How to become a digital nomad in Malaysia in 2023

With its stunning landscapes, vibrant culture, and thriving coworking spaces, Malaysia is fast becoming a top destination for remote workers.

Picture yourself enjoying your morning coffee on a pristine beach, diving into work with a breathtaking view of the ocean. Malaysia offers an abundance of natural beauty, from the lush rainforests of Borneo to the pristine beaches of Langkawi.

But it’s not just the scenery that makes being a digital nomad in Malaysia appealing. The country is known for its affordable cost of living, making it an attractive option for those looking to stretch their budgets while still enjoying a high quality of life.

The cities are modern and well-connected, with reliable internet speeds and a range of accommodation options to suit every taste and budget.

So, what makes Malaysia the ideal destination for digital nomads? Let’s dive into the details and explore why this Southeast Asian gem should be at the top of your list.

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Why should you consider Malaysia as a digital nomad?

Malaysia offers a unique blend of modernity and natural beauty, making it an ideal destination for digital nomads. The country is home to bustling cities like Kuala Lumpur, Penang, and Johor Bahru, each offering its own unique charm and opportunities for remote work.

Kuala Lumpur, the capital city, is a thriving hub for digital nomads. The city is known for its modern infrastructure, diverse coworking spaces, and vibrant expat community. With its skyscrapers, shopping malls, and bustling street markets, Kuala Lumpur offers a perfect blend of work and play.

Penang, on the other hand, is a melting pot of cultures and flavors. The island is famous for its street art, delicious food, and laid-back atmosphere. Digital nomads flock to Penang for its affordable cost of living, vibrant art scene, and close-knit expat community.

Johor Bahru, located just across the border from Singapore, is another popular choice for digital nomads. The city offers a lower cost of living compared to its neighbor, while still providing easy access to Singapore’s international airport and business opportunities.

One of the best digital nomadic visas available to remote workers is from Malaysia – here’s what you need to know about it and how to apply.

Malaysia’s culture, cuisine and landscapes have been alluring travellers from around the world, making it one of the most renowned tropical destinations in Southeast Asia. Since 2022 it has become a popular choice for digital nomads.

If you are aspiring to work from Malaysia, here is an overview of Malaysia’s digital nomad visa.

How do you get the Malaysia digital nomad visa?

The Malaysia Digital Economy Corporation (MDEC) has established the DE Rantau Nomad Pass to encourage digital acceptance and foster digital mobility and travel within the nation.

With Malaysian cities like Penang and Kuala Lumpur already being some of the most freelance-friendly locations in the world, the initiative seeks to make Malaysia a prominent destination in Southeast Asia for digital nomads.

This programme is designed not only to support overseas digital nomads, but also locals who want to see the country while working.

DE Rantau Hubs have been established, offering certified accommodation in Malaysia specifically catering to digital nomads. As part of the programme, nomads are privy to working hubs, special local services, discount vouchers, useful updates and promotions.

Additionally, digital nomads in Malaysia don’t need to pay taxes on earnings from international companies. However, taxes may be applicable on money made from Malaysian companies or customers.

What are the requirements to be met to be eligible for Malaysia’s digital nomad visa?

Freelancers, remote personnel, or independent contractors can be eligible for the pass if they earn a minimum of USD 24,000 (or INR 19,62,636) on an annual basis.

They must be software developers, UX/UI experts, cybersecurity professionals, blockchain experts, AI engineers, machine learning specialists, digital marketers, and or digital content producers.

When remote workers are applying for the digital nomad visa, the following documents will be required:

• a current passport. Six blank pages and a minimum of 14 months of validity are required for your passport.
• a passport photo that complies with Malaysia’s standards. Your picture needs to be 35 mm wide by 50 mm tall, colored, and no older than six months. The head needs to be 25 mm by 30 mm and facing the camera.
• The annual income statement and the bank statement for the last three months. For foreigners, the minimum yearly income criterion is $24,000; for local digital nomads, it is $7,863.
• a payslip for three months. Your last three months’ worth of paystubs must also be provided.
• Latest resume. Do not forget to provide the most recent information about your professional accomplishments on your resume.
• A Statutory Declaration form or a letter of good conduct. The letter of good conduct is issued by an authorized organization in the relevant nation or place of present residence; typically, it takes two to three months. Therefore, it is advised that you upload a form for a statutory declaration. The form can be downloaded from the official website; a notary public in your nation must certify it.
• Personal bond form. A personal bond form is an affirmation that you will abide by Malaysian laws and the terms of your visa.
• Your highest education credentials. Add your diplomas and certificates of higher education, as well as any documents attesting to your credentials and expertise in the classroom, including copies of honors or prizes.
• Health coverage for remote workers. Until your visa application is granted, you are not need to show proof that you and your dependents have health insurance in Malaysia. You must obtain health insurance coverage once you are authorized to enter Malaysia.
• Evidence of your work. Provide a copy of your current project contract, if you are applying as an independent contractor or freelancer in the digital space. Contracts with domestic or international clients should be at least three months old.
• Provide a copy of your current, valid job contract if you are applying to work remotely. It must be for a minimum of three months, and the employer cannot be a Malaysian company.

How do you apply for a digital nomad visa in Malaysia?

In order to submit an application for a digital nomad visa in Malaysia, you must go to the Rantau Digital Nomad Pass webpage. Here are the things you need to do:

• Get your paperwork in order. Having all of your paperwork in order before beginning your online application will make the process go more smoothly. See “What Are the Requirements for a Malaysia Digital Nomad Visa?” for a full rundown of everything you will need to prove your digital nomad status in Malaysia.
• Sign up for the Digital Nomad Pass on the De Rantau website. A valid email address is required for signup. After that, you will be asked to enter a verification code. After signing in, you will be asked to select whether you are an international applicant or a local applicant.
• Decide on a profession. You can be a digital nomad, or an independent contractor, or a remote worker. The digital freelancer/independent contractor status is best suited for those who wish to work independently from any particular organization or physical place. If you work for a company that allows for more flexible schedules, you will choose the opposite choice.
• Please complete the application. This section lists your particulars. Put in your name, date of birth, nationality, country of birth, and address, then upload a photo much like a passport. Your emergency contact information must be listed here. Details regarding your passport, your education, your sponsor, and anything else relevant will also be required.
• Please submit all necessary files. English or an English translation must be provided for all papers. A single file containing the entire document is required. The file size and format requirement is 20MB in PDF.
• Cover the application cost now. The cost to submit an application is RM1,000 (about $225). For any dependent traveling with you, there is a supplementary charge of RM500 (about $112).
• Wait for the approval. About four weeks will pass while your order is processed. The consular office will notify you via email of the outcome of your visa request.

What else should you know about working as a digital nomad in Malaysia?

A visa for a digital nomad traveling to Malaysia takes four weeks to process. You must wait patiently while your visa is processed, which occasionally takes longer than expected for a variety of reasons.

The following costs apply to obtaining a digital nomad visa for Malaysia:

• RM1,000, or around $225, is required for the application.
• RM500, or roughly $112, for every extra dependent.

If your visa application is denied, you are eligible for a 75% refund.

A digital nomad visa allows you to go to Malaysia with family members. You may only bring members of your immediate family with you. The names of the dependents must be on the application.

Furthermore, each dependent must be paid an extra cost of RM500, or approximately $112.

In Malaysia, you are exempt from paying income taxes if you are a digital nomad. On the other hand, if you work for a Malaysian firm or clients, you have to pay income tax.

Malaysian residents and citizens are generally subject to local income taxes.

It is possible to apply for the DE Rantau Nomad Visa on the official website of MDEC.

Should you become a digital nomad?

Now that you know all that, you might be wondering if it is worth becoming a digital nomad.

A digital nomad is someone who uses technology to work remotely while traveling and exploring different locations. Instead of being tied down to a traditional office, digital nomads have the freedom to work from anywhere with an internet connection.

This lifestyle allows them to live and work on their own terms, creating a sense of independence and adventure.

Digital nomads can be freelancers, entrepreneurs, or remote employees. They rely on tools like laptops, smartphones, and reliable internet connections to communicate with clients or colleagues, complete tasks, and deliver work.

With the rise of remote work and the increasing availability of digital tools, more and more people are embracing the digital nomad lifestyle.

Benefits of being a digital nomad

Being a digital nomad comes with a range of benefits that make it an appealing lifestyle choice for many.

Flexibility and freedom

One of the biggest benefits of being a digital nomad is the freedom to work whenever and wherever you choose. You have control over your schedule, allowing you to work at your most productive times and take breaks when needed.

Whether you prefer to work early in the morning or late at night, you can tailor your work hours to suit your personal preferences.

In addition to flexible work hours, digital nomads have the freedom to choose their work environment. Whether it’s a café, a co-working space, or a park, you can set up your office wherever you feel most inspired and productive.

This flexibility allows you to create a work environment that suits your needs and preferences, boosting your overall job satisfaction.

Travel and exploration

One of the most exciting aspects of being a digital nomad is the opportunity to travel and explore different locations while working.

Instead of being tied down to a single city or country, you can experience the world and immerse yourself in different cultures. From bustling cities to tranquil beach towns, the possibilities are endless.

Traveling as a digital nomad allows you to expand your horizons, learn about different cultures, and gain new perspectives.

It’s a chance to step out of your comfort zone and embrace new experiences. Whether you’re exploring ancient ruins, hiking through picturesque landscapes, or sampling local cuisine, every day is an adventure.

Work-life balance

One of the main reasons people choose to become digital nomads is to achieve a better work-life balance.

By working remotely, you have more control over your time and can allocate it to the things that matter most to you. Whether it’s spending time with loved ones, pursuing hobbies, or taking care of your health, you have the flexibility to create a balance that suits your lifestyle.

Digital nomads often find that they have more time for leisure activities and personal growth. Without the constraints of a traditional office job, you can prioritize self-care and personal development.

Whether it’s practicing yoga, learning a new language, or indulging in your favorite hobbies, you have the freedom to design a lifestyle that aligns with your values and goals.

How do you become a digital nomad?

Becoming a digital nomad requires careful planning and preparation. Here are the steps you can take to embark on your digital nomad journey:

Assess your skills and interests

Before diving into the digital nomad lifestyle, it’s important to assess your skills and interests.

Consider your professional background and the type of work you enjoy doing. Are there remote opportunities available in your field? If not, are you open to learning new skills or exploring different industries?

Identifying your skills and interests will help you determine the type of work you can pursue as a digital nomad. It will also guide your decision-making process when it comes to choosing your niche or target market.

Build a portable income stream

To sustain your digital nomad lifestyle, you need to have a reliable source of income. This means building a portable income stream that allows you to earn money while traveling. There are several ways to achieve this:

Freelancing: If you have marketable skills, consider freelancing as a digital nomad. Platforms like Upwork, Freelancer, and Fiverr offer a wide range of freelance opportunities in various fields.

Remote work: Many companies now offer remote work opportunities. Look for remote job boards or websites that connect remote workers with employers. Alternatively, you can approach your current employer and propose a remote work arrangement.

Online business: If you have an entrepreneurial spirit, starting an online business can provide you with the flexibility and freedom to work from anywhere. Whether it’s e-commerce, affiliate marketing, or online consulting, there are countless online business opportunities to explore.

Plan your finances

Managing your finances is a crucial aspect of the digital nomad lifestyle. Before setting off on your journey, take the time to create a budget and determine your monthly expenses. Consider factors such as accommodation, transportation, food, healthcare, and travel insurance.

It’s also important to have a financial safety net in place. Aim to have savings that can cover your expenses for at least six months or more. This will provide you with a cushion in case of emergencies or unexpected expenses.

Additionally, consider setting up a digital banking system that allows you to access your funds easily while traveling. Research online banking options that offer favorable exchange rates and low fees.

Choose the right location

Choosing the right location as a digital nomad is crucial for your overall experience. Consider factors such as cost of living, internet connectivity, safety, and cultural compatibility. Research different destinations and read reviews from other digital nomads to get insights into the pros and cons of each location.

Some popular digital nomad destinations include Bali, Chiang Mai, Lisbon, and Medellin. These locations offer a thriving digital nomad community, affordable cost of living, and a range of amenities and activities.

Prepare for the challenges

While the digital nomad lifestyle comes with many benefits, it’s not without its challenges. It’s important to be prepared for these challenges and have strategies in place to overcome them.

Some common challenges include dealing with loneliness, managing time zones, staying productive, and finding reliable internet connections.

To combat loneliness, try to connect with other digital nomads in your location or join online communities and forums.

To manage time zones, use digital tools and planners to schedule meetings and coordinate with clients or colleagues.

To stay productive, establish a routine, set goals, and create a dedicated workspace wherever you go. And to ensure reliable internet connections, research co-working spaces, cafes, or accommodations that offer high-speed internet.

Conclusion

Becoming a digital nomad offers a unique opportunity to combine work and travel, creating a lifestyle that offers both freedom and fulfillment.

With the flexibility to work from anywhere and the chance to explore new cultures and experiences, digital nomads enjoy a level of freedom that traditional office jobs cannot provide.

However, the digital nomad lifestyle also comes with its own set of challenges. From managing finances and finding remote work opportunities to overcoming loneliness and staying productive, it requires careful planning and preparation.

But with the right mindset, skills, and resources, you can embark on a digital nomad journey that allows you to live life on your own terms.

To that end, Malaysia offers a compelling package for digital nomads seeking a balance between work and leisure. The country’s stunning landscapes, affordable cost of living, reliable internet, and thriving coworking spaces make it an attractive destination for remote workers.

Whether you choose to live in the vibrant city of Kuala Lumpur, the laid-back island of Penang, or the border city of Johor Bahru, Malaysia has something to offer every digital nomad.

Embrace the opportunity to explore the local culture, taste the diverse cuisine, and connect with like-minded individuals in this Southeast Asian gem.

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Adam is an internationally recognised author on financial matters, with over 760.2 million answer views on Quora.com, a widely sold book on Amazon, and a contributor on Forbes.