AbstractThis study examines the effect of international migration in Egypt using fixed‐effect regressions and panel data from Egypt Labour Market Panel Surveys in 2006 and 2012. We find that men and people with higher education are more likely to migrate than women and people with lower education. Middle‐aged people are also more likely to migrate than young or old people. International migration does not seem to affect the overall employment of remaining members of migrant‐sending households. However, it tends to increase the self‐employed work of members of migrant‐sending households. Finally, international migration also helps migrant‐sending households increase their wealth index. Remittances are used to improve living conditions (housing) and purchase more assets and durables. This finding supports the theory as well as the policy to increase migration as a way to stabilize consumption and reduce poverty in low income countries.