These are the countries where retirees are enjoying a warm climate, good healthcare and a great quality of life, often on a budget that might not cut it in the U.S.
These are the countries where retirees are enjoying a warm climate, good healthcare and a great quality of life, often on a budget that might not cut it in the U.S.
If you have dreams of traveling more when you retire, you’re not alone.
By the end of 2019, there were about 432,000 retired American workers living in foreign countries receiving Social Security benefits, according to the Social Security Administration. About 28% of these beneficiaries are Canada and Japan. Obtaining residency in Canada can be a challenge, according to Expatra, and Japan is one of the most expensive countries in the world to live.
And cost is a factor for many retirees who head abroad, looking for a way to enjoy a higher-end lifestyle on a smaller budget. About 53% of American expats surveyed by Internations said cost of living abroad was a benefit (23% of those surveyed are retired.)
A comparison of Puerto Vallarta, Mexico, and Alexandria ,Va., shows that consumer prices are 145% higher in Alexandria, rent is 201% higher and groceries are 173% higher, according to the Numbeo comparison tool. You would need around $6,300 a month in Alexandria to maintain the same standard of life that you can have with $2,400 in Puerto Vallarta. The estimated average Social Security retirement benefit for 2022 is $1,657, AARP says.
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There are other critical things to consider before retiring abroad besides cost and climate. These include taxes, bank accounts, visas and residency, and, while you can collect Social Security overseas, your Medicare generally doesn’t pay for care outside the U.S., so quality affordable healthcare and insurance matters. What languages do people speak there? Are the residents friendly and the government stable?
This list of the best countries to retire abroad comes from World Population Review and InternationalLiving’s annual global retirement index, which ranks countries based on opinions and real-life experiences of these factors compiled by retirees living in various destinations around the world.
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1. Panama
Total score: 88.9Visa score: 100Healthcare score: 81Climate Score: 85Cost of living score: 732021 population: 4.4 millionPanama
Panama occupies a narrow strip of land that connects South and Central America. The Panama Canal has helped make Panama one of the richest countries in the region. The main requirement for expat retirees to live there is to have a pension of at least $1,000 a month, according to International Living.
2. Costa Rica
Total score: 87.8Visa score: 88Healthcare score: 87Climate Score: 91Cost of living score: 742021 population: 5.1 millionCosta Rica
Costa Rica is a peaceful country and a popular travel destination thanks to its natural beauty and sustainable tourism practices.
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3. Mexico
Total score: 87.4Visa score: 88Healthcare score: 87Climate Score: 88Cost of living score: 742021 population: 130 millionMexico
Most Americans retire to Mexico and Canada. Cities like Puerto Vallarta and San Miguel de Allende are popular retirement spots.
4. Ecuador
Total score: 87Visa score: 93Healthcare score: 89Climate Score: 95Cost of living score: 722021 population: 17.9 millionEcuador
Nature lovers will enjoy Ecuador for its ecological diversity. Retirees can enjoy the conveniences of the U.S. dollar currency and other modern conveniences including high-speed internet, good public transportation, and affordable healthcare and housing, according to International Living. Pictured is Quito, Ecuador.
5. Malaysia
Total score: 86Visa score: 94Healthcare score: 95Climate Score: 78Cost of living score: 822021 population: 32.8 millionShutterstock
Malaysia
English is a common first language here, and a retired couple can easily live on $2,500 a month, according to International Living.
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6. Colombia
Total score: 85.4Visa score: 81Healthcare score: 85Climate Score: 90Cost of living score: 882021 population: 51.3 millionColombia
Bogata is the capital and largest city, with over 7 million people. Medellin is a popular destination for retirees. Pictured is Cartagena, a port city on Colombia’s Caribbean coast that enjoys a temperate climate.
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7. Portugal
Total score: 85.2Visa score: 84Healthcare score: 76Climate Score: 88Cost of living score: 772021 population: 10.2 millionShutterstock
8. Peru
Total score: 84Visa score: 85Healthcare score: 81Climate Score: 88Cost of living score: 922021 population: 33.4 millionShutterstock
9. Thailand
Total score: 83.5Visa score: 71Healthcare score: 92Climate Score: 83Cost of living score: 942021 population: 70 million10. Spain
Total score: 82.2Visa score: 74Healthcare score: 85Climate Score: 87Cost of living score: 752021 population: 46.8 millionwjarek / Shutterstock
11. France
Total score: 81.7Visa score: 71Healthcare score: 93Climate Score: 82Cost of living score: 662021 population: 65.4 million12. Cambodia
Total score: 81.2Visa score: 80Healthcare score: 80Climate Score: 73Cost of living score: 1002021 population: 16.9 millionShutterstock
13. Italy
Total score: 81.2Visa score: 82Healthcare score: 77Climate Score: 83Cost of living score: 732021 population: 60.4 millionShutterstock
14. Belize
Total score: 80.8Visa score: 87Healthcare score: 81Climate Score: 75Cost of living score: 702021 population: 404,91415. Malta
Total score: 80.3Visa score: 76Healthcare score: 79Climate Score: 83Cost of living score: 682021 population: 442,784Shutterstock
16. Honduras
Total score: 80Visa score: 90Healthcare score: 80Climate Score: 83Cost of living score: 782021 population: 10.1 million17. Bolivia
Total score: 79.8Visa score: 76Healthcare score: 80Climate Score: 86Cost of living score: 922021 population: 11.8 millionShutterstock
18. Ireland
Total score: 79.7Visa score: 75Healthcare score: 74Climate Score: 57Cost of living score: 662021 population: 5 milliontipwam / Shutterstock
19. Vietnam
Total score: 79.4Visa score: 67Healthcare score: 84Climate Score: 76Cost of living score: 992021 population: 98.2 million20. Uruguay
Total score: 78.6Visa score: 76Healthcare score: 73Climate Score: 85Cost of living score: 572021 population: 3.5 million21. Sri Lanka
Total score: 77.4Visa score: 73Healthcare score: 78Climate Score: 66Cost of living score: 912021 population: 21.5 million22. Dominican Republic
Total score: 77.2Visa score: 73Healthcare score: 75Climate Score: 74Cost of living score: 772021 population: 11 million23. Croatia
Total score: 73.4Visa score: 65Healthcare score: 68Climate Score: 77Cost of living score: 702021 population: 4.1 million24. Nicaragua
Total score: 72.1Visa score: 90Healthcare score: 83Climate Score: 80Cost of living score: 882021 population: 6.7 million >> Also see: Want to Live Abroad? This is Where Expats Are Happiest