Southeast Asian country tops list as most affordable country for expats, 2024 study finds

If you are one of those considering working or moving to another country, you might want to know the most affordable country for expats.

One of the best people to ask about this is the long-term expats living in various countries.

What is an expat?

An expatriate, or expat, is someone who temporarily lives and works in another country, sometimes even changing their citizenship.

They are skilled workers who take jobs abroad, either independently or through assignments from various employers like companies, universities, or governments.

Living as an expatriate can be exciting and offer career growth and global experience. Still, it can be emotionally challenging due to separation from loved ones and adapting to a new culture.

This is why expats often receive higher pay.

Additionally, long-term expat life has benefits like new experiences, adventures, and a lower cost of living.

What is the most affordable country for expats?

Vietnam has consistently ranked as the most affordable country for expats in terms of personal finances for four consecutive years, according to a 2024 InterNations study.

However, it ranked lower for quality of life (40th out of 53), expat essentials (29th), and working abroad factors (14th), which include career opportunities, salary, and job security.

The Expat Insider 2024 survey involved over 12,000 expats from 174 countries, providing insights into the best and worst places to live, quality of life, working abroad, and personal finance.

Respondents rated their satisfaction with the cost of living, financial situation, and whether their disposable income allowed for a comfortable life as part of the Personal Finance Index.

The report, largely unchanged from last year, now includes Brazil in 9th place, replacing Malaysia, which dropped from 5th to 11th this year.

Here are the top 10 destinations expats consider best for their personal finances:

1. Vietnam

2. Colombia

3. Indonesia

4. Panama

5. Philippines

6. India

7. Mexico

8. Thailand

9. Brazil

10. China

This year, Asian countries dominated with six of the top 10 positions, highlighting Southeast Asia’s strength as Vietnam, Indonesia, Philippines, and Thailand all ranked highly.

“Housing is a big plus in all four countries: Thailand ranks 1st, Vietnam 2nd, Philippines 5th, and Indonesia 8th,” Kathrin Chudoba, chief marketing officer for InterNations, told CNBC Make It.

She added that the expats find housing easy to find and affordable in these countries.

Among expats in Vietnam surveyed, a high 86% rate its cost of living positively, which is more than double the global average of 40%.

Furthermore, 65% express satisfaction with their financial situation, compared to 54% globally.

Additionally, 68% feel their disposable household income in Vietnam is enough for a comfortable life, contrasting with 41% globally.

Vietnam’s expats enjoy lower living costs and higher salaries compared to the global average.

According to InterNations, nearly double the global average of expats in Vietnam report earning an annual gross income of $150,000 or more (19% compared to 10% globally).

Moreover, expats in Vietnam report significantly high job satisfaction, with the country rising from 24th place last year to 3rd in 2024 in the “Work Culture & Satisfaction” category, as noted by Chudoba.

The report highlights that expats prioritize work-life balance over career advancement in Vietnam.

Less than half (46%) of expats work full-time, contrasting with the global average of 57%. Additionally, about 21% work part-time, and around 18% are retired.

“Life here is stress-free for me, it’s a wonderful change from my work life, which was very consuming and hectic,” said a British expat.

The InterNations Expat Insider study measures expats’ satisfaction with their finances and ranks the best destinations for expats globally.

This comprehensive evaluation considers expats’ experiences across five indices:

• Overall happiness
• Quality of life
• Ease of settling in
• Working abroad
• “Expat essentials” index (bureaucracy, housing, digital services, and language)

Meanwhile, four Asian countries—Indonesia (3rd), Thailand (6th), Vietnam (8th), and the Philippines (9th)—were among the top 10 destinations worldwide this year out of 53 surveyed.

To give you an idea of why Vietnam is the most affordable country, here’s a quick video showing what $1000 can get in the country: