This article takes a look at the 18 best expat retirement countries in the world. If you wish to skip our detailed analysis of the growing trend of retiring abroad, you may go to the 5 Best Expat Retirement Countries in the World.
The Growing Trend of Retiring Abroad
An estimated one in six American seniors today are choosing to retire abroad, citing the escalating costs of living and expensive healthcare as primary reasons for seeking retirement outside the States. Healthcare, an important consideration for retirees, is becoming more and more inaccessible. CBS News reported that in 2022 alone, nearly 40% of Americans have been reported to skip their necessary medical care because of the inability to afford it. As quoted by the Economist, America's healthcare system is particularly "dysfunctional", with many middlemen taking a huge slice of the pie in terms of profits. “The big health”, as they like to call it, comprising of drug distributors, insurers, chemists, and similar professions, have reported a combined revenue equating to 45% of America’s healthcare bill in 2022 alone.
While Americans are struggling with medical care costs, the nation's largest private health insurers are reporting substantial financial gains. For the year 2022, UnitedHealth Group Incorporated (NYSE:UNH) reported more than $20 billion in profits, Elevance Health, Inc. (NYSE:ELV); $6 billion, CVS Health Corporation (NYSE:CVS) $4.2 billion, and The Cigna Group (NYSE:CI) reported $6.7 billion. Moreover, in the first six months of 2023, UnitedHealth Group Incorporated (NYSE:UNH) reported $184.8 billion in revenue and $11.1 billion in profits. In the specific case of UnitedHealth Group Incorporated (NYSE:UNH), it is believed that their revenues have not only grown because people deferred care during the pandemic, but also because the health giants hold a bigger piece of the healthcare system.
By directing its members toward its own healthcare providers, the company retains a more substantial portion of the premium dollars. This business model is increasingly becoming attractive to other companies such as Bright Health, who are now following in its footsteps. Nevertheless, while nearly 28 million Americans don't even have health insurance, those who do don't have sufficient access to it. According to a survey from KFF, a nonprofit health research group, majority of Americans having healthcare insurance report facing obstacles in getting coverage. Some of these obstacles include high bills, lack of doctors, and even denied-medical-care. Respondents also report having trouble paying their share of costs when covered.
To quote an example, internal records of The Cigna Group (NYSE:CI) that have been reviewed by ProPublica and The Capitol Forum, imply that the company has been saving millions by rejecting claims on medical grounds. Cigna Doctors don’t even bother to open patient files, as claimed by the report. As of 2022, over 300,000 requests for payments have been rejected, leaving patients with unexpected bills to pay. While The Cigna Group (NYSE:CI) reports these claims to be “biased and incomplete”, former doctors quote that the review system at the company has been quick to reject claims.
Another way such insurance companies are delaying or denying care is by requiring pre-authorization for routine care and even life-saving treatments. This step delays and even denies the care required by patients. As a result, insurance companies keep making billions, and the average American struggles to pay the costs.
Owing to the rising costs of living and inaccessible, often expensive healthcare; many Americans are now choosing to retire overseas. The US Department of State notes that more than 760,000 beneficiaries abroad receive $6.1 billion in Social Security benefits each year. There are many countries where expats are choosing to retire, depending on their needs. For example, one popular overseas retirement destination for Americans is Canada, favored for its high quality of life and proximity to the United States. A total of 71,376 social security benefits were withdrawn from the country in 2021, followed by Japan.
While many expats who reside in countries such as Canada and Japan consider quality of life a top priority, many others opt for the cheapest and safest countries for retirement, such as Hungary, Romania, Chile, and Mongolia. For yet many others, affordable healthcare is the way to go. However, the best country to retire to is one that offers the best of everything. As such, good-quality healthcare, affordable living costs, and a safe environment should be top priorities for an expat. For this reason, we have curated a list of the best expat retirement countries in the world.
18 Best Expat Retirement Countries in The World
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Methodology
To compile the list of best expat retirement countries in the world, we have used the Expat Insider Survey 2023 report, our list of best countries for expats, and the 2023 Natixis Global Retirement Index. We selected the countries through a consensus approach, filtering out countries where retirement is particularly difficult.
After compiling a list, we ranked them on factors important to retirees such as Quality of Life, Ease of Settling in, Health and Well-being. We scored the countries on these metrics. Scores were averaged to calculate a unique Insider Monkey Score, and places were ranked in ascending order from the lowest to the highest scores.
Here are the top expat retirement countries in the world:
18. New Zealand
Insider Monkey Score: 4.67
New Zealand is one of the best expat retirement countries in the world owing to its high quality of life, good healthcare, and breathtaking natural beauty. The country has been deemed as one of the most prosperous non-European countries to move to. Expat Insider Survey 2023 notes that 63% of expats are happy with their life in the country, and 95% are particularly happy with the natural environment it offers. The cost of living is a bit of a challenge here for those on limited budgets, with a retiree requiring $50,570 a year for comfortable living.
17. Panama
Insider Monkey Score: 5.67
One of the easiest countries to retire to, Panama stands tall in our list due to its affordable cost of living, tropical climate, and attractive retirement visa. The Panama Pensionado Program is considered to be one of the best retirement programs in the world, offering incentives such as 25% off on utility bills, 15% discount on loans, 10% discount on medicines, and much more. On average, an individual expat retiree can live on $3,000 in the country, including international healthcare insurance. Healthcare is both affordable and world-class, with many foreign-trained doctors available at major hospitals.
16. Malaysia
Insider Monkey Score: 6
Malaysia has already secured a top spot in our list of best places to retire in Asia and has now made its way to our list of best expat retirement countries. Global Peace Index 2023 ranks it as the 19th most peaceful nation in the world out of 163 countries, making it a safe destination to retire to. Numbeo further notes that the country is 57.5% less expensive than the US. An individual can comfortably retire on $1,500 per month. Retirees can move to the country through a retirement visa called Malaysia My Second Home. Quality of care is excellent here, but expats must have private medical insurance during their stay.
15. Philippines
Insider Monkey Score: 6
Expat Insider Survey ranks Philippines 3rd for its ease of settling in. However, the friendly locals aren’t the only reason this country makes it to our list of best expat retirement countries in the world. The country makes it to our list also because of its affordable cost of living, ease of retirement, rich culture, and great weather. Expats from the US will find the country 52.6% less expensive than their home country, notes Numbeo. Once granted residency through the Special Resident Retiree Visa, retirees don’t need to go through the hassle of visa renewals and reapplying for residency.
14. Greece
Insider Monkey Score: 6.67
Huddled in the southeastern corner of Europe, Greece is a top retirement destination for expats. From its Mediterranean climate to its pristine beaches and lush greenery, the country is a beautiful place to spend one’s retirement years. American expats can retire here by applying for a residence permit and demonstrating a regular income of at least $2,200. Since Greece is a tax-free retirement country, expats don’t need to pay taxes on the same income twice. The quality of healthcare is high, the doctors are well-trained, and many of them speak English.
13. Vietnam
Insider Monkey Score: 7
Vietnam, one of the cheapest and safest countries to retire to, is ideal for the retiree seeking a peaceful and affordable lifestyle. According to the Global Peace Index 2023, the country moved up 4 spots to 41st out of 163 countries from 2022 to 2023, making it more appealing for retirees. There are large international private hospitals in major cities, though the quality of healthcare can be improved further. Meanwhile, dental care in the country is proficient and affordable, attracting more than 100,000 tourists from foreign countries every year. Vietnam doesn't have a specific retirement visa, but US expats can apply for a Vietnamese visa instead. On average, an individual expat would require $1,500 per month to enjoy a comfortable lifestyle.
12. Switzerland
Insider Monkey Score: 7.67
According to the Expat Insider Survey, Switzerland fares well in terms of quality of life, standing at the 8th spot. Expats deem it to be extremely safe and orderly, with 98% happy with its natural environment. The quality of healthcare is first-rate as well, but the high standards do come at a cost. The country is 54.6% more expensive than the USA, notes Numbeo. As such, an individual expat retiree would spend $3,500 on average for a comfortable lifestyle. US citizens can retire in Switzerland on a Switzerland Retirement Visa by demonstrating proof of income and having valid health insurance, amongst other prerequisites.
11. Estonia
Insider Monkey Score: 7.67
Estonia is one of the cheapest European countries to retire to. It ranks 16th in the Quality of Life Index, according to Expat Insider. The quality of healthcare is of a high standard too, especially in big cities. The country is renowned for its rich culture, featuring a unique blend of Nordic and Baltic influences. In a city like Tallinn, an individual expat would require $1,745 on average per month to have a comfortable lifestyle.
10. Indonesia
Insider Monkey Score: 7.67
Indonesia is one of the best places to retire around the world. Willian-Russell notes that the country is home to 350,000 expatriates, the country boasts an affordable cost of living, stunning natural landscapes, and friendly locals in the world. The Expat Insider Survey places it on the 6th spot in terms of its ease of settling in. The cost of living in the country is 55.3% cheaper than in the United States, states Numbeo. Moreover, an individual expat retiree would need a monthly average of $1,500 to live here. Expats can retire through the Retirement KITAS visa which is valid for up to 5 years.
9. Thailand
Insider Monkey Score: 9.67
One of the cheapest countries for retirement, Thailand is another favorite country for expat retirees. The cost of living in the country is 50% lower than in the US, notes Numbeo. Individuals can easily retire in a city like Chiang Mai for $1,000. The country is also a reputed center for medical tourism. More than 3 million medical tourists visit the country each year, having generated a revenue of $5,687 million in 2022.
8. France
Insider Monkey Score: 10.67
One of the most popular retirement destinations in Europe is France. Expats are attracted to the beautiful Mediterranean coast, excellent healthcare system, amazing lifestyle, and pleasant climate. According to Numbeo, France is 9.7% cheaper than the USA. On average, an individual retiree would need $3,000 to retire here. Further, to retire in France, expats need to acquire “carte de séjour à solliciter,” a residence permit that must be procured three months before coming to France. Once an expat is registered on the healthcare system, they are entitled to 70% to 80% off on healthcare.
7. Australia
Insider Monkey Score: 11
Australia is hailed as one of the best expat retirement countries in the world owing to its excellent climate, top-notch healthcare, and high quality of life. Expat Insider Survey notes that 93% of expats in the country are satisfied with the natural environment, and 76% are happy with their overall life in the country. However, the cost of living is estimated to be 5% more expensive than in the USA. Self-funded retirees can retire through the Investor Retirement Visa (subclass 405).
6. Austria
Insider Monkey Score: 11
Home to more than 11,000 American expats, Austria is one of the best countries to live in for retirement. Expat Insider Survey ranks the country at 5th place for quality of life and 8th place for health and well-being, promising retirees good health care, lots of green spaces, and a reasonable cost of living. According to Numbeo, living costs in the country are 7.3% cheaper than in the USA, and an individual can live a comfortable lifestyle for $2,000 per month. Americans can retire to the country through an Austria settlement permit without gainful employment.
