You’ll need to decide for yourself how long to stay. Just try to be flexible. You may fall in love with a place and want to stay for a few years before moving on!

How Much Money Do You Need to Be a Digital Nomad?

Some people think you need to have a lot of money to be a digital nomad. That’s not true. It’s a good idea to have some savings. Emergencies abroad may be more expensive than you expect. I always recommend having enough money set aside for a last-minute flight back to your home country.

But overall, you just need enough to support yourself and to get to the next place.

In many places, you can live quite well on $1,500 – $2,500 USD per month. Do your research on where you want to travel to. A really good resource is Nomad List.

Of course, your lifestyle will play a big part. If you plan to stay in five-star resorts you’re going to need a lot more money than if you rent locally.

How Do Digital Nomads Make Money?

Digital nomads are doing pretty much any work that can be done on a computer.

Many are working for companies. Call centers and help desks are good remote jobs.

Many people are freelancers. I’m a copywriter and blogger. I work for myself because I want ALL the freedom.

Really, today it’s easier than ever to be a digital nomad. Check out my free ebook for an in-depth look at how to make money as a digital nomad.

Remote work job boards are popping up all over the world. This trend is only going to continue.

Do Digital Nomads Pay Taxes?

Sorry, but you’re not going to get out of paying taxes. No matter where you live, you still need to be a citizen of a country. And as long as you’re a citizen, they’re going to expect you to pay taxes.

Of course, there’s a lot to it. I’m not a tax expert by any means. Be sure to do your homework on taxes before you set out to be a digital nomad. This is not an area you want to get in trouble with.

The good news is there are more and more accountants who specialize in taxes for digital nomads.

What is a Digital Nomad Lifestyle Like?

The best part of being a digital nomad is your lifestyle can look however you want it to. Mine looks like this:

I’m living in a one-bedroom apartment in a quiet neighborhood in Cozumel, Mexico. I don’t have a car so I walk most places. I feel safe walking alone (with my dog, of course).

I’m about a three-minute walk from several beach clubs where I can snorkel right from shore. Best of all, they’re dog-friendly so Shelby gets to go too.

Most days I cook my meals at home, but at least twice a week I try a new restaurant. Or go back to my favorite taco place on the corner. I can usually eat out for $5-7 USD. There are a lot of seafood places nearby and I’ve discovered new kinds of fish. Queen triggerfish is delicious!

I don’t do a lot of touristy stuff but I did go snorkeling with whale sharks one day when I was living in Cancun. That was a bucket list thing for me and well worth the money. Mostly I’m trying not to spend money unnecessarily because I’m saving up for a year-long Europe trip.

Facebook groups are a great way to get information on different neighborhoods. That’s where I find great deals on apartments. Just make sure you’re dealing with a reputable landlord because there are a lot of scammers.

Best of all, if you don’t like where you are, move on!

Person walking down the street with a suitcase.

Wrap-Up: How Can I Become a Digital Nomad?

Now that you know what a digital nomad is, how can you become one? It’s really easier than you think! First, get a job you can do from anywhere. There are a lot of them!

Second, get rid of all your stuff. Or put it in storage. This is actually harder than it sounds. I sold everything except for one tub of stuff I have stored with a family member. Plus I have some winter clothes at my son’s house.

Third, go!

Okay, there’s a bit more to consider than that. Luckily, I have all the information.

For even more information, buy my book on Amazon.com. It contains the actual blueprint for building your dream life.

But really, it’s not that difficult. If I’m doing it, you can too!

Ladies, join my free, private Facebook group, Women Over 50 Digital Nomads. It’s a safe place to connect, learn, and thrive as a digital nomad. You don’t need to be over 50 but you do need to be a woman.