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Expat lifestyle showdown: Is Japan or Portugal Better for Expats?

In 2023, Travel and Leisure magazine released an article titled “20 Best Countries for Americans Who Want to Live Abroad.” The list featured popular destinations like Thailand, Portugal, and Costa Rica. But shockingly, Japan was nowhere to be found. Japan is not even in the top 20!?

As someone who knows Japan’s charm, I find this omission unacceptable. So here is my case for why Japan deserves a spot among the top expat destinations. I’ll use the same criteria as Travel and Leisure: safety, friendliness, quality of life, access to culture and outdoor activities, work-life balance, and cost of living. Plus, I’ll add two more: accessibility from America and geopolitical risk. Let’s start with Portugal, the magazine’s top pick, and see how Japan stacks up. Is Japan or Portugal Better for Expats? Let’s find out!

Safety

Is Japan or Portugal Better for Expats? Safety first! Japan has one of the lowest crime rates in the world. This is due in part to their police force.

Both Portugal and Japan are safer than the US, but Japan’s low crime rates are particularly impressive given its large population. Japan’s murder rate per million is 3.97, compared to Portugal’s 11.66. Only 0.1% of people in Japan report being assaulted, versus 0.4% in Portugal. Japan’s island geography also helps control what goes in and out, contributing to its safety. However, it’s worth noting that crime in Japan, especially against foreigners and women, may be underreported.

Friendliness

It’s cool! Portugese are a warm people. As an expat, you’ll have an easy time making friends.

Both Portugal and Japan are known for their hospitality. Portugal, with its warm and open culture, often makes it easier for expats to form connections and feel welcomed. The language barrier is also less of an issue, as English is widely spoken in Portugal. Japan, while polite and respectful, tends to be more reserved, and language can be a challenge for deeper integration. Additionally, some expats may encounter xenophobic attitudes. Considering these factors, Portugal might have the upper hand in this category for those seeking a more immediately welcoming environment.

Quality of Life

Is Japan or Portugal Better for Expats? Foreign companies are some of the most attractive employers in Japan and are called gaishikei. Think of Google, Microsoft, KPMG, and others.

For expats earning in dollars or euros, both Japan and Portugal offer an excellent quality of life, with top-notch healthcare, infrastructure, and stunning environments. However, working for a local company in either country is less appealing due to limited options and pay. In Japan, the stress levels in local workplaces can be particularly high. The advantage Japan holds is its presence of global companies with local branches that often provide better conditions and pay than typical Japanese firms. This Japanese list of the best companies to work for features many foreign companies like Google and Microsoft. The availability of expat-friendly work opportunities gives Japan an edge in quality of life compared to Portugal, where such options are more limited.

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Access to Culture and Outdoor Activities

Day trips are easy in Japan. You can get from Tokyo Station to near Mt. Fuji in about an hour by train.

Japan’s excellent public transportation and infrastructure make it easy to explore the country’s rich culture and diverse landscapes. From skiing in Hokkaido to beach-hopping in Okinawa, and ancient temples of Kyoto Japan offers unparalleled access to a variety of experiences. Portugal also has a rich history, but is more car dependent than Japan. Quick access to a diverse wealth of culture and outdoor activities is one reason we could say Japan is better for expats than Portugal. Japan wins the point!

Work-life balance

Relaxing is something the Portuguese know how to do! The Portuguese prioritize personal and family time rather than their work.

Japan’s reputation for poor work-life balance is well-known, with long working hours and a culture of overwork. In contrast, Portugal’s lifestyle is more relaxed, similar to its neighbor Spain. While expats in Japan can achieve better work-life balance with careful planning, the overall societal pressure to work long hours is pervasive. Therefore, for its more laid-back approach to work and life, Portugal takes the point in this category.

Cost of Living

Akiya is a Japanese concept for a home that has been vacant for a long time. Due to the aging population there are over 10M low cost vacant homes. Especially in rural areas.

Both Portugal and Japan offer relatively low costs of living, but Japan has a unique advantage in its real estate market, particularly with the phenomenon of akiya. While the word simply means “vacant,” Englishs-speakers have adopted the word to typically refer to vacant, cheap houses in Japan – often in rural or suburban areas. These properties are sometimes sold at significantly reduced prices or sometimes even given away. Akiya that are ready to move in are often around US$50,000, making Japan an attractive option for those seeking to own property without breaking the bank. In contrast, housing prices in Portugal have been rising due to foreign investment and an influx of expats, with the average price closer to US$500,000. Given these factors, Japan wins this round for its more accessible real estate opportunities.

Accessibility from America

Haneda Airport has a lot of flights between Japan and America.

Japan has more direct flights from the US, especially from the West Coast, and Hawaii serves as a convenient hub. While flights to Lisbon are generally cheaper, Japan’s extensive flight network gives it an advantage in accessibility.

Geopolitical Risk

Peace has been largely present in Portugal both domestically and internationally. That s unlikely to change anytime soon.

Portugal has a distinct advantage in this category, with no unfriendly neighbors and membership in both the EU and NATO, ensuring a stable external security environment. While Portugal’s internal politics may be more dynamic than Japan’s, it is not characterized by violent instability. Japan, on the other hand, faces geopolitical tensions with some neighboring countries, although the likelihood of direct conflict is low. Given its secure position and stable external environment, Portugal scores the point for geopolitical risk.

Conclusion – Is Japan or Portugal Better for Expats?

Is Japan or Portugal Better for Expats? The four seasons of Japan are one big reasons it's an amazing destination for expats.

Travel and Leisure left Japan out of the top 20 countries for American expats, but as we can see, Japan is competitive even with the highest-ranked option on this list. Tallying up the points, we gave Japan a score of 5, while Portugal scores 3. Japan proves to be a formidable contender in the expat arena. While Portugal remains a popular choice, Japan’s unique offerings and strengths make it an equally attractive destination for American expats. So, is Japan or Portugal better for expats? Yes, we are biased, but our opinion is Japan!

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