Geo-Arbitrage Planner

It depends on three things: your income after tax, your destination’s cost of living, and your lifestyle. Cost gaps have narrowed in popular hubs like Lisbon, Barcelona, and Mexico City, so don’t assume a famous nomad city is cheap. The biggest swing factors are rent, health insurance, and the tax you owe in both countries. The Rewire Abroad Geo-Arbitrage Planner estimates savings for your own city pair and income, and you can test different lifestyle levels. Treat the output as a planning estimate, not a promise.

Yes. US citizens and green card holders are taxed on worldwide income and must file a return even when living abroad. The Foreign Earned Income Exclusion (FEIE) lets you exclude up to $132,900 of foreign earned income for tax year 2026 ($130,000 for 2025, which is the amount on returns filed in 2026). You claim it by filing Form 2555. It only covers earned income such as wages and freelance income, not dividends, interest, capital gains, or rental income. Income above the limit is still taxed, and you may be able to use the Foreign Tax Credit for tax paid to another country. Self-employment tax (or Social Security and Medicare tax if you work for a US employer) generally still applies unless a US totalization agreement covers your country. You may also still owe state tax depending on where you were last domiciled. This is general information, not tax advice, so talk to a US expat tax preparer.

You need a tax home in a foreign country and must pass one of two tests. The Physical Presence Test requires being outside the US for at least 330 full days in any 12 consecutive months. The Bona Fide Residence Test requires being a genuine resident of a foreign country for an uninterrupted period that includes a full tax year. The 330 days don’t have to line up with the calendar year. Short trips back to the US count against you, and being a tourist rather than a resident doesn’t satisfy the second test.

Possibly. Many countries tax residents on worldwide income once you pass a day-count or residency threshold, usually around 183 days, though rules vary. Some digital nomad visas and special regimes reduce or exempt tax on foreign-sourced income, and some don’t. A US tax treaty or the Foreign Tax Credit can limit double taxation, but they don’t make the question go away. Check your destination’s tax residency rules before you move. Our country pages and the Expat Tax Comparison show income, capital gains, and dividend tax by country, with the source and date we last checked.

Not automatically. Working on a tourist stay is not permitted in many countries. A growing number offer digital nomad, remote work, or long-stay visas, with income requirements and rules that change often. Also check your employer’s policy, since foreign payroll and tax exposure can make some employers say no. Use our Visa Pathways tool to see which visas match your income and citizenship, then confirm the current requirements on the official government page before applying.

Beyond filing a return, you may need to file an FBAR (FinCEN Form 114) if your foreign accounts together exceeded $10,000 at any point in the year, and possibly Form 8938 (FATCA) depending on the value of your foreign assets. Foreign-based mutual funds and ETFs can trigger harsh PFIC tax treatment, so check before investing locally. Penalties for missed filings are steep even when no tax is owed, so a cross-border tax specialist is worth the cost.

Enter your current city, target city, and annual income. The calculator compares city-level costs for rent, food, transport, healthcare, and other major expenses with country-level tax data, and shows an estimated monthly and annual difference. Results are estimates. Your actual savings depend on your housing choices, spending habits, visa costs, and your personal tax situation.

Cost-of-living figures come from city-level data covering 7,309 cities, and tax and visa data cover 197 countries. Each tax rule and visa pathway lists its source and the date we last checked it, and cost figures say where they come from. Rules change often, so confirm anything important with the official government page before you act. Want to add real numbers from where you live? Share what you actually spend and help others plan.

Yes. It is free, with no signup or credit card required. Some tools on Rewire Abroad link to partner services, such as mover quotes, and we explain how that works in our affiliate disclosure.