I use to think that moving abroad only changed your address but the more mind shifted to actually leaving the U.S. I started to realize it could change your financial reality as well. When you step outside the high-cost lifestyle of the U.S., suddenly your money can stretch further than you ever imagined.

But here’s the secret: living abroad isn’t just about spending less (that was never my total focus"). It’s also about using the money you save to build wealth intentionally (this is where the alarms went off in my head).

Let’s talk about how to budget smartly, grow your savings, and invest wisely while enjoying a lifestyle that actually feels abundant.

Step 1: Rethink Your Budget Abroad

The first thing you’ll notice after relocating is that your biggest expenses like rent, food, and healthcare can shrink dramatically. I save 50% in rent, 75% in healthcare, 20% on food just by making the move.

• In Santo Domingo, a modern two-bedroom apartment might cost $900/month, compared to $2,000+ in the U.S.

• Dining out a few times per week may run $200/month, versus $400–$600 back home.

• Healthcare costs drop from hundreds per month in insurance premiums to $100–$200 for private coverage.

That can be thousands in savings every single month.

Strategy: Instead of letting those savings “disappear,” assign them a purpose. For example:

• 50% toward long-term savings or investments

• 20% toward travel and experiences

• 20% to build an emergency fund

• 10% for guilt-free spending

Step 2: Build an Emergency Fund in Two Currencies

Life abroad has its curveballs: visa renewals, sudden flights home, or unexpected local expenses. That’s why it’s smart to keep an emergency fund in both your home currency (USD) and local currency.

• Keep at least 3–6 months of expenses in your U.S. bank account (for security and access). I also recommend having a local bank account with both dollars and pesos.

• Maintain 1–2 months of expenses in local cash or a local bank to handle day-to-day needs.

Example: If your cost of living in the DR is $1,600/month, aim for $5,000–$10,000 in savings back home plus $2,000 in local reserves.

This dual approach keeps you flexible no matter where you are.

Step 3: Invest the Difference

Here’s where wealth building gets exciting. If you’re saving $1,500–$2,500/month compared to U.S. living, you can re-direct that into investments that compound over time. Yes, it’s hard to do when you notice you have so much disposable income you tend to spend it in the beginning. And I’m not speaking from experience…lol!

Options include:

• Index funds or ETFs: Simple, low-cost, long-term growth (great for U.S. expats using brokerages like Fidelity, Vanguard, or Schwab).

• High-yield savings accounts: Park your emergency fund in a U.S. account earning 4–5% interest.

• Rental properties back home or abroad: Use your cost-of-living savings as a down payment fund.

• Digital businesses: Start an online side hustle (courses, freelancing, content creation) that builds an additional income stream.

• Crypto Currency: Start putting a small percentage towards crypto.

Example: If you save $1,800/month abroad and invest it into index funds averaging 8% annual returns, in 10 years you’ll have over $325,000. That’s the beauty, money that compounds even while you’re enjoying beaches, rivers, and sunsets.

Step 4: Automate Your Money

Discipline is key when your life feels like an extended vacation. Automating helps you stay on track:

• Set automatic transfers to savings/investments the day after you’re paid. For someone like me, I’m discipline enough to redirect my money without automating. Many can’t if that you, set up a process.

• Use apps like Wise or Revolut to manage money across currencies.

• Track expenses with a budgeting app like YNAB or Mint.

This ensures you’re building wealth consistently instead of overspending just because everything feels cheaper. This is where many of us get caught up. Because its cheaper we tend to do more. That’s why you hear a lot of times that DR isn’t cheap. I partially agree but I disagree because many who say this are over spending.

Step 5: Balance Saving with Living

The beauty of living abroad is that you don’t have to choose between financial goals and lifestyle upgrades you can have both.

• Hire a housekeeper once a week for $30–40.

• Join a gym or take dance lessons for $25–$50/month.

• Travel regionally for a fraction of U.S. airfare.

Example: Back home, you might spend $4,200/month and barely save. Abroad, you could spend $1,600/month, save $1,800, and still live a richer life filled with experiences you couldn’t afford before.

Bonus Checklist: 5 Money Moves to Make Before Moving Abroad

Moving abroad can be one of the best financial decisions of your life but only if you prepare smartly. Use this checklist to set yourself up for success.

✅ 1. Build Your Emergency Fund

• Save 3–6 months of living expenses before you move.

• Split your savings: part in your home currency (USD) and part in local currency once you arrive.

• Keep cash accessible for unexpected expenses like last-minute flights, visa fees, or deposits.

✅ 2. Eliminate High-Interest Debt

• Pay down credit cards and personal loans before relocating.

• Consolidate or refinance if possible to lower interest rates.

• Freeing yourself from debt means your money goes further once you’re abroad.

✅ 3. Research Cost of Living in Your Destination

• Compare rent, groceries, healthcare, and transportation to your current expenses.

• Watch Youtube videos or join groups to ask locals about real prices.

• Use the difference between U.S. costs and your new country’s costs to plan a savings strategy.

✅ 4. Set Up International-Friendly Banking

• Open a bank account that in the local currency in your new country.

• Set up accounts with platforms like Wise or Revolut for easy money transfers.

• Keep at least one U.S. account open for investments, retirement, or receiving U.S.-based income.

✅ 5. Automate Savings & Investments

• Create automatic transfers into savings or investment accounts every month.

• Use extra cash from lower living costs to invest in index funds, ETFs, or a retirement account.

• Treat these savings as non-negotiable, just like paying rent.

Pro Tip: Write down how you’ll use your cost-of-living savings before you move. Example: 50% to investments, 20% to travel, 20% to emergency fund, 10% to guilt-free fun. This ensures you don’t overspend just because life feels cheaper.

You can download it here:
👉 Click to Download the PDF

✅ By following this checklist, you’ll arrive abroad with confidence, financial security, and a plan to grow wealth while enjoying more freedom.

✨ Final Thoughts

Living abroad gives you a unique advantage: the chance to cut expenses, boost savings, and accelerate wealth-building all without sacrificing your lifestyle. In fact, you’ll likely enjoy more freedom, more experiences, and less financial stress than ever before.

The key is being intentional. Budget wisely, invest the difference, and use your money to create a future of freedom and abundance.

Because at the end of the day, it’s not just about living cheaply, it’s about living richly on your own terms.

Until then,
🌴 Live Your Best Life
Jay