So this Post is about Digital Nomads, and how they are starting to affect the world around us. Again, the Covid 19 effect seems to be hastening it, both from a good and bad? perspective. Since the migration from the crowded cores of our major cities has started, mainly WFH people with no physical ties either with mortgages, or jobs that don't require a long term physical presence in one location, are moving out to the suburbs, small outlying towns, and sometimes even going off-grid.
There have been Digital Nomads for quite a while now, but with the rush to work from cyberspace in the last year, and all the jobs that have sprung from it, more people are deciding to head to warmer and more hospitable climates, as well being more financially forgiving. The interesting thing, is that the younger generation, that has had a very difficult time being able to afford a house, now is in the position of being more mobile than the more affluent generation before them. The top ten countries in the world are looking for them to hang out there.
They have figured out that it is easier and more fun, to be able to temporarily move to a nice location around the globe, work for awhile, then move on to a new one when they get bored. This is causing some cities and countries to look at them, especially with the problems that have arose from Covid and the devastation of the tourism industries, as a new profit center.
Quite a few luxury tourist locations with empty hotels are offering long term discounted hotel stays, and the countries are collaborating with extended visas for as much as a year at a time. Certain locations have created Digital Nomad oasis's, where you can stay in an area of like minded individuals.
That being said, some locations have requirements that you need to show that you have a minimum $$$$ earning capability, as well as a minimum balance in your bank account.
But now that we can start to earn income via Crypto, anywhere in the world, how does that translate into showing our income statements. Do we now have to disclose the contents of our Wallets? life could suddenly get complicated...
The questions I have, are what are the long term ramifications to the individual that does this. When you are young and mobile, it seems like a dream job/business to be in. But what about advancement in your profession, Now that you are out in the world, does that mean you are competing for your position on a global scale? If the company you are working for is located in a single location, will you have more competition from local entries?
The other thing, is if they wish to be a global citizen, how do taxes apply, and what about health care? what about retirement? I realize that for the younger generation, the last two questions are something they will probably just push into the future...but?
The other thought, is how will countries deal with the outflow of their more technically internet savvy citizens to locations that now are starting to compete for them. This is a lost of a potential long term tax paying person. After all, why would they keep their financial house in a jurisdiction that they may never return to? Lots of questions, hopefully the answers will appear in time....
Oh but of course, if you are a guest in a new country, you should figure out it's customs before using any kind of social media....
