How to Calculate Cost of Living Before Traveling Abroad

When it comes to emigration, every move is different, and truth be told, there's no cost calculator for such a move. There are general guidelines that can help you determine whether you'll thrive in a foreign land or go broke right away. Use these strategies to do an estimate of the cost of living abroad before you make the plunge.

Instructions

    • 1

      Calculate currency. One of the first steps in researching a move abroad is to check the currency exchange rate to see what your money will be worth over there as you set yourself up. A favorable exchange rate differs depending on your long-term strategy, but generally, if the currency is much less valuable than yours, you're in good shape.

    • 2

      Check any applicable "special laws" in the country about the transfer of cash. While globalism has taken most countries into a kind of "free market" system, there still can be complications with moving sums of money across continents.

    • 3

      Find out how much housing costs. Your housing will be a primary factor in your cost of living. Figure out realistically how much it will cost you to put a roof over your head.

    • 4

      Take into consideration transportation costs. You need to know not only what it will cost to get there (and back), but what it will cost to get around.

    • 5

      Figure out other "soft costs." These are things like the cost of food, entertainment, bills such as electricity and water, gas and healthcare. The soft costs make a huge difference in whether you'll be able to arrange savings in a country or whether the minimal day to day expenses will bankrupt you.

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