I referenced an article from BBC in this weeks Tagging Miles Weekly Roundup, but after reading it further I felt like there was more to the story than just a simple mention.
In short, what I found interesting was some of the factors that weighed into how a country was ranked.
For starters, the Expat Explorer 2015 study by HSBC seems to look at three factors:
- Economics, which is a weighted score based on personal finances of expats, local economy, and working life.
- Experience, which is a weighted score based on expats’ lifestyle, people (e.g. how easily expats integrate), and setting up (e.g. finding housing).
- Family, which is a weighted score based on expats’ relationships (whether they feel close to their partner), the quality education and childcare, and the impact of raising children abroad.
Based on all of these factors, HSBC crowns Singapore the number one Expat Country.
Enter Internation’s Expat Insider Study
The Expat Insider Study ranks 64 destinations based on, as they state:
Where do expats enjoy the best quality of living? Which countries are ideal for raising children? Where can expats make the most of their budget?
Our country rankings list the best (and worst) among 64 destinations across the globe, focusing on essential topics: quality of life, ease of settling in, working abroad, family life, and personal finance. We also compare the most popular destinations for expat women vs. men.
Here is their high level ranking:
But why the disconnect?
The BBC article quotes Internation’s as stating:
The income situation and quality of life in a country like Singapore is usually quite good, but there are other components that also influence your expat life,” explained InterNations founder Malte Zeeck. “Something we value very highly is how friendly locals are towards foreigners and how easy it is to settle in. This can be very different in countries like Ecuador or Mexico than it is in a place like Switzerland, Germany or Singapore.
But I’m still not sure I buy that. When I think of being an expat, I really don’t think of Ecuador. In fact, I couldn’t even identify what an expat would even do in Ecuador, other than retire. Perhaps those factors of integration into the local culture/society are important, but I dare say that your bigger concerns would be whether or not your quality of life is better, and whether you are having a meaningful impact in your job. Integrating into the local culture is kind’ve secondary, but that could just be because I don’t really integrate well into my own local culture (and I live in the exotic locale of Maryland).
I think the major difference, from my lack of experience in being an expat, between the two studies seems to be salary. Obviously if you are an expat in Singapore, you will be doing quite well. But will it be better than you could do in Ecuador? I’m not sure. But what could you be doing in Ecuador that a company would pay you to be an Expat? Lets look further down the lists: New Zealand and Sweden (HSBC report) vs. Mexico and Malta, ok, now it gets more challenging, clearly there are plenty of expat opportunities in Mexico, New Zealand, and Sweden. Apparently the same rings true for Malta, although I had to wikipedia it.
Conclusion
Clearly both of these studies were well researched. I found it ironic that one of them (HSBC) talked about Singapore, because while my wife and I were recently in Singapore, we had a cab driver trying to sell us on the idea of coming to work in Singapore. Of course, Singapore is great, but there are some other sweet locations identified in each of the studies.
What do you think? Are these studies spot on? Would you become an expat?
Of course, Ecuador is big. It’s been flogged by International Living, an online and print glossy magazine extolling the virtues of expat life for retirees for the past 5 or more years.
And, if you are a retiree, living on a fixed income, the prospect of a lovely 2 bedroom, penthouse apartment for under $200k, with maid service, sounds very enticing. What the reality is, and what the willingness of US and Canadian citizens driving up real estate prices because, to them, they seem amazingly low, has done to the local economy is another question.
My daughter lives in Italy, and I read its ranking, as well as some of the quotes about it. It appears to me that the majority of expats there, for example, moved for love, not economic reasons or love of the country. If you’d asked her, 10 years ago, about the economy, she might have had an entirely different answer: she was working for shady foreign language instruction companies, and doing the random translation.
She modified her skill set to the realities of the market, and now 100% of her income is from high level translations, while she’s also married to a teacher. They are doing fine.
If one assumes that a primary driver for moving anywhere is economic, then most expat destinations will fail; it’s hard to find a first world country where US skill sets correlate exactly with the needs of that country. England is probably closest, but the cost of living, especially real estate, is extraordinarily high in any metropolitan area.
@MickiSue – Awesome on your daughter! I love hearing of stories of folks that adapt to markets and aspire to be better, it sounds like she’s been successful in doing that!
I can’t speak to your comments on Ecuador, except that I would hope (but not know) that a rising tide floats all boats. Inevitably there will be some inflation.
On your final point, I’d argue that US skill sets could be applicable in many countries. I guess I’d just question based on your assertion of a “First World Country”, as I think harder about it, it seems to me like you’re kind’ve limiting the area of opportunity to US, Canada, and Western Europe. I think if you expand the aperture, there are many places where US Skill sets would be applicable, particularly in Asia.
I think I phrased that badly. What I was trying to say is that, if you are comparing first world countries to everywhere else, it’s almost inevitable that first world countries will come in badly. COL is higher, even if pay is equivalent, than much of the US. And, in most or all of, say, the EU, housing stock is smaller and closer together, which comes as a shock to many Americans.
Having lived as an expat, I’ll say that it’s pretty much impossible to get hired on the ground as a professional in most foreign countries. Best bet is to go foreign with an American company then jump as you make contacts.
Retiring? Another story altogether. I have my eye on Panama. US Dollar, Johns Hopkins in Panama City, 12 month temperate climate, reasonably safe, still affordable…
@Dia – I value your opinion as an experienced expat. I’ve heard of the difficulty of getting hired once you’re in country, of course, as I recall from a previous company I worked for, for a US company to position an expat, the cost bogey seems to start around a quarter of a million dollars.
While I didn’t really think very much from a retirement standpoint, you are exactly right on Panama. When we were there a few years ago, we chatted with a few folks that were retired and very happy living in Panama. Ironically, I felt it to be a bit expensive, but, of course I’m much more used to Southeast Asia.
I was in Boquete in Panama with my Panamanian girlfriend nine years ago. On two occasions locals yelled out insults at me (obviously I look like a gringo) and the Canadian owner of the bed and breakfast we stayed at made a negative comment about Americans coming in and buying land and reselling – that seemed to be the gist of the local animosity. I’ve been to Panama several times and visited a few other areas and had no issues.
What is the expat life exactly? For those who live overseas it is generally regarded as people who are living in a bubble supported by their home firm.. IE it contains a residence package and COLA factors… this is a very different thing from just moving overseas and getting a job there, or retiring there..
Just to address Dia’s point, we found it pretty easy to move to a country and get a job there. 🙂
I viewed expat life as reflected by the two studies I cited, salary, how they feel in the country (e.g. how well they are able to integrate), that sort of thing. I will completely agree with you that it is different from just moving overseas and getting a job – as Dia said, I suspect that’s probably a difficult approach.
My wife and I are considering becoming expats for retirement. In that context, these studies have some value, but really what thedealmommy says are more applicable points.
@Christian – I’m really curious. As you consider becoming expats for retirement, do you orient your trips around that? e.g. Visiting those countries, and further, those cities (or even communities) that you think might be a fit?
We’re strongly considering being semi-expats in retirement. Keeping a place in the US–probably a condo in the Twin Cities that can be an AirBnB place when we’re gone, and living 6-8 months in Italy (where DD and her family are) and a month or two in MX in the winter.
My dad was born in England, so I can get dual citizenship, making staying an extended time in Italy much less full of red tape. And, because I can, Husband can, as well.
The place we’re considering is a small town, but close enough large cities to make flying in and out easy, as well as taking Grandson for the weekend, because it’s less than 2 hours from Daughter’s house. The small town part makes it less expensive, even though it’s close to a long, sandy part of the Adriatic coast. If we only stayed there in the summer, and on the coast, quite expensive. If we live in the center, and ride a bike to the coast, extraordinarily reasonable.
Be open to possibilities , wide open . If you are friendly , people are friendly ‘most everywhere in the world . In many countries you can work teaching English . Some places you will need a TOEFL cert . and some not .
You can read about it all year or just go there , meet some people , see what it’s like . Your experience will not be the same as others , give it a try .
Don’t be bound by ” I will not… ” or ” I must have … ” Be open !