For young people, the great Australian dream now means leaving the country

“Screw it. I think I’m just going to move overseas.” If I had a dollar for every time I said this, I’d be able to afford to buy a house in Australia by now.

For many of us, packing our bags and buying a one-way ticket to embark on a stint abroad in our 20s and 30s is a national rite of passage. We grow up longingly looking at far away shores for the allure of travel and adventure, better employment opportunities, and the potential for accent-induced flirting opportunities (guilty).

Young Australians are moving to South-East Asia to escape the cost-of-living crisis.Credit: Istock

But while the prospect of moving overseas is still as enticing as ever, the places Gen Z and Millennial Australians are looking to differ greatly from those of earlier generations.

In traditional expat haunts like the UK, the US, and Canada, the cost of living is prohibitive. According to Numbeo, in London, the cost of living is 44.8 per cent higher than Melbourne and 20 per cer higher than Sydney, despite offering lower wages. In Los Angeles, it’s 35.8 per cent higher, and this figure climbs to 90.3 per cent in New York. In Toronto, it’s a mere 8.4 per cent more expensive than staying put in Melbourne, and just 5 per cent more affordable than Sydney.

Is it really a dream to fork out $12 for a subpar flat white in London? Moving to these places isn’t an option now – but staying in Australia isn’t so rosy either.

Between relentless rental increases on black-mould-infested homes, low salaries that don’t keep pace with inflation, and weekly grocery bills that now average $160 for a single person, it feels like it’s impossible to survive in Australia as a young person right now, let alone get ahead. So, we’re moving to South-East Asia.

While long been considered a destination for broke backpackers, the region is quickly evolving as a haven for digital nomads who can earn a western wage and live like royalty, but for a fraction of the cost.

Take my mate Dean. He recently moved to Ho Chi Minh City. He pays $750 a month for a one-bedroom apartment in the city centre and enjoys $3 bowls of pho for lunch. His Uber rides are $2, his gym membership $30 a month. He even has leftover money at the end of each month – a forgotten luxury to most of us.

According to a YouGov survey from July 2024, one in three Australians has worked as a digital nomad, while a further 41 per cent are considering it. With multiple governments offering dedicated digital nomad visas, and an abundance of co-working spaces and expat groups, the transition is becoming a well-oiled machine.

After talking to Dean, I did some mathematical gymnastics and realised that an entire month of living in Vietnam – where you can enjoy lush landscapes, vibrant street food, relaxed living and have access to some incredible travel – would cost me roughly the same as a single week in Melbourne or Sydney.

Phnom Penh is a cool 50.1 per cent cheaper than Melbourne, Bangkok is 41.8 per cent cheaper, and Bali is 36.6 per cent more financially friendly. In this reality, working, seeing the world, and saving money for the future is still entirely possible for Australians.

Yes, this also comes with the ethical dilemma of knowing that in enjoying a cheaper way of life, you’re also pricing out locals and contributing to the problems you’re trying to escape from at home, a tough pill to swallow. But really, what are our options now?

We’re not flocking overseas for green smoothies or beach breaks; we’re seeking drastic solutions to survive. A third of young Australians feel financially insecure, while half of Gen Zs and Millennials live paycheck to paycheck, with 65 per cent currently experiencing housing stress and 31 per cent skipping meals to save money. That young Australians feel that they have to move overseas as a long-term financial survival solution in the first place is a sign of just how dire things really are.

The great Australian dream used to be homeownership and having a family. But the new dream might simply be being able to live without a financial existential crisis at every turn – whether that’s getting dental work done, running out of food or having debt collectors on your tail over unpaid bills.

For as long as that’s the reality awaiting us, maybe it’s time we all book plane tickets.

Alexandra Koster is a freelance writer.

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