Countries That Pay You to Move There: A Complete Guide

Why Do Countries Pay you to Move There?

Countries often offer cash incentives, typically in the form of subsidies, grants, and tax breaks. If you are planning to move, you can consider countries that offer benefits in various forms. There are various countries across the globe that offer cash incentives if you relocate there. But the question is, Why Do Countries Pay You to Move There? Here are the reasons-

• To stimulate economic growth and development- Countries who want to improve the economic growth and development of their countries through investments offer incentives. These incentives are used to promote industries like manufacturing, high-tech, renewable energy, and agriculture. These incentives support R&D activities and the development of new products and economic advancements.
• To address market failures- Most countries offer incentives that encourage positive externalities and support sectors that are struggling, like farming. These incentives can be used to promote development in less-developed areas. Tax credits sometimes encourage companies to create more job opportunities.
• To enhance competitiveness- In a globalized economy, countries are competing to attract more business, and in order to attain the position, they lower the taxes and increase the incentives.

The most common types of incentives that are offered include-

• Grants- Direct monetary payments to individuals and businesses like R&D grants, and agricultural grants.
• Low-interest loans- Loans provided by the government at favorable interest rates to support industries.
• Tax credits- These are the reductions in tax liability for engaging in tax credits in the renewable energy sector and R&D tax credits.

How to Choose the Right Relocation Program?

Moving to a country that will pay you to move there is easy to find through several online resources. But which relocation program is the right fit for difficult to choose as your future will depend on it. Here are some key factors to consider while choosing the right relocation program-

• Budget- People move to a new city, state, or country to find financial stability or some opportunities to earn more money. So, before you choose a relocation program focus on your budget or financial needs. Choose a company-funded program that offers full coverage including packing, transportation, temporary housing, spousal support, and more. You can also consider direct bills or reimbursement, where the company directly pays the vendors, but they are less flexible.
• Nosara- Nosara is located on Costa Rica’s Nicoya Peninsula and is renowned for its distinct lifestyle. Moving here will present you with opportunities like yoga, wellness, surfing, and a strong sense of community.
  Nosara has a relatively small community who are family-friendly, and there is a significant integration of the expat community. It offers a relaxed pace of life and is surprisingly well-equipped with all amenities. The cost of living in Nosara is more expensive than in other locations, especially for imported goods, higher-end rentals, and dining out.
• Puerto Viejo (Caribbean Coast)- It is located on Costa Rica’s Caribbean coast and offers a unique lifestyle. It is a perfect place for those who want to slow down and connect with nature. It has a national mantra, “Pura Vida” with a Caribbean flavor and offers a deep connection to the community.
  It has options for outdoor and beach-centric living like Beaches Galore, Playa Negra, Manzanillo, and more. It has a rich culture and community with a multicultural blend and local interactions. This location offers a connection with nature and has a lower cost of living.

While considering budget, don’t forget to focus on the hidden costs like fees of setting up utility, new furniture, local taxes, and difference in the cost of living.

• Lifestyle- Another factor to consider while choosing the right relocation program is the type of lifestyle you prefer. Take note of your family needs like schools, childcare options, healthcare facilities, proximity to family, and community resources. Keep your personal preferences in mind and also remember the commuting duration. Pick the programs that cover the transportation costs.
• Career Goals- Job security and growth are the prime goals of any individual. So, before you pick a relocation program consider your career aspects. Consider whether the new location offers better employment opportunities and whether the company culture supports you in the location.

Long-Term vs. Short-Term Incentives

While choosing the right relocation program, you need to consider whether the incentive encourages for immediate move or long-term commitment. Let us understand what are long-term and short-term incentives-

Short-Term Incentives- Here are some examples of short-term incentives-

• Signing bonuses
• Temporary housing costs
• Travel expenses
• Household goods shipping
• Car shipping

Long-Term Incentives- Here are some examples of long-term incentives-

• Home sale assistance
• Spousal Career Assistance
• Mortgage Assistance
• Cost of living Adjustments
• Repatriation Packages

Legal & Tax Considerations

This is one of the major parameters to keep in consideration while planning to move-

• Taxability of Benefits- Many relocation benefits are considered taxable income. The moving expenses like the cost of transporting household goods are non-taxable. Bonuses, lump sums, temporary housing, etc are generally taxable.
• Relocation Agreements- While signing any document, read everything thoroughly as it covers the list of expenses and services. Also, the deadlines for submitting expenses and completing the move.
• International relocations- These are more complex like visa and immigration require assistance from the company. Understanding the double taxation treaties, social security, and pension implications in current and destination countries.
• Professional Advice- Consult with a tax professional with a specialization in relocation. The professional will help manage your finances and review the relocation agreement.

Top Regions & Countries that Pay you to Move There

Italy

The Southern regions of Italy offer various types of incentives to attract people to move there. These incentives are offered to escalate the economic growth of the region by generating employment opportunities. Here are some details about the incentives offered by Molise, Sicily & Basilicata Village-

• €700/month for Remote Workers- Molise offers a monthly stipend of €700/month for a fixed period to individuals who relocate to a village with fewer than 2,000 inhabitants. The key condition to this incentive is that the applicant must commit to opening a business in the village and maintaining it for a certain period.
• Up-to-€28,000 Home-Purchase Subsidies- Many villages, including Sicily and Basilicata, offer abandoned homes for the symbolic price of €1. However, there is an obligation to submit a renovation plan with substantial renovation costs ranging from €16,000 to €32,000 or more. Many towns require a security deposit, which will be returned upon completion of the renovation.
• Eligibility & Application Process- The eligibility criteria vary from program to program, but the major parameters considered include age, residency commitment, business commitment, financial capacity, non-tax resident, visa, or permit to stay. The application process was initiated with the identification of suitable programs at office municipal websites, regional government websites, and news articles. The next step is exploring the requirements, documentation, visa, and permits, and, finally approval.

Spain

There are various initiatives implemented at national, regional, and municipal levels to attract new residents. Ponga, Olmeda de la Cuesta & Other “Empty Spain” Towns include towns in regions like Asturias, Galicia, and more. They offer the following types of grants-

• One-Time Cash Grants (€3,000–€5,000)- The amount offered in this program can vary significantly and these grants typically intend to help with initial relocation costs and settle-in expenses. The conditions of this program are to commit to living in the village, repopulate schools and youth into the community, start a business and there will be an age limit.
• Free or Discounted Land/Property- Similar to Italy, there are low-cost plots in Spanish villages that sell dilapidated properties. The condition is the mandatory renovation commitment and you will be required to submit a renovation plan and complete the process within a defined framework. Direct subsidies with be granted for the purchase and renovation of homes. Families with children will sometimes get low-cost rental opportunities.
• Requirement and local integration- There are some general requirements including appropriate residency status, commitment to the village, financial stability, age and family composition, and clean criminal record. For local integration, learning the local language is highly recommended with engagement in community services. Any cash grant may have tax implications.

Portugal

In recent years, Portugal has become a highly attractive destination for remote workers and people looking for a change in their lifestyles. Unlike Spain and Italy, Portugal offers indirect incentives, tax benefits, and favorable visa regimes. The interior regions like Alentejo and Trás-os-Montes are often targeted for efforts. These appeals include a lower cost of living, a slower pace of life, and a growing infrastructure.

• Monthly Stipends for Remote Workers- The remote workers are awarded spun under a program called “Emprego Interior MAIS, which was launched in 2020. It supports workers, and funding can go up to €4,827. The key condition is to move here and get employed or start a business, and this is more of a one-time relocation grant.

Tax Breaks & Startup Grants- Portugal sometimes offers the most attractive tax benefits for remote workers in Europe. The Non-Habitual Resident (NHR) Regime is a highly popular regime that offers significant tax advantages for new tax residents. For Portuguese-sourced income, there will be a flat 20% tax rate and an exemption on most foreign-sourced income.

• Startup Portugal is a comprehensive government initiative that attracts foreign investment. It offers a range of services, including financial support, tax incentives, and access to investor networks. Portugal has a growing network of incubators and accelerators that offer support, office space, and networking opportunities.
• Visa & Residency Steps- Families planning to live long-term in Portugal can obtain visas as remote workers and freelancers. The condition is that you have to demonstrate an average monthly income of at least €3,480. There are temporary stay visas as well as residency visas. Several other types of visas are also available, like Golden Visa, D7 Visa, and D2 Visa.

To obtain general residency, here are some steps-

• Choose the Right Visa (D8, D7, D2, Golden Visa)
• Collect documents (proof of income, accommodation, health insurance, criminal record certificate, and a valid passport)
• Obtain NIF
• Open a Portuguese Bank Account
• Apply for the Visa
• Enter Portugal with a Visa
• Apply for a Residence permit
• Register with local authorities

Germany

Eastern states in Germany like Saxony-Anhalt and Mecklenburg-Vorpommern are facing challenges with rural depopulation. These two states are leading efforts to attract new tourists. They are offering affordable real estate for rental and purchase. These offer a high quality of life with beautiful landscapes, a slower pace of life, and a strong sense of community.

€1,000–€3,000 One-Time Moving Grants- These grants show initiatives where some towns are offering free or subsidized stays in newly renovated apartments. If you plan to start a business in a rural area, you might be eligible for federal or regional grants. It also provides family-specific benefits and helps reduce the financial burden for families. There might be grants for local or state-level renovations.

Affordable Real-Estate Offers- This is one of the most tangible benefits of moving to these regions. They offer lower purchase prices that open up opportunities for homeownership that are out of reach in larger cities. Larger plots with be available at generous prices and come with garden spaces. Properties are sometimes sold at public auctions offered at attractive prices.

How to qualify- To qualify for these benefits individual might need Swiss Citizenship or a valid visa. Commitment to residency in the village for a certain period. Fulfill specific program requirements and skills to communicate in the German language.

United States

If you are considering moving to the United States, you can consider relocation programs offered in Kansas, Oklahoma, and Vermont.

• In Kansas, there are 95 Rural Opportunity Zones that offer incentives viz. Student Loan Repayment Assistance (Up to $15,000 over five years) and State Income Tax Credit (Residents in ROZs can claim up to 100% of their state income tax for 5 consecutive years).

Topeka offers incentives through the GO Topeka employee transfer program that offers up to $10,000 for renting a home and up to $15,000 for purchasing a home. They provide assistance in buying homes through the Kansas Housing Resources Corporation (KHRC).

• Tulsa pays $10,000 to remote workers to relocate to rural Tulsa and provide home-buying assistance through programs like the OHFA Gold and Dream programs managed by The Oklahoma Housing Finance Agency (OHFA). Oklahoma offers a $25,000 income tax credit for doctors.
• Vermont offers one-on-one support through the GROW Program for newcomers moving to Southern Vermont. Vermont also offers relocation bonuses for in-demand workers. Also, provide home-buying assistance via USDA Rural Development's Section 502 Direct Loan Program.

Canada

Canada’s Northern Territories and Atlantic Province seek to attract newcomers to boost their economies and populations. They do this through Provincial Nominee Programs (PNPs), and here are the details-

• Atlantic Provinces often leverage the Atlantic Immigration Program (AIP) that attract skilled workers and international graduates. New Brunswick (NBPNP) has several streams including NB Skilled Worker Stream, NB Express Entry Stream, NB Entrepreneurial Stream, and NB Private Career College Graduate Pilot Program. If you are an NB employer and have relevant job experience, you are eligible for this benefit.

There are several other programs including Newfoundland and Labrador (NLPNP), Nova Scotia (NSNP), Prince Edward Island (PEIPNP), etc.

• Northern Territories including Yukon, Northwest Territories, and Nunavut also have PNPs that are designed to address unique regional needs and attract workers to remote areas. Some of the common programs are Yukon Community Pilot (YCP), Northwest Territories (NTNP), and Nunavut (Currently No Active PNP).
• Atlantic Immigration Program (AIP)- This is a key federal program that is specifically designed for the Atlantic Provinces. Its purpose is to help employers in the Atlantic region hire skilled foreign workers and international graduates. Some of the common streams are the Atlantic High-Skilled Program, Atlantic Intermediate-Skilled Program, and Atlantic International Graduate Program. Its key features are job offers, endorsement, temporary Work Permit, and settlement plans.

Cost & Cultural Considerations

Relocating internationally is not only about getting a visa and finding a house; it is also about financial and cultural aspects.

• Shipping Household Goods Internationally- The cost of shipping your belongings can be significant and can vary depending on several factors, including the volume and weight of the shipment. It also depends on the mode of transportation, either by sea, air, or courier service. The cost of shipping household goods can be affected by the services required, like door-to-door services (packing, customs clearance, delivery, packing material, and labor).
• Adjusting to Local Language & Customs- This is one of the most challenging aspects of international relocation. The initial challenge is understanding official documents as they will be in the local language. Differences in culture can affect personal space, social etiquette, and work culture. There are different phases of culture shock, including the honeymoon phase, frustration/crisis phase, adjustment phase, and adaptation phase.
• Healthcare, Education & Local Services- Accessing essential services is one of the critical parts of settling in the new country. The universal healthcare system varies globally, as some are funded by taxes while some are funded by insurance. Newcomers have to go through a waiting period of several months to avail the healthcare benefits and register with the local authorities. With the international moves, be ready for the change in the curriculum, types of schools, language variation, and more.
• Register your address with the local authorities and obtain a tax ID or a social security number. Open a bank account in a local bank for day-to-day transactions. Set up utilities like electricity, water, internet, and phone services. Explore the transportation services and plan your route to work.

Conclusion

People relocate to a new country to avail various benefits, especially monetary and housing benefits. Countries offer incentives because they want to improve their economies and revitalize their communities. There are various programs that will provide individuals and families the opportunity for a transformative adventure. The success of an international move depends on individual willingness to benefit from the cost and cultural adjustment. Moving household belongings is about adjusting to the new language, customs, culture, and environment. It will benefit individuals in accessing services like healthcare, education, and more.

FAQs

Do I Have to Pay the Cash Back if I Leave Early?

Yes, in many relocation programs, if you leave before the assigned period of time, you might have to pay cash back to the program.

Can I Bring My Family & Pets?

Yes, you can bring your family and pets when you relocate to the new country. However, each program has its limitations, and it is better to explore program guidelines before the move.

How Long Until I’m Considered a Resident?

You will be considered a resident depending on factors like a tax (tax resident is one where you pay your taxes), legal resident (having a valid visa to live in the country), and permanent resident (long-term status that permits you to live, work, and study).

What Happens If the Program Ends?

If the program ends, it will impact your existing benefits, like ongoing stipends, unpaid portions of grants, and tax breaks.