What geoarbitrage means
Geoarbitrage is earning money in a high-cost economy while spending it in a low-cost one. Remote work made it practical for many people: the salary stays the same, but rent, food and transport cost a fraction of what they did. The calculator scales your current spending by the price difference between the two countries and shows what that does to your savings.
New savings = take-home pay − current spending × (cost there ÷ cost here)
Someone taking home $5,000 a month and spending $4,000 in the US saves $1,000, which at 7% a year takes about 28 years to reach $1 million. Living the same way in Medellín would cost about $2,220 a month, lifting savings to roughly $2,780 and cutting the time to about 16 years.
The fine print
Many countries now offer digital nomad visas with minimum income rules, and staying longer than about six months can make you a tax resident. US citizens also keep filing US returns. Check both before planning around the higher savings rate.
Where the numbers come from
Rent is a typical asking rent for a one-bedroom apartment in the main city we list for each country, taken from 2026 listings and local market reports and converted to dollars at the exchange rate of October 28, 2026. Rent is the number that varies most from street to street, so the calculators let you change it whenever you have a better figure.
Everything else starts from a monthly budget for one person in the United States: about $450 for groceries, $250 for eating out, $200 for utilities, $90 for phone and internet, $300 for transport and $350 for clothes, personal care and fun. Each line is then scaled by the World Bank's International Comparison Program price levels for that type of spending, and brought forward from 2021 with the World Bank's latest price level data, so a country where restaurant meals cost a third of US prices gets a third of the eating-out budget.
These are planning estimates, not quotes. A lean budget uses 75% of the moderate one with cheaper rent, and a comfortable budget uses 150% with nicer rent. Visas, health insurance and flights are not included unless a calculator asks for them.
Common questions
Is geoarbitrage legal?
Yes, when you hold the right visa. Many countries offer remote-worker or digital nomad visas for exactly this.
How much can I save by moving abroad?
It depends on the move. From the US average to Medellín, everyday costs fall by about 45% in our figures.
Does my employer need to agree?
Usually yes. Some employers restrict where remote staff can live for tax and legal reasons.
Sources
This calculator gives estimates for planning. Real returns, rates and prices change, so treat the result as a guide rather than a promise. Read how we build and check our calculators.