Expats Earn 25% More Abroad Than At Home

expat network

Expats Earn 25% More Abroad Than At Home

Singapore has again been rated by expats as the best country in the world to live and work. Runner-up was Norway.

Both Singapore and Norway offer expats a stable economic and political environment while giving them a fulfilling experience and an improved family life, according to the HSBC Expat Explorer survey.

As well as unveiling the best places in the world to live as an expat, the survey also found that life abroad typically increases expats’ income by 25%, with the average expat earning just under $100,000 a year. Far from compromising their wellbeing, expats seem to find the right balance. Four in ten expats adopt a more positive outlook on life after moving abroad, with 44% becoming more physically active.

Confidence in the political stability and local economy, a great quality of life (64% say it is better than at home) and a positive experience for families are among the reasons why Singapore has topped the table.

Indeed, 73% say the country offers better earning prospects than their home country and two-thirds enjoy more disposable income. Expats moving to Singapore report an average 42% increase in their annual income compared to home, to almost $118,000.

Not only is Singapore a land of economic opportunity, it is also a top destination to raise a family. Four in five expats feel safer there than at home and 72% of expat parents rate the quality of education and the health and well-being of their children better than in their home country..

But expat life in Singapore can come at a price. Expats are less likely to see an improvement in their work/life balance than those in other destinations. More than four in five expat parents find that the cost of raising children in Singapore is more expensive than at home.

Norway, meanwhile, is up four places in the league table and narrowly misses out on the top spot. The majority of expats in Norway say that their work/life balance has improved and 78% that the job security is better than at home. Furthermore, 82% of expat parents say that their children’s overall quality of life is better than at home, compared with 59% globally. These upsides are typical of the Nordic model, characterised by a flexible and yet secure employment market as well as free education and universal healthcare.

Moving Abroad Checklist

Initial Considerations

Will your partner be travelling with you?

If so, what will they be giving up in your present home and will they be able to continue with their career in your new home? You will need to check whether a separate visa is required for your partner to work or if your visa gives that right. If they are unable to work you will need to decide on the effect on your finances and what alternatives are available to give a fulfilling life (home business, training, voluntary work).

Are you taking family with you?

Moving with family raises many exciting opportunities, but also can create challenges. The HSBC Expat Explorer survey indicates that expat kids can take six months to settle in to their new country (see article). Getting young or even older children to prepare to move and leave their friends and family behind can be a challenge and should be thought through.

The options for education is another area that needs to be thought through.

Moving your child to a new country with a different education system can be a great opportunity to broaden their experience, but if they are close to key exams the timing can make this inadvisable. If you do take your family with you, it is important to decide between joining the local school system or choosing an international school.

Where will you be living?

Whether you will be living in a house or apartment, furnished or unfurnished, these decisions will affect what you need to take with you. The time you are planning to live overseas will also affect whether you should leave your property at home empty, rent it out or sell it. See the article Sell, Store or Ship.