5 Important things to consider when Retiring Abroad

Living on Social Security Income Abroad

All the countries we cover allow you to live on a social security income. However, in some places, you can live exceptionally well, making it important to do your research. Finding the right place that fits your budget and provides the financial freedom you’re looking for is possible, but you need to identify which countries meet these criteria. Financial freedom on social security is achievable in certain destinations, though not in all.

Visa Requirements

Visa requirements vary from country to country. Some retirement visas are relaxed and require a low minimum income, such as Portugal at $800 per month or Colombia at $1,000 per month. The average social security pension is $1,800 per month, which qualifies you to live in these countries. However, some countries have higher minimum income requirements, such as $1,500, $2,500, $3,500, and up. Recently, Mexico changed its retirement and digital nomad visas, now requiring you to show $4,300 per month from your pension or income, disqualifying many from considering Mexico as a retirement destination. We discuss visa requirements in most of our videos to help you determine if you qualify for a particular country.

Climate Considerations

As a retiree, beaches and crystal-clear water may sound like paradise, but in some of these locales, the weather can become unbearable, especially for seniors who struggle with heat and humidity. Pictures may look appealing, but when it’s over 100 degrees with high humidity during the summer months, it can be challenging. There are incredible options around the globe for everyone considering retiring or living overseas. It is important to identify a climate that suits you. Some destinations are known as the “70/70” because it’s approximately 70 degrees year-round. No need for air conditioning or heating, which can be a huge savings when retiring on a modest social security income.

Healthcare Considerations

Healthcare is another significant factor for retirees. When picking the right country, it’s important to understand that you can receive quality healthcare, often better than in the US, at a far lower cost. We cover healthcare in our reports to help you understand what types of offerings are available in different countries, enabling you to make a well-informed decision.

Taxation of Income

Some countries tax your pensions while others do not. Finding out which countries offer favorable tax policies is crucial for retirees on a budget. Some countries have dual taxation treaties with the US, ensuring your pensions are not taxed twice. Understanding which countries have these treaties can help you narrow down your options.