Life as a Digital Nomad 101

How to get beyond Denmark's borders as a digital nomad

Do you have to be mid-20s and overly tech-savvy to succeed as a digital nomad? No, you don't. If you can deliver your services online, you can, in principle, combine your freelance business with life as a digital nomad. And that can take many forms.

We've put together a guide for those who are thinking about taking the plunge. You'll find out what a digital nomad is and how to become one. You'll get insights into the pros and cons of the mobile lifestyle, as well as tips on how to survive and thrive as a nomad in the modern world. 

Let's start by getting the terms straight. Most people have heard of digital nomads and have a sense of what it means, but what do the words actually mean?

What is a digital nomad?

Being 'digital' isn't so mysterious. It is what it sounds like. You work online and use digital tools like a laptop or smartphone to do your job. That's how many of us work. Even if we come into the same office every day at 9am.

The word 'nomad' is an older term that refers to people who do not have a fixed place of residence but move from place to place, often with the aim of finding more food, new pastures and better climate. Originally, this kind of fluid lifestyle was about survival.

Today, we are more privileged and can opt for the life of a digital nomad. Now it's more about having the opportunity or the freedom to move without losing your livelihood.

A modern digital nomad is someone who is not dependent on a geographical location to do their (digital) work, but has the freedom to travel and work more on their own terms. 

But it's not necessarily traveling that drives you. Just working independently of where you live. The flexibility and freedom to travel when the urge arises. In principle, you can work from the same foreign base as long as you have a visa that covers you.

How do I become a digital nomad?

When you want to chase the digital nomad dream, you either need to get your freelance business under control first or be ready to run it from a hammock or mountain top. The latter requires a larger buffer of savings so you have the peace of mind and focus to get the ship afloat.

Therefore, start saving and create a budget. It gives you some security in the beginning if you can go out with some money in your pocket. You'll have something to live on while you're establishing yourself as a digital nomad and maybe even some money to spend on experiences along the way.

The next step is to figure out where you want to go and how you want to make money along the way.

The best destinations for digital nomads

As a digital nomad, the world is your playground. But there are some places that are more obvious to relocate to than others.

Nomadlist.com provides a great overview of destinations for digital nomads. Here you can search by country and filter on cost of living, internet, experiences, safety and more.

Here are 3 things to consider when choosing your destination:

1. Are there good places you can work?

For example, cafés with internet access or co-working spaces with other digital nomads if you plan to stay in one destination for a longer period of time. Check out tropicalnomad.org, which facilitates co-working spaces for digital nomads on the popular volcanic island of Bali.

2. What is the climate like and what do you prefer?

Most people associate the digital nomad life with warm climates, but you can also work remotely from Nordic countries such as Norway, where the island of Svalbard is particularly attractive to digital nomads. Here you can exceptionally get a digital nomad visa with a lifelong duration.

3. Cost of living and opportunity for experiences.

There are many places in the world where the cost of living is lower than in Denmark. If you travel to Asia, there's a good chance you can live cheaply and afford more experiences. If you're prepared to stay in private homes, you can probably do it very cheaply. Alternatively, check out this guide to Airbnb for beginners.

Think passive income and "bread and butter" products

If you can start generating passive income now, you're guaranteed an ongoing income alongside your freelance income, which can vary depending on your setup.

The term 'passive income' is of course optimistic. It's not entirely passive. But the idea is that you do the work once and earn money from it again and again. It's clever, that's for sure.

Affiliate marketing is an obvious option. A good example of a project that generates passive income is Men's Venture: a blog with a niche topic where there is a large audience looking for answers to questions related to the topic. If you get good at it, you can even make it your primary source of income and live off affiliate and advertising revenue.

Creating a source of income that is anything close to passive requires a lot of active involvement and takes some time to build.

When you sell yourself online - whether you're in New York or in Næstved - it's a good idea to think about developing a so-called rye bread product. This could be a course, an e-book or similar that you put together once and can sell again and again.

You must have a digital nomad visa

You may already have an idea of where you want to go and how you want to earn money along the way. But before you head out into the big wide world, you need to sort out practical things like visas and insurance.

Many people travel on a tourist visa, but that's not enough when you want to work remotely from abroad. You need to get your hands on a nomad visawhich allows you to travel and work as a digital nomad for an extended period of time. Fortunately, more and more countries are offering this.

Visaguide.world has compiled a list of countries that offer nomad visas. The guide will also walk you through the process of applying for your visa.

To qualify for a nomad visa, you typically need to have an employer in a different country than where you want to relocate to, work as a freelancer or have your own business that you can run online independently of your place of residence.

The terms offered to you as a digital nomad vary from country to country. Freelancermap.com provides a good overview of countries with favorable deals for digital nomads.

There's no getting around Bali, which is a top favorite for digital nomads. The nature is beautiful and the cost of living is low. Plus, Bali has just introduced a tax-free nomad visawhich allows foreigners to live and work remotely in the country for up to 5 years. It's a pretty sweet deal for a digital nomad.

Get a handle on tax and insurance

If you travel a lot and have a business or employer in Denmark, it makes sense to pay Danish tax. If you have many Danish customers, having your business registered in Denmark can also increase their peace of mind. Read here how to pay tax as a freelancer.

Just remember to inform the bank of your travel plans. Managing your finances on the road can be a hassle, so it's important to have your bank on your side. After all, you want to be able to access your funds in the bank wherever you are in the world. 

Illness, accidents and mishaps can quickly put an end to your nomadic adventure if you don't have the insurance in place. Some insurance companies have health insurance options specifically for digital nomads. 

Check how your current insurance company covers you. If you have insufficient coverage, you can find advice and guidance on the travel blog Nordombord, which compares some of the best travel insurance for longer trips.