In this article, we will take a look at the 15 best places to retire around the world. If you wish to skip our detailed analysis on retiring overseas and retirement on a budget, you may go to 5 Best Places to Retire Around the World.
Retiring Overseas
Social Security Administration notes that, on average, 67 million Americans are paid social security benefits per month. This figure totals to over one trillion dollars. Out of this number, an astounding 760,000 Americans are currently drawing their benefits from abroad. The figure itself has experienced notable growth over the past three years, surging from 430,000 individuals to its current count. However, this substantial growth is likely underestimated, considering that retirees deposit these benefits to US banks, and their withdrawals overseas are not visible to the SSA.
In this regard, it is estimated that 5 million retirees in the USA have moved overseas, representing 12% of the retiree population. One reason they are choosing to relocate in retirement is the rising inflation. Living on a fixed income is already a significant challenge for retirees, with escalating energy and living costs adding to their financial woes. However, compounding these difficulties, retirees are also facing the burden of falling asset values and diminishing investment returns, and as a result, many retirees are choosing to move abroad.
Numerous destinations outside of the United States offer an appealing combination of affordability and grandeur. Mexico, Caribbean islands, and other places in Central America are some of the best places to retire in the world for U.S. citizens. These places offer picturesque locations, cheaper cost of living, and modest healthcare for retirees to spend their golden years. Retirees can also consider other best places to retire in the world, such as France, Portugal, and Spain. Desirable climate, quality healthcare systems, and rich cultural heritages make these places popular retirement choices for retirees.
For retirees wishing to relocate, there are many American banks that can help retirees manage their social security benefits abroad. Examples include JPMorgan Chase & Co. (NYSE:JPM), Citigroup Inc. (NYSE:C), and The Charles Schwab Corporation (NYSE:SCHW). JPMorgan Chase & Co. (NYSE:JPM) is one of the largest global banks, providing international banking and various other financial services. Citigroup Inc. (NYSE:C) is a global financial institution offering banking, investment, and wealth management services, while The Charles Schwab Corporation (NYSE:SCHW) is a brokerage and banking services company that provides investment and wealth management solutions to individuals.
Retiring on a Budget
According to The Charles Schwab Corporation (NYSE:SCHW), Americans living outside the US may encounter difficult challenges, especially concerning financial transactions. Due to this reason, their aim is to smoothen such transactions as much as possible, providing individuals with services such as investing in US markets from abroad, accessing US dollar-based accounts, and also tax filing. JPMorgan Chase & Co. (NYSE:JPM), and Citigroup Inc. (NYSE:C) are some other global banks providing similar services that expat retirees can use when settling abroad.
Since many retirees are relocating in hopes of an affordable and comfortable retirement, they must assess their options first. Some of the cheapest countries for retirement include Malaysia, Morocco, Portugal, and the Czech Republic. While these countries are best for seniors looking to retire on fixed incomes, the best place to retire in the world on a budget is Thailand. Southeast Asia stands out as an exceptional choice for retirees looking to stretch their budget without compromising on quality of life, and Thailand can be a retiree’s best bet. According to US News & World Report, other places to retire for $1,000 a month besides Thailand include Corozal in Belize, Cuenca in Ecuador, and Granada in Nicaragua.
For places with similar scores, we broke their ties based on cost of living, with each place scoring 0.1 additional points for cheaper cost of living. Monthly cost of living was sourced from International Living, LivingCost.org, amongst others. Places were then ranked in ascending order from the lowest to the highest scores.
Here are the Best Places to Retire Around the World:
15. Uruguay
Insider Monkey Score: 2
One of the safest and most beautiful countries to retire to is Uruguay. The “Switzerland of Latin America” boasts a high quality of life, captivating natural beauty, and hospitable nature. The well-developed healthcare system is a plus, with modern hospitals and well-trained doctors, both affordable and accessible to retirees. According to Expatistan, the monthly cost of living in the country is $1,600 for a single person. Retirement visa programs are available nationwide, providing tax exemptions and access to certain services.
14. Malta
Insider Monkey Score: 2.1
Located in the Mediterranean Sea, the island country of Malta is one of the best places to retire around the world. The pleasant climate appeals to retirees, with picturesque coastlines and nature reserves providing plentiful recreational opportunities. The cost of living in the country is affordable at $1,500 per person, with retirees being granted several tax benefits that help them stretch their retirement savings. English is widely spoken in the country, allowing retirees to live without facing language barriers.
13. Costa Rica
Insider Monkey Score: 2.2
Costa Rica makes it to our list of best places to retire around the world, with good reason. Thriving expat communities, stunning natural landscapes, and welcoming culture make it an ideal retirement destination. The cost of living is quite affordable, too, ranging between $1,400 to $1,700 per person. The healthcare system is high quality, and retirees can easily find bilingual staff for easier communication. Retirees will find "Ticos," or the Costa Rican people, extremely friendly and welcoming. Pristine beaches, stunning rainforests, and other landscapes provide ample recreational opportunities too.
12. Belize
Insider Monkey Score: 2.3
An individual retiree can easily retire on $1,000, according to sources from Belize.com. Home to the Belize Barrier Reef and other natural wonders, the country can be a wonderful place to call home. English is the official language here, with retirees offered various retirement programs to come and live here. Tax policies are also very favorable, and the warm climate is a plus.
11. Thailand
Insider Monkey Score: 2.4
For those looking for the best place to retire on the beach, Thailand is a good option. Boasting a cost of living that is 47% lower than the US, the country offers retirees a welcoming culture, delicious cuisine, and a rich cultural heritage. The country also boasts a modern infrastructure, especially in cities such as Bangkok, Phuket, and Chiang Mai. The cost of living in the country can be as low as $846 for singles, with couples retiring comfortably under $2,000 a month.
10. Dominican Republic
Insider Monkey Score: 2.5
The Dominican Republic is among the best places to retire in the Caribbean, thanks to its stunning landscapes and tax benefits for retirees. Live and Invest Overseas has determined its cost of living to be $1,200 for a single person, making it an affordable retirement destination. The developing healthcare system comprises modern hospitals and facilities that are both affordable and good quality. There are vast opportunities for leisure and recreation, such as golf, water sports, historical site exploration, etc.
9. Indonesia
Insider Monkey Score: 2.6
Whether you choose to retire in peaceful Sanur and Ubud in Bali, the green Padang, or the popular tourist destination of Central Java Province, Indonesia can be a great place to retire. The cost of living for an individual ranges anywhere between $750 to $2,600 per month, and retirees can easily afford to live here without any financial strain. Modern healthcare amenities, tropical climate, and cultural diversity are benefits of living here. Retirees can indulge in water sports at the beaches, go jungle treks, or explore historical sites.
8. Vietnam
Insider Monkey Score: 2.7
Retirees are falling in love with Vietnam, and it doesn't come as a surprise. After all, the country boasts affordable living costs, ranging between $700 and $1,400 per person. Majestic mountains, beautiful rice terraces, and picturesque coastal areas are part of the stunning Vietnam landscape. Let's not forget the diverse street food and delicious dishes of Vietnamese cuisine. The healthcare sector in the country is booming well too, and overall this country is the best place to retire around the world.
7. Ecuador
Insider Monkey Score: 3
Retirees seeking affordable access to nature and adventure can choose beautiful Ecuador. The country is 64% less expensive than New York City and also reasonably affordable compared to other Western countries. The country boasts stunningly diverse landscapes with picturesque Pacific coastlines, beautiful Andean mountains, amazing Galapagos Islands, and lush rainforests. Healthcare facilities are also improving, particularly in major cities like Quito and Cuenca.
6. France
Insider Monkey Score: 4
France is the best bet for retirees seeking a high quality of life, an excellent healthcare system, and plentiful recreational opportunities. The country is home to state-of-the-art hospitals, well-developed transportation and infrastructure system, as well as diverse landscapes. According to International Living, the cost of living for a single person ranges anywhere between $2,000 to $2,483. Other than that, the retiree policies are very friendly, with retirees enjoying a high standard of living and public safety.
