Geo-Arbitrage Savings Calculator
Calculate how much you save by relocating to a lower cost-of-living country or city, and what those savings could grow to if invested.
Results
What is it?
Geo-arbitrage is the strategy of earning income in a high-wage currency while living in a lower cost-of-living country. This calculator quantifies monthly savings from relocation and projects what those savings could grow to if invested.
How to use
Enter your current monthly expenses, your current city's COL index, the target city's COL index (Numbeo.com is a good source), and your expected investment return. The calculator shows your new monthly expenses, monthly savings, and the future value of those savings if invested.
Example scenario
An American spending $5,000/month (COL 100) who moves to Lisbon (COL 65) could live for $3,250/month — saving $1,750/month. Over 5 years, those savings invested at 7% could grow to approximately $124,000.
Pro tip
Even short-term geo-arbitrage (2-5 years) can dramatically accelerate your FIRE timeline. Portugal, Mexico, Thailand, and Colombia are popular destinations for English-speaking remote workers due to their combination of low cost, high quality of life, and reliable infrastructure.