Freedom to log into work from anywhere in the world is seeing an era-defining rise in ‘digital nomads’ — people living in one country while working in another.
The shift towards flexibility, remote work and hybrid working models has opened a door that millions of workers are taking advantage of. One survey by the online network Digital Nomad World estimates that there are over 35 million digital nomads working across the globe today.
According to a 2023 Statista report, almost 40% of digital nomads were either freelancers or self-employed. Another survey, from MBO Partners, found that 80% of digital nomads reported being highly satisfied with their work life, compared to only 59% of non-digital nomads workers.
In this Q&A interview, Andrew Henderson, CEO and founder of Nomad Capitalist, outlines some of the main impacts of digital nomading on global corporate culture and employee engagement. Professional services company Nomad Capitalist advises businesses and individuals on tax, immigration, asset protection, and investment strategy.
A serial entrepreneur, Andrew is now a tax resident in Ireland. Having spent two decades travelling extensively, Andrew has established himself as a highly sought-after expert on global citizenship.
The rise of digital nomad culture is making waves, especially in Ireland and the EU. When people in Ireland hear about the chance to live somewhere else, they’re intrigued. Ireland is pretty open-minded about immigration, unlike the US or the UK. So, when folks realise they can make decent money but avoid the hefty taxes and high rents of Dublin, they start considering their options.
Consider living in Kuala Lumpur, renting a two-bedroom apartment in a prime location for 500 euros a month, enjoying favourable tax outcomes, and never dealing with cold weather. That’s a strong incentive. This shift means companies can hire talent globally. As people realize employers can hire from anywhere, more will jump on board. This competition is great; it pushes markets to deliver better value.
In the EU, many are frustrated with the weather, high utilities, and taxes. They don’t always get much for their money, pushing them to look elsewhere. Even with a 50% pay cut overseas, lower housing and tax costs can lead to more savings. That’s why tax savings and affordable housing are powerful motivators.
I’m the Nomad Capitalist. I’m not really a digital nomad. Being a Nomad Capitalist isn’t about constantly traveling; it’s about choosing where to live intentionally. You might decide to live in one place in the spring and summer, and another in the fall and winter. Or you could pick a single spot like Malaysia, Dubai, or somewhere in Latin America. The key is intentionality.
When I decided I didn’t like the conditions where I was from and made a change, it felt empowering. Choosing where you live rather than just accepting where you were born creates a positive feeling. Living intentionally in places with better conditions — like Malaysia or Eastern Europe — adds to this satisfaction.
Time zones can be tricky, but they can also offer flexibility. Some people in Ireland have team members in the US, leading to later working hours. Moving from Ireland to Georgia for the 1% tax rate, or adjusting your work hours, can be beneficial. In Bogota, people start their day early, so you could work from 6am to 2pm and have the rest of the day free.
But, being a Nomad Capitalist isn’t about working as little as possible. While some digital nomads aim to work minimally, I love what I do and the mission behind it. It’s about doing what you love and having the freedom to give more to charity, save more, and build generational wealth. For example, buying a three-bedroom apartment in Colombia for about €150,000 is much more affordable than in Ireland.
Living in different places can also mean significant tax savings. If a family makes €200,000 a year and avoids high taxes, renting a place for €15,000 to €20,000 a year instead of paying a mortgage can result in extra cash. This wealth can be used to buy homes in different locations, enhancing work-life satisfaction.
Cultural differences are a big challenge. Some cultures are very hierarchical and may not embrace much autonomy. They’re used to constant supervision, which doesn’t fit a more flexible setup. For example, moving from Belgrade to Dublin showed me the differences in directness and politeness between Eastern Europe and Ireland.
We once hired a British guy who struggled with our communication style, expecting more formal greetings in emails. These cultural differences require adaptation. To address these cultural differences and much more, we hold an annual citizen summit, bringing everyone together for team-building and cultural exchange. Recognizing that talented people are everywhere is crucial.
Hiring people and paying them well for where they live offers better value. This global approach allows us to learn about different cultures and open up opportunities. For instance, if we only hired Westerners, we wouldn’t be selling to Moroccans or Brazilians. Expanding our team has helped us crack the code of selling in other countries, which is very helpful.
Adapting to modern jet-setting workers is complex, mainly due to tax issues depending on where someone moves. For instance, we had an employee who wanted to move to the US for family reasons, which created a tax problem, so we couldn’t keep them. But if someone wants to move to Georgia, it’s more about the company’s internal policies and data regulations.
We don’t mind where our employees are as long as they use a VPN and follow certain rules. However, we prefer they not constantly move. Even with high motivation, constant travel can be exhausting and isn’t suited for a typical nine-to-five mindset.
The best we’ve managed is letting people move around three times a year, which proved difficult. Companies can open up the option and cut out the dogma, saying, “Here’s where you can move based on tax planning”. That’s what we do for our clients: assess where their people can move without tax risks. We help them understand which regulations or rules apply.
From an employer’s perspective, it shouldn’t be a free-for-all. We need to know where our employees are. Some travel a lot for work, which is different. Splitting time between two places can work if tax and policy requirements are met.
That’s why creating a comfortable environment is important for both employers and employees. This reduces frustration and makes life easier. Whether buying or renting, having a plan for permanence is essential.
