Top 10 Cheapest Countries in the World to Live & Work With High Quality Life

Living and working abroad has become an increasingly attractive option post Covid for entrepreneurs seeking both adventure and financial flexibility. For many facing high housing costs and a stagnant routine, affordable international destinations offer a chance to upgrade lifestyle, significantly reducing expenses giving a change of perspective that can help reorient priorities.

The economics are compelling: countries across Southeast Asia, Eastern Europe, and Latin America offer living costs 70–80% below Western nations, allowing expatriates to stretch their money further while enjoying an enhanced quality of life.

This comprehensive guide analyzes the world's most affordable countries for expatriates, providing concrete cost breakdowns, visa requirements, and practical considerations for those considering an international move.

What Are the Cheapest Countries to Live?

After looking at the table, you may quickly realize that living in “the cheapest” countries isn’t always appealing. While places like Libya, Pakistan, or Afghanistan rank at the very bottom in terms of cost, they often lack the stability, infrastructure, healthcare systems, or safety standards most expatriates require.

That’s why cost alone is never the full story. The real sweet spot lies in value-for-money destinations—countries where you still pay a fraction of Western living costs, but also enjoy reliable amenities, vibrant culture, and a welcoming expat community. Countries such as Vietnam, Malaysia, or even Portugal consistently stand out in this respect, balancing affordability with livability.

*https://www.numbeo.com/cost-of-living/rankings_by_country.jsp

Each index is based on a weighted basket of goods and services:

• Cost of Living Index (excl. rent) – groceries, restaurants, transportation, utilities, clothing, etc.
• Rent Index – apartment rents.
• Cost of Living + Rent Index – combined basket.
• Groceries Index – food prices only.
• Restaurant Price Index – dining costs only.
• Local Purchasing Power – average net salary ÷ local cost of basket, compared to NYC.

Cost of Living Index and Metrics

Cost of living indices provide standardized metrics for comparing expenses across countries. The Numbeo Cost of Living Plus Rent Index uses New York City as a baseline (value of 100), measuring how other locations compare proportionally.

Global Cost Comparison Frameworks

A country with a score of 26.4 (like Nigeria) has costs 73.6% lower than NYC. The countries with the lowest costs of living according to the Numbeo metric include Pakistan (17.8), Libya (18.6), Afghanistan (19.9), Bangladesh (20.9), and India (19.5).

These indices typically incorporate Price Index (comparing general consumer goods prices), Rent Index (focusing specifically on housing costs), and Cost of Living Plus Rent Index (combining both factors).

What are the Most Expensive Countries to Live?

On the other end of the spectrum, we find the most expensive countries in the world. These aren’t necessarily places you’d avoid altogether—after all, Switzerland, Singapore, and the Cayman Islands are globally admired for their quality of life and economic opportunities—but they come at a steep price.

Living in the Cayman Islands, for example, may offer pristine beaches and financial-sector salaries, but you’ll also be paying New York City–level prices with additional island markups. Similarly, Switzerland delivers world-class infrastructure and security, but its everyday expenses—from groceries to rent—rank among the highest on the planet.

*https://www.numbeo.com/cost-of-living/rankings_by_country.jsp

The lesson here is simple: while cheap countries aren’t always practical, expensive countries aren’t always worth the premium unless you’re earning locally at matching salary levels. The real opportunity for expats lies in the wide middle ground—destinations that offer affordability without forcing you to compromise on comfort or security.

Fortunately there are 195 countries in the world that we can chose from and not have to pick any one of the top 10. 

Monthly Cost of Living Reality Check

Budget requirements vary significantly by region. There really isnt a simple number that we can give you and say this is how much it costs to live comfortably, because comfort is a subjective measure. It not only depends on the place, but also your lifestyle. So these numbers are given knowing this is a rough estimate.

Cheapest Countries in the World to Live that Have A High Quality of Life

We have grouped our countries according to cost, but seeing as that is not really the only factor we are looking for, we also took into consideration countries that had world class lifestyle possibilities, international expat appeal, as well as access to amenities, like infrastructure and healthcare.

1. Thailand – Digital Nomad Haven

Cost of Living: $600–900/month.

A one-bedroom in Chiang Mai averages $300–400; meals from $2 at street stalls to $8–12 in mid-range restaurants. Utilities and internet under $100/month.

Lifestyle & Expat Appeal: Warm climate, famous cuisine, world-class beaches, and modern healthcare facilities. Chiang Mai and Bangkok have large digital nomad hubs, while islands like Phuket attract retirees. Downsides: tourist crowds and traffic congestion.

Visa Insights: Thailand’s LTR Visa (Long-Term Resident) offers 10 years for retirees and remote workers with higher income ($80k+ annual). Shorter tourist visas require extensions or border runs.

2. Indonesia – Culture & Sophistication

Cost of Living: $600–1,000/month.

Local meals $2–3, apartments in Bali $250–500 outside tourist hubs. Monthly transport <$40.

Lifestyle & Expat Appeal: A diverse archipelago with vibrant culture, from Bali’s spiritual retreats to Jakarta’s urban energy. Low costs, rich traditions, and friendly locals. Healthcare is improving but major treatments often require travel to Singapore.

Visa Insights: Indonesia offers a Second Home Visa and a new Digital Nomad Visa (in rollout). Currently, many expats use 60-day tourist/social visas, renewable up to 6 months. No true permanent residency yet.

3. Mexico – Diverse Options Close to U.S.

Cost of Living: $600–1,300/month.

One-bedroom apartments: $375–600. Transport: $20–30/month. Groceries ~$200. Couples in coastal towns may spend $1,500–2,000.

Lifestyle & Expat Appeal: Rich culture, cuisine, and close proximity to the U.S. Established expat communities in Mérida, Puerto Vallarta, and San Miguel de Allende. Affordable healthcare and vibrant social scene. Some safety concerns depending on region.

Visa Insights: The Temporary Resident Visa (1–4 years) requires ~$2,100 monthly income or ~$35,000 in savings. Flexible path to permanent residency after 4 years.

4. Vietnam – Modern Economy with Traditional Charm

Cost of Living: $800–1,100/month.

Housing ~$400, meals ~$300, transit ~$20. Street food is $2–3 per meal.

Lifestyle & Expat Appeal: One of the cheapest but most livable in Southeast Asia. Modern cities like Ho Chi Minh and Hanoi, beautiful countryside, and rapid economic growth. Expat community growing fast, though traffic and pollution are common concerns.

Visa Insights: Tourist visas are easy to get but limited (30–90 days). Long-term visas require frequent renewals or business sponsorships. No true permanent residency track for most expats.

5. Romania – The Best of Eastern Europe

Cost of Living: $700–1,300/month.

Bucharest rents from $400–700; groceries ~$250/month. Utilities ~$150.

Lifestyle & Expat Appeal: Combines EU membership with affordable Eastern European pricing. Good internet, historic cities, Carpathian mountains, and growing tech/outsourcing hubs like Cluj-Napoca. English is widely spoken among younger people.

Visa Insights: EU citizens can reside freely. Non-EU expats require work or study visas, typically 1–2 years renewable. Residency is harder than in Portugal or Panama.

6. Malaysia – Development with Diversity

Cost of Living: $900–1,500/month.

Kuala Lumpur one-bed apartments: $300–800. Eating out $3–7 per meal. Utilities + internet ~$100.

Lifestyle & Expat Appeal: Multicultural, English-friendly, excellent healthcare. Kuala Lumpur offers modern amenities, while Penang has a slower pace. Strong infrastructure, great food, and good international schools.

Visa Insights: The MM2H program (Malaysia My Second Home) offers 10-year renewable visas but requires financial deposits. Foreign-sourced income is not taxed, a major draw for retirees and investors.

7. Ecuador – Colonial Charm & Mountain Living

Cost of Living: $1,000–1,500/month.

Rent in Cuenca: $400–500. Meals: $5–7 dining out. Utilities ~$100/month.

Lifestyle & Expat Appeal: Mild year-round climate, especially in highland cities. U.S. dollar economy reduces exchange risk. Popular with retirees for low healthcare costs and established expat communities. Offers everything from Pacific beaches to Amazon rainforest.

Visa Insights: The Digital Nomad Visa (2 years) requires ~$1,275 monthly income. Also popular: retirement visas for those with pensions.

8. Panama – Modern Infrastructure & Visa Benefits

Cost of Living: $1,500–2,000/month.

Apartments $700–1,200 in Panama City. Meals $8–15 in restaurants. Utilities ~$150/month.

Lifestyle & Expat Appeal: Cosmopolitan capital, Caribbean and Pacific beaches, strong banking sector. Popular with retirees thanks to major discounts on healthcare, utilities, and entertainment. Safe and stable with world-class amenities.

Visa Insights: Friendly Nations Visa requires $200,000 investment for residency. Pensionado Program remains top for retirees, offering permanent residency with pension income proof.

9. Czech Republic – Europe on Half the Budget

Cost of Living: $1,200–1,500/month.

Prague rents ~$700–1,000; utilities ~$200. Groceries ~$300–400.

Lifestyle & Expat Appeal: Historic charm, vibrant nightlife, and high-quality but affordable healthcare. Beer cheaper than water in many places. Well-connected transport system, EU access, and safe urban environment.

Visa Insights: Work and study visas available; EU citizens free to move. Non-EU expats need income/housing proof. Long-term residency permits renewable yearly, leading to permanent residence after 5 years.

10. Portugal – Mediterranean Quality at Accessible Prices

Cost of Living: $1,600–2,500/month.

Lisbon rents ~$1,200/month. Groceries ~$250. Transport ~$45/month.

Lifestyle & Expat Appeal: Warm Mediterranean climate, beautiful coastlines, and global reputation for safety and hospitality. Lisbon and Porto have vibrant expat communities. Healthcare is excellent and affordable.

Visa Insights: D7 Visa (passive income) requires proof of ~€760+/month. Offers residency renewable every 1–2 years, and path to EU citizenship after 5 years. Also offers Golden Visa options for investors.

Living Expenses: What Are Costs Really Like?

Housing

For most expatriates, housing represents the single largest monthly expense, yet it is also where the most dramatic savings can be found. Renting a modest one-bedroom apartment in cities like Hanoi can cost as little as $350 per month, a fraction of what the same space would demand in New York City, where prices often exceed $3,500.

In Mexico, apartments in cities such as Mérida average around $585, nearly three-quarters less than comparable housing in San Francisco.

Even in Europe, countries like Portugal offer significant savings; in Lisbon, a central one-bedroom typically rents for about $1,200, roughly half the price of a similar flat in London.

Eastern Europe is even more affordable, with countries such as Romania and Bulgaria offering rental prices 60–70% lower than their Western counterparts.

And for those willing to live outside capital cities, secondary hubs like Cluj in Romania or Chiang Mai in Thailand can reduce costs by an additional 20–30% without sacrificing quality of life.

Healthcare

Another major factor drawing expats abroad is the accessibility of affordable, high-quality healthcare. While healthcare systems vary from country to country, many offer a standard of care on par with or better than Western systems, but at a fraction of the cost.

In Malaysia, for example, a specialist consultation might cost between $15 and $50, while in Portugal, a visit to a general practitioner typically runs $25–40.

Mexico provides not only affordable medical services but also inexpensive private insurance plans ranging from $50 to $150 per month. The contrast with the United States is striking: doctor visits there frequently cost $200–400, while health insurance premiums often exceed $500 per month.

For retirees, families, and digital nomads alike, this difference in healthcare costs can amount to thousands of dollars in annual savings, making countries with affordable medical systems especially attractive for long-term living.

Food 

Daily living expenses are further eased by the relatively low cost of food in many expat-friendly destinations. In Southeast Asia, flavorful street food meals can often be found for just $2–3, providing not only affordability but also cultural immersion.

Mexico offers hearty, home-style dishes in family-run restaurants for around $5–7 per meal, making dining out a regular option rather than an occasional luxury.

Even in Europe, where groceries are typically more expensive, places like Portugal still provide substantial savings—basic food shopping often costs 50–60% less than in the United States. This affordability extends to fresh produce, bread, and local wines, meaning expats can maintain or even upgrade their standard of living while spending far less than they would back home.

Side-by-Side Cost Comparison (Monthly Basics)

Savings range from 60–85% depending on destination.

Visa & Residency Options: Quick-Scan Guide

Sorting through visas can feel overwhelming, but here’s a snapshot of the most common digital nomad and expat residency options in popular affordable countries:

Is it Possible to Work Abroad?

Living and working abroad requires careful planning. People who follow this route of going overseas to work usually follow one of two camps, those who get a job overseas, are sponsored or require a business visa or those who are self employed and tend to work and live on the fly so to speak; they may or may not have the right type of working or digital nomad visa.

The difference between a successful international relocation and a costly mistake often comes down to having the right legal strategy in place from the start.

Visa Requirements and Residency Options

Several affordable countries now offer dedicated digital nomad visas, including Portugal (D7), Georgia, Costa Rica, Mexico, and Ecuador. These programs typically permit longer stays than tourist visas with clearer legal status for remote workers.

Some budget-friendly countries present significant visa obstacles. Vietnam offers limited residency options, requiring frequent border exits for visa renewals (tourist visas require renewal every 30-90 days through border runs)—a crucial consideration for those seeking long-term stability.

Pathways to permanent residency vary significantly: the Philippines offers the Special Resident Retiree's Visa program, while Panama provides multiple pathways through Friendly Nations Visa and Pensionado programs.

Spain and Portugal offer clear paths to permanent residency after 5 years. Caribbean nations provide citizenship by investment programs starting from $200,000 as of July 2024, following a regional agreement that doubled previous minimum investments. St. Kitts & Nevis requires $250,000, while Dominica, Grenada, St. Lucia, and Antigua & Barbuda have standardized at $200,000+.

Best Visa Options by Expat Profile

Best for Digital Nomads

• Portugal (D7 Visa) – EU residency path, moderate income requirements.

In Europe, Portugal has become one of the top destinations for digital nomads and retirees through its D7 Visa. It requires proof of stable passive income but offers a direct path to permanent residency and eventual EU citizenship after five years.

Best for Retirees

• Panama (Pensionado Program) – unmatched retiree perks and permanent residency track.

Panama remains one of the most popular choices, thanks to its Friendly Nations Visa, which leads to permanent residency in as little as two years. Retirees especially benefit from Panama’s Pensionado Program, which provides deep discounts on healthcare, utilities, and even entertainment, though financial requirements have increased in recent years.

Best for Short-Term Nomads

• Vietnam – very cheap, easy entry, but not designed for permanent stays.

In Vietnam, the most common option is a tourist or business visa, typically valid for 30 to 90 days. While easy to obtain and affordable, it doesn’t offer long-term stability, meaning many expats rely on frequent “border runs.”

Best for EU Access & Mobility

• Portugal – affordable entry into the EU with long-term residency potential.

In Europe, Portugal has become one of the top destinations for digital nomads and retirees through its D7 Visa. It requires proof of stable passive income but offers a direct path to permanent residency and eventual EU citizenship after five years.

Tax Implications and Financial Planning

Taxes can be one of the biggest surprises for expats. While moving abroad reduces living costs, it doesn’t always reduce tax obligations. Here are two concrete examples:

• Americans abroad: The U.S. taxes its citizens on worldwide income. However, under the Foreign Earned Income Exclusion (FEIE), Americans can exclude up to $126,500 (2024 limit) of foreign-earned income if they meet residency or physical presence tests. Even with the exclusion, you still must file a U.S. tax return every year.
• Europe-based expats: A digital nomad earning $60,000 remotely in Mexico may avoid Mexican tax under the right visa, but if they relocate to Portugal under the D7 visa, they’ll be subject to Portugal’s tax regime. The good news: Portugal offers favorable regimes like the Non-Habitual Resident (NHR) program, which can reduce tax rates for 10 years on certain income types.

Ready to Make Your International Move?

After researching affordable destinations and understanding the practical considerations of living abroad, many prospective expatriates are ready to take concrete steps toward their international relocation. Professional guidance can help navigate the complex legal, financial, and logistical aspects of this life-changing move.

Whether you're seeking a second passport through citizenship by investment, establishing an offshore company for tax optimization, or protecting your assets while enjoying a lower cost of living abroad, expert guidance is essential.

We help international clients with:

• Visa and residency applications in 30+ jurisdictions
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From Panama's Friendly Nations Visa to Caribbean citizenship programs, we've helped thousands of individuals successfully relocate while protecting their wealth and optimizing their taxes legally.

Schedule a Consultation to discuss your international plans and discover how our tailored offshore strategies can make your global lifestyle both legally secure and financially efficient.