Do You Want to be Debt-Free? Become a Digital Nomad

Do You Want to be Debt-Free? Become a Digital Nomad

Shlomo Freund  22/09/2020 14
Do You Want to be Debt-Free? Become a Digital Nomad

The US debt will exceed annual GDP next year.  "A $1,000 emergency would push many Americans into debt" It's sad but true.

Now, I'm not saying that any kind of debt is bad, but as a general rule of thumb, if you took a loan to consume something and pay for it in the future, that's bad debt. 

I'll explain: If you decide to purchase a new flat TV, an iPhone, or a boat, that's consumer debt and it's bad. These items depreciate over time. It's not only that you are paying interest on the loan you are also loosing on how much that item is worth. So, when you sell it you'll get a lot less. 

However, being a digital nomad can be a solution for people who want to avoid debt.

How Being a Digital Nomad Can Help with Managing Debt? 

1. Reduce the cost of living - When you are talking about a vacation, indeed traveling can be expensive. Stay in a 5-star hotel can be costly. But if you move to a new country to live in. You don't go to a hotel. You can find a more affordable place, like an apartment in Thailand for 200-300 USD or an apartment in Bulgaria for ~150 EUR a month. Whatever you choose, that's an excellent way to reduce your money burn rate. 

2. Flexibility of expenses - The same goes for all your expenses. Arrived in a place where the costs were higher than you expected? No problem, move to a new place, and adjust. 

After taking care of your money burn rate, now you can think of building a plan of execution to grow your money and wealth in the long term. Build a plan that supports your desired lifestyle and responsible finances.  Then, once you have it and stick to it, you shouldn't go into debt again. 

Becoming a digital nomad and getting control over your expense do not need to be a life decision, it can be something that you do for temporarily or even periodically; 6 months in your home country and 6 months in a cheaper country. Many people learned how to do be flexible with their lifestyle and still align their finances as they need. 

This doesn't mean it's easy to make this change. However, opening your mind to new kinds of living, can make a difference in your bottom line of expenses and get you back on track of your finances. 

So, think clearly what are your next steps, how can you tackle your debt, and make sure you are out of it as soon as possible. 

Download my quick-guide: "How to be a digital nomad and feel financially stable?" 

It will show you the right roadmap to feeling financially stable. 

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  • Daniel Powell

    I would love to be financial stable. Debt is killing me.

  • oh, what do you do to get out of debt for now?

  • Daniel Powell

    In reply to: Shlomo Freund 

    I spend less money and work overtime.

  • Linda Gutmans

    Straight to the point !

  • Mark Junkin

    Debt free lifestyle requires discipline and time management

  • Yes, but it's not rocket science

  • Brian Thorpe

    Interesting article

  • Nathan Jackson

    Staying single is the best decision that I have ever made. I can travel anywhere I want. I don't have a wife or kids to take care of.

  • Damien Mackay

    Thanks for the help

  • Chris McKean

    I eat once a day to save money and improve my fitness level.

  • Victoria Hansler

    In reply to: Chris McKean

    So you are starving. Good luck.

  • Joe Palin

    How many countries you have travelled so far ?

  • Marty Thomas

    There are some affordable 5 star hotels in some countries with all inclusive deals. However, it's better to stay with locals, they can guide you during long stays. You can make new friends in every country.

  • John Woodburn

    That's intriguing

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Shlomo Freund 

Financial Coach Expert
Shlomo Freund is a location-independent entrepreneur and has been for the past 15+ years. His lifelong passions for finance, investing and travel lead to the creation of his current business, Free Financial Self, which helps people organize their finances to reach financial independence faster. 
This allows them to live, work and enjoy life with friends and family both wherever and whenever they like. The end result? Armed with a strong, customized roadmap built around financial and personal lifestyle goals, an increase in individual happiness
   

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