An American expat residing in one of the world's priciest nations on a $73,000 annual budget: "I feel secure, I feel comfortable"

The Millennial Money series by CNBC Make It showcases how individuals worldwide manage their finances, including their income, expenditures, and savings.

In Iceland, where 94% of people are native Icelandic, Chambers, a Black American woman, stands out as one of the 6% who do not fit the typical Icelandic appearance.

Despite living in Reykjavik for eight years, Chambers is not fluent in Icelandic and still struggles with certain aspects of the language.

The native New Yorker has never been more certain that this is the precise location where she always required to be.

"Chambers describes a magnetic force that has been pulling him in a certain direction, despite not being able to identify it precisely. He attributes this force to nature, which has always been a rejuvenating source of energy for him. Whenever he goes on a hike or a regular walk, he feels grounded and connected to the natural world."

Since 2018, Chambers has been running All Things Iceland, a podcast, YouTube channel, and social media brand that showcases Iceland's nature, history, and culture through the perspective of an expat.

Since 2020, Chambers has been running the show, which has over 50,000 YouTube subscribers and 30,000 monthly podcast listeners. The company is projected to make $100,000 this year, and Chambers will take home approximately $73,000 before taxes and pension contributions are deducted.

Although it's not a substantial fortune, especially in expensive Reykjavik, it's sufficient to fund the lifestyle that Chambers, 38, envisioned in her youth.

""Here, I feel safe and at home. I'm really happy. That feeling has kept me here," she says."

Getting through the 'limbo state'

In high school in Brooklyn, during economics class, Chambers' dreams of living abroad started.

As the professor discussed U.S. economics and politics, she couldn't help but think, "I don't think I'm meant to live in the U.S.," she says.

She hoped to study abroad while attending Rensselaer Polytechnic Institute, but things didn't work out. However, she believed that it would become a possibility for her in the future.

After graduating from college in 2008 with a degree in engineering and $60,000 in student debt, Chambers returned to New York City and took a fellowship in digital marketing for a diversity and inclusion nonprofit. However, she struggled to make ends meet.

Eventually, Chambers transitioned to a full-time job, easing some of the financial strain, but that time remains "a limbo state," a "jumble of trying to figure out my life, trying to make some money, and trying to establish a career path that aligned with my goals."

In 2013, she reconnected with and began dating an Icelandic man she'd met in college. By 2016, he told Chambers he intended to move back to Iceland, and she agreed to follow him — on one condition.

Chambers stated that he wouldn't relocate unless he secured a job that aligned with his abilities.

Fortunately, Iceland experienced a significant increase in tourism during that time, which led to a high demand for digital marketers. However, this field was not widely recognized as a specialized skill in the country.

In June 2016, she left for Iceland after securing a job at a local tourism company.

Falling in love with all things Iceland: 'My life changed'

Chambers' conversion to a true-blue Icelander was a result of working for that company, which was initially challenging but eventually eye-opening.

She remembers feeling overwhelmed by the complexity of her coworkers' names and the challenges of keeping up with an office full of outdoor enthusiasts.

"Chambers says that they were all mountaineers who had climbed some of the highest peaks in the world. Coming from the concrete jungle, it was like taking the bus to work to get nature."

To market nature hikes, kayaking trips, and glacier climbs to potential customers, she was instructed to experience them firsthand.

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Iceland's adventures changed my life," says Chambers. "My focus shifted to nature, understanding, respecting it, and marketing it to customers. I loved it.

Chambers was never made to feel like an outsider because of her identity. Instead, she says, the Icelandic people embraced her in a way that felt untethered to the racial baggage people carried with them back home.

"Living in Iceland has had a tremendous impact on my mental health," she says. "The natural surroundings have helped me in numerous ways, including letting go of the belief that it's always about my skin color."

In 2017, Chambers had settled in and spent her winter days listening to podcasts with limited daylight. Meanwhile, everyone from her past was inquiring about her life in Iceland. Suddenly, something clicked.

""I realized I love listening to podcasts, so I searched for others discussing Iceland. Finding none, I decided to create my own podcast," she says."

Launching the podcast: 'I didn't have any expectations'

In 2018, Chambers launched All Things Iceland with the intention of airing one episode per week for at least a year. She admits that she had no expectations and was unsure of how people would react to the show.

As she received positive feedback from her audience on YouTube, she realized she had something valuable to offer.

Initially, individuals expressed gratitude with the phrase, 'Thank you, this was very helpful,' according to Chambers.

I received offers from Icelandic companies to collaborate with me, and it felt like there was potential for financial gain.

In 2019, Chambers left her job as a digital marketer to become the chief digital strategy officer at an advertising agency. This high-paying, demanding job, however, interfered with her ability to work on All Things Iceland.

Chambers admits that balancing her job, passion project, and marriage was a challenging task. Despite the difficulties, she persevered, but ultimately realized that she was not passionate enough about her work to continue.

Chambers had been feeling burnt out before the Covid-19 pandemic hit, and by August, she felt confident enough in the growth of All Things Iceland to quit her day job.

Currently, Chambers' one-woman business is thriving, generating revenue through ad sales, sponsorships, affiliate marketing, map sales, travel consultations, and private tours, all while working with corporate clients to produce online and social media content.

In the first half of the year, the company earned approximately $50,000, with Chambers receiving a total compensation of $6,000 per month.

How she spends her money

Chambers has been financially independent since 2016, supporting herself and her ex-husband's psychological practice until their separation in 2022 and divorce in 2023.

Earlier this year, Chambers started dating someone, but they don't mix their finances.

In June, Chambers spent her money in Icelandic krona, which was converted to dollars.

Using the OANDA conversion rate of 1 USD to 139.085 ISK on June 30, 2024, all amounts are rounded to the nearest dollar.

• Housing: $2,031 for rent, phone and Wi-Fi
• Groceries: $545
• Cash savings: $428
• Household items, house and car cleanings, wellness, and entertainment cost $423.
• Travel: $368 on an upcoming trip to Amsterdam with a friend
• Fitness: $352 on a gym membership and personal trainer
• Dining out: $321
• Life insurance: $73
• Gas: $65
• An emergency visit and medication for strep throat resulted in $61 in unexpected expenses.

The largest monthly expense of Chambers is rent, which amounts to $1,941 for a 1-bedroom, 1-bathroom apartment in downtown Reykjavik, featuring a storage area and an indoor parking spot, a crucial aspect for Icelandic winters.

In June, she spent over $850 on food, indicating that restaurant meals can be expensive and add up quickly. Chambers estimates that a restaurant meal in Iceland costs around $25 to $30, and a cup of coffee in a downtown café typically costs $7.50 to $8.

In American budgets, certain significant expenses are noticeably missing from Chambers' spending. This is due to her job, as she receives a company car from a rental car company as part of her brand partnership, which she only has to pay for gas.

In Iceland, health insurance premiums are not necessary as the country has heavily subsidized universal health care. Despite this, Chambers paid $61 to treat a case of strep throat in June. She could have paid less had she gone to her neighborhood health center instead of the emergency room.

In Iceland, Chambers and all employees are compensated differently. The amount that reaches Chambers' bank account is after taxes and a contribution towards her future retirement income. Each company in Iceland contributes 6.35% of payroll to the Icelandic equivalent of Social Security and 11.5% to one of 21 pension funds, with each employee contributing at least 4% of pay.

Navigating the complexities of being both employer and employee in a foreign country has been a huge learning curve for Chambers. Having an accountant to help her with that has been so crucial.

Looking ahead: 'Iceland is my home'

Chambers saves 10% of her take-home pay each month in addition to her government-mandated savings, with the goal of eventually opening a brokerage account to increase her retirement savings.

She plans to buy a house with her boyfriend in the near future.

As the business grows, Chambers hopes to hire people to help with the details so she can focus on being more creative.

Eventually, she reveals that she would like to have her own travel show, based in Iceland.

"Since the day I made the decision to come to Iceland full time and took my first step, I have felt at home and it continues to be that way," Chambers says. "Therefore, Iceland will be my home for the foreseeable future."

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