Why Many Regret Moving to Europe Post-Pandemic

During the Covid-19 lockdown of 2020 and 2021, many people decided to make a change. With the world shut down and growing in new ways, a good portion of the population decided to uproot themselves and move. There reasons were varied, but many workers saw it as an opportunity to keep their job remotely , have a chance to buy a larger home versus rent a smaller apartment, and be able to live life on their own accord.

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Some Americans decided to pack up and move to places such as Texas, only to regret it in the post-pandemic world . Others decided to go all the way out of the country and call Europe home. Now, those who have moved to countries within the EU might also be regretting the decision with the world in a new shape almost four years later.

Here is why many regret moving to Europe post-pandemic:

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Higher Cost Of Living

Food, rent, transportation, and every day living expenses can add up, especially when you are living abroad in Europe. Those who moved to a European country during the Covid-19 pandemic might be finding that now they are faced with a cost of living that is beyond what they can afford.

“The cost of living can end up being much higher than one expects,” offered Kevin Huffman, the owner of Kriminil Trading . “While it is true in many parts of Europe that housing is less costly than it is in large cities in the US, groceries, utilities and other staples can be surprisingly expensive.”

“Many countries in Europe also tax incomes more heavily than the US does, reducing purchasing power, Huffman added.

“A friend who moved to Italy reported that what seemed to be a bargain turned out to be much less so once he started facing the hidden costs of living such as property tax, the mandatory energy efficiency upgrades, and the high grocery bills that all took a major bite out of what he imagined would be his savings,” Huffman shared.

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Tricky Economics

The global economy is shaped heavily by what happens in Europe, but the continent has its own economy, as does each country within it, making it a complex system of money, taxes, and finances across the board.

Huffman said that “… the economic landscape of a new country can be hard to decipher. Language can be a barrier and the systems for banking and budgeting can be bewildering. Some of the stricter labor laws in Europe make it harder to work or to change careers if that dream job doesn’t come through.”

High Taxes

While Europe tends to be romanticized in many ways, one way that is unromantic on all sides is the amount of taxes to be paid. These taxes tend to be higher and can catch a lot of expats off guard.

“The pandemic saw a migration rush to EU countries thanks to alluring social media photos, remote work, and state-run incentives,” said Ethan Richardson, an entrepreneur . “However, the bubble popped, and the people who had moved away from their home countries regretted making a rash decision.”

“The tax freeze ended in the EU after the COVID-19 pandemic became controllable-meaning as high as a progressive 57% tax,” Richardson shared, highlighting Sweden as an example.

Those who moved to Europe during the pandemic might have been surprised by the high income tax rates, plus additional taxes in certain countries. For example, the wealth tax in Spain or the solidarity surcharge in Germany can hit expats with hefty tax bills if they are unprepared.

“The high tax rate seems legit and bearable for the existing [residents] who are already integrated with society and enjoy the benefits through free education and medical aid,” noted Richardson. “But imagine a family with children going to international schools with high fees or a childless couple facing high taxes; they will suffer with immense financial burden until they get integrated into society or find ways for more income.”

Remote Work Shortage

At first, it felt like a dream come true: with the lockdown happening, many workers were able to transfer their day to day tasks from an onsite location to their own homes. However, the amount of work that can be done remotely is drying up as the world resets to being in-person for a lot of business, including in Europe.

“Qualifying for a digital nomad VISA and staying in the EU for an extended period seems fun on paper,” explained Richardson. “Yet, the WFH community is struggling as the world is leaning more toward hybrid and physical settings. Even if a person has a full-time remote opportunity, the time zones for non-EU companies can be hard to maintain, along with occasional work trips.”

Isolation

During the Covid-19 pandemic, many people were separate from their family and friends, not seeing them for months or even years. Adding distance to the equation, particularly when you live overseas and your family does not, can only add to the feeling of being isolated.

Huffman pointed out how “…the utopian view of European life doesn’t always take into consideration the social and emotional dynamics that can impact your finances.”

“Many people have realized the importance of being close to family, especially after experiencing lockdowns and travel restrictions,” agreed Ethan Keller, the president of Dominion . “Missing key family moments and milestones is a common reason for regret. Being away from loved ones becomes more emotionally taxing than expected.”

“Adapting to a new language has been a hurdle for many expatriates,” continued Keller. “Even in countries where English is widely spoken, official documents and everyday interactions often require proficiency in the local language. In some cases, it can feel overwhelming and isolating.”

“Being away from family and friends can make you feel lonely, perhaps encouraging you to spend more on entertainment or communication,” Cultural gulfs and language barriers can make it tough to create any sort of support network: relocation anxiety, regrets about leaving behind close ties, or difficulties in the workplace can interfere with finances.”

This article originally appeared on GOBankingRates.com : Why Many Regret Moving to Europe Post-Pandemic