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Why Millions of Americans Are Packing Up and Moving Overseas

MarketDash Editorial Team
12 days ago
More than 4.4 million Americans now live abroad, up 42% since 2010, as middle-income earners seek lower costs, better tax situations, and improved quality of life. The pandemic accelerated a trend that's reshaping how Americans think about where to call home.

Here's a trend worth paying attention to: Americans are leaving the country in droves, and it's not just retirees or tech millionaires. According to The Wall Street Journal, a growing wave of middle-income Americans are moving abroad to slash their living expenses, reduce their tax bills, and frankly, live better lives.

The numbers tell the story. About 4.4 million Americans were living overseas as of 2022, according to the Department of Defense's Federal Voting Assistance Program. That's a 42% jump from 2010. Oceania saw the biggest surge at 70%, while Europe posted a 50% increase. The most popular destinations? Mexico, Canada, the U.K., France, and Israel are hosting the largest American expat communities.

Not Just for the Wealthy Anymore

You might assume this exodus is dominated by wealthy individuals buying golden passports through investment programs. That's not the full picture. Financial advisers interviewed by the Journal say middle-income Americans trying to make their dollars stretch further are the real force behind this migration.

"They're buying peace of mind—the ability to choose where they live, how they're taxed, and what kind of life they build," Andrew Henderson, founder of Nomad Capitalist, a global advisory firm specializing in international mobility and tax strategies, told the Journal.

Interestingly, Americans living abroad tend to be highly educated. The FVAP data reveals that 68% of overseas Americans eligible to vote in federal elections hold a bachelor's degree, compared with just 34% of the voting-age population back home.

The Pandemic Changed Everything

The COVID-19 pandemic was a watershed moment for this trend, according to Henderson. It forced Americans to reconsider assumptions about freedom, affordability, and quality of life that had gone unquestioned for years.

"During COVID, people realized the U.S. wasn't as free or affordable as they thought," Henderson explained. "If you're earning an average salary in New York, you're still paying a lot. And then there are those chasing a better lifestyle—warmer climate, more space, lower costs."

The shift represents something deeper than just dollars and cents. It's about Americans rethinking the fundamental question of where life works best for them, and increasingly, the answer isn't within U.S. borders.

Back to News

Why Millions of Americans Are Packing Up and Moving Overseas

MarketDash Editorial Team
12 days ago
More than 4.4 million Americans now live abroad, up 42% since 2010, as middle-income earners seek lower costs, better tax situations, and improved quality of life. The pandemic accelerated a trend that's reshaping how Americans think about where to call home.

Here's a trend worth paying attention to: Americans are leaving the country in droves, and it's not just retirees or tech millionaires. According to The Wall Street Journal, a growing wave of middle-income Americans are moving abroad to slash their living expenses, reduce their tax bills, and frankly, live better lives.

The numbers tell the story. About 4.4 million Americans were living overseas as of 2022, according to the Department of Defense's Federal Voting Assistance Program. That's a 42% jump from 2010. Oceania saw the biggest surge at 70%, while Europe posted a 50% increase. The most popular destinations? Mexico, Canada, the U.K., France, and Israel are hosting the largest American expat communities.

Not Just for the Wealthy Anymore

You might assume this exodus is dominated by wealthy individuals buying golden passports through investment programs. That's not the full picture. Financial advisers interviewed by the Journal say middle-income Americans trying to make their dollars stretch further are the real force behind this migration.

"They're buying peace of mind—the ability to choose where they live, how they're taxed, and what kind of life they build," Andrew Henderson, founder of Nomad Capitalist, a global advisory firm specializing in international mobility and tax strategies, told the Journal.

Interestingly, Americans living abroad tend to be highly educated. The FVAP data reveals that 68% of overseas Americans eligible to vote in federal elections hold a bachelor's degree, compared with just 34% of the voting-age population back home.

The Pandemic Changed Everything

The COVID-19 pandemic was a watershed moment for this trend, according to Henderson. It forced Americans to reconsider assumptions about freedom, affordability, and quality of life that had gone unquestioned for years.

"During COVID, people realized the U.S. wasn't as free or affordable as they thought," Henderson explained. "If you're earning an average salary in New York, you're still paying a lot. And then there are those chasing a better lifestyle—warmer climate, more space, lower costs."

The shift represents something deeper than just dollars and cents. It's about Americans rethinking the fundamental question of where life works best for them, and increasingly, the answer isn't within U.S. borders.