Working remotely from a beach in Thailand? It sounds like a dream, right?
For millions of location-independent professionals, it already is. But there’s a problem. Managing money across borders can be a hassle if you don’t know what you’re doing.
The good news? With the right systems and tools in place, international finances are a breeze. From sending money to Thailand to holding multiple currency accounts, this complete guide will tell you everything digital nomads need to know about staying on top of their finances.
Let’s dig in.
Contents
- Why International Money Management Matters
- The Real Cost of Moving Money Abroad
- Setting Up Your Financial Foundation
- Smart Ways To Send Money To Thailand
- Managing Multiple Currencies
- Avoiding Common Mistakes
- Wrapping Things Up
Why International Money Management Matters
Digital nomadism has grown in popularity dramatically over the last few years. According to MBO Partners, there are 18.1 million digital nomads in America alone, and the number grows each year.
Millions of people around the world are earning money in one currency and spending it in another. This is where international money management matters.
Asia is a particularly popular region for digital nomads. Japan and Bali were already extremely popular long before pandemic travel restrictions eased. Thailand has also seen a major rise in remote workers flocking to its stunning islands and cities.
In 2024, the Thailand digital nomad visa was launched, making it easier than ever to live and work in the country legally. Many remote workers took advantage of this to relocate for the first time.
But how do you move money internationally? That’s where things get tricky.
The average digital nomad has to transfer money to Thailand regularly for things like renting an apartment, paying coworking memberships, and day-to-day living expenses.
Using the wrong transfer method can cost hundreds of dollars per month. Choosing the best services and tools to send money to Thailand is critical to minimize fees and keep more money in your pocket.
The Real Cost of Moving Money Abroad
Here’s a fun fact to get you excited about reading this guide…
On average, banks charge 14.55% to send international transfers. Holy moly, that is a lot of money if you’re moving cash around every month.
To put it into perspective, let’s say you transfer $2,000 each month to cover all your living expenses in Thailand. If you use a traditional bank wire transfer, the fees alone could end up costing you nearly $300 each month. That’s $3,500 per year straight down the drain.
The global average is actually 6.49% right now according to World Bank data. But that’s still way above the UN Sustainable Development Goal target of 3% by 2030.
The different types of providers average the following fees for the cost of sending money internationally:
- Banks: 14.55%
- Post Offices: 7.71%
- Money Transfer Operators: 5.04%
- Mobile Operators: 4.97%
Pretty shocking when you break it down like that, right?
Digital-only money transfer services usually cost between 3-4% on average to send money internationally, making them the most sensible option for frequent transfers.
Setting Up Your Financial Foundation
Before booking the ticket to Bangkok or Chiang Mai, all digital nomads should have their finances organized first. This makes everything infinitely easier in the future.
First things first, every location-independent worker should have:
- A multi-currency bank account or digital wallet
- At least one backup payment method
- Access to international money transfer services
- Optionally a local Thai bank account
The Thailand digital nomad visa requirements also include having proof of 500,000 Thai Baht in your savings account, around $14,000 USD. This makes it much easier to apply and get approved for the special work visa.
Opening a local bank account in Thailand is optional as a digital nomad, but it will make your life a lot easier. All of your payments become instantaneous, and some landlords may even require rent payments to be made through local transfers.
Pro tip: Store some emergency funds in multiple currencies. Exchange rates can move in your favor as well as against you, so having some diversification between different currencies provides a hedge against sudden fluctuations.
Smart Ways To Send Money To Thailand
Time for the good stuff. There are multiple options to send money to Thailand, but not all methods are equal.
Bank Wire Transfers
The most traditional method that most people just default to. Banks are well-established and offer a lot of security, but those fees we mentioned above? They add up very quickly. Wire transfers also take 3-5 business days to process.
This is the preferred method for very large infrequent transfers where security is of the utmost importance.
Online Money Transfer Services
Money transfer platforms have made international payments significantly easier. The pros include:
- Cheaper fees than traditional banks
- Faster transfer speeds (often same-day)
- Better exchange rates
- Convenience of mobile apps
For the average digital nomad who is making regular monthly transfers, online services can save you thousands of dollars a year.
Cryptocurrency
Cryptocurrency is a method some remote workers choose for international transfers. Fees can be cheaper, but the exchange rate volatility creates risk. This method is only best for tech-savvy digital nomads who are comfortable with the crypto space.
International Debit Cards
Traveler-specific debit cards often come with no foreign transaction fees and competitive exchange rates. These cards are perfect for daily spending as a digital nomad but are less than ideal for large transfers like paying rent.
Managing Multiple Currencies
The digital nomad lifestyle means you constantly have to juggle between different currencies. Earning money in one currency, paying bills in another, maybe keeping savings in a third currency.
Things get messy quickly without a system to stay organized.
Separate accounts for different purposes. It’s best to have different accounts or wallets for specific use cases: One for receiving client payments, another for day-to-day spending, and another for savings and emergencies.
Keep an eye on exchange rates before large transfers. Even a few percentage points can make a difference when you’re moving significant sums of money. Most money transfer services allow you to set alerts when a certain exchange rate hits.
Batch together transfers whenever possible. Rather than 2-3 smaller transfers each month, see if you can instead make fewer larger ones to lower the per-transaction fees.
Avoiding Common Mistakes
Digital nomads make the same mistakes over and over again. Learning from someone else’s errors saves a lot of time, money, and frustration.
- Don’t rely on just one method of payment. ATMs run out of cash. Apps crash. Cards get blocked. Always have multiple backup methods just in case.
- Don’t ignore tax obligations. Just because you’re living as a digital nomad doesn’t mean you don’t have to pay taxes. Most digital nomads still owe tax to their country of origin regardless of where they physically work.
- Don’t exchange money at airports or tourist areas. The rates are horrendous. Always use proper money exchange services or ATMs that offer better exchange rates instead.
- Don’t forget about receiving money. Accepting money from clients in their local currency means you have to have a system to handle receiving all sorts of different payment methods quickly and easily.
Wrapping Things Up
Managing international finances as a digital nomad doesn’t have to be complicated. The key is setting everything up before issues arise.
To quickly recap:
- Traditional banks charge the highest fees – avoid them for regular transfers
- Online money transfer services are the best value for most digital nomads
- Multi-currency accounts make currency management much simpler
- Always have backup payment methods
- Track exchange rates and batch transfers where possible
Asia continues to attract a massive number of remote workers for many good reasons. The cost of living is still lower, the scenery is top-notch, internet infrastructure is solid, and Thailand now has a proper digital nomad visa for newcomers.
Getting your money there quickly and efficiently? That’s just smart planning.
The remote worker lifestyle offers a level of freedom like few other careers. Don’t let poor financial management eat away at that freedom unnecessarily. Choose the right tools, set up the proper systems, and focus on what actually matters. Enjoying the location-independent life.
