Why More Americans Are Moving Abroad Than Ever
The number of Americans living overseas has been climbing steadily for years, and 2026 is shaping up to be another record year. Between remote work becoming the norm, the rising cost of living in major US cities, and the simple fact that your dollar stretches further in dozens of other countries, moving abroad is not some fringe lifestyle choice anymore. It is a legitimate strategy for building wealth, improving quality of life, and running a business with lower overhead.
I have been living abroad as a digital nomad for over 10 years, running my ecommerce businesses from places like Chiang Mai, Bangkok, Bali, and more. I have seen firsthand how different countries stack up for Americans who want to work remotely, start a business, or simply enjoy a better lifestyle at a fraction of the US cost. This guide breaks down the best countries for American expats in 2026 based on cost of living, visa options, quality of life, internet infrastructure, safety, and how easy it is to actually get things done as a US citizen living there.
Whether you are looking to launch a high-ticket dropshipping business from a beach in Southeast Asia or retire comfortably in Europe on a fraction of what it would cost stateside, there is a country on this list that fits your goals. If you are still figuring out what to sell, check out my high-ticket niches list for over 1,000 profitable niche ideas you can run from anywhere.
What to Consider Before Choosing a Country
Before I get into the country-by-country breakdown, here are the factors that matter most when picking your expat destination. Every country has tradeoffs, and what works for a 25-year-old entrepreneur is different from what works for a retired couple.
Visa options. Can you legally stay long-term? Many countries now offer digital nomad visas, retirement visas, or entrepreneur visas that give Americans a clear path to legal residency. Others require visa runs every 30 to 90 days, which gets old fast.
Cost of living. Your biggest expense abroad is usually rent. Countries in Southeast Asia and Latin America can cut your cost of living by 50% to 70% compared to the US. European countries vary wildly, from dirt cheap in Eastern Europe to more expensive than the US in Scandinavia.
Internet quality. If you are running an online business, this is non-negotiable. Some countries have blazing fast fiber internet in major cities but terrible connectivity in rural areas. I will note the internet situation for each country below.
Tax implications. Some countries have territorial tax systems (they only tax locally-sourced income), which is ideal for online business owners earning from US customers. Others will tax your worldwide income just like the US does. Remember, as an American you always owe US taxes regardless, but the Foreign Earned Income Exclusion can shield up to $130,000 of your earned income from US federal tax.
Safety and healthcare. Access to quality medical care and personal safety should factor heavily into your decision. Some of the cheapest countries have excellent private healthcare systems. Having proper expat health insurance is essential no matter where you go.
Best Countries in Southeast Asia
Thailand
Thailand remains the gold standard for American expats, especially digital nomads and online business owners. The combination of low cost of living, excellent food, reliable internet, and a massive expat community makes it hard to beat. I spent years living in Chiang Mai and Bangkok, and both cities offer everything you need to run a business comfortably.
Cost of living in Chiang Mai runs $1,200 to $2,000 per month for a comfortable lifestyle including a nice apartment, eating out daily, coworking space, and entertainment. Bangkok is slightly more expensive at $1,500 to $2,500 but offers a more cosmopolitan experience. Internet speeds in major cities are excellent, with fiber connections commonly hitting 200 to 500 Mbps.
Thailand introduced a Long-Term Resident (LTR) visa in 2022 that gives qualified remote workers, retirees, and wealthy individuals a 10-year visa with work authorization. The requirements include a minimum income of $80,000 per year or $250,000 in assets for the “work from Thailand” category. For those who do not qualify, the standard tourist visa with extensions allows stays of up to 60 days, and many expats have been doing visa runs for years (though this is getting stricter).
Thailand uses a territorial tax system for income not remitted into the country, which is favorable for online business owners who keep their earnings in US bank accounts. Just make sure your banking setup is solid before you arrive.
Vietnam
Vietnam is emerging as one of the best value destinations for American expats. Ho Chi Minh City and Hanoi offer vibrant, energetic city life at costs that are even lower than Thailand. A comfortable lifestyle runs $1,000 to $1,800 per month in either city, with incredible street food costing $1 to $3 per meal.
The coffee culture alone is worth the trip. Vietnam has excellent cafe-based coworking culture, fast internet (particularly in the cities where fiber is widespread), and a growing startup scene that makes it easy to connect with other entrepreneurs.
The visa situation has improved significantly. Vietnam now offers e-visas valid for 90 days with multiple entry, and there are pathways to longer-term visas through business sponsorship. The country does not have a dedicated digital nomad visa yet, but the e-visa system makes it manageable for most expats.
Bali, Indonesia
Bali deserves its own section because it is fundamentally different from the rest of Indonesia for expat purposes. The island has become a global hub for digital nomads, with coworking spaces, healthy food options, and a lifestyle-focused expat community that is hard to find anywhere else. I have spent significant time there and the quality of life is outstanding if you like warm weather, surfing, and a laid-back pace.
Cost of living in Bali ranges from $1,500 to $3,000 per month depending on where you live and your lifestyle. Canggu and Ubud are the main expat hubs. Internet can be hit or miss outside the main areas, so choosing accommodation with fiber internet is important. Coworking spaces like Dojo and Outpost offer reliable high-speed connections.
Indonesia launched a Digital Nomad Visa (B211A) that allows remote workers to stay for up to 180 days. The visa is renewable, and income earned from foreign clients is not taxed by Indonesia. This makes Bali one of the most tax-friendly destinations for American online business owners.
Best Countries in Europe
Portugal
Portugal has been the top European destination for American expats for several years running, and for good reason. Lisbon and Porto offer a high quality of life, excellent weather, world-class food, reliable infrastructure, and a welcoming attitude toward foreigners. The country also has strong English proficiency, which makes daily life much easier compared to other European destinations.
Cost of living in Lisbon has risen in recent years due to its popularity, but it is still significantly cheaper than major US cities. Expect $2,000 to $3,500 per month for a comfortable lifestyle. Porto is about 20% cheaper. Smaller cities and the Algarve region offer even lower costs.
Portugal’s D7 Passive Income Visa is popular with retirees and remote workers who can demonstrate regular passive income (around $800 per month minimum). The Digital Nomad Visa launched in 2022 requires proof of income at least four times the Portuguese minimum wage (roughly $3,500 per month). Both visas lead to permanent residency after five years and eventual citizenship, including an EU passport.
The Non-Habitual Resident (NHR) tax regime, while reformed in recent years, still offers favorable tax treatment for new residents on certain types of foreign-sourced income. Consult with a local tax advisor to understand the current rules, and make sure you are also handling your US expat tax obligations correctly.
Spain
Spain offers a lifestyle that is hard to match anywhere in the world. The climate, culture, food, and social life are exceptional. Barcelona and Madrid are the main expat hubs, but smaller cities like Valencia, Malaga, and Seville offer similar quality of life at much lower costs.
Cost of living ranges from $1,800 to $3,000 per month in smaller cities to $2,500 to $4,000 in Barcelona and Madrid. Valencia has become particularly popular with digital nomads because it offers big-city amenities, a beach, and costs around 30% less than Barcelona.
Spain’s Digital Nomad Visa (introduced in 2023) has been a game-changer. It requires proof of remote work for a non-Spanish company and a minimum income of roughly $2,500 per month. The visa is valid for one year and renewable for up to five years. Spain taxes digital nomad visa holders at a flat 15% on Spanish-sourced income, with foreign income remaining tax-exempt for the first four years.
Croatia
Croatia is a hidden gem for American expats who want European living at a significantly lower cost than Western Europe. Split and Zagreb are the main cities, and the Adriatic coastline is stunning. Since joining the Eurozone in 2023, Croatia has become even more convenient for transactions and financial planning.
Cost of living runs $1,500 to $2,500 per month for a comfortable lifestyle. Internet speeds are solid in the cities, and there is a growing coworking scene especially in Split and Dubrovnik. Croatia offers a Digital Nomad Visa valid for one year that requires proof of remote employment or freelance income and does not tax foreign-sourced income. This makes it one of the most straightforward European options for American online business owners.
Best Countries in Latin America
Mexico
Mexico is the easiest country for Americans to relocate to, period. No visa required for stays up to 180 days, it is in a similar time zone to the US, flights home are cheap and frequent, and the cost of living is dramatically lower than the US while still offering excellent infrastructure in major cities.
Mexico City has become one of the hottest digital nomad destinations in the world. The food scene is incredible, the cultural offerings rival any major European city, and a comfortable lifestyle costs $1,500 to $2,500 per month. Other popular expat destinations include Playa del Carmen, Merida, Oaxaca, and San Miguel de Allende.
For longer stays, Mexico offers a Temporary Resident Visa (1 to 4 years) that requires proof of income of approximately $2,500 per month or savings of around $42,000. The Permanent Resident Visa is available after four years of temporary residency. Mexico taxes residents on worldwide income, but the territorial nature of your online business income (earned from US customers) creates some planning opportunities. Work with a qualified tax advisor.
Internet quality varies significantly by location. Mexico City, Guadalajara, and other major cities have excellent fiber internet. Smaller beach towns and rural areas can be spotty. Always test the internet before committing to a longer-term rental.
Colombia
Colombia, especially Medellin, has transformed into one of the best expat destinations in the Americas. The city of eternal spring offers perfect weather year-round (70 to 80 degrees Fahrenheit), a modern metro system, excellent healthcare, and a cost of living that makes your US dollars go very far. A comfortable lifestyle in Medellin runs $1,200 to $2,000 per month.
Colombia’s Digital Nomad Visa allows remote workers to stay for up to two years with proof of income at least three times the Colombian minimum wage (roughly $1,000 per month). Foreign-sourced income is not taxed unless you become a tax resident (spending 183+ days in the country). The visa process is straightforward and can be done at a Colombian consulate or online.
Bogota is another strong option with a larger city feel, more cultural institutions, and a growing tech scene. Cartagena offers a Caribbean beach lifestyle but at higher costs and with more tourist-oriented infrastructure.
Costa Rica
Costa Rica has been popular with American expats for decades, particularly retirees. The country offers excellent healthcare (both public and private), political stability, a strong environmental ethos, and a well-established expat community. The Pura Vida lifestyle is real, and the natural beauty is stunning.
Cost of living is higher than other Latin American options at $2,000 to $3,500 per month, but still significantly less than the US. San Jose and the Central Valley region offer the best infrastructure, while beach areas like Tamarindo and Jaco attract the surf and lifestyle crowd.
Costa Rica’s Rentista Visa requires proof of a stable monthly income of at least $2,500 for two years or a $60,000 deposit in a Costa Rican bank. They also offer a Digital Nomad Visa (introduced in 2022) that requires proof of at least $3,000 per month in remote income and grants a one-year stay exempt from local income taxes.
Best Countries for Retirement
Panama
Panama is one of the most retirement-friendly countries in the world for Americans. The Pensionado Visa requires just $1,000 per month in pension or retirement income and grants permanent residency with significant benefits including discounts on healthcare, entertainment, restaurants, utilities, and transportation. The US dollar is legal tender in Panama, which eliminates currency exchange risk entirely.
Panama City is a modern, cosmopolitan city with excellent healthcare, international schools, and reliable infrastructure. Cost of living runs $1,500 to $2,500 per month. The country has a territorial tax system, meaning only Panama-sourced income is taxed. Income earned from US clients or investments is not subject to Panamanian tax.
Ecuador
Ecuador offers some of the lowest costs of living in the Americas combined with excellent healthcare and a pleasant climate, especially in the highlands. Cuenca and Quito are the main expat destinations, with Cuenca being particularly popular with retirees due to its spring-like weather, walkable city center, and incredibly low costs. A comfortable retirement lifestyle in Cuenca runs $1,200 to $1,800 per month.
Ecuador also uses the US dollar, which simplifies finances enormously. The country’s retirement visa requires proof of just $1,375 per month in Social Security or pension income. Healthcare is affordable and quality, with many expats using a combination of the public IESS system and private insurance.
Essential Tools for Living in Any Country
Regardless of which country you choose, every American expat needs a core set of tools to manage their financial life, stay connected, and keep their US obligations current. Here is the toolkit I recommend based on years of living abroad.
Banking: Set up a Wise multi-currency account for holding and converting currencies at the real exchange rate. Pair it with a Charles Schwab checking account for fee-free ATM withdrawals worldwide. I break down the full banking strategy in my best bank accounts for expats guide.
Credit cards: Carry cards with no foreign transaction fees across at least two different networks (Visa and Mastercard). Read my full credit card guide for expats for specific card recommendations and the three-card strategy.
VPN: Essential for accessing US banking websites, streaming services, and protecting your data on public WiFi. Surfshark is my top pick for expats because of the unlimited device connections and strong performance across Asia, Europe, and Latin America.
Health insurance: Do not skip this. A medical emergency abroad without insurance can wipe out your savings. SafetyWing offers affordable coverage designed specifically for nomads and expats. See my full expat health insurance comparison for all the options.
Virtual mailbox: You need a US mailing address for credit card applications, banking, and business registration. Traveling Mailbox gives you a real street address with mail scanning and forwarding. Check out my virtual mailbox guide for expats for more options.
Phone plan: Google Fi works in 200+ countries and keeps your US number active, which is critical for two-factor authentication on your US bank accounts and credit cards.
How to Choose the Right Country for You
With so many great options, narrowing down your choice comes down to your priorities. Here is how I would think about it based on different goals.
If cost is your top priority: Vietnam, Ecuador, and Colombia offer the lowest costs of living with good quality of life. You can live comfortably on $1,200 to $1,800 per month in any of these countries.
If you want the easiest transition: Mexico is the clear winner. Same time zone, no visa hassle for up to 180 days, cheap flights home, and a large English-speaking expat community in major cities.
If you want an EU passport eventually: Portugal and Spain both offer pathways to citizenship (and therefore an EU passport) after five years of residency. That passport gives you the right to live and work in any EU country.
If you are running an online business: Thailand, Bali, and Croatia offer the best combination of low cost, fast internet, coworking infrastructure, and favorable tax treatment for foreign-sourced income. I run my businesses from these kinds of locations and the lifestyle is really really great. You will want to have your supplier relationships locked in before you move so your operations run smoothly from day one.
If you are retiring: Panama and Ecuador offer the most expat-friendly retirement visa programs, both use the US dollar (eliminating currency risk), and both have excellent affordable healthcare. Portugal is the European option with a clear retirement visa pathway.
No matter which country you choose, make sure your business formation and legal structure are set up properly before you leave. Having an LLC registered in a state like Wyoming or South Dakota, a registered agent handling your compliance, and your banking set up correctly will save you enormous headaches down the road.
Frequently Asked Questions
Do I lose my US citizenship if I move abroad?
No. Moving abroad does not affect your US citizenship in any way. You remain a US citizen with all associated rights and obligations (including filing US taxes) unless you formally renounce your citizenship, which is a separate legal process that very few people do.
Can I still vote in US elections while living abroad?
Yes. American citizens living abroad can vote in federal elections by requesting an absentee ballot from their last state of residence. The Federal Voting Assistance Program helps overseas citizens register and vote.
What about Social Security if I live abroad?
You can receive Social Security payments in most countries. The Social Security Administration will deposit your benefits directly into a US bank account, and you can access the funds through ATM withdrawals or wire transfers using Wise or a similar service. A few countries have restrictions, but the vast majority do not. Check the SSA’s international page for details.
Is it safe to live abroad as an American?
Every country on this list is safe for expats when you exercise normal precautions. Use common sense about where you walk at night, keep valuables out of sight, and learn the local scams. In many expat-heavy cities, the crime rate is actually lower than in comparable US cities. The US State Department’s travel advisory page provides current safety assessments for every country.
How do I find the best neighborhoods for expats in each country?
Join expat Facebook groups and forums for your target city before you arrive. Spend your first month in a short-term rental (Airbnb or local equivalent) while you explore neighborhoods in person. What looks great online might not match reality, and the best neighborhoods change as cities develop. Talk to other expats who have been there for a year or more, as they will give you the most honest assessments. Online communities like those in the Ecommerce Paradise Community are also great for connecting with other location-independent entrepreneurs who have been through this process.
Conclusion
There has never been a better time to be an American expat. The combination of remote work opportunities, digital nomad visas, affordable international living, and tools that let you manage your entire financial life from your laptop means you can live almost anywhere in the world while building or running a business. The countries I have covered here represent the best options across Southeast Asia, Europe, and Latin America, each offering a unique combination of cost, lifestyle, and opportunity.
The key is to do your homework, get your financial infrastructure in place before you leave (banking, insurance, virtual mailbox, VPN, credit cards), and pick a destination that aligns with your goals and budget. Start with a three-month trial before committing to anything long-term. You can always move to a different country if your first choice does not work out. That flexibility is the whole point of being location independent.
If you are ready to build a location-independent income that funds your expat lifestyle, here are the resources to get you started:
Our done-for-you turnkey store service gets your ecommerce business launched so you can start earning from anywhere in the world.
Want personalized guidance on your move abroad? Book a 1-on-1 coaching session and we will map out your business plan, tax strategy, and relocation timeline together.
Join the Ecommerce Paradise Masterclass and Community to connect with other entrepreneurs building location-independent businesses across the globe.
Already have a store? Our Google Shopping Ads service drives targeted traffic so your business grows while you explore your new country.
Browse all of our recommended resources for the full toolkit I use to run my businesses from anywhere.
I wish you guys the best of luck out there. The world is a big, beautiful place, and you do not have to be tied to one zip code to build an incredible life and business. Take care.
Related Articles
If you found this useful, these guides go deeper on related topics:
- Best Bank Accounts for American Expats in 2026
- Best VPN for Expats in 2026: Stay Secure and Stream Anywhere Abroad
- Best Health Insurance for American Expats in 2026
- Best Credit Cards for American Expats (No Foreign Transaction Fees)
- Best Expat Tax Software for Americans Abroad in 2026
Trevor Fenner
Email: trevor@ecommerceparadise.com
Phone: (307) 429-0021
5830 E 2nd St, Ste. 7000 #715, Casper, WY 82609
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Trevor Fenner is an ecommerce entrepreneur and the founder of Ecommerce Paradise, a platform focused on helping entrepreneurs build and scale profitable high-ticket ecommerce and dropshipping businesses. With over a decade of hands-on experience, Trevor specializes in high-ticket dropshipping strategy, niche and product selection, supplier recruiting and onboarding, Google & Bing Shopping ads, ecommerce SEO, and systems-driven automation and scaling. Through Ecommerce Paradise, he provides free education via in-depth guides like How to Start High-Ticket Dropshipping, advanced training through the High-Ticket Dropshipping Masterclass, and fully done-for-you turnkey ecommerce services for entrepreneurs who want a faster, more hands-off path to growth. Trevor is known for emphasizing sustainable, real-world ecommerce models over hype-driven tactics, helping store owners build scalable, sellable, and location-independent brands.
