The Cost of Travelling, Living, Retiring & Snow-birding Abroad.

In this post I’m going to talk about 2 things. The first is the cost of travelling internationally vs. the cost of living in the U.S. The second is the cost and options for living/retiring in the countries I’ve visited.

 

The cost of travelling internationally vs. the cost of living in the U.S

Occasionally I get questions from family and friends about how we can afford to travel for this long. We’ve been away 6 months and have another 6 months planned. I mentioned in a previous post what it was costing us to travel internationally. Looking back at the first 6 months it has averaged around $80 day for the 2 of us, or about $40 per day per person. If you do the math that would be about $15,000 for 6 months, or about $30,000 for a year for 2 people. That’s our cost of travelling internationally.

The more I thought about it the more I began to realize that it’s really a cost of living as opposed to a cost of travelling. Here’s what I mean by that. The $80 a day we’ve spent includes things you’d expect to pay for while travelling, like airfare (15 flights so far), trains, buses, cabs, Uber, Grab, tour guides, tourist ticket fees, and subways. It also includes familiar things like hotel rooms, Airbnb accommodations, and of course food – both eating out and cooking at home when we have a place with a kitchen. Here’s what else it includes  – haircuts, some clothes, personal toiletries, 2 pairs of running shoes, movies, monthly mobile phone plans in 5 countries, 2 dentist visits, souvenirs, yoga classes, 4 yoga mats, charitable contributions, printing, laundromats, sheets, kitchen items, massage, Tai Chi classes, cooking lessons in 4 countries, postcards and stamps, bicycle rentals, vitamins, OTC stuff at the pharmacy, coffee and more.

So how does the cost of travelling internationally compare to the cost of living in the U.S.? Is it possible for 2 people to live on $30,000  year in the U.S.? Sure, lots of people do it. Maybe your cost of living in the U.S. is $60,000 a year. You can see how travelling internationally for a year can be very seductive. In theory you could save $30,000 by living abroad. But wait, you wouldn’t be working in the U.S. so you wouldn’t have any income. Correct, but if you saved $500 a month for 5 years you have enough money take a year off and travel the world. But how can you save $500 a month for 5 years? Well, if you’re cost of living is $60,000 a year that means cutting your expenses or cost of living by 10%. It’s not impossible.

So is there a difference between the cost of travelling internationally and the cost of living internationally? Yes. I see travelling as being on the move more often than not. We’ve done that for about half the time. We’ve explored waterfalls, jungles, temples, rivers, caves, islands, and local markets. I see living internationally as staying put more often than not. We’ve explored  supermarkets, malls, public rapid transit systems, and the local culture. Our trip has been a combination of both. 3 times during the first 6 months we had an apartment or accommodation with a kitchen. We stayed at those places for about a month each. We shopped at supermarkets and cooked a lot of meals at home. When you stay put for a month and have a kitchen it cuts down on the travel expense of moving around and the expense of eating out. The more we slowed down, the less we spent, and the more we’re able to relax and focus. Some of the most satisfying experiences for me in the past 6 months have been shopping in supermarkets, taking cooking lessons, cooking new recipes in our kitchens, attending Yoga and Tai Chi classes, reading tons of books, and having the time to meditate every day, sometime twice a day. That usually happens when we’re settled down in a place for 2-4 weeks at a time.

Don’t get me wrong. There’s a place in my heart for exploring and seeing lots of things these various countries have to offer. But to highlight the differences – we stayed in Thailand for 2 months and visited 2 places, Bangkok and Chiang Mai. We stayed in Vietnam for 1 month and visited 6 places, Hanoi, Cat Ba Island, Ninh Binh, Hoi An/Cam Kim, Da Nang, and Saigon. Lately I’ve been drawn more toward the living internationally vs. the travelling internationally. We’ve been adjusting our travel plans to accommodate this latest desire. When we book our next stop we try to stay a week minimum. We also try to find a place with a kitchen.

So now that we know there’s a difference in cost and experience between travelling internationally and living internationally we can explore some options. If you picked one place, got the proper visa, rented an apartment for 3 months, shopped in a supermarket and cooked at home, it would be even less expensive. You could be immersed in a completely different culture, with very warm sunny weather, good choices for dining in or eating out, choice of ultra modern rapid transit system or old school Vikram or auto rickshaws, and experiences you’ll never forget. You’ll probably make new friends, learn new things, and have a new appreciation for things we take granted.

 

 

The cost and options for living/retiring (or snow birding ) in the countries I’ve visited.

We all know someone who is a snow-bird. They take a few months when the weather gets cold and head to Florida. They come back to New England when snow crocuses pop their heads up. Sometimes they own a 2nd place down south, sometime they rent. For the adventurous, there are options well beyond the sunshine state. Now you can’t just run off and winter anywhere you like. There are rules. I’m here to sort them out based on my travels.

Usually there is a visa requirement when visiting another country. Here’s a rundown on tourist visas and retirement visas. A tourist visa allows you to visit and stay in a country for a specific period of time. Retirement visas may be available from certain countries, for those of us of a certain age, with different requirements and restrictions. Retirement visas are usually more of a long-term visa.

India
Foreigners allowed to own real estate in India? NO
Retirement visa available? NO
Easy visa? Yes, for short term stay of up to 60 days

Tourist visas are granted for a period of a few months up to 10 years. I just scored a 10 year visa last summer. You can only stay in India for 6 months at a time, regardless of whether you’ve got a 6 month or 10 year or anything in between. The process of getting a visa can be downright flabbergasting. If you’ve ever gotten an Indian visa you are in class of very patient, persistent and purposeful humans. If you’ve ever been to India then travelling to other Asian countries will be a breeze. You could find a decent apartment outside of the huge cities for bout $400 a month or $600 and up in the cities.  There are no retirement visas available in India. If you’re looking for an exciting experience then India may be your cup of Chai.

Thailand
Foreigners allowed to own real estate in Thailand? YES
Retirement visa available? YES
Easy visa? Yes, for short-term stay of 30-60 days

You can go for 1 month on a tourist visa which you get at the airport. You can extend by an additional month with a day trip to immigration, so in theory you could winter for 2 months in Thailand for about $60 in visa fees. You could get an apartment in Bangkok or Chiang Mai for anywhere between $250 (basic) to $600 (nice 2 BR) a month.  You can really only buy condos. A brand new, 1 BR, super modern condo in Bangkok will set you back $125,000 USD. The market for used condos is horrible because there are dozens of new buildings going up everywhere, everyday, as the city continues to grow. Thailand does offer a retirement visa.   If you’re over 50, put $25,000 USD in a Thai bank, and pass a criminal background check – you’re in. You can come and go, and buy or rent.

Vietnam
Foreigners allowed to own real estate in Vietnam? NO
Retirement visa available? NO
Easy visa? Yes, for short-term stay of 30-90 days

You can go for up to 3 months on a tourist visa. There is no retirement visa.  But you can own up to 30% of a condo or house. You can rent a decent apartment in the city for $600 a month near shopping and supermarkets. We’ve heard from friends that the banks are sketchy and can fold overnight.

Nepal
Foreigners allowed to own real estate in Nepal? Not yet, but it’s coming.
Retirement visa available? NO
Easy visa? Yes, for short-term stay 15+ days

But it’s coming. They do not offer a retirement visa. You can stay for 30-120 days on a tourist visa but’s it’s extra work getting it done. It’s incredibly cheap to stay here, but it’s incredibly dusty and polluted in the capital, Kathmandu. In most other areas it will be a rustic experience but with plenty of affordable western food available at restaurants.

Sri Lanka
Foreigners allowed to own real estate in Sri Lanka? Condos
Retirement visa available? YES
Easy visa? Yes, for short-term stay of 1 month

Foreigners cannot buy property but can “lease” a condo for 99 years. They do have a retirement visa. You need to be 55, deposit $15,000 USD in their banks, and continue to deposit $1500 a month into that account for living expenses. Sri Lanka is a nice country with beaches, jungles, mountains and more. It’s fairly inexpensive, not crowed, and laid back.

Malaysia
Foreigners allowed to own real estate in Malaysia? Yes, but with a minimum purchase of $500K
Retirement visa available? YES
Easy visa? Wicked easy for a 90 day stay!

We’ve only been in Malaysia since Friday (10) days) but I’m already in love. They have the easiest tourist visa ever and it’s free. You can show up and stay for 90 days very easily. They also have a retirement visa. You need to be 50, and put $33,000 in a Malay bank. A couple needs $50,000 total or deposit both your social security checks into the Malay bank every month.  You can own real estate here, but the sale price needs to be $500,000 minimum. Ouch. I looked at a brand new condo for about $50,000 USD but was informed of the foreigners rule. Renting a really nice 2BR place in the capital, Kuala Lumpur, will set you back about $800-1000 a month. That includes a pool, gym, parking, a cafe in the building, and a covered access to one of the best rapid transit systems in the world. Look for another blog on KL coming soon.