As many as 1 million U.S. and Canadian citizens already call Mexico their home, with more joining them all the time. In terms of numbers, Mexico is the most popular expat destination for North Americans in the world. This should come as no surprise, actually. Mexico has a lot to recommend it.

Convenience, for one thing: From the U.S. and Canada, you can drive to Mexico—in your own car—or fly there in a few hours, in most cases. Mexico offers many of the First-World conveniences we’re used to—including good highways, plenty of airports, reliable telephone service, and fast internet connections.

Mexico’s lower cost of living means a comfortable, fulfilling life here will likely cost you a fraction of what you pay “back home.” As much as 50% below what you’d pay in the rest of North America.

And then there are all those enticing differences that make Mexico so special: the vibrant local culture and rich history; the friendly people and their relaxed lifestyle; the sunny climate; the delicious food and drink; the miles (nearly 6,000) of coastline, much of it warm, sandy beach. You’ll also enjoy a slower, more relaxed pace of life here, where children still play in the streets and neighbors know each other.

And thanks to Mexico’s large size and varied geography, those moving here have so many choices…little silver-mining towns where the winding streets seem to head up to the clouds…fishing villages where you can rise at dawn to buy the day’s catch fresh from returning fishermen…beach towns where the sound of surf and the tang of salt water linger in the air… and cosmopolitan cities.

So whatever lifestyle you seek, you’ll likely find it in Mexico. No wonder more U.S. expats live in Mexico than in any other country in the world…

5 Places to Live in Mexico…and 3 to Avoid

Mexico is not only the nearest destination abroad for U.S. and Canadian expats; it is also one of the most popular. More than a million expats are estimated to live in Mexico full- or part-time…the largest concentration of North American expats anywhere in the world.

Of course, it helps that Mexico is also one of the largest countries in the Americas, offering just about any climate, geographical landscape, and lifestyle you might want. As a result, you’ll find expats scattered all over Mexico. But some places have proven to be especially popular, with an appeal that makes them stand out from the crowd.

Here are five Mexico destinations where the living is easy…and any one of them could be your perfect expat home. (Plus a few places you may want to cross off your list.)

Modern Beach Living

For many North Americans, say “Mexico” and they think of white-sand beaches. That’s not surprising. Mexico has nearly 6,000 miles of coastline, much of it beautiful beach. If you’re looking for a beach lifestyle, Mexico will have you spoiled for choice.

For classic white-sand beaches and turquoise waters, it’s hard to beat Mexico’s Riviera Maya. This 80-mile stretch of coast runs along the Yucatán Peninsula from Cancún to Tulúm. Little beach towns are scattered all along the coast…and one—Playa del Carmen—has grown to become a city. One of the fastest-growing destinations in Mexico, Playa, as it’s known locally, offers a laidback beach vibe…and the upper-end shopping and restaurant scene of a larger city.

To enjoy small-town (but upscale) beach life on this coast, head to Tulúm. Once the domain of backpackers, Tulúm today attracts fashionistas and other trendsetters who come to get away from it all. Today you’ll find rustic, palm-thatched palapas alongside gourmet restaurants here…and a beach that’s considered one of the world’s most beautiful.

Puerto Vallarta, on Mexico’s Pacific Coast, has been an international beach resort for more than 50 years. Once a small fishing village, today the greater Vallarta area stretches for nearly 30 miles along the shores of Banderas Bay, one of the world’s largest bays. This area offers pure First-World living, with shopping, restaurants, and real estate at every price point; an international airport; and a large, international expat community. Beaches and a long malecón (esplanade) border large swaths of the city. But Puerto Vallarta offers so much to do—from zip-lining and horseback riding in the hills, to fine dining and recent film releases in town—that you’ll have plenty to do, even if you never put a toe in the water.

If you want big-city life with the beach a short distance away, there’s Mérida. Capital of the Yucatán Peninsula, this city of nearly a million residents lies about half an hour from the Yucatán Gulf Coast. Small villages dot this placid coast. This is where Mérida’s middle-class families have summered for generations. Today expats have joined them, but many towns still have a family-oriented feel. Don’t look for boutique shopping or dining here, but if you’re seeking a laidback beach life at still-low prices, you can find it here.

Historic Cities

Not everyone wants to live on the beach…. If you prefer temperate weather and Spanish-colonial style, then Lake Chapala or San Miguel de Allende, both in central Mexico, may fit the bill. Lake Chapala has an enviably near-perfect climate—spring-like almost all year—and a large, diverse expat community. And being near Guadalajara, Mexico’s second-largest city, means easy access to its international airport and excellent medical facilities. San Miguel, about three hours north of Mexico City, is a beautifully preserved Spanish-colonial town that offers art galleries, gourmet restaurants, a wealth of arts and crafts, and a large expat community.

Places to Skip in Mexico

No country is perfect, and Mexico has gotten more than its share of knocks. But yes, some parts of Mexico should be avoided, while others are just not worth your time.

Some Mexican states bordering the U.S.

Notably Tamaulipas, Coahuila, and Chihuahua—have vast, empty interiors where you can be at the mercy of accidents and bad weather. If you’re looking to drive down into central Mexico or farther south (and many expats do), consider checking routes through other Mexican states like Nuevo León, Sonora, and Baja California.

Acapulco

Acapulco was once one of Mexico’s top beach resorts, but age and scattered violence has dimmed the city’s glitter. If you want to stay on the beaches of Acapulco’s home state, Guerrero, head north to Ixtapa-Zihuatanejo.

Tabasco

Finally, Tabasco may be a famous hot sauce, but the Mexican state is largely humid, low-lying land. It’s the boring, often wet stretch you’ll pass if you’re driving from central Mexico to the Yucatán Peninsula. Tabasco’s capital, Villahermosa, is a major business city, headquarters of Mexico’s oil industry and home to several museums. Take a quick look if you’re inclined…but with so many interesting places both north and south of it, you probably won’t want to linger.

San Miguel De Allende, Mexico

Retire in San Miguel de Allende

One of the country’s hidden charms can be found in its interior, about four-hour’s drive northwest of the capital, Mexico City. The town is called San Miguel de Allende, and it’s located in the Colonial Highlands region. It offers a lot of benefits: temperate climate, low cost of living, an active expat community, welcoming locals, charming local cultural traditions, and a focus on the arts.

The setting is beautiful. Its colonial centro is a UNESCO World Heritage site. So it is mandated that homes, churches, civic structures, businesses…just about every original structure…retain its historic, original appearance. And that is strictly-enforced here. Even signage for businesses is discrete. Narrow streets, cobblestone or flagstone, are lined with homes in shades of yellow, red, orange, and brown terracotta, barrel-tile roofs. It might be tough to drive a car here, but it’s certainly a pleasant place to take a long walk, exploring the architectural splendor that includes grand homes with wrought iron bars and imposing wooden doors, baroque churches with carved archways depicting religious scenes, and more.

Thanks to its beauty and peaceful atmosphere, along with all the other benefits, San Miguel is certainly no stranger to expats—they make up about 10% of the 125,000 residents in the wider metro area. These days the population swells during the North American winter, when Canadian, American, and European “snowbirds” flock to town for the great climate.

As you turn a corner you’ll more often than not come into plazas and parks filled with shady trees and benches. These are hives of activity with food vendors, couples strolling hand in hand, playing children, and chatting retirees. There is guaranteed to be at least one shoe shine stand.

Behind plain doorways and windows with wrought-iron bars are hidden treasures. Colonial homes are historic inside and out, although the renovated ones have updated electric and plumbing, as well as high-speed internet. Interior courtyards with gardens and fountains, intricate decorative tile work, vaulted ceilings with the original timbers…you’re living in history.

Because it’s in the high sierra, the air is crisp and clean. And the climate is temperate year-round, staying in the 70s F most days and cooling down at night to the 50s F. Only in January and February will you experience colder months, with comfortable days and dips close to freezing on the coldest nights.

There is also high quality and low cost medical care available. Well-regarded doctors, dentists, and medical clinics are located in town, with large hospitals and specialists available in the nearby city of Queretaro, about 45-minutes’ drive away.

The epicenter of life for expats and locals is El Jardin, the main plaza and park in front of the famous red gothic style church known as La Parroquia. In the colonnaded buildings surrounding the park are cafés and restaurants where you can enjoy a café con leche (coffee with milk) and people watching.

Lifestyle in San Miguel de Allende

What calls so many expats to San Miguel in particular? The same reasons that the town’s first foreign residents came right after World War II. They were veterans who came to take art classes in local institutes—it was covered by the GI Bill. Since then it’s been a favorite destination of artists, musicians, and others interested in art and culture.

Today it has a thriving arts scene with live theater, lectures, book clubs, live music performances, foreign and independent films theaters…and more galleries showcasing modern and folkloric art than you can count. Whether you’re a participant or spectator, it’s a great scene for art lovers.

There are also great restaurants. The influence of tourism and the relatively large expat population means you can find everything from street tacos for about 75 cents and simple meals in local restaurants for a couple of bucks, to cuisine from around the world, including Italian, sushi, vegetarian, as well as gourmet options.

Real Estate in San Miguel de Allende

There are plenty of affordable real estate options in San Miguel de Allende. But the closer you are to the heart of the colonial centro, the plaza known as El Jardin, the higher the price. Expect to pay about $350,000 and up for a restored colonial home, with two or three bedrooms, in the best neighborhoods in town.

But go to the outskirts of the colonial zone, still in safe and nice areas, and you’ll pay much less. For example, a one-bedroom apartment will go for $169,000. From there it’ll still be a five to 10-minute walk to the restaurants and entertainment options and cultural activities in the historic area. Head to the outskirts of town, but still a 20-minute walk to downtown or a five-minute taxi ride (for $3), and you’ll find modern homes for bargain prices. Here you’ll easily find a three-bedroom home for around $200,000 and up.

Cost of Living in San Miguel de Allende

The low cost of living carries over to daily expenses and monthly bills as well. Rents start at about $800 per month for a two-bedroom apartment for a long-term lease. This will put you on the outskirts of the historic centro. Keep in mind that during “high season,” from January to April, it is very hard to find a monthly rental and prices do go up. If you’re interested in living in the city at that time of year, it’s best to reserve a place early.

Local markets offer fresh produce in a lively atmosphere at a low price. A retired couple could fill their fridge with fruits and veggies, plus meat and chicken, eggs…whatever they want, for about $25 a week. With the pleasant climate, there’s no need for air conditioning or heat, so electric bills are low.

Going out is cheap too. Even at “high end” restaurants you won’t break the bank. It’s hard to spend more than $40 to $50 per couple for a nice meal with wine and pre-dinner cocktails.

Here’s an example of a monthly budget for a couple living in San Miguel de Allende:

Expense	U.S. $
Rent (two-bedroom apartment)	$800
Electricity	$50
Gas & Water	$30
Cell Phones (x2)	$40
Groceries & Household Items	$300
Mercado	$70
Insurance	$100
Internet	$60
Streaming Media Accounts	$45
Property Tax	$22
Dining Out	$100
Taxis, Buses	$40
Monthly total:	$1,657

Discover the Pleasures of Strolling Colonial San Miguel de Allende

By Jason Holland

We walk a lot, in our new home of San Miguel de Allende. The narrow streets of the centro make navigating this highlands town in central Mexico by car, tough. And, since we can walk everywhere we want to go anyway, my wife, Liz, and our family just take to our feet.

Taxis and Ubers are cheap and easy if we don’t want to walk back after an afternoon in the historic district, especially when we’ve stopped in the market on the way home to buy some fruits and veggies—we can get too much to carry comfortably, for about $5. And besides, we don’t want our just-roasted rotisserie chicken ($4) to get cold. After an adjustment period to account for the higher elevation (6,000 feet) and all the hills, which left us out of breath, I feel like we’re in better shape since moving here from the coast.

Being on foot, you notice things you normally wouldn’t, too. Whenever you walk out your door in San Miguel de Allende and stroll down the street…you never know what you’re going to find. Thanks to strict regulations against garish signage for businesses, you usually have no idea what’s around you, until you walk past a window and look in or poke your head in an open doorway, or step into a courtyard. Coffee shops, restaurants, art galleries, spas…it’s all around you. If we find something cool, I make note of the street address, so I can find it again later.

Walking forces you to slow down, and really get to know the town—and not just because you’re navigating narrow sidewalks and cobblestone streets (always wear sturdy shoes). We also run into people we know all the time…and that’s usually an occasion to grab a café con leche or sit at a bench in a plaza to chat, while our kids play.

We’re living in history here, with centuries-old churches, civic buildings, convents, and monasteries…and festivals that have been going for hundreds of years, taking place every week. Just the other night, we heard drums booming down the road from our house…fireworks going off…and church bells tolling. We walked outside to find a parade honoring San Miguel Arcangel (the Archangel St. Michael), the patron saint of the town.

We’re gearing up now for “Day of the Dead” on Nov. 1 and 2—it’s said to be one of the best celebrations in Mexico of this national holiday.

Thanks to its location in the heart of Mexico, San Miguel de Allende, is a great home base for exploring nearby notable towns and villages. Dolores-Hidalgo, is the birthplace of Mexican independence, and hosts a huge celebration every year on Sept. 15 and 16…but any other day, it’s a quaint little village to stroll around, famous for its ice cream. Nearby Mineral de Pozos is a former silver-mining center. Once a virtual ghost town (and there are still plenty of majestic ruins), its reputation as an artists’ colony has grown in recent years

And you can’t forget Guanajuato, whose colonial center is in a narrow valley. This October, we plan to see at least some performances that are part of the Cervantino, a weeks-long arts festival, featuring international artists and performers from around the world.

Of course, since we live in one of the most developed parts of Mexico, I must admit that we also enjoy heading for trips to some of the big box stores and malls in Queretaro, a major metropolis of 1 million, about an hour’s drive away. My kids love the arcades, trampoline parks, and other fun stuff.

It’s like we have the best of both worlds—modern conveniences with plenty of historic charm.

With the New Year comes a new set of resolutions, plans for the year ahead…and the publication of our Annual Global Retirement Index and this year the top honor goes to Panama. With modern infrastructure, proximity to the U.S., and a mild climate it is no surprise that Panama is a popular retirement location. In fact, Panama has ranked number one on our index a total of 10 times.

Panama topped the categories of Benefits and Discounts, Visa and Residence and tied for first place in Governance and Development while scoring well in the Healthy Lifestyle, and Entertainment and amenities categories.

For expats from the U.S., Panama is convenient because the currency is the U.S. dollar. No matter where you’re from, you’re likely to appreciate the fact that there are many English speakers in Panama, especially among the well-trained medical community. The hub that is Tocumen International Airport makes it easy to fly from Panama to nearly anywhere in the world…often with no layovers.

For a small country, it packs a real punch. But what makes it special from the expat retiree’s point of view is its Pensionado Program. Year after year, Panama takes the number one spot in the index’s benefits and discount and visas and residence categories. IL Panama Editor Jessica Ramesch, says “It deserves the praise it gets. It offers foreign pensioners an easy ‘in’ to becoming legal residents of Panama.”

The program also grants discounts to seniors on a wide range of goods and services, from medical consultations and prescriptions to movie tickets and meals—there are even specific lines marked pensionados to beat the queue.

Panama also provides affordable, good-quality healthcare, anchored by the excellent clinics and hospitals in Panama City, which enjoys a top-notch reputation throughout Latin America.

On top of that, sunshine is year-round in Panama, with a mild, tropical climate, which means expats can get out in the open any day of the year and never worry about ice, snow, or even hurricanes.

Benefits and Discounts

Once again Panama scores an impressive 100 in the Benefits and Discounts category. Panama has put together the most appealing program of special benefits for retirees you’ll find anywhere in the world today…and the program is open to foreigners. Under the pensionado program retirees are entitled to a host of moneysaving discounts.

As a qualified pensionado retiree you will be entitled to 50% off entertainment—such as movies, theaters, concerts, and sporting events, 30% off bus, boat, and train fares, 25% off airline tickets, 30% off hotel stays and up to 25% off at restaurants. In terms of medical expenses retirees are happy to learn that they can receive 15% off hospital bills, 10% off prescription medicines, 20% off medical consultations, 15% off dental and eye exams, and 20% off professional and technical services.

Expat Jim Gault who lives in Pedasi says “Because my wife and I take several medications, we often use this benefit…when you ask for the discount and show the proper identification, the pharmacist will reduce the cost. This is a significant saving for us.”

Visas and Residence

Traditionally, Panama has scored top marks in the Visa and Residence category, and 2019 is no exception. The pensionado residence program is the most popular option for potential expats for many good reasons. It is highly effective in drawing people to Panama because, in addition to providing a permanent residence solution, it also entitles retirees or pensionados to a host of moneysaving discounts.

Jessica explains “To apply as a foreigner, you simply have to show proof of a verifiable pension—corporate or government—of at least $1,000 a month. If you’re applying with a spouse, you need only prove that you receive a combined total of at least $1,250 a month—that’s what the Panamanian government deems sufficient for you to live a good life here.”

Nanette Witmer who lives in David adds “My residency Visa was easy to get in Panama. The paperwork required was straightforward as was the process. My friendly nation visa took only three months, and everything went smoothly. A month after that I received my e-cedula.

Jim Gault says “When my wife, Abbe, and I looked to retire overseas a few years ago, I found that Panama’s excellent Pensionado Visa or Retirement Program was a great way to stretch my Social Security pension. Naturally, the perks sounded like a perfect way to save some money, and they have proven to be just that—providing substantial discounts on many goods and services we regularly use. We regularly enjoy the perks of the Pensionado program to save significant amounts of money, including the tax money we would have paid on the pre-discount rate. We use the money for a better lifestyle, which includes more dinners out, and weekday getaways.”

Governance and Development

Panama scores 98 and 94 for Governance and Development respectively. As a retirement destination, Panama is simply outstanding, but it is also a business mecca—a place where expats who have big ideas for their retirement can explore their options. Major organizations and businesses from all over the globe come here to take advantage of low costs and the best strategic location for expanding into the Latin American and Caribbean markets.

 IL Chiriqui Correspondent Nanette Witmer  “The economy is thriving, and Panama has a stable government. There is a lot of opportunity here in Panama as its economy seems to be the fastest growing in the Latin America.  There are many opportunities for specialized commercial ventures.”

“One of the best things about Panama is its business- and foreigner-friendly government,” says Jessica Ramesch. “Panamanians are accustomed to foreigners and they welcome them with open arms. Increasing numbers of North Americans, Europeans, and others are moving here. Some come in search of adventure or a quality retirement destination, and many continue to take advantage of all Panama has to offer as a business destination.

Since 2003, Panama has had one of the world’s fastest-growing economies, expanding an average of 8.4% between 2004 and 2013. Despite slowing due in part to a weakening of global growth, it continues to lead the region in 2019.”

Healthy Lifestyle

Not surprisingly, Panama scores an impressive 95 in the Lifestyle category. Despite Panama’s tiny size, it’s one of the most diverse countries you’ll find. The incredibly long coastlines—Pacific and Caribbean—offer endless opportunities for waterside living…not to mention fishing, scuba diving, surfing, and more.

IL Chiriqui Correspondent Nanette Witmer says “You have a real option to live a healthy lifestyle in Panama. The abundance of fresh fruits and vegetables to eat well in addition to being outside more breathing in clean air. The laidback lifestyle with less stress has made most expats feel better.”

And whether you’re seeking a luxury lifestyle or plan to live like a local, you’re likely to live more comfortably and save more easily than you did back home.

Janet Hitchens who lives with her husband, John, in Sant Fe says “People live very well here—most people who come here drop at least 20 pounds. They eat locally grown mangos, papayas, and bananas, as well as locally raised chicken and beef.

Jim Gault says “Hammocks are common and symbolize a relaxed, casual lifestyle. People eat more fresh meat, vegetables, and fruits, and less processed or junk foods.”

Entertainment and Amenities

Panama scores a respectable 93 in the Entertainment and Amenities category in this year’s index. Panama City is home to hundreds of skyscrapers, shops, entertainment venues, and modern amenities and services that visitors are surprised to find in this region.

Jessica Ramesch who lives in Panama City says, “I saw a world-class concert, featuring woodwind and strings musicians from Lithuania and Spain, for $20. It doesn’t get more cosmopolitan than Panama City’s San Francisco sector. Virtually anything you could want is within a short striking distance…modern malls, restaurants, supermarkets, and entertainment venues…the vast Omar Park…and some of the best clinics and hospitals in Latin America.

As a qualified pensionado retiree in Panama, you will be entitled to 50% off entertainment—such as movies, theaters, concerts, and sporting events anywhere in the country. Movie tickets in Panama City are $6, and pensionados pay 50% less. On Wednesdays, many theaters are half-price for all moviegoers. A popcorn, nachos, and soda combo will cost you about $6. And in case you’re wondering, Panama gets a wide array of first-run and blockbuster movies. Most films are played in the original language with Spanish subtitles.

Nanette Witmer says “There is no shortage of entertainment in Panama. Festivals, parades, fairs and local happenings are always going on. We have first run movies in English, a roller-skating facility in Boquete, plenty of concerts both a mix of local musicians and expat bands.  Expats in Chiriquí also tend to gather at each other’s homes for barbecues, potlucks and social hours.

In the video below our Panama editor Jessica Ramesch discusses some of the reasons why Panama took the number 1 spot in the 2019 Annual Global Retiremet Index.

An Overview of Traditions and Culture in Panama

By Jessica Ramesch

Although a small country, roughly the size of South Carolina, Panama is very diverse. Officially a Catholic country, Panama has a long-established tradition of religious and ethnic tolerance with large communities from all over the globe including China, Korea, Israel, Lebanon, India, Colombia, and Venezuela to name a few.

It’s estimated that at least 75 % of the population identifies as Roman Catholic, with 15% to 25% belonging to other Christian traditions. Other religions or belief systems practiced in Panama include the Bahá’í Faith, Buddhism, Judaism, Islam, and Hinduism.

Each of Panama’s regions has its own look and feel, not to mention traditions. Indigenous and Afro-Caribbean communities have rich histories here. And, as in North America, colonization forever altered the cultural landscape.

Spanish explorers arrived here as early as 1501 and Panama was part of the Spanish Empire from 1513 until 1821. The failed French attempt to build the Panama Canal, from 1881 to 1889, left its mark and for the better part of the 20th century, through December 1999, the U.S. ran and maintained the Panama Canal.

Early cultures and traditions in Panama

Panama is one of the only countries in the Central and South America region with a large indigenous population. Seven major tribes continue to live traditional lifestyles here, and the largest rule autonomously in massive reserves. Small groups of visitors are welcome to visit and learn about the tribes and their efforts to keep their lands in pristine condition.

The Guna possess what may be some of Panama’s most spectacular real estate, as many of them make their homes on the jewel-like Caribbean isles of Guna Yala. Here there is a focus on sustainable tourism. Tourists enjoy the simplicity of white-sand beaches, turquoise waters, and seafood plucked fresh from the ocean.

Tours to the Emberá-Wounaan communities, are also popular. Along with the Guna and the Ngäbe-Buglé tribes that inhabit the scenic Chiriqui and Bocas del Toro regions, the Emberá are known for their artistic handicrafts.

Notable traditions that have survived into modern times include ancestral hunting, fishing, and the custom of living in elevated huts. Emberá women still tend to go bare-chested and wear colorful cloths from the waist down, with flowers in their hair. Another trademark is their ebony “temporary tattoos.” For these they use a dye made from the juice of the jagua fruit. Much like Indian henna or mehndi, the stain lasts a couple of weeks.

Panama’s Deep Afro-Caribbean Roots

Panama is home to thousands of people of African descent, whose ancestors came from places like Jamaica, Barbados, Trinidad and Tobago to help build the canal…or were slaves brought over during colonial times. Though they live all over the capital and the rest of the country, Afro-Caribbeans have predominantly settled in the provinces of Bocas del Toro and Colón. In these provinces, many locals speak English with a Caribbean accent.

If you’re a lover of music and dance, you won’t be disappointed. Here you will hear the Latin rhythms of salsa and merengue, Afro-Antillean inspired reggae and percussion, and so much more.

Spanish Folklore in Azuero and Beyond

There are many places in Panama where you can see evidence of its deep Spanish roots. The Azuero peninsula, known as the “cradle of folklore,” is perhaps the most popular. For major national celebrations and festivals, there is no better place. During the Carnival season, locals and tourists flock here in droves. Traditional dances are set to tipico music, characterized by yodeling, accordions, and small guitars called mejoranas.

There are over 700 festivals held in Panama every year, so no matter when you visit, you should be able to find one. Dancers wear everything from flashy carnival wear to the dreamy white dress known as the pollera. The biggest event of the year is Carnival, held over the four days preceding the Catholic Lent. (Dates vary every year, but it’s usually in February.)

Culture and Traditions in Today’s Panama

Though Spain and France played important roles in Panama’s history, the existing republic came into being in 1903. A strong U.S. presence helped mold Panama into one of Latin Americans most modern and advanced countries.

From 1904 to 1914, the U.S. built the Panama Canal, staying on to administer the waterway and the surrounding “Canal Zone” and later building and staffing military bases. In the decades that followed, everything from infrastructure to fashion trends were influenced by the U.S. presence and international traffic through the canal.

Today, international residents, visitors, businesses, and culture continued to influence Panamanian life. Local infrastructure remains excellent…and Panama’s modern, cosmopolitan vibe makes it all too easy to forget that you’re in Central America.

Land in Panama City and you’ll see a scintillating skyline of chrome and steel towers. Along the Panama Bay is the Cinta Costera, or coastal belt, a wide avenue lined with greenery, walkways, bicycle paths, recreation areas, and more. It borders the busy International Banking District, where sharp-dressed execs sport smart phones and drive the latest model cars. That is, when they’re not riding the new metro that sweeps through the city’s busy commercial areas. The nation is buzzing with energy, and individuals here are reaping the benefits.

Need-to-Know: Etiquette, Business Interactions, and More

A regard for personal connections is perhaps the best-known trait in Panama, particularly in business. Even today, Panamanians take time and effort to establish a personal relationship before entering into a business relationship (as is the case in most of Latin America).

Thankfully, Panama’s international history and long association with the U.S. means that Panamanians are accustomed to foreigners from all over the globe. Due to its strategic location, and unique position as a trading hub, Panamas citizens represent almost all of the world’s cultures and religions. It is a true “melting pot” of races, with over 70% of the population being mestizo (mixed Amerindian and Caucasian).

You will also find that the term “PC” or “political correctness” carries little weight here. Panamanians are quite direct. If you gain weight, the next time your local friend sees you, he or she is likely to say: “You’ve gotten fatter.” In general, people here don’t mean to offend, so they see no reason to be PC. People here just tend to say whatever they’re thinking.

If you’re invited to someone’s home, it is polite to bring a small token, for example, flowers, a box of candy, a souvenir from your hometown, or a bottle of wine. Hands are kept above the table, elbows off. Talking with a full mouth or chewing with an open mouth is, as elsewhere, considered impolite. Conversation while eating is kept to “light” topics such as sports, favorite foods, the weather, etc. Compliment the food a few minutes in and, before leaving, thank your host for a lovely meal.

Also, be prepared for pampering. You should always offer to help, but in formal households, your offer will be politely refused (well-to-do locals will have a maid to do the clearing and washing, and won’t want you in the way). You’ll more than likely be served first. If possible, invite your host to a nice lunch or dinner to reciprocate (at your home if you have one in Panama, and if not, at a restaurant). Make sure you’re not too rusty when it comes to general dining etiquette, as upper-crust Panamanians have impeccable manners.

The Best Places to Vacation in Panama

After 10 years of covering this country for International Living, you’d think writing about the best places to vacation in Panama would be a cinch. The more you know, the easier it should be…but the opposite is often the case. I know so many great Panama vacation destinations that it’s hard to narrow it down to just a few.

There are places like the jungles of the Darien that appeal to adventure seekers, and places like Isla Contadora that offer eco-tourists in Panama a bit of luxury in a green environment. And then there are the must-sees…vacation spots in Panama that no traveler should miss. Here are three destinations that represent three different “faces” of Panama.

The Best Places to Vacation in Panama: The Islands

At the top of the list are the islands of Guna Yala, formerly known as the San Blas islands. Here, the Guna (formerly spelled “Kuna”) live much the way they did when the Americas were first “discovered.” The Guna have their own autonomous government and they are diligent about protecting their reserve lands, allowing only low-impact, sustainable tourism. You won’t find any big-name resorts here—only eco-friendly huts and small hostels.

There are more options than ever these days, but I would go with Yandup Island Lodge. The island is close to the Ukupseni community, which many agree is one of the region’s most beautiful. Beware, first-time visitors feel like they’re dreaming when they see the baby-blue waters dotted with itty-bitty islands. White sand beaches are everywhere you look and you can swim from one to another. The only way to get here is by air on a small plane. Visit Air Panama to check out flights to the Playon Chico airstrip.

Remember, you’ll be in traditional dwellings (typically with mosquito netting over beds) no matter where you stay in Guna Yala. Don’t expect air conditioning and don’t “bug out” if there are a few bugs. Bring eco-friendly mosquito repellent and sunscreen and you’ll be all set to enjoy the famous baby-blue waters of the Caribbean.

Highland Vacations in Panama’s Boquete Region

Once you’ve had your fill of the beach, consider a visit to the little mountain town of Boquete and neighboring towns like Volcan. You can get there via a seven-hour drive from Panama City, but I prefer to fly an hour to David City and take a bus or rental car from there.

It’s a 40-minute drive from David to highland towns like Boquete and Volcan. In Boquete, be sure to visit The Rock, the best restaurant I’ve been to in years (the views are jaw-dropping). Head to Volcan or Cerro Punta for strawberries and a thick, goopy cream called nata, or fresh mixed berry milkshakes…there are multiple stands but Dulces Caseros Alina’s is the best-known. Just ask any local where to find it!

There’s so much to see in this area, you’ll have trouble choosing. You can visit ancient petroglyphs at El Nancito Archeological Park, see thoroughbreds at the famous Haras Cerro Punta horse farm, or hike through the bi-national La Amistad forest (or to the top of the 11,000-foot Baru volcano).

Panama City: My Top Pick

Believe it or not, Panama City is my top pick for best places to vacation in Panama. I can’t help being biased—I choose to live here and absolutely love it. Just head to the picturesque promenade that is the Cinta Costera and you’ll see why. The Cinta wends its way along the Panama Bay, offering snap-worthy views of the sparkling city skyline. You can walk from the Banking District to colonial Casco Viejo and see some of the city’s best features along the way.

For a great weekend in Panama City, here’s what I recommend: contact Los Cuatro Tulipanes and rent a beautifully restored colonial in Panama City’s historic quarter, Casco Viejo. Spend a day or two exploring the stately plazas and enjoying the cool food and nightspot scene.

In Casco, Plaza Bolivar is my favorite spot to people-watch…it’s lined with cafés and the site of the famous Salon Bolivar, where Simon Bolivar tried to create a league of nations and thus unify the region.

On any given evening in Casco Viejo you’ll find venues offering live jazz, salsa, classic rock, and more (make sure to take in a gig at Danilo’s Jazz Club, at the elegantly restored American Trade Hotel).

Panama’s art community is centered in Casco and events here vary from film screenings to “artblock” parties that continue from one block to the next. Dress is typically casual or bohemian chic. Restaurants run the gamut, from gourmet places like Tomillo to neighborhood dives (my favorite is microbrew pub Rana Dorada de Casco Viejo).

Naturally, you’ll want to see the Panama Canal while you’re in town. The Miraflores Visitor Center is just a 20-minute drive from Casco. Or for a nice day trip, drive 10 minutes to the Amador area and catch a ferry to Taboga Island. It’s just 12 nautical miles offshore…perfect for a quick beach fix. When you get back, take a quick shower and get ready for another great night in the city.

Plenty of Panama City’s neighborhoods are walkable, including Casco Viejo and El Cangrejo. For longer distances, you have the Panama City Metro and Metrobus system, a vast cadre of yellow cabs, and more upscale services like Uber and Tuchofer, so there’s no excuse to stay in your hotel room.

Go hiking or birding around Gamboa. Rub shoulders with friendly and beautiful people at trendy downtown bars. Try new and exciting foods. The point is, it’s a convenient, modern city offering a huge range of activities…so just get out there and explore!

Tired of the mundane, nine-to-five, rush hour traffic and cold weather? Hungry for adventure? Nothing broadens your mind like travel. For those with an adventurous spirit, travel allows for embracing new cultures and ways of doing things, and leads to a happier, richer, fuller life.

International Living‘s editors and correspondents travel the world searching for the best retirement destinations. They clock up a lot of air miles and in their time on the road (and in the air) and by doing so have found the best ways to travel for less in interesting places overseas.

Maybe you’d like to shop in chic markets in Paris…golf on Ireland’s famous links…have a suit custom tailored in Bangkok (and delivered to your hotel)…experience a fiesta in Mexico, or surf some great waves in Costa Rica.

Well, good news: You can afford all of that…even on a modest budget.

It might surprise you learn that it doesn’t take a fortune to enjoy a rich travel experience abroad. Traditionally, travel was prohibitively expensive due to high air fares and accommodation costs, but not anymore. The truth is you simply need to know where and how to do it. And we can show you how.

So, there is no need to put off that dream around the world trip any longer, because now you can make it a reality.

The articles below will give you new ideas about places to visit…and live. Find out more about ways you can save money when you travel, where to find the best hotels in the world at affordable prices, and get some insider knowledge to take you off the beaten track. Our writers also reveal their top travel ideas that won’t cost the earth, but will make you feel like a millionaire and inject some excitement into your life.

5 Tips to Travel the World on $70 a Day

By Jane Dempster-Smith

Life has been full of travel and adventure since my husband Duncan and I first realized that it was cheaper for us to travel the world than to sit on our couch back home.

Just last year, our travels took us to Thailand, Spain, Sweden, France, Montenegro, Croatia, on a cruise from Spain to Panama, then onward to explore Mexico, Cuba, and Barbados. We did it all on a budget of $70 a day—in fact, we had $190 left over on the last day. We blew it all on a bottle of Sauvignon Blanc and a sumptuous three-course lunch in one of Barbados’s top beachside restaurants.

Since 2013, we’ve successfully used all sorts of travel tricks—from housesitting to flight hacking—to travel the world on $70 a day. Here are some of our top tips…

1. Slow down

We first learned to slow our pace. By staying longer in a place, you not only enrich your experiences, you also cut your costs. Our first year, we were on the move every four nights, so our travel costs skyrocketed. But when we planned a three-week stop on the Greek island of Santorini, we realized what we were doing. A big lesson learned. In those three weeks, we had no transport costs. And we met locals who showed us where they bought their fruit, vegetables, local wine, and the best places to eat away from the tourist areas.

2. Use a budgeting app

Perhaps our most powerful tool is our budgeting. I don’t mean being miserly; just tracking your outgoings and adjusting accordingly. If you overspend in one place, go somewhere cheaper next time, or watch your spending more closely somewhere else.

There are various travel apps available to help you manage your daily budget. We use one called Trail Wallet. We load the currencies of the countries we are traveling to and set our daily budget. If we want another chilled bottle of French wine at lunch, a quick glance at our app will tell us what we have left to spend for the day.

3. Be selective with flights

Use Google Flights, Skyscanner, and other flight aggregators to reduce your flight costs. Instead of round-the-world tickets or round-trip tickets, look at one-way flights. Become creative in your itineraries; enjoy stopovers at destinations you haven’t considered; use a variety of airlines; choose regional airports; and reduce your travel costs. We have saved up to 75% on some tickets. For example, instead of flying direct from Barbados to London, we saved 75% by flying from Barbados to Fort Lauderdale on Jet Blue, then flying Norwegian Air to Stockholm and SAS to London. And because we were not “time poor,” we could stop over in Stockholm along the way.

Budget airlines are a great way to reduce your travel costs. But always read their small print on baggage allowances, printing of boarding passes, and seat selections. If you play their game right, you can save big-time.

4. Use alternative accommodation

For us, our biggest savings come from housesitting. We estimate we’ve saved over $50,000 on accommodation alone in our first year traveling. Currently, we housesit between four and six months a year in places that we once only dreamed of visiting. Our recent international housesits have been in Ecuador, Nicaragua, Panama, Mexico, France, Barbados, Spain, Goa, and Koh Samui (Thailand). We lived like locals, enjoyed the local green markets…and our costs averaged $7.60 to $15 a day.

We’ve found that hostels these days are often more like boutique hotels. We have traveled the world, staying in hostels in some great city-central locations. We book a double room with an en suite bathroom and enjoy the camaraderie of other travelers.

5. Eat and drink like a local

Watch where the locals are eating and stay away from the major tourist areas. In Italy, we were given a tip to eat at the major railway stations—the pasta was better than at some of the local restaurants, and a lot cheaper.

Eating with the locals also gives you a more authentic experience. In touristy Córdoba, in Spain, we spent time exploring the back streets and fell into a local tapas bar full of locals at lunch time. We struck up an animated conversation with hand gestures (our Spanish language skills weren’t as good as we had hoped), and the locals guided us through the menu, ordering for us the best tapas and advising what wines we should order to accompany them.

In Italy, stand at the bar to enjoy your coffee or a chilled glass of Prosecco—it’s cheaper than sitting down. Plus, you could find yourself enjoying the experience with a local or, as we experienced, a local artist who was patiently waiting for his next model to arrive. “Always late,” he shrugged. “But it does give me a chance to enjoy a Prosecco—it gives me patience.”

5 Free Things to do While Visiting Historic Bologna, Italy

By Rebecca Hughes

In recent years Bologna, the lively historic capital of northern Italy’s Emilia-Romagna region, has welcomed a record number of visitors and has become firmly fixed on the map as an expat destination. It boasts the oldest university in the world, top class culinary tradition, and a vibrant, liberal-minded character. It also has several days’ worth of free things for a clued-in visitor to enjoy. Here are five of my favorites…

1. Visit the church of Seven Churches

The religious complex of Santo Stefano is like a Russian doll of churches. Reportedly built on the remains of a temple to the goddess Isis, it has an almost encyclopedic array of church styles all within one complex. The oldest structure, dating from the 4th century, but rebuilt in the 12th, has Roman and Byzantine column capitals and 6th-century mosaics. Beside this you can see a copy of the round Holy Sepulcher in Jerusalem dating from the 12th to 14th centuries, then a Lombard structure with a presbytery from the 17th century, a Romanesque courtyard and several small chapels with Renaissance and Baroque decoration. Don’t forget to go right to the back of the complex, after the museum, to the Chapel of the Bandage, which is dedicated to the strip of cloth thought to have been worn around the Virgin Mary’s head as a sign of mourning.

2. Discover the window on Bologna’s hidden canals

Opening a small wooden window in the wall of Via Piella, you will discover a little canal flanked by brightly colored houses with flowers and balconies. This surprising stretch of water is actually part of a whole network of canals that was constructed in the 12th century. There are several points in the city where these can still be seen (a map can be acquired from tourist information), though the window on Via Piella is no doubt the most poetic. Just remember to close the window afterwards so you don’t spoil the surprise for others.

3. Peruse books above a Roman ruin

Bologna’s underground secrets don’t stop at canals. At central public library Sala Borsa, once the historical seat of the city government, look down as you walk into the large atrium and you will see Roman ruins beneath your feet, including paved roads, the foundations of a Roman basilica, and the wall of the medieval tower house. The ruins are open to the public and there are even free guided tours (donations welcomed).

4. Make a pilgrimage to San Luca

Only in Italy would the residents’ local dog walking path be a pilgrimage route. Bologna is renowned for its “portici,” or arcades, which run all throughout the city. One of these routes, rather ironically of 666 arches, forms a pilgrimage route leading up the Monte della Guardia hill to the Sanctuary of the Madonna of San Luca. Summer evenings finds runners, walkers, and even elderly ladies in kitten heels tackling the relatively steep climb to the top. Once you’ve caught your breath, you can explore the 18th-century church and look out across the city and surrounding countryside. There are even sometimes groups of students with guitars enjoying the sunset.

5. Admire Giambologna’s well-endowed Neptune

As a bit of light-hearted relief from pilgrimages and ruins, the cheekier locals will take visitors to appreciate Giambologna’s bronze statue of the god Neptune, or rather one particular part of him. It stands in Piazza del Nettuno and is a classic muscular, contrapposto Giambologna masterpiece. But some suggest it also contains a veiled defiance against prudish church restrictions on Neptune’s manhood. From a certain angle to the back right of the statue, Neptune’s thumb is positioned in such a way to suggest a far more virile god of the sea.

The statue stands just off the main Piazza Maggiore of Bologna, a real hub of the city. On one side is the Basilica of San Petronio, which is free to enter and contains the longest indoor meridian line in the world, as well as a rare fresco of the Prophet Muhammed in Hell.

Find Your Perfect Retirement Spot by Housesitting

By Silvana Clark

A couple of years ago, my husband and I spent three weeks housesitting in Lubrín—an unspoiled Andalusian hilltop pueblo blanco in the mountains of southern Spain, all olive groves, whitewashed townhouses, and pavement cafés. In a town of 500 friendly inhabitants, about 100 were expats, some of whom invited us for dinner, guided us through the outdoor market, and took us on hiking excursions to ancient castles and hilltop chapels. We didn’t spend a single cent to stay in this magical place.

Housesitting provides the opportunity to live for free in countries around the world. You take charge of someone’s house, which allows you the chance to live like a local in a country you are considering for your major move.

My husband and I see housesitting as an opportunity to travel to places not on the typical “1001 Places to See Before You Die” list. Our stay in a German chalet gave us the opportunity to explore castles and charming villages away from the Black Forest and the Hofbräuhaus. Exploring the Hadron Collider (the largest single machine in the world) in Switzerland certainly wasn’t on my bucket list. But then we discovered that the house where we were staying was actually built on top of the 17-mile underground system. For the most part, the best experiences are the ones you never could have seen coming—the places that aren’t in the guidebook, and that you only find by being on the ground, in person. These moments make us want to continue traveling, and housesitting gives us an affordable way to do it.

Housesitting lets you “try out” various housing options. You may envision yourself living in the middle of a bustling city, but after staying in a villa on the outskirts of Lake Como, quickly decide a little privacy is for you.

Compare that to our stay at an apartment near downtown London. At noon we’d spontaneously decide to see a London musical, and be at the half-price ticket booth by 1 p.m. for a matinee. Suddenly city life has its advantages. During our housesit in Portugal, the owner left us her car. We took several day trips, easily exploring the fortified hill towns, walled fishing villages, and buzzing cities of the region.

Housesitting provides the opportunity to visit countries that may become your new, future home. Yes, you’ll still need to pay for airfare, but accommodation will be free. This allows you to spend time exploring the area and making an educated decision about this major life change. And if you’re not restricted to vacation towns during vacation periods, getting there and away is significantly more affordable in the off season.

Best of all, it can save you from some expensive mistakes. Our daughter lives in Washington, D.C., and we often considered moving there to be closer to her. A six-week housesit in a D.C. suburb quickly showed us that the D.C. lifestyle isn’t for us, no matter how much we miss our daughter.

No matter where in the world you want to try out, chances are there will be a housesit available. For example, here’s an ad for a month-long housesit in Mexico: “Our house is located in west Ajijic, half a mile from the main plaza. It is known for its near-perfect weather and low cost of living. Many expats live here, so there’s no need to know Spanish. I have a maid that comes once a week and a gardener that comes twice a week, so there’s no heavy cleaning or yard work to do.” That’s just one of many.

The Perks of Being a Part-Time Expat

The financial and lifestyle benefits of living, working, and retiring abroad are pretty obvious.

If you live in a place with temperate year-round weather and lower prices for food, transportation, rent, taxes, and real estate, you’re going to be more comfortable and save money. And if the healthcare is just as good and much less expensive than where you live now, you’re going to be doing even better.

But these benefits aren’t limited to people who live full time in the right overseas destination. They can be enjoyed just as well by folks who spent part of the year in the right place and part of the year in their home country.

In fact, part-timers are a growing segment of the expat population in many of the world’s best retirement destinations abroad. And they enjoy the best of both worlds—they can take advantage of great weather, a lower cost of living, and an exotic culture part of the year, and they can stay close to family and friends and the familiarity of home part of the year.

The considerations for part-timing aren’t much different than those for moving abroad full time. The most obvious difference is the need for a place to call home in two locations instead of one.

For people who own their own home in the U.S. or Canada, one half of that requirement is already taken care of. And that home can also become a source of income if it can be rented while you’re away part of the year, especially with options like Airbnb available to help with marketing and collections. Rental apartments that can be sublet can also be a valuable source of income in the same way.

This applies just as well to properties owned in popular expat destinations around the world. In fact, the lower prices for real estate abroad can make it possible to own two properties—one in each location. Part-timers can then get cash flow from both properties as they shift from one to the other during the year.

And you needn’t invest in real estate at all, if you’d prefer not to. Rentals, especially in the most desirable overseas locations, are numerous and, depending on your lifestyle requirements, can be very affordable. In a location with warm year-round weather and vibrant local culture, you don’t often need much more in a rental than a secure, comfortable place to sleep and keep your luggage. In fact, in many overseas destinations, the cost of eating out is so affordable that the size and quality of the kitchen isn’t a big concern. It could actually cost more to cook at home than to eat out.

Visa requirements for part-time living abroad vary from country to country, but in many of the most popular expat destinations, tourist visas are given to you on the plane and can be valid for up to six months…no need to even visit the immigration office. They can often be easily extended or renewed, either with a small fee or by leaving and then re-entering the country. In Costa Rica, for example, a weekend trip to Panama or Nicaragua gets you a new tourist visa when you return.

In other countries, such as Mexico, you can get temporary or permanent residency visas with a few trips to immigration and some basic financial requirements. And with a permanent residence visa in Mexico, for example, there are no limits on the amount of time you can spend outside the country each year…perfect for part-timers who also want to enjoy the benefits of Mexico’s public health insurance system, which is available to permanent residents.

And, of course, part-timers enjoy the same savings as full-timers from a location with lower costs of living, at least for the portion of the year they spend in their overseas home.

The number of U.S. and Canadian citizens who are part-time expats is large and growing all the time. It’s a smart way to take advantage of all the lifestyle and financial perks of living abroad while still keeping a foot on home turf.

Part-Time Living as a Snowbird in Paradise

When the frigid winds and wet, heavy snows of winter threaten the northern state of Wisconsin, Gary and Mary Beth Vanlankvelt head south… All the way south to the small, tropical island of Isla Mujeres, off Mexico’s Caribbean coast.

“We usually arrive in December and don’t leave until late March or early April,” says Gary. “We began by visiting during spring breaks. When we decided to look for a place to escape Wisconsin’s harsh winters, Isla Mujeres won. It felt more like home to us and it was also very affordable.”

Gary and Mary Beth have made Isla Mujeres their regular winter get-away for the past decade.

“We’ve been regular Isla snowbirds since 2007. We love everything about it,” says Gary. “In fact, I’m really not crazy about telling others how wonderful it is here. I don’t want the island to become more crowded and lose its vibe.”

Gary and Mary Beth have good reason to love Isla Mujeres. Although small, at about four miles long and only a half-mile wide, Isla (as the locals call it) has developed a legion of loyal, seasonal snowbirds. It also supports a significant number of full-time expats. About eight miles off the coast of Cancún, the island is served by a fleet of modern, high-speed ferries, which shuttle passengers and supplies to and from the mainland every 30 minutes or so.

“The weather is outstanding,” Gary says. “The beach is one of the best in the world, and it’s close to our apartment. We rent a small, one-bedroom apartment in a secure building. All utilities are provided, and while basic, it’s very affordable. Depending on how we want to live, our monthly expenses run between $2,000 and $2,500 per month, all in,” Gary says. “We even have official senior discount cards that provide a customary 10 % savings at many restaurants, as well as reduced rates on ferry tickets and numerous other things,” he adds.

Mexico’s cost of living, even on a Caribbean island, is generally about one third to one-half the cost of living north of the border. A doctor’s visit may cost $15 to $25, and dental procedures are generally one-third the cost of similar procedures in the States. Medications cost only a fraction of Stateside prices, and a doctor’s prescription isn’t required for most medications. In fact, many major pharmacies offer a free doctor’s consultation in an adjoining office.

Fruits and vegetables are fresh, readily available, and cheap. An entire week’s supply costs around $5 to $7, and street vendors will gladly prepare a fresh coconut, papaya, or mango cup for about 25 cents. You may even grow used to chili powder and fresh lime on your fruit, which is a traditional way to eat it in Mexico.

With winter temperatures of 75 F to 80 F and ample sunshine, Isla Mujeres provides a very comfortable winter and allows long days on the beach.

“We do enjoy going to the beach with friends, and we love socializing,” says Gary. In fact, Gary and Mary Beth say their social life on Isla Mujeres is their favorite part of the winters.

Gary and Mary Beth love the food on Isla. “The food is excellent, and the options are plentiful. You can get the typical American fare if you wish, such as pizza and hamburgers, but seafood joints are everywhere, and more restaurants are opening all the time,” Gary says.

One big advantage of snowbirding on Isla Mujeres is its proximity to Cancún and the rest of Mexico’s culturally rich Yucatán Peninsula.

“If we want to get off the island, the mainland offers countless cenotes (fresh water sinkholes, many suitable for swimming) to explore, historic Maya ruins, and rich, colonial cities such as Mérida,” says Gary.

Gary and Mary Beth also involve themselves with local charity work. “We’ve participated with a group that raises funds for medical facilities on the island.”

Isla Mujeres does have a small, community hospital. And nearby Cancún offers six major hospitals, as well as an international airport and other services that aren’t readily available on Isla.

“It takes a little time to adjust to the slower pace of life on the island, but it’s well worth the effort. Everyone is very friendly and it’s easy to get into the social life,” says Gary.

Imagine the smell of freshly-baked croissants wafting through the air, or the satisfying swallow of wine made from grapes grown just down the road. Perhaps you muse about living on a sun-drenched Mediterranean beach or tucked down a cobbled lane savoring the cosmopolitan delights of a history-rich city…

A retirement in Europe is a dream for many folks. And it can easily be a reality. If it’s culture, history, and variety you’re after, Europe has it all, and at a cost much lower than you may think… Here we explore the five best low-cost options for enjoying your perfect European retirement.

Here you’ll find properties to rent for less than $600 a month or to buy for under $110,000. A filling three-course meal in a local restaurant can be had for $10, while a bag of fresh produce grown locally can be got for under $6.

In all these countries you’ll find fabulous beaches, idyllic rural retreats, and cities where history is thickly layered with stunning architecture and grand museums. Our experts have nominated an area they think is particularly worthy of your interest, but ultimately it’s up to you to decide what type of lifestyle you’re after.

Not surprisingly, Europe delivers strongly on healthcare; in each of our picks, you’ll find healthcare professionals and facilities of a world-class standard. But perhaps more surprisingly, the care on offer in these countries won’t leave you counting pennies. Many of these nations benefit from universal coverage and strong public healthcare systems, and even their private healthcare can be accessed for a sliver of the cost in the U.S. Doctors’ visits, for instance, can run well under $100, and other services are similarly reasonable.

You’re guaranteed to find an ideal place for yourself in Europe. Though a small continent, it packs in so much diversity that the perfect retirement for you is bound to be hiding somewhere. Read on to find it…

Italy

Whether it is golden light diffused on the undulating hills, crystal alpine lakes, or dramatic seacoast with towns improbably perched on the steep hills above the water, Italy’s scenery inspires a desire to stay and enjoy the dolce vita full-time. A relaxed pace with an emphasis on good food and human interaction, with excellent wines, cultural riches, and a lyrical language—there’s a lot to love about Italy.

The appealing lifestyle and gorgeous scenery draw many expats to the peninsula, and offers each their own tailor-made dream because Italy has it all, from art cities to ancient hill towns to modern suburbs, in any geographic preference you desire. The plentiful seacoasts appeal to beach lovers while the many mountains satisfy outdoorsy types and those who love to live all four seasons in their turn. The Mediterranean climate is fairly mild, but don’t expect endless summer here; there is a cooler winter, though just how cool depends on your desire. Want snow? The Alps. Want it milder? Sicily. And Italy offers everything in between.

Many people have the impression that it is expensive to live here. It’s understandable why; a cultural and historical powerhouse that draws millions of tourists each year seems like it would have a hefty cost of living. But tourist prices are one thing; living costs are another. You can easily find a place that will fit your budget; the key is to look outside the primary tourist destinations.

IL Italy Correspondent Valerie Fortney Schneider says, “The relaxed lifestyle in a glorious hill town can be yours, and it can be more affordable than you think. I paid just €30,000 for my small 300-year old home in the pedestrian lanes of a southern village.”

Nicely furnished apartments on a cobbled street in a perfectly preserved medieval town can run just $500 a month, and in some cases even less. There are ready-to-go homes for sale for less than $70,000, even within an hour of Rome. Go south and find even better bargains.

Many expats in Italy are drawn to the low-key lifestyle of small towns; others opt for the cultural opportunities and amenities of the cities. In between are the medium-sized cities that offer a bit of both.

Expat Jacqueline Sinatra and her husband, Enzo, are living in Spoleto, Italy, in the center of Umbria—pretty much in the center of Italy.

Jacqueline says, “Spoleto is a beautiful city of about 40,000 people. We live in the historic center, where the narrow cobblestone streets are lined with medieval walls over 800 years old. There is history at every turn and some of the most impressive and grand architecture. It gives me chills to think about who has stepped on these very cobblestones, and lived in these ancient dwellings.

“Our weekly grocery bill is typically under $50, and we buy a lot of organic and unusual food items. A bottle of wine can be had from $2 and up, with a great bottle costing as much as $7. Our apartment costs $480 per month, but you can purchase a beautiful home with some land for well under $200,000.”

Aside from housing costs, the living expenses in Italy are fairly consistent around the country.  In the right spot, a couple can live well for as little as $1,830 per month.

Portugal

Castles, cathedrals, and cobblestones. White stucco houses laced with bougainvillea, crowned with terracotta tiles. Grilled fish glistening with olive oil. Ruby red, award-winning wines. Calm, turquoise waters lapping golden sands in a secluded bay, and a coastline coaxing an 80-foot wave from an underwater cave.

This is Portugal.

Each year more visitors are coming to take a bite of the feast offered by this small Iberian country. For many years it has been a vacation destination for the British, French, Dutch, and others—even the Spanish—who came to love it so much, many became expats.

IL Portugal Correspondent Tricia Pimental moved overseas to experience a different lifestyle: one with the charm of Old-World Europe, where the pace was slower and the cost of living more affordable.

“I’ve discovered everything from the breathtaking beauty of the Minho’s fertile countryside in the north to the schist villages—communities of houses made of crystalline, metamorphic rock—in its center, to the miles of golden-sand beaches in the southern region of the Algarve.”

In addition to its rich history and natural beauty, Portugal offers something for everyone in its big cities. Lisbon is elegant, trendy, relaxed, and electric. It just depends on which district you’re in, which time of the year, which day of the week, and whether it’s day or night. Take public transportation or hoof it. Shop in chic boutiques or a glitzy mall. Attend a live concert by Diana Krall in a major arena, or head to a stone church tucked away in a residential zone to hear a string quartet. It’s all at your fingertips.

The same holds true for the country’s “second city” of Porto in the north, smaller ones like the university town of Coimbra in the center of the country, and locales like Lagos and Albufeira in the warmer, beachy south.

All this sounds wonderful, but if it comes with a hefty price tag, who can enjoy it? That’s another lovely part of life here: the cost of living.

Tricia says, “My husband and I had lunch with friends on a Saturday afternoon. A three-course lunch with beverage at a modest eatery still runs about $10 per person. But we were celebrating an occasion, so opted for an upscale restaurant. Even there, the average main course was $34. Two bonuses were typically Portuguese: the restaurant was built into an atmospheric stone cellar, and it was family-run, a smoothly operating group with an obvious love of food and their clientele.”

Rents average from $450 a month for a furnished, two-bedroom apartment in a small town to about $1,500 in the city with lower and higher options. In most regions $100,000 or less for the purchase of a house would be a “fixer-upper,” but jump to $250,000 and you can enjoy a home that would cost two or three times as much in the U.S. In locations like Los Angeles, the sticker price would be 10 times as much, or more.

Including rent, a couple can live comfortably in Portugal’s interior, or in small cities, from about $1,700 a month. A couple’s budget in Lisbon starts at about $2,100 or $2,200 a month…though you can, of course, spend more. Singles should plan on a budget of about two-thirds that of a couple.

France

You didn’t expect France to be on this list, did you? Many people can never believe the land that gave the world the likes of Versailles, Chanel, and the term haute cuisine could be anything other than prohibitively expensive.

Don’t let France’s glittering reputation blind you. France is a wealthy, First-World country, but the average French person only makes about $30,000 per year. Outside of high-glamor zones like Paris, Provence, and the sun-soaked towns of the Riviera, the cost of living and real estate can be surprisingly reasonable…yet the quality of life remains high.

How? You see, for most French people high-quality living does not necessarily translate into spending huge sums on large houses or fancy gadgets. Here, “the good life” is about simpler things: laughing with friends over a carafe of red wine, finding that perfect sweet melon at the market, or even sitting alone on a café terrace in the sun.

“Sure, if you want to live in 6th Arrondissement in the center of Paris or in a Mediterranean resort town, it’s going to cost. But there are also hundreds of properties in beautiful country towns and villages with all the work done at very affordable prices,” says IL contributor Stewart Richmond.

“While many items are a similar price to items in North America, many are much, much cheaper. France has a thousand different cheeses and they start off at a tiny $1.15 for a home-brand camembert or brie. You can try a different cheese every day of the year without breaking the bank.

“Wine, beer and spirits are ridiculously cheap. You will find a red or white from the hundreds in the local supermarket that suits your individual palate for around $3.50. You can get a supermarket baguette for 40 cents or an artisan baguette from the boulangerie for $1.15. French supermarkets are not allowed to throw food away, so there are always plenty of bargains.”

France itself makes it easy for you to enjoy life. A land of immense geographic, climatic, and aesthetic diversity, it offers something to please everyone: snow-white Alpine ski slopes, golden beaches and bright blue skies, rows of vineyards rippling up and down hillsides, picture-perfect medieval stone villages, vibrant cities crammed with museums, galleries, and restaurants. It’s hard to be bored here, even if you tried.

A couple can enjoy all France has to offer for $2,200 per month including rent.

Spain

Warm, sunny days by the glittering Mediterranean, cool nights at an outdoor café, lingering over dinner until the wee hours, mouthwatering paella, mounds of fresh seafood, succulent roast lamb (and flavorful wines to accompany them), rich, ancient culture, hilltop castles, and vast stretches of countryside just made for hiking and cycling. Spain invites you to wax lyrical over its many charms and its laidback lifestyle. Here, having fun is expected and hanging out is an art.

And these days, that appealing lifestyle is very affordable. Spain has long been one of the least-expensive countries in Europe. Of course, the cost of living varies by location and lifestyle. Barcelona and Madrid are the most expensive cities. Prices are also high in San Sebastian, the north coast of Catalonia, and the Balearic Islands. Malaga, Alicante, and the Canary Islands are among the most affordable areas. Valencia, Granada, and Seville fall in the mid-range.

Food prices are reasonable. Spain’s warm climate means lots of locally-grown fruits and vegetables are available. Olive oil and wine are plentiful and inexpensive. Near the coasts, seafood is fresh and affordably priced. $100 a week would provide ample groceries for a healthy Mediterranean diet.

But, ultimately, Spain’s appeal is not its low cost. It’s the friendly, helpful, and life-loving people that are its most seductive asset. Although speaking Spanish makes life easier, most Spaniards speak some English and are delighted to practice. You can easily get by with only English, and since most expats in Spain are from the UK or Germany, North Americans have the advantage of being a bit exotic.

IL Spain Correspondent Marsha Scarbrough moved to Spain in 2017, at the age of 70. She had visited the country for the first time the year before and spent six weeks traveling around on her own. She had been searching for the perfect, affordable retirement destination for some time.

Marsha says, “As a single woman, one of my concerns about retiring in a foreign country was my need to build a network of new friends. The friendliness, welcoming warmth, and helpfulness of the local people made Madrid my first choice. If you want to include other expats among your friends, that’s easy too. Thousands of expats from all over the world live in Madrid.”

Madrid may be a bit more expensive than other places in Spain, but it still offers a lot of bang for the buck. Wine and beer are about $2 per glass. A generous gin and tonic will be about $7 to $9. Three-course menu del dia lunches run from $8 to $16 including wine or beer. In Chamberi, a hearty menu is $10 to $14. Most restaurants also offer a single plate at around $8. Prescriptions and medications are a fraction of U.S. prices.

“For me, the greatest savings come from not needing to own a car. As a senior resident, I have unlimited access to the efficient metro and bus system for $13.80 per month. If I splurge for a taxi, it’s usually around $11.”

The best place to retire in Spain depends on what you like and how you want to live. You may want to settle in an expat beach community on the Costa del Sol, or integrate into Spanish culture in a major city, or find bucolic isolation in the countryside.

A couple could live in a mid-sized city like Alicante for $2,409 per month. So if you’ve ever dreamed of living affordably in Europe—whether it’s for a few months at a time or for the rest of your life—take a look at Spain now.

Croatia

The art of European living can be mastered in the Mediterranean country of Croatia. Sip coffee next to the ruins of an ancient Roman temple in the morning, swim in the royal blue waters of the Adriatic Sea in the afternoon, and explore the once gas-lit cobblestone streets of a hilltop town in the evening.

Every day in Croatia is to be savored. From nibbling on jade-colored olives and tasting ruby-red zinfandel, to inhaling the fresh sea air and laughing around an open fire, life on the western coast of the Balkan Peninsula is invigorating. And, it can be enjoyed part-time.

Croatia has long been a favorite destination for European vacationers. For decades they flocked to its beaches and walled towns when it was a part of the former country of Yugoslavia. In recent years, Croatia has become increasingly popular, thanks to many of its landscapes being featured in the HBO series Game of Thrones.

Split is Croatia’s second-largest city and home to the 1,700-year-old palace built by Roman Emperor Diocletian. Unlike ruins elsewhere in Europe, Diocletian’s Palace is still home to many locals—a legacy of the security the palace walls offered after the fall of the Roman Empire.

Split also boasts a sizeable university, a large hospital, and a thriving expat community. These characteristics have made the city increasingly popular with foreigners, meaning that rental costs have risen in recent years. For this reason, you might want to base yourself in a community just outside of Split, something that part-time expat Beth Hoke has done three times.

“I stayed in Podstrana once (just south of Split) and Okrug Gornji (just north of Split) twice. Split was easily accessible from both locations via public transportation, but the housing costs were a bit lower [outside of Split],” Beth says. “In Podstrana, I was right on the beach and in Okrug Gornji, I was within a 10- to 15-minute walk from the beach. I stayed in Okrug Gornji in late spring/early summer and Podstrana in late autumn/early winter. I paid the same for both two-bedroom apartments— between $475 and $500 per month.”

A couple can live well here for between $2,050 and $2,840 per month.

Bonus: Malta

Ask any expat why they upped sticks to relocate to the tiny Mediterranean island nation of Malta (all 122 square miles of it—not a whole lot bigger than Nantucket) and the same three reasons keep cropping up: sea, sunshine, and the friendly and welcoming population of English-speaking locals.

In Malta, you’ll find abundant sunshine even at the height of winter. Valletta, the nation’s scenic capital and adorned with historic buildings, is renowned as the warmest capital in Europe—and with less than 7,000 inhabitants, a highly manageable one, at that. Even in January, you’ll still find temperatures in the 60s F, rising to the 80s F during the glorious summer months.

And even on islands as small as these, you’ll have no shortage of ways to enjoy this magnificent climate. Towns like Valletta and Sliema remain lively throughout the year and boast some of the best restaurants in the Mediterranean. And you don’t have to be a millionaire to enjoy everything Malta can provide.

Rent for a one-bedroom apartment—even those just a short walk to the seaside—averages around $750 to $800 per month. Groceries are inexpensive, with basic items such as bread costing around 35 cents. Dinner out for two at a nice mid-range restaurant, including a glass of wine, can cost about $50.

The country itself comprises a number of different islands, only three of which are actually inhabited. The second-largest of the three inhabited islands, Gozo is known for its quiet, idyllic, country lifestyle, which has already seen it become a favored destination among expat retirees in Malta.

“The reasons so many retired couples choose Gozo are multiple: everyone speaks English, prices for food and accommodation are reasonable, medical facilities are excellent, and the weather is superb all year round,” says IL contributor Kevin Flanagan.

“There is also easy access to Malta, just half an hour away on the ferry, if you want the bustle of a major European hub. But when I do visit the main island, I find that I always look forward to getting back to Gozo and the easy-going island vibe.”

Milk, bread, and other groceries can be got for $1 apiece, while a bottle of quality wine can be had for $6. Victoria, Gozo’s largest town, is the place to go for a bit of shopping. It’s also where you can sample some high culture in the town’s two opera houses or savor local organic produce in one of its excellent restaurants.

Malta has something for everyone— from ancient walled cities and breathtaking coastal trails to countryside farmhouses and delightful restaurants.

Cost of living will vary depending on where you want to live and your lifestyle, but a couple could live in a one-bedroom apartment in the small seaside village of Marsaxlokk for $2,331 per month.

Costa Rica is a beautiful country, with long stretches of deserted and undeveloped beaches…dense jungles teeming with exotic wildlife…towering volcanoes, lush green valleys, and hundreds of crystal-clear lakes and rivers…

Not only that, but the country offers a great climate year-round, neighborly atmosphere, no-hassle residence programs, excellent healthcare, a stable democracy, and safety and security. It doesn’t hurt that many retired couples report living well on $2,000 a month—that includes all their costs.

For these reasons, as well as the welcoming locals who are warm and friendly to new foreign neighbors, Costa Rica has been an expat haven for more than 30 years.

That’s another bonus: you don’t have to be a pioneer in Costa Rica. There are well-established expat communities throughout the country. Things are “set up” so to speak, when it comes to shipping your household goods, using the healthcare system, buying property, and more. And by following this well-trodden path, your transition to your new life is much easier.

It’s small, about the size of West Virginia. But the variety of landscapes, climates, and lifestyles in Costa Rica is amazing. You have the rainforests, wild beaches, and charming seaside villages of the southern Pacific coast, also known as the Southern Zone.

A Landscape and Lifestyle for Every Taste

There are the bustling market towns surrounded by sugar cane fields and coffee plantations of the Central Valley. Around the pristine 33-square-mile Lake Arenal, expats have taken up residence on the verdant hills rising from the shore, with vast lake views from their homes. On the Caribbean coast, life is laidback and moves to the rhythm of reggae. And that’s just a small taste of all Costa Rica has to offer as far as places to live.

With all these different climates and landscapes, it’s no wonder that this Central American jewel is also one of the most biodiverse spots on the planet. With just 0.03% of the earth’s surface within its borders, the country has an estimated 5% of the world’s species. In Costa Rica, this natural world surrounds you, putting the country on the forefront of eco-tourism and eco-living. Sloths, capuchin monkeys, toucans, and scarlet macaws will be your new neighbors.

Central Valley, Costa Rica

No matter which location you choose, you can benefit from bargain real estate, whether you buy or rent. Three-bedroom homes in the Central Valley start at $119,000 to buy and $500 a month to rent. And two-bedroom condos a five-minute walk to the beach on the central Pacific coast in a booming resort town are $700 a month, the same units selling for $165,000. Deals like this can be found throughout the country.

Another big bonus is the high-quality, low-cost healthcare. There are two systems: private, for which you can pay cash or use insurance, and the government-run public system which you join when you become a legal resident. Overall, expats in Costa Rica pay a fraction of what they did back home for healthcare.

All these advantages make Costa Rica a premier destination for those looking for a secure, fun, and active retirement surrounded by new friends in a beautiful setting.

Here is a sample monthly budget for a couple:

Housing (rental of a furnished, two-bedroom apartment)	$700
Utilities (including phone, electric, water, internet, and cable TV)	$200
Maid (once a week)	$50
Groceries	$300
Maintenance and fuel for one car	$140
Clothing	$70
Entertainment (dining out and other entertainment)	$250
Healthcare (four $50 visits to a doctor per year for two people)	$33
Monthly total	$1,743

Life in Costa Rica Has Opened New Opportunities

By Kathleen Evans

It is ironic how the universe often comes full circle. When I first subscribed to International Living in the early 1990s, I never dreamed I would actually have the opportunity to write for them as a contributor several decades later.

I endured the brutal Chicago winters of my childhood and spent most of my adult years working as a sales executive in Austin, Texas. The latter years I imagined leaving the proverbial “corporate rat race” and slowing down my lifestyle in an exotic country on a beautiful beach. Little did I realize it was possible to make that dream a reality.

In 2013, when the ongoing stress levels started to take a toll, my husband, Steve, and I finally made the move to Tamarindo, Costa Rica and bought a two-bedroom, two-and-a-half-bathroom condo near the beach. But, it was not a snap decision. We researched a multitude of countries for several years prior, including many ILhotspots. However, it was the natural beauty of the land, the welcoming warmth of the people, and the promise of affordable healthcare (after residency) that kept us circling back to Costa Rica.

Tamarindo is a lively beach town (population around 6,000) in the province of Guanacaste on the stunningly scenic northwest Pacific coast. Known for its perfect surfing breaks and broad beach, it was long popular with surfers from around the world. However, it has grown to become an international town the last couple of decades, with hundreds of expats now calling it “home.”

Tamarindo’s beach is popular with surfers, sun-lovers, and people of all ages.

Accommodations range from luxury ocean-view condos to basic beach houses (ranging from $140,000 to over $1 million). I love the fact that it is not unusual to hear four or five different languages in a day and that we have over 100 area bars and restaurants from which to choose. These attributes set a daily “vacation” tone.

The cost of living in Tamarindo is more than most other places in Costa Rica. But if you learn to eat seasonally and live more like a local, you can survive on a smaller monthly budget than back home—for example, $2,000 per month is not unrealistic. For us, our biggest savings has been property taxes. We can cover our basic expenses here in Costa Rica for six months with the exponentially smaller sum we now pay in taxes.

As residents, we pay into the Costa Rican healthcare system. Our monthly payment for both of us is $187. Even with my corporate job in the U.S., I was paying more for two people.

I retired from that sales career recently, and I’m now pursuing a life as a freelance writer and a first-time novelist. Costa Rica has given me a gift of time, seemingly slowing the clock and opening new doors both professionally and personally.

When I am not writing and blogging, I enjoy spending time with expat friends, traveling in my new country, and taking daily sunset walks on the beach. My husband and I relish international travel and we are creating ways to turn our condo into a rental revenue stream when traveling.

If I could give you one piece of advice it would be, start researching now. Do you want that life of which you have been dreaming? You can make it happen. Keep taking those baby steps and over time you will suddenly realize you have arrived.

I am truly thankful for mustering the courage to reinvent my life here and I look forward to sharing my stories with you from this corner of the world.

Swapping Hollywood for Happiness… And Rent of $400 a Month

Back in 2011, Sally Rice’s life was much different from today. Then, she was 55 years old, single, and living a chaotic lifestyle in Los Angeles. She’d spent 23 years as a costume designer in the movie industry, which sounds glamorous, but as she says, “Working 17 to 20 hours is stressful, and leaves little time for anything else”.

Now, she’s in Costa Rica, working as a psychic medium and Reiki practitioner in the beach town of Tamarindo. It’s a result of a spiritual awakening she had while living for six years in the smaller town of Montezuma—a magical and remote artists’ community three hours further south along the Nicoya peninsula.

Sally first traveled to Montezuma after being invited by her daughter, who was filming an MTV show there. She took a two-week exploratory trip…but ended up staying those six years, after embracing it immediately and tapping into the energy of the area. She never looked back.

Sally found Montezuma’s remoteness to be exactly what she needed for her spiritual awakening. “It is isolated and hard to access. The expats there are nesting, choosing to be in a most relaxed state of existence. It is such a beautiful place and really allows you to experience its healing power. The jungle wraps around a lagoon surrounded by nature. There’s no industry whatsoever. It feels like Robinson Crusoe. Stuck in time.”

She found an amazing place to live for only $400 a month—a two-bedroom, two-bathroom home with a separate all-glass studio in the jungle, overlooking the ocean. There she recharged her life with a menagerie of animals. She also spent some time running a rock climbing tour business with her son, who moved to Costa Rica for a couple of years.

Montezuma’s cost of living remains cheap. You can still rent a home like Sally’s overlooking the ocean for between $500 and $1,000 a month. If you prefer to buy, they’re in the $100,000 to $200,000 range—keeping Montezuma an affordable coastal gem.

Sally started a professional psychic practice in 2009, prior to her move to Costa Rica. She has since studied mediumship at the Arthur Findlay College in the U.K., further incorporating her training into her spiritual practice.

She’s now a certified Reiki practitioner as well as a psychic medium, and has moved her work to Tamarindo, which she says still has all the magic of the Nicoya peninsula.

“I believe dreams come true and prayers are answered. Just know who you are and what your soul needs before you move,” she says.

She also tells how she has never felt unsafe being a single woman in Costa Rica.

“I know no borders or strangers. Women need to walk out with the understanding the world is your friend—for you, not against you. Costa Rica has virtually no crime. It is a country which has no military, and has a peaceful population. Never once have I felt any fear for my wellbeing. It is a very loving culture.”

In Photos: The Top 5 Beaches in Costa Rica

By Jason Holland
Some of the first tourists to Costa Rica were intrepid surfers, attracted by an endless summer and consistent quality waves.

To this day, whenever you see an ad promoting tourism in Costa Rica, the star of the show is the beach. And despite being a small country (about the size of West Virginia) with a relatively small coastline of 801 miles on the Pacific and Caribbean, Costa Rica has a wide variety of beaches.

Black volcanic sand, golden sand, white sand…a mix. Big surfing waves with strong currents. Calm coves great for swimming and snorkeling. Wild, deserted tropical beaches that make you feel like you’re a castaway…busy resort areas with beach bars lining the sand, vendors selling cold coconut water walking by.

No matter what you’re looking for in a beach, you can probably find it in Costa Rica. Over the years, I’ve visited many of them. Here are my top five. I like them for different reasons.

1. Manzanillo

Costa Rica’s Caribbean coast is a land apart; a good four hours’ drive from the capital and the least developed region of the country. Head south on the coast road toward Panama and you come to the end of the road in the settlement of Manzanillo.

Just to the south of this tiny village is Gandoca Manzanillo National Wildlife Refuge, where you can find a series of coves, lined with overhanging palm trees. Pick one and set up for a day of sunbathing and snorkeling in the crystal-clear water.

The beach at Manzanillo is perfect for nature-lovers.

On my last trip here, I spied a half-dozen species of tropical fish and a ray, as well as a school of tiny cuttlefish.

2. Dominical

Dominical is a fishing village turned surfing hot spot that attracts a distinctly bohemian crowd. Despite its popularity on the backpacker circuit, it’s still pretty low key.

A narrow beach road, paved a few years back, is lined with small hotels and open-air restaurants serving up ceviche and fish tacos—and cold Imperial beer, which is great on a hot and humid day. Most days are in this southern Pacific region.

Take a seat and watch the action as surfers take on one of the most powerful waves in the country. Or browse among the wares of the artisans set up in the shade.

3. Playa Biesanz

Manuel Antonio is Costa Rica’s most visited destination, with the national park of the same name drawing visitors eager to see monkeys and sloths. As a result, this destination on the central Pacific can get pretty crowded, especially during high season from January to April.

I prefer to go to Playa Biesanz, which is just to the north of the main beaches and isn’t very well known. Follow the little sign off the main road through town until you find cars parked by the roadside. There’s a gap in the fence; walk down about 15 minutes and you’ll come across a white-sand beach in a cove lined with tree-covered cliffs.

If you go during the week, you could have the whole place to yourself.

4. Tamarindo

Tamarindo is no hidden gem. It’s a well-known bustling small resort town on the northern Pacific coast with restaurants, bars, and shops galore. A tourist mecca…at least for Costa Rica. Compared to a Cancún or Fort Lauderdale, it’s tiny. And the expats who have settled here enjoy the small-town atmosphere among the long-term residents.

When I lived here, I enjoyed all the amenities Tamarindo had to offer, right on the sand: surf lessons, fishing trips, sunset sailing cruises, happy hour and sunset at one of many beach bars, live music, horseback riding…

5. Montezuma

On the far tip of the Nicoya Peninsula, the fishing village of Montezuma is great for those looking for a laidback destination. There’s no major development. And the town center is just a few restaurants, hotels, and shops. It’s a bit hard to get to this part of Costa Rica—the roads can be rough, especially in rainy season from May to November.

But it’s well worth visiting this area on the Pacific. Here you can get a sunrise instead of sunset because it’s on the east side of the peninsula. And if you walk down the beach from town, you’ll find a unique freshwater waterfall right on the sand, with pools for soaking and swimming.

Extra: Beaches in Costa Rica’s Northern Pacific Coast

Although Costa Rica’s northern Pacific coast is popular with tourists, there are plenty of small and low-key beach towns where expats live. They enjoy a close-knit circle of friends, boating and beach-combing, great restaurants and beach bars, and quiet, mostly residential, communities.

This video explores Playa Flamingo, Playa Potrero, and Brasilito, a trio of beach towns ideal for those seeking the ultimate laidback life by the sea.

With a low cost of living, picture-perfect white-sand beaches, friendly locals and fascinating culture, Southeast Asia are so much more than exotic vacation spots. Enticing expats and retirees from around the globe, they still beckon with the promise and rewards of an exciting life overseas.

Imagine never having to buy a new coat or pay for home heating ever again. Untouched by our idea of “winter”, each of the countries in Southeast Asia delivers warm, tropical weather and the chance for beach-side relaxation all year round. For many expats, it’s paradise found.

The good life can be almost unbelievably inexpensive. Here, the retiree lifestyle is all about exploring new places, playing golf and tennis, swimming, diving, surfing, and sailing—and never having to think twice about being able to afford to dine out.

Whether you’re contemplating overseas retirement or an extended adventure…each country comes up with the cost-of-living jackpot. Pick any one and you’ll be living a superior lifestyle—and for much less than you ever did at home.

Below are five of the best beach towns and cities in Southeast Asia where you could easily live on your social security.

1. Hua Hin, Thailand: A Favorit With Golfers

With a five-mile-long sandy beach lined with restaurants and shops, Hua Hin is a seaside city of around 50,000 people on the upper-western side of the Gulf of Thailand.

For much of its history, Hua Hin traditionally focused on domestic tourism rather than international trade. But that’s changing fast. Proximity to Bangkok…new, international-standard hotels…restaurants built on stilts in the sea that now cater to foreign, as well as Thai tastes. Hua Hin is becoming more high profile.

And it’s also a favorite with golfers. The city has nine golf courses, with green fees currently ranging from $60 to $100.

In the last few years, the number of international restaurants has grown exponentially—Italian and European being the most prevalent. There is also an entire string of shoreline restaurants where a couple of dishes and a beer shouldn’t set you back any more than $10. And prices at food stalls around the Night Market are almost as modest as anywhere else: most dishes will set you back less than $2.

Hua Hin is about a three-hour car journey from Bangkok. There are regular daily train services, with journeys taking about four hours. Flights from Bangkok take around 40 minutes. Many of the infrastructural improvements for access to Hua Hin, as well as within the city itself, were done by the government as a gift to the King of Thailand—the King permanently moved his summer palace there a few years ago to escape the pollution in Bangkok.

Since his move, Hua Hin has become the “in” place among upper class Thais. With the improved economy, greater numbers of them are taking long weekends and vacations in Hua Hin. At present, the expat numbers are relatively small, and limited to foreigners interested in adopting a quieter lifestyle.

“The main attraction here is the beach. People don’t come here to do stuff, they come here to relax,” said Robert Stanley, originally from Canada and owner of Bobby’s Bar & Restaurant, a popular expat gathering place at the south end of Hua Hin.

Hua Hin is not a foreign enclave; it is a Thai resort town. If all the expats left tomorrow, it would barely be noticed on a day-to-day basis. The whole town has a Thai style and the inexpensive prices reflect the large Thai influence. Less than 30% of the condos in the area are foreign-owned. But don’t get me wrong—there are a significant numbers of expats moving into this part of the country, but they are few and far between compared to other cities in Thailand like Chiang Mai or Pattaya.

Although not the most popular place to live, there are still rentals to be found in the city center. We looked at a small, two-bedroom older house for rent by the owner that was less than a five-minute walk to the beach for $450 per month. Close to the town center, a 570-square-foot, one-bedroom condo with direct access to Hua Hin Beach rents for $820 per month.

For beachside living, it is still a relatively inexpensive place to lead a comfortable lifestyle. Many of the expats I met were living on $2,000 a month or less. That was enough to provide them with a small house or condo and enough left over to enjoy the restaurants and bars around town on a regular basis. —Steve LePoidevin

2. George Town, Penang: City Living With a Big Village Feel

Many foreign retirees opt for a new life on Penang Island, a 50-minute flight from Kuala Lumpur, Malaysia’s capital. It’s also accessible by an eight-mile long road bridge and a ferry from the mainland that runs 24 hours a day. A second bridge was completed in mid-2014.

One of the oldest outposts of the former British Empire, Penang delivers 110 square miles of tropical treasures. A lush, mountainous island oozing history and heritage, Victorians christened it “the Pearl of the Orient”. It lies anchored on the Spice Route, just off Malaysia’s west coast, a two-hour drive from the borders of southern Thailand.

In the north east of the island is Penang’s best-known district George Town, the capital of the island. It’s where you’ll find most of the island’s hospitals, art galleries, museums, antique shops, café culture, and some of Malaysia’s oldest colonial administrative buildings. Penang International Airport is 40 minutes away.

You don’t need a car in George Town and your favorite cafés, restaurants, food markets, or convenience stores are all within walking distance. The expats who live here want city living with a big village feel, and that’s exactly what they get. At night there is little traffic, and getting to know your neighbor while sipping a gin and tonic on your balcony or in a local bar is a given.

What entices most people to this gorgeous island is the cost of living. A couple can easily live on $1,500 per month, including rent. A three-bedroom, two-bathroom apartment in a great location in George Town can be rented for $450 per month. Here you are close to everything from bars and restaurants to antique shops and art galleries. —Keith Hockton

3. Sihanoukville, Cambodia: Rent From $120 a Month

Sihanoukville is a relatively small tourist city, with a population of less than 90,000 people. But due to its stretches of popular beaches and clusters of undeveloped islands, it is Cambodia’s most popular coastal resort.

After Siem Reap and Phnom Penh, it is Sihanoukville where foreign tourists and expats, as well as Cambodians, come to relax and enjoy the ocean breeze.

This is a city that attracts all kinds of tourists but luckily there are enough beaches to go around with each of Sihanoukville’s different beaches drawing their own crowds.

Backpackers tend to head to Serendipity Beach where there are 24-hour beach bars, cheap guesthouses and an all-round party atmosphere.

Cambodians flock en-masse to Ochheuteal Beach during local public holidays like Khmer New Year. They enjoy picnics of squid and crabs in large groups before going swimming fully clothed (swimming costumes have yet to fully catch on here).

For many local expats and those who like to visit Sihanoukville for long weekends, Otres Beach is the best option for relaxation and a relaxed environment. Located about 10 minutes from Ochheuteal Beach, it is quite remote and you have to pass the Queen’s Hill rocky outcrop before you reach the pristine white sand of Otres Beach.

By far the most unaffected by development, Otres is the beach that expats in the know go to when they want to kick back with a beer at one of the beachside stalls or go for swim in the crystal clear water.

Between 2,500 to 5,000 expats live in Sihanoukville on a full time basis, with that number increasing during high season.

And those expats are living the high life here on a low budget. “The cost of living here is so low that my bills only total around $1,200 a month, without having to budget,” says expat Brett Dvoretz.

“I can easily afford to indulge myself whenever I want,” says expat Rob Schneider. “Between breakfast, renting a catamaran, and dinner for two, I came away with change out of the $25 I had in my pocket this morning. What would I have back home? The best I can imagine is a small apartment far from the beach and a nine-to-five job or—now that I’m in my late 60s—a pension that would barely cover my basic expenses.”

“It’s hard to complain when you can rent an air-conditioned, one-bedroom apartment for $250 a month, or a Western-style, furnished studio apartment with a fan for as little as $120 a month,” Rob says. “After you’ve been here a little while, you’ll be able to find even better deals through your new local and expat friends.”—Steven King

4. Da Nang, Vietnam: The Easiest Place to Make New Friends

Da Nang is the largest city along Vietnam’s central coast and it’s also Vietnam’s most progressive city. It is a modern and dynamic destination that has set its sights on becoming the “Singapore of Vietnam.” The growing skyline includes a new city administration building that bears close resemblance to London’s futuristic bullet building, and the entire downtown has a decidedly cosmopolitan flair.

Surprisingly, given its population of about a million, there is little hustle and bustle in Da Nang. There are, however, lovely parks, riverside promenades, and a long, uncrowded, powdery sand beach. Da Nang residents are relaxed and social. It might be the easiest place to meet people and make new friends in all of Vietnam. It is considered one of the least corrupt cities in Vietnam, and city planning has insured that growth will not come at the expense of quality of life.

Da Nang’s expat community has flourished in the past few years. It used to be that most of the town’s expatriates were either English teachers or employed at one of the local information technology companies. Now, a sizeable influx of retirees are coming here to settle down, too.

Many people have settled in Da Nang because of the beach, which is certainly one of the prettiest in Vietnam. In 2013, Forbes Magazine voted it as one of the world’s six most attractive beaches.

“My favorite activity during the warm months is going to the beach in the late afternoon,” says Californian Mel Potter of his new home. “If you want to get away from the rat race and be near the beach, with a decent nightlife, this is the place for you. You can have the lifestyle you want here, even live like a millionaire if you want.”

Expats here can easily live on their Social Security. Mel rents a two-bedroom house for $300 a month. That includes air conditioning and all utilities—water, cable, internet, electric, everything.

“My monthly budget, for everything, is about $500 to $600,” says Mel. “I eat about half my meals at home and half the time I eat out. If I want to go out for a good American meal, I have several choices. I also like to eat the local foods.”—Wendy Justice

5. Dumaguete, Philippines: A Seriously Affordable Cost of Living

The sea-side town of Dumaguete is home to around 4,500 expats. It’s famed for its energy and vibrance, thanks to seven universities and colleges. You’ll find the first private U.S. university in Asia here—Silliman University. This in turn houses the best private hospital in town, where for $56 a night you can get a private room, if need be.

And that’s perhaps the biggest draw for expats…a seriously affordable cost of living. You can eat out for less than $5 and rent for under $350 a month.

The province of Negros Oriental, on the island of Negros, is right in the heart of the Philippines. It’s the third-largest island, and you’ll find Dumaguete in its southwest corner.

This has always been a tropical island; summer highs average around 91 F, and even in winter temperatures rarely fall below 73 F.

It seems as though no matter where you are in the Philippines, the people are always delightful. So when I heard that Dumaguete was called “the City of Gentle People,” I wasn’t at all surprised. From the moment my husband and I stepped off the plane, we were welcomed with smiles.

The airport is only about 15 minutes from the downtown. There is no need for a car or scooter; it’s an easy town to explore by foot. The real hub of downtown is only about eight blocks long by five blocks wide, so if you can take the afternoon heat, walking is the best way to see it all. If not, just hail a tricycle, or scooter with a sidecar, to take you around for a nominal fee—you can negotiate, but it never costs more than a few dollars.

At the heart of town is Rizal Boulevard, with its wide, waterfront promenade and beautiful old trees arching toward the ocean. The old, white lampposts light it up at night, perfect for a stroll along the water or to just sit and watch the boats come in. As you saunter down the boulevard, you feel transported to an old colonial town that could be anywhere is Spain, but not typically in the Philippines. It is perfect for a picnic, and that’s what many of the locals and expats do; they just laze about and enjoy life’s simple pleasures. It’s the kind of place where you mosey, you meander, but you don’t hurry. There is just no need.

Many expats meet in the restaurants and bars along the boulevard. It’s the best place to take advantage of the cool ocean breezes. This is where you’ll find some of the town’s best restaurants for local and international food.

Life in Dumaguete for an expat can be pretty budget-friendly. You can easily rent a three-bedroom, two-bathroom condo in the heart of town for as little as $100 to $350 a month, although the quality and furnishings may vary. A cleaning lady is $3 to $4 a day, and a gardener for that nice beach house will only be about $4 to $5 a day.

“I wanted to try an early retirement, and the lower cost of living here allows me to enjoy the laidback lifestyle you dream about when you are so busy back home with a career,” says Dave Christopherson who moved to Dumaguete with his family.

Dave’s slower-paced life these days revolves around golfing, snorkeling, spending time with his family, and socializing with both locals and expats from around the world. There is no shortage of crystal-clear water and beautiful beaches nearby, and Dave and his family take full advantage of that.

Dave, his wife April, and their son Davey live in a one-bedroom condo right in the middle of town for $350. He and his family live a very comfortable life on their $1,500-a-month budget. “Some expats do it on less, but I like to golf, travel some, and eat out a lot,” says Dave.-Kirsten Raccuia

“What makes you happy? The idea of never having to shovel snow again…never having to worry about mounting bills and the rising cost of living…spending your days doing what you want to do?

All these things make Cheryl happy…and she created a better life for herself when she retired early and moved to beach town Nicaragua.

Read her story below…

A Happy Early Retirement by the Beach For 75% Less Than Back Home

By Bonnie W. Hayman

“In the U.S. and Canada, people are driven to accumulate things, to work all their lives, to hold on and amass more and more, to own their house before they die. And for what?” says Cheryl Lafond. “All I wanted was a way to live a simple life, to be happy, and enjoy my surroundings,”.

The Canada native was in her early 40s when she lost her job as a safety officer in the oil and gas industry. Although was wasn’t near retirement age, she didn’t feel like scrounging for a job along with everyone else during such a bad economy in her hometown of Calgary.

So instead, she decided to retire early…to Nicaragua.

Cheryl now lives in a one-bedroom, one-bathroom apartment in the beach town of San Juan del Sur, and she feels right at home. She especially likes her rooftop patio for relaxing and she’s only three blocks from the beach. For $400, plus electricity, she has everything she wants here.

In Canada, Cheryl’s mortgage alone was $2,000 per month, which was cost-prohibitive without a job. Her total cost of living each month was coming to $4,000. In San Juan del Sur, Cheryl can live off her savings and she generally spends around $1,000 a month.

Cheryl has made lots of friends in San Juan del Sur and she enjoys meeting them for drinks and meals. And with over 60 restaurants in town, she has plenty of choices. But her favorite way to spend time with friends is lounging at the beach, where they can get fish carpaccio, chicken wings, or a veggie wrap each for $1 and a beer or rum drink for the same. And the killer sunsets are free.

“I’m an outgoing person, so it was very easy to make friends here,” Cheryl says. “But even if you’re not, there are so many activities to join…and that’s where you start meeting people. I participate in water aerobics, trivia, happy hours, and I do it more often now that I’m retired and don’t have to get up for work the next day. Who would have ever imagined that I could live a retired life when I was so young?”

Nicaragua’s warm weather was a big draw for Cheryl. “Who enjoys shoveling snow, walking in freezing rain, staying at home because it’s simply too cold to go out?” she says. “Here in Nicaragua, I live in a beautiful beach town where the weather is sunny and warm all year round. I’m surrounded by palm trees, plants, and flowers. Every now and then I see monkeys playing or beautiful birds flying by.”

A piece of advice that Cheryl offers to anyone considering living in Nicaragua is to learn Spanish. “I only speak a bit but I’m learning all the time and it’s important to learn the language of the country you live in,” she says. “Then you get to know the locals as well and that makes such a difference…wouldn’t you always want to have friends from the country you adopted?”

Cheryl is loving her life by the beach in Nicaragua. “For me, I couldn’t have found a better place to retire so young,” she says. “Everything is so simple here. I do what I want. No one bothers me. I wear shorts or summer dresses and flip flops all the time.

“Sometimes I feel like I’m in a dream, it’s so surreal to be here. The weather and simple lifestyle are perfect for me.”

The current retirement age is 66 in the U.S. and 65 in Canada, and it’s set to rise even further…climbing to 67 in the U.S. for those born after 1960.

But more and more, people are looking for ways to retire early…to places where the low cost of living means you can live comfortably even before your Social Security payments kick in.

Janette and her husband realized that, with some savings and the equity in their property, they could begin living their dream retirement at an age most people could only dream of…all thanks to the affordability of life in Ecuador.

Read their story below…

I Retired Early Thanks to Ecuador’s Affordability

By Janette Sullivan

Nearly four years ago, my husband, Brian, and I decided to pull the pin and move from Ontario, Canada to Cotacachi, Ecuador. This is not all that uncommon…except that we were 45 and 33 years old respectively.

The main question that people asked me was “What are you going to do with yourself; you’re too young to retire?” The honest answer to that was that I had no idea what I was going to do with my time. I would say “I’ll go for walks and work in my garden.” Little did I know that when I got here, I would soon become so busy that I didn’t know how I even had time to work before.

We first traveled to Ecuador six years ago, and fell in love with everything about the country. We loved it so much, we returned a year later and bought a house. We bought a two-story, three-bedroom, three-bathroom house in a small development for $61,000. It was originally supposed to be a “five-year plan,” but after a few visits to furnish our house, and spend time here, we had no idea why we were waiting.

Actually, it was receiving a property tax bill in the mail that really made me say “why are we waiting?” It didn’t take long after that to make the decision to quit our jobs, sell the house, and pack our four suitcases and two cats.

Another question that people often ask is how we can afford to retire so young. It’s surprising how much money you make when you sell everything: house, household goods, cars, etc. We made a long-term financial plan, and taking into consideration the money that we made from selling everything plus our savings, we determined that it was doable if we lived on a budget. And with the overall cost of living here being much less than Canada, the money goes much further. We could never have afforded to retire and live in Canada at this age.

We set ourselves a budget of $1,800 per month. This consists of monthly utilities ($100), groceries ($300), a cleaning lady ($60), coffee dates and eating out ($200), gas and vehicle expenses ($100), health insurance ($190), and the rest for entertaining, traveling, and all the other things that make life more enjoyable. In nearly four years, we have yet to exceed our set budget in any given month.

As with moving to any new place, it took a while to meet good friends. I tried to participate in as many things as possible to facilitate this process. I met my first good friend on a cheese tour at a local dairy farm. We sat beside each other on the bus, and clicked instantly.

I started volunteering at a soup kitchen, which was a very rewarding experience. Not only did I begin to learn about the culture, and get to know many local Ecuadorians, but I met other expats as well. I also joined a hiking group, and this is where I started to meet more people who shared the same interests as me.

I soon met the four most amazing women, and before I knew it coffee dates and “ladies nights” were part of our regular routine.

Within a few months of living here, our friends and family started to cash in on our open invitation, and it was fun to show off our new corner of the world. Over the first few years we had a regular stream of visitors. We would take them to all our favorite places like the local hot springs, Cuicocha Crater Lake, Otavalo Market and, of course, the equator line.

After nearly four years, we are still very happy with our decision to retire early to Ecuador. We lead fulfilling lives and wouldn’t change a thing.

There are plenty of reasons to retire early overseas.

There’s the low cost of living that all the countries on International Living’s beat offer. There’s the excellent weather you get when you move to a tropical, equatorial, or Mediterranean climate. There’s the slower pace of life you find in a laidback culture.

And then there’s that feeling you get when you relocate to an environment so different from the one you’re used to…the feeling that you’re living somewhere exotic.

That’s the feeling Harry craved when he decided to retire early overseas. And the fact he could live a more relaxed lifestyle for less was the icing on the cake.

IL Chiriquí Correspondent Nanette Witmer tells you his story below.

Read on…

$1,350 a Month for an Exotic, Relaxing Early Retirement in Panama

By Nanette Witmer

Harry Brouard retired early, moving from his home in New Jersey to Florida. But moving to Florida wasn’t quite enough, he felt that he still needed more. When recalling his life in Florida Harry says, “I quickly realized that I wanted something different, a more exotic lifestyle.”

He decided to take his retirement overseas.

Harry chose Panama as his new home for its retirement incentives and cost of living. He spent the next two years visiting off and on and did his research to decide if Panama was the right choice for him. He said, “I fell in love with the town of David in the province of Chiriquí. Using the Pensionado (permanent residency) program, I moved here in late November of 2014 and I am here for the long haul. I’ve been here for three years now and only went back to the states three times on different occasions.”

Harry loves his life in Panama. “It is much simpler and much more affordable than any state back home. Using my Jubilado (senior discount) I can shop in most fancy malls or any mom-and-pop stores or restaurants, where a typical lunch costs no more than $4. Or I can choose a lunch from $8 to $10 if I want.”

He finds his life in the province of Chiriquí to be pleasant, with most stresses reduced due to the slower pace of life. “Sometimes I don’t even know what day of the week it is, let alone the date,” he says.

Harry’s days are pretty easy going, starting about 6:30 a.m. until about 11 p.m. “I do whatever I want: some exercises early morning, breakfast while watching the news from back home and some from Panama, I read a bit, then go out shopping downtown or to the modern malls in this area. I may meet a friend for lunch or do any other activities that I need to or that just please me to do. I usually eat in local restaurants when downtown. There’s always a chance to talk to people who want to talk to you and knowing at least some Spanish makes life so much more pleasant, as you’re better appreciated. It doesn’t take much to be qualified as a friend here. Wherever you go, you’ll find the locals friendly and helpful, if you make the effort to meet them.”

Rent is less than a quarter of Harry’s monthly income. He lives in a three-bedroom, two-bathroom private home in a safe neighborhood. All monthly expenses including rent, car insurance, health insurance, groceries, utilities, internet, and cable TV rarely run over $1,350 a month, and that includes eating out.

The area of the Chiriquí province has lots to offer. In about two hours’ drive you can get from the beach where its hot and humid to cool mountain towns.

Harry says, “My advice to anyone relocating here is not to fall in love and buy the first house you see. Live in the town for a while, compare with other areas. Be familiar with the services available… Just do your due diligence before investing in such a long-term commitment.”

There are some differences to life in North America, which he says take some getting used to. “If you can live, or learn to live with the nonchalance and slower pace of life, come and spend some time here,” Harry says. “Then come back at a different time of the year to learn and experience what it really means to be a resident of Panama.”

On June 14, 1985, near the tiny town of Schengen, Luxembourg, an agreement was signed that would prove to have a significant impact on anyone interested in living internationally in Europe.

The Schengen Agreement led to 26 European states essentially being turned into one country for purposes of visas and passport control.

Tim and his wife Christina have taken advantage of the rules of the agreement to retire early and spend their retirement exploring Europe without having to worry about the hassle or costs of visas every time they move. They’re living a jet-set European adventure…and doing it all on their pension income.

Read their story below…

We Retired Early – Now We’re Living All Over Europe on $2,600 a Month

By Sarah Daggett

“Traveling is a fountain of youth,” says Christina Daggett, as she sits down to dinner with her husband, Tim. It’s evening in the town of Hawick, Scotland, where they are currently staying. “I can’t imagine going back to the States or our old lifestyle. Nothing could be better than what we’re doing now.”

What they’re doing is traveling around Europe on their pension income. They’ve explored 16 countries so far—all on $2,600 a month.

Their life of travel began in 2009. Tim and Christina moved to Ecuador when Tim was offered early retirement from the postal service. “We chose Ecuador after reading about it online,” says Tim. “The cost of living was so low compared to the U.S. The climate was perfect, the landscape beautiful, and we could live there without a car.”

Although happy in Ecuador, the couple thirsted for more adventure. After a couple of years, Tim asked Christina, “If there was a way we could travel through Europe, would you?” Her response was an immediate yes, so they went home right away and started their research.

“When I started reading about Schengen and non-Schengen countries, I realized this was our chance,” says Tim. “We could live in a Schengen country for three months and then move to a non-Schengen country for three months, alternating between the two.” (The Schengen area includes most of the EU—U.S. and Canadian citizens can stay in these countries for 90 days out of every 180-day period.)

In 2011 they packed their suitcases and went to Budapest, Hungary. “We got our first place on Craigslist, which can always lead to being scammed,” says Tim. Fortunately, they later discovered Airbnb, which was just starting to gain popularity.

“Airbnb was an absolute miracle for us,” says Tim. “We can so easily find an apartment, plan our trips months in advance, and have a secure way to pay.

“Don’t limit your Airbnb search to one specific city like Paris or Rome. Search within a wide area, or even the whole country in general. We shop apartments first by price, and then we look up what city they’re in.”

“By doing things this way, we have found so many lesser known cities that have fewer tourists and have given us a much more authentic experience,” Christina says. “We were in Ukraine, waiting for a train to Kiev, and knew it would be a few hours, so we walked over to a bar nearby. We met a group of university students who were very curious about us. We bought a bottle of vodka and shared stories with each other.”

The Daggetts rent apartments in buildings full of locals and shop at the grocery so they can cook at home most nights. This approach easily keeps them within budget.

“On average, we spend around $700 a month for rent, and a further $1,200 a month for all other living expenses. That includes groceries, public transportation, and at least two days out each week to places like museums,” says Tim. “We’ve lived in supposedly expensive countries, like France and Italy, on this budget.”

One of their favorite places was Dazio, Italy, a gorgeous town in the Alps only a couple of hours from Lake Como. “It was a town with zero tourists, and we lived below a real Italian family,” says Christina. “We would sit downstairs eating spaghetti and pinching ourselves, thinking we couldn’t really be where we were.”

Health can also be a big concern for many retirees from the U.S. But Tim says it doesn’t have to be. Dental work is significantly cheaper in countries in the Balkans, for example, and very good. “Pharmaceuticals are very cheap in many countries here, especially in Eastern Europe, and most of the time you don’t even need a prescription.”

As for their relationship, Tim and Christina say they feel closer than ever. “When we lived in the U.S., Tim worked at night and I worked during the day,” says Christina. “We never saw each other. Now we get to spend every day together and we couldn’t be happier.”

IL Thailand Correspondent Michael Cullen and his wife, Vivien, were looking forward to retirement. They wanted the freedom to pursue their passions and live a better, richer life…and they didn’t want to wait.

But the spiraling cost of living meant that early retirement at home was not an option. So, they began to look overseas and Thailand, with its easy retirement visa, good reputation for medical services, and low cost of living, stood out.

Then they discovered the coastal town of Hua Hin and everything fell into place…

The Freedom, Fun and Adventure of an Early Retirement: At Home in Hua Hin

By Michael Cullen

When my wife and I decided to retire in our mid-50s, the cost of living was a big factor in choosing our perfect destination. We didn’t have buckets of cash stashed away—just our meagre savings and proceeds from the sale of our home and other assets. That meant our “new life” overseas had to come in well below what it would have cost us to stay at home.

We coined the term “new life” because we did not want to replicate what we had before—we wanted new…new opportunities…new discoveries…new adventures…

I’ve always had a passion for photography and said to myself, “one day I’ll learn.” But working full time that “one day” just never seemed to come. Photography requires dedication, discipline, and continuous practice to improve. Now, happily retired in Thailand’s royal resort town, Hua Hin, I’m finally free to pursue my long-held passion.

We chose Hua Hin partly due to its location; just a three-hour drive from Bangkok’s two international airports, we knew friends and family would find it easy to visit us. Combine that with the inviting four-mile-long beach and strong expat community and we knew we were onto a winner.

In fact, we were so happy with our decision that we bought a two-bedroom, two-bathroom house, complete with a pool and surrounded by a small tropical garden. All in, it cost us just under $112,000.

Hua Hin has been home for over a year now and we’ve certainly been able to prove to ourselves that a very comfortable, varied, and fun life can be had for less than a third of what we spent back home. Our monthly budget now comes in at around $2,000. Included in that is $20 for our mobile phones, internet for $30, and vehicle running costs are around $70. We also spend about $60 on outings in the local area plus around $320 on entertainment and dining out.

Thailand is such a fascinating place and we are loving learning about the culture, cuisine, and history. Vivien has immersed herself in learning the language and my Thai cooking skills are developing well. A tasty breakfast of tropical fruits like papaya, mango, sweet pineapple, and bananas—all fresh from our local food market—really is the best start to the day. Around $12 will give us enough fruit and veggies to last the whole week.

Cooking is another of my passions and when I posed the idea of a Cookbook Club to some of our new expat friends they jumped at it. Our club was off and running almost immediately. Every month sees all 10 “cooks” and their partners sitting down to a feast from a selected chef’s cookbook. We challenge ourselves by cooking a brand new recipe and it all comes together in a very fun and social environment with tasty food galore.

Travel is another great love for us and Thailand offers such incredible opportunities for exploration. Spectacular off-the-beaten-track beach locations, ancient cities to rival Cambodia’s Angkor Wat, and national parks of unique beauty and habitat, populated with rare and exotic species of plants and animals. Every chance we get, we’re off exploring—who wants to sit at home when there’s so much to see and do…much of it in our own backyard?

Coming back from a recent road trip to the northern Thai city of Chiang Mai, Vivien said, “Remember when we worked and a vacation came to an end, we would start thinking about work; the amount of stuff that had to be dealt with on our return. Stress levels automatically kicked in just thinking about it. But now, we’re permanently on vacation, we have none of those stresses.”

And she’s right. A permanent, stress-free vacation. Who doesn’t want that?

International Living Editor Jason Holland was mesmerized by Belize. At first, it was the beauty that caught his attention…but, as he spent more time there, he realized that sunshine and Caribbean views were just the beginning….

I couldn’t keep my eyes off the Caribbean Sea in Belize—whether I was cruising around by boat, watching tiny islets fade into the distance…swinging in a hammock strung between two palms on the beach…or beating that tropical heat with a cold Belikin beer in the shade of a palm frond-roofed beach bar.

Belize has a lot to offer those seeking a new life abroad. The low cost of living means a couple can live well on $2,000 to $3,000 or less a month. Established expat communities make for a ready supply of new friends, and it’s English-speaking, even if it’s the second or even third language for many locals. (I spoke only English during my time there and had no issues.)

Plus, it’s easy to get to from North America, thanks to daily flights. And it’s no problem to get around the roughly Massachusetts-sized country itself: The main highways are in good shape, regional airlines provide service all over, and frequent and on-time water taxis serve the island communities.

But under the surface, you find even more reasons to make Belize your home. Sure, it’s somewhat rough around the edges. This country of just 330,000 is still coming into its own. But you can get comforts from home in the local stores.

There’s a feeling of opportunity and possibility, of a place being shaped right now…a country where retirees can find a comfortable place or someone with an idea can start a business. It’s not as established as some of the other tourist destinations in the region, so there’s still lots of room for new businesses that fill a gap in the market.

Whether you prefer the life of quiet beachside leisure, an active social life and plenty of places to go out at night, the tranquility of pasture and jungle, or a low-cost beach destination, there’s something for you in Belize. And because it’s such a small country, you can visit all the other spots quite easily. While you’ll find your place in the sun for a calm retirement in Belize, if you’re seeking a place to reinvent yourself, with a business or perhaps farm, you’ll have plenty of opportunity. This plucky little country offers a lot to expats, and it’s getting better all the time

Add the genuine, helpful, and friendly local people from a myriad of backgrounds and cultures to the huge variety of landscapes and lifestyles—from beach-bar hopping on Caribbean beaches to off-the-grid jungle living—and you have an ideal destination…

If you’re considering retirement abroad, you need information, and you need lots of it. But more than that, you need guidance on how to interpret that information. That’s what we’re here for, and that’s why we’ve compiled the 2021 Annual Global Retirement Index: to help you with the exciting business of choosing where in the world will best suit your needs.

What is the Annual Global Retirement Index?

When it was first conceived, our Retirement Index was our special way of coping with an embarrassment of riches. At that stage, IL had already spent over a decade exploring all manner of dream locales. The result was a huge and exciting variety of choice and opportunity. Fast-forward to 2021.

Three decades have gone by, during which our scouts have scoured every corner of the globe many times over. The result is a much bigger and ever-growing selection of outstanding destinations where you can live a healthier and happier life, spend a lot less money, and get a whole lot more.

But how do you choose?

The Retirement Index is the most comprehensive and in-depth survey of its kind. It’s the best way we know of to sift through the wealth of opportunity the world offers, bring some order, and help you pinpoint the best destination for you.

Our index is informed by hundreds of opinions and real-life experiences—information—compiled by our trusted sources in the best retirement destinations across the globe. We think of it as a tool for you, our reader. A way for you to quickly compare and contrast your best options and begin to narrow down your choices.

We have our people out there pounding the pavement in attractive overseas communities we know you should consider. They’re reporting back to us with insights, and information about what’s really going on. They’re not beholden to relocation service providers or real estate agents or tourism boards or economic development organizations. They work for you.

In no way is our Global Retirement Index meant to be a scientific output. It’s designed to be a useful tool for people, constructed out of real-world, on-the-ground information interpreted through a lens of well-informed experience and opinion.

Our sources are living in the places where they’re gathering their intelligence. And we trust their judgment. If they say the healthcare is good, or that a meal for two in a nice restaurant costs $20, then we believe them.

Our intention with this index is that it be genuinely useful. We’re not looking for random input from random people around the world—you can get that with a simple internet search. Instead, we’re in the business of providing sound recommendations about a refreshingly limited number of options.

Beyond data—it offers, more importantly, information, opinions, perspective, and guidance.

What has their research revealed about the best retirement havens in 2021? Read on…

10. Vietnam

By Wendy Justice

“You’ll know within 36 hours of coming here whether you love it or not,” says 65-year-old Redwood City, California expat Deb Aronson. “I knew within three months of being in Vietnam that this would be my home. It captured my soul.” That was 21 years ago, and she’s still under the spell. She’s one of a growing number of expats who lives long term in Vietnam.

I’ve lived here for 10 years now—in the coastal resort city of Nha Trang, in the progressive and delightfully livable city of Da Nang, and currently in Hanoi, Vietnam’s 1,010-year-old capital city. When I’m not at home, I’m often exploring other parts of the country—the wild, remote mountains of the far north, the pristine beaches of the central coast, the waterfalls and pine forests of the Central Highlands, and the skyscraper-filled skylines of Vietnam’s rapidly developing cities.

Vietnam’s meteoric rise has been nothing short of phenomenal. It’s hard to imagine that this war-torn nation of 40 years ago has developed into the world’s fastest-growing economy in 2020. The signs of growth are everywhere: high-rise condos and gated communities with private yacht clubs and international schools, shiny new hospitals with all the latest equipment, controlled-access freeways, and even the occasional Rolls Royce.

Despite the development that you see in every town and city, Vietnam hasn’t sold its soul. Ancient traditions, like the burning of offerings on the full moon and exotic ceremonies honoring the Mother Goddess, are still very much a part of life here. The ornate mansions left behind by the French during their lengthy occupation house embassies, government offices, and fancy restaurants now. The many parks and streets lined with century-old shade trees—also a legacy of the French—give a certain European grandeur to Vietnam’s urban areas. Glitzy shopping malls with the latest fashions and electronics compete with cavernous traditional markets selling gallon-size jugs of ginseng, traditional medicines, and $2 jeans.

Elegant restaurants serving fresh lobster and Wagyu steak sit alongside humble street food stalls selling spring rolls and chicken soup. The rising middle class have no issues taking a meal at either place; they’re happy to splurge on occasion, but nothing quite compares to sharing a humble kettle of “hot pot” in the company of friends and family.

Vietnam may be growing in leaps and bounds, but for retirees looking for a delightfully comfortable lifestyle, it remains one of the least expensive countries on earth. Couples who have made their homes in the mountain town of Dalat say they’re not sacrificing a thing to stay within a budget of $800 per month or less, and expats in Nha Trang rave about spending $1,000 per month and “living rich.” Even in the most expensive cities—Hanoi, Da Nang, and Ho Chi Minh City (Saigon)—you can live comfortably for less than $1,500 per month.

70-year-old Texas native Larry Chilcoat has lived in Dalat since 2018. He says, “I’m able to live well on just my social security alone. My monthly budget, with travel and everything, is $800 to $1,000 per month and I don’t hurt for anything–I have everything that I want and need. Things are so reasonable here.”

The Vietnamese language is notoriously difficult to learn. Fortunately, the Vietnamese know this and are thrilled if you attempt to speak just a few words of the language, no matter how badly you might mangle it. Many locals speak excellent English, especially in urban areas. Vietnam scores well on the English Proficiency Index—higher than most other Asian and even Latin American countries. They are also eager to practice their English skills; many friendships are formed through informal language exchanges.

That’s one of the things that makes Vietnam stand out from other countries: it’s an easy place to make local friends. Age isn’t a barrier here, either. One retired couple I met in Da Nang said that they were invited to their neighbor’s high school prom. My best friend is my daughter’s age. Whether they’re hoping to practice their English or simply curious about seeing a new face in town, the Vietnamese aren’t shy about initiating conversations. They’ll ask your name, your age, whether you’re married and if so, how many children you have and their ages. Before you know it, you’re invited to their house for dinner or to visit their ancestral home in the countryside.

Many expats are drawn to Vietnam for its beaches, which stretch more than 2,000 miles along the entire length of the country. Places on the central coast like Da Nang, Hoi An, and Nha Trang have exceptionally pretty beaches, while offering residents the benefits of city life, too. In other places, such as the south-central village of Mui Ne and the southern island of Phu Quoc, the laidback lifestyle is centered around the coast.

Wherever you are in Vietnam, you’re never far from quiet, rural roads, stunning mountain scenery, and tiny hamlets where life hasn’t changed much in the past century. It’s a country that invites exploration and adventure; scenic wonderlands like Halong Bay and Sapa, minority villages overlooking terraced rice fields that extend to the horizon, and the world’s largest caves attract tens of thousands of visitors.

Vietnamese cuisine is delightfully regional, with savory broths in the north, spicy noodles in the south, and incredibly delicious dishes and specialties that are found in only one town or village in the entire country. The food is fresh and healthy, with complex flavors expertly blended to create unique dishes. The country is also famous for its coffee—strong, rich, and locally grown, it’s a source of pride for the Vietnamese, who are its biggest consumers.

Vietnam is a regional travel hub. Several international airports serve regional destinations, while airports in Hanoi and Ho Chi Minh City offered flights to all major global destinations, including direct, non-stop flights to the U.S., and likely will again, once borders reopen. Budget carriers like VietJet Air, Pacific Airlines, and Bamboo Airways offer ridiculously low promotional fares, while the signature carrier, Vietnam Airlines, has full-service flights.

9. Malta

By Mary Charlebois

Sitting right at the heart of the Mediterranean, Malta blends the best of southern-European graciousness with one of the best qualities of life to be found in Europe. First-World standards of service and infrastructure, a wealth of historical and architectural treasures from its eons of history, and the sparkling Mediterranean—all in a country one-tenth the size of Rhode Island—ensure that this tiny island will keep you occupied.

Malta has three islands, Malta, Gozo, and Comino. The three islands have a total of 122-square miles, with a population of just over 500,000 people. Malta and Gozo are populated, while Camino is virtually uninhabited, having only 1.35-square miles of land.

The weather is stable and the same everywhere in Malta. The average temperature is 72 F. Malta has one of the highest numbers of sunshine hours per year in Europe. Blue skies appear most every day. Cool north-westerly and dry north-easterly winds make life sweet. Malta’s ancient cities and villages were laid out to catch the prevailing breeze. Natural air conditioning flows down narrow streets, cooling apartments and houses through windows and vents in the sandstone.

Whether it’s a lazy day on the beach or an afternoon exploring, there is plenty to see, do, and taste. Explore megalithic temples, bronze-age burial sites, age-old salt farms, spectacular churches, museums, and fortified cities. Immerse yourself in local festas and celebrations for crops, fishing, seasons, Village Saint Day, and more.

Local, fresh, high-quality food is the standard in Malta. A trip to the market will seem a bargain. Supermarkets carry a wide variety of local and imported food. Better yet, are village shops, bakeries, greengrocers, fishmongers, and butchers. Prices are up to 25% less than in the U.S.

Meals in cafés and restaurants cost less than in the U.S., too. From traditional street food to fine European dining, the quality is excellent, and the value is remarkable. A street food traditional pizzette lunch and a local Cisk beer will run around $2.60. A three-course dinner with a bottle of local wine and dessert in a village café will cost about $30 per person.

Housing in Maltese cities is more expensive than in the countryside. Harbor or beachside living will cost a bit more. A modern one-bedroom apartment, fully furnished, including utilities and Wi-Fi, can run as low as $460 per month. A fully furnished four-bedroom classic villa with a pool, gardens, and stunning views is closer to $1,930 a month. There are bargains to be found on Gozo, especially for long-term renters.

These are small islands so a car really isn’t needed. Public transportation in Malta is efficient and inexpensive. A monthly bus pass is $26. Lower rates are available for seniors and residents. Roundtrip ferry tickets to Gozo are $6.15. Permanent residents pay $1.50. Ferries are free for permanent residents 60 and over. Taxis, car rental, and rideshare transportation are ubiquitous.

Malta has modern, high-quality healthcare. It’s a popular medical tourism destination. Maltese citizens have a choice of free public healthcare or paid private facilities and physicians. Permanent residents can take advantage of discounts available in the private sector with the right type of insurance.

Malta is a dual-language country, both English and Maltese. English is taught in schools and spoken by everyone. Maltese is a Semitic language heavily influenced by a mix of Arabic, Italian, English, and a bit of French. Maltese language classes are readily available in local schools.

Permanent residency is easy to obtain for 12 months at a time. The status can be obtained by non-E.U. citizens with an application and a small fee made in person in Valetta. It can be renewed each year.

One of the best reasons to live in Malta is its location. It’s 60-miles south of Italy, 176-miles east of Tunisia, and 207-miles north of Libya. A short flight away is—Greece, Turkey, Syria, Israel, Egypt, Algeria, Morocco, Spain, France, and many more. This tiny island nation in the center of the Mediterranean and the crossroads of history is surrounded by Europe, the Middle East, and Africa. All are a ferry ride or a short flight away.

Malta is ideal for travel to Europe, Africa, and the Middle East. But the best part will be living the charming, easygoing Maltese way of life.

8. France

By Tuula Rampont

France is a dynamic, diverse country that offers retirement options for every taste and budget. If you’re a fan of fine European-living, look no further than this gourmet and cultural gem. From the flowing lavender fields of Provence to the charming cafés of Paris and the stunning scenery of the Brittany coast, opportunities for a rich, fulfilling retirement can be found throughout the country.

While France keeps pace with modern times, much of its attractiveness lies in the time-honored traditions practiced throughout the country. Long lunches with fine bottles of wine, or picnics among the local vineyards, are examples of the joie de vivre that comes with living in France. Life is never rushed, and great care is taken to ensure that each day is lived to the fullest.

You’ll find it at your local village café, where friends share a café au lait and a croissant before heading out to do their morning shopping. A visit to the farmers’ market is one of the most important stops of the day. Market stalls are piled high with the freshest seasonal fruits and vegetables—each beautifully displayed with the finest local products. No detail is overlooked. The cheesemaker (fromagerie) spreads out several goat cheeses prepared at a nearby farm, while the baker (boulanger) sets up a selection of freshly-baked fare—rustic baguettes, flaky pain au chocolats, and specialty bread like black-olive filled fougasse (a pretzel-like specialty from the south of France). Each artisan takes immense pride in their work, as they have done for generations. The wine merchant (cavist) can speak for hours on the importance of location (terroir) when it comes to grape-growing and will make sure you have the perfect wine pairing for your meal. The French passion for cuisine is infectious, and life in la belle France will provide you with access to its many gourmet pleasures.

Although it all may sound a tad sophisticated, enjoying the French lifestyle doesn’t have to be expensive. While retiring in one of the country’s larger cities (Paris or Lyon, for example) will be a costlier option, France is full of affordable regions. A couple can live comfortably for $2,083 to $2,483 a month—with some retirees living on less than $2,000. The real day-to-day savings comes from housing costs, where, in certain areas, you can find two-bedroom, one-bathroom homes for under $150,000.

While you can hit on these bargain prices in different pockets around the country, the most popular destinations (which combine attractive real estate deals with a high standard of living) include Normandy, Brittany, the Dordogne, and areas within Occitanie (formerly the Languedoc).

Healthcare costs are also a huge factor when considering a move to France. Frequently cited as one of the top healthcare systems in the world, residents enjoy high-quality care at cut-rate prices. After living here for three months in the country, expats are eligible for universal coverage. Under the French system, members are reimbursed 70% of doctor’s visits and up to 100% on prescription drugs. Given that a visit to the doctor is $29, out-of-pocket costs are around $9—a 70% discount. Prices are fixed by the government, so you’ll pay the same $9 to see a doctor in Paris, Nice, or Strasbourg. There are no age restrictions or pre-existing condition limitations, everyone is eligible for healthcare. While you’ll pay a small percentage of your annual income to join, passive income (pensions and social security benefits) is exempt from the charge due to a tax treaty with the U.S.

Besides its tempting lifestyle and impressive social system, France is a traveler’s paradise. Each region is more beautiful than the next, and with the country’s efficient, high-speed rail service, exploring the best of France is only a train ride away.

As one of the world’s most captivating cities, Paris may be a pricey retirement choice, but it makes for a wonderful travel stop. From world-class cuisine to classic bistros and head-turning fashions, the City of Lights is one of the top draws for considering a move to France. And, it’s all a lot closer than you may think. Aix-en-Provence, a popular retirement destination in the south of France, is less than four hours away by TGV (high-speed) train.

To the east, Alsace and Lorraine are refined regions that captivate with their cozy, flower-laden villages and half-timbered homes. A hop, skip, and a jump from the German border, the cuisine is hearty and the people gracious and welcoming.

History buffs will be drawn to the seafaring regions of Normandy and Brittany. Beyond a rich, cultural heritage, these maritime strongholds provide some of the most picturesque scenery in all of France. Beautiful seaside towns like St. Malo and Dieppe are delightful getaways and tempting retirement locals.

The sun-drenched regions of southern France have elevated easy-living to an art form. Splash out like a celebrity at lavish Côte d’Azur resort cities like Nice, St. Tropez, and Cannes or head to the “other” south of France—Provence and the Occitanie regions. Here you’ll find France at its most open and exuberant. Leaning heavily on Spanish influences, the university towns of Toulouse and Montpellier are full of the “fiesta” attitude. Life is meant to be lived out-of-doors, and you’ll discover residents soaking up the sun on café terraces around town—a chilled glass of rosé and a few spicy tapas make for the perfect southern happy hour.

Many other fascinating areas exist for travel or retirement. Bordeaux and Burgundy attract wine-lovers from near and far, while the Loire Valley and the Dordogne offer stunning castle-filled views and lush, romantic landscapes. In France, there’s no shortage of things to keep you busy and you’ll find an endless list of hobbies and activities to take part in—cooking lessons, arts and crafts, outdoor clubs, and volunteer opportunities, to name a few.

Whether retirees decide to settle along the beaches of the Mediterranean or take up residence in a charming hilltop village lost in the vineyards of Provence, France provides an idyllic retirement for those seeking the best of European living.

7. Malaysia

By Keith Hockton

Cities with a buzz, idyllic beaches, islands that seduce the senses, and some of the most pristine ancient rainforests in Southeast Asia—this is Malaysia. And these are just some reasons why I call it home.

It has everything. Its weather is a tropical 82 F all year round and its beaches, islands, and jungles are pristine. It has some of the region’s best street food, great restaurants, bars, shopping malls, and movie theaters—and it’s all affordable.

My wife, Lisa, and I vacationed in Malaysia in 2008 and at that stage, we were taking at least two holidays a year somewhere in Asia. When we got back and did the sums we realized that we could actually live in Malaysia and vacation back home, effectively reversing our situation and saving a heap of money. We started to make plans to do just that and moved to Penang in early 2010.

Malaysia’s an easy place to make friends and integrate as English is the unofficial first language, so you don’t have to learn another language here if you don’t want to. Malaysian law is based on the British system and all road signs are in both English and Malay, which makes driving around easy. Lots of expats live in Kuala Lumpur and Penang and numerous organizations here can help you get settled and integrated.

On $2,500 a month, a couple can live extremely well, rent in a modern high-rise with a pool, a gym, 24-hour gated security, covered car space or two, a shared communal area with a barbecue, and it will cost between $750 to $1,000 per month. For that price, you will get a modern 2,300-square-foot condo with three or four bedrooms, three to five bathrooms, and a balcony overlooking the ocean. If you don’t care to live with a view, or by the beach, you can rent a two- or three-bedroom place for about $550 to $650, which means you could easily live on less than $2,000 a month.

As for healthcare, when you compare surgery prices between the U.S. and Malaysia, the benefits are obvious. More than 1 million foreigners seek treatment in the hospitals in Penang and Kuala Lumpur every year. There are specialists in every hospital, but unlike in the U.S., you don’t have to wait for months to get an appointment. Just turn up to the hospital, register, then take a number and wait your turn. If you are then referred to another doctor or need to get an X-ray or scan, that will also happen on the same day in the same place.

Prescriptions in Malaysia cost a fraction of what you pay at home. But it’s not just the cost that’s attractive; it’s the service. The pharmacists, like the rest of Malaysia’s medical staff, are well trained and informed. Malaysians are friendly people, but it’s the genuine interest that they take in you, no matter how small or large the issue, which impresses. It takes you back to a time when personal service meant something. That same service is alive and well here.

There are direct flights to more than 30 different countries from Kuala Lumpur and Penang international airports. The country makes a perfect base from which you can explore the innumerable natural, historical, and cultural treasures that Southeast Asia has to offer. The proliferation of cheap Asian airlines in recent years has made it easier (and more affordable) than ever to explore Thailand, Indonesia, India, and Japan. In Malaysia, Asia is truly at your doorstep.

There are plenty of international grocery stores around as well, Tesco is one of the more popular ones, and you don’t have to forfeit your little tastes of home, like good cheese and French wine. In all the major cities, there are movie theaters playing the latest Hollywood flicks, and fantastic air-conditioned shopping malls to get your retail fix.

Making friends and meeting new people in Malaysia is easy. The locals are kind and curious about what expats and tourists think of their country. They are proud of being Malaysian, and second to asking where you are from, is the question, “have you eaten yet?” Food is a crucial part of the culture throughout Malaysia, so it isn’t uncommon for your taxi driver, store clerk, or hairstylist to tell you where to go for the best plate of noodles.

6. Ecuador

By Donna Stiteler

Ecuador is the land of diversity. Whether you want to live, vacation, retire, or simply relax in Ecuador, you’ll find the perfect combination of climate, culture, and affordability to make your dreams come true. It’s a country Anthony Bourdain described as “a republic on the equator lying on the west coast of South America and is the 2nd smallest country on the continent. With 1,200 miles of beach, one of the world’s highest active volcanoes, and the Galápagos islands, it is one of the most ecologically diverse places on the planet.”

Ecuador is a largely undiscovered country not yet gentrified but still offering the conveniences of modern living including high-speed fiber optic internet, American dollar currency, temperate weather, good public transportation, and affordable healthcare and housing.  It has a tranquillo culture where manana means sometime in the future, and people welcome each other with cheek kisses and deep hugs. It’s often described as a trip back to the 1950s, only now the indigenous men in tribal dress pulling donkeys on long ropes are talking on iPhones. Walk down any major city street and you will see a mix of indigenous, Spanish descendants, mixed ethnicities, North Americans, and Europeans.

Because of its unique geological topography with the equator creating temperate weather, you can live on the beach and enjoy cool sea breezes which makes the weather in the 70s and mid-80s. Or settle in the Andes, where the equator places the mountains closer to the sun, making even locations at 8,000 altitudes produce weather in the 60s–70s F.

Visit the beaches and you can sit on the shores of Puerto Lopez and whale watch while you enjoy a pilsner and eat freshly made ceviche in beachside canopies. Venture north on the coast and you’ll encounter small sleepy coastal towns that attract expats wanting to escape the rat race, surfers, and hippies riding bicycles in towns like Montanita. Further north is the launching point to explore the Galápagos islands and its famous blue-footed boobies and giant green tortoises. On the southern coastal tip of Ecuador is Salinas, a modern oceanside town known for its party bars, seafood, and year-round fiestas.

Head inland and you’re in the Andes, where you can zipline over mountain valleys, white water raft, get purified by Shamans, and shop for colorful textiles loomed by the indigenous. Many expats settle in Quito or Cuenca to enjoy the 16th century Spanish colonial and 18th century French Republican architecture which earned these cities UNESCO Heritage site designations. Both these colonial towns offer modern conveniences and have a booming tourist industry. Their stone-laden streets are lined with shops, chic bars, and restaurants tucked into scenic historic buildings.

Go east into the Amazon rainforests and you can paddle down the Puyo river where you’ll see the indigenous tribes who live on the river with their children, who hoist blow dart guns to test their aim.

Expats are scattered all over Ecuador depending on their lifestyle choices. Larger expat communities are in Salinas, with its beaches lined with modern condos; Cotacachi, a small sleepy village where craftsman make everything from leather goods to alpaca ponchos; Cuenca, the modern Andean town which is the cultural center of Ecuador, where music, art, and New Orleans-style architecture attracts visitors from around the world; and Vilcabamba, the home of the Valley of Longevity known for its indigenous centurions and laidback expats who sit outside at cafés trading philosophies.

While I appreciate the natural beauty and the mix of indigenous, Incan, and Spanish culture, one of my favorite benefits is the affordable lifestyle. There are few places where living is as affordable as in Ecuador. There is something for everyone, regardless of your budget. Consider that you can own a home on a Pacific Coast beach or a condo with great views in the Andes for less than $150,000. Rentals are plentiful and affordable too with a two-bedroom, two-bathroom condo available in downtown Cuenca for $500.

A couple can live here for anywhere from $1,650 to $1,825 a month, depending on location and lifestyle.

Since the land produces excellent food, mostly with year-round growing seasons, prices at local mercados are so low, it is difficult to carry more than $15 worth of fruits and vegetables. Household help is available for $20 per day, and services like pedicures and haircuts are just a few dollars. No need for heating and cooling bills in most of the country, and you can live most places without a car, paying 30 cents or less for buses, and $2 to $5 for cab rides.

There are tight-knit active expat communities and many activities to get involved in—day trips to nearby towns, card games, dinner clubs, trivia, art classes, hikes in the Cajas, and long lunches with friends. Every day I get up and have a choice of what I’d like to do. Living in Ecuador has given me the retirement I could only have dreamed about if I had stayed in the U.S.

5. Portugal

By Terry Coles

It’s no wonder that Portugal has topped the charts for the best places to retire through the years. This tiny country in the southwest corner of Europe has something for everyone. Vibrant cities full of Old World charm, miles of golden sandy beaches, green, rolling hills, some of the best healthcare in the world, low cost of living, and safety.

But for me, the best part about living in Portugal is the people. The Portuguese people are warm, friendly and greet everyone with double-cheeked kisses. Since English is taught in the schools, many Portuguese speak some English, which makes retiring here a little easier.

Last year my husband Clyde took our car into a service center for an oil change. To pass the time he went next door to a family-run café for a cup of coffee. The lady of the house was in the next room preparing to serve lunch to her family and insisted that Clyde join them. Since he had already eaten, he declined but had to smile about her generous offer.

If you are looking to retire in a city full of Old World charm, check out Lisbon. The city comes alive with colorful tiles, museums, palaces, nightlife, and a tram system that navigates the steep, cobbled roads. Take a deep breath and inhale the sweetness of the pastries that are all around. Sample an original custard tart in the famous bakery of Belem that has been baking these delectable treats since 1837.

Head north to visit Portugal’s second-largest city, Porto. Famous for its production of port wine, stately bridges, a colorful riverfront area, university vibe, and tours along the Douro river, there is much to explore. Porto also has an international airport, one of three in the entire country which makes it easy to come and go.

Looking to retire and live without a car? Then city life in either Lisbon or Porto might be for you. Portugal has an excellent long-distance bus and train system also making it easy to visit other areas of the country.

South of Lisbon is the Alentejo region that includes the cities of Beja and Évora. The largest and most rural region of the country, it is famous for the fields of wildflowers, stately cork oaks, historic towns, and a sparse population. Life here is slow, winters are cool, and summers are hot and dry.

The southernmost region of Portugal is the Algarve. Known for its Atlantic beaches, fishing villages, golf resorts, waterparks, hot, dry summers, and tourists. Due to its long history of British tourists coming here on holiday, English is widely spoken.

So, how much do you need to retire to Portugal? Although it depends on many factors, you can estimate that you can live on about one-third less here. A couple can live comfortably, but not lavishly in Portugal on $2,500 per month. If you want to live in Lisbon, Porto, Cascais, or the Algarve, you should bump that number up to $3,000 or more.

My husband Clyde and I have called Portugal our home for over two years now. We began life here one hour north of Lisbon near the city of Caldas da Rainha. For just $400 per month, we rented a fully furnished, three-bedroom home. The house offered views of lush, rolling hills and fertile farmland that we loved. But the winters were too cold and wet for us, so we moved further south.

Now we live in Vilamoura, an unincorporated area near the city of Quarteira. Here we rent a two-bedroom condominium in a gated complex with a pool for $1,030 per month. We love Portugal and have never regretted our decision to move here.

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4. Colombia

By Nancy Kiernan

Located at the northern tip of South America, the gateway country of Colombia is where the Pacific and the Caribbean collide with the Andes mountains and the Amazon rainforest. It’s a country that is more beautiful, dramatic, and diverse than nearly any other. It offers colonial towns and thriving cosmopolitan cities; places to enjoy the mountains and Caribbean beach towns to soak up the sun. Just three hours from Miami and Fort Lauderdale, Colombia welcomes nonstop flights into its major cities of Bogotá, Medellín, Armenia, Barranquilla, Santa Marta, Cartagena, and Cali.

Colombia offers something that will appeal to just about everyone. You will find that Colombia is a more developed country than most in Latin America, with the infrastructure, modern products, and services you’d expect in a country on the move. Colombia is no longer Latin America’s best-kept secret because more and more expats are moving here to start a new life in this beautiful country…either retiring or continuing to generate an income.

Colombia provides high-quality healthcare at a low cost with easy access for expats. I spent 30 years working in healthcare when I lived in the States, so I know good healthcare when I see it. The World Health Organization (WHO) ranks Colombia’s health system at number 22 in the world, far better than Canada at number 30 and the U.S. at number 37. Colombia is home to 24 of the top 58 Latin American hospitals. Four of them are Joint Commission International accredited hospitals. Two are in the capital of Bogotá, one is in Medellín, and one is in Bucaramanga.

Medellín is one of the fastest-growing expat havens in Colombia. Due to the near-perfect climate, flowers are constantly in bloom and dot the streets with color year-round. Spend just a few hours walking around the city and you will see why it is nicknamed “The City of Eternal Spring.” This is what first drew me to the city. I lived in Maine for 27 years before I moved to Medellín in 2012, and I am ecstatic to announce that I have not had to deal with snow since my move.

If you want hot and tropical, consider retiring to the lovely Caribbean coastal cities of Santa Marta or Cartagena. These cities are havens for sun and sea worshipers. The clear, tranquil waters off the beaches offer scuba divers the opportunity to spend hours exploring the coral reefs and photographing the large variety of vibrant-colored tropical fish, who have made their homes in the wrecks. Or spend hours soaking up the sun on the sandy beaches.

Eddie Echeverri opened the Coffee Tree Boutique Hostel in the quaint town of Salento, within Colombia’s coffee triangle. He says, “for tourists, they kill three birds with one stone in Salento. There is colonial architecture, coffee farms, and then one thing that no other town has, even other colonials: Valle Cocora. That’s the number one attraction. It’s a beautiful hike of five to six hours that takes you through a striking landscape. I haven’t met anybody who wasn’t impressed by it.”

Visiting Colombia is simple. You can come for 90 days with just your U.S., EU, Canadian, or Australian passport, and then extend for another 90 days. Any longer than that and you will need a visa. Retirement visas are relatively easy to get, require proof of at least $750 monthly Social Security income, or $2,500 from a private pension or 401K, and are issued for up to three years.

Retirement dollars go much further in Colombia. A couple can live in many cities around Colombia for $2,000 per month or less. Of course, your cost of living will depend on your lifestyle and where you choose to live. I can tell you that my living expenses are 60% less than they were back in Maine. Just the fact that I don’t have to pay heating or cooling costs has saved me about $3,400 per year alone.

Michael Huseby freelances as a copywriter for clients around the world from his home in the coffee triangle region. “My modern, top-floor apartment in Manizales, Colombia—with a gym and a balcony—costs $500 per month. I found this accommodation through Airbnb, and in my experience, long-term rentals on Airbnb tend to have reasonable rates in Colombia. Many of the country’s larger cities also have English-language websites dedicated to helping expats find furnished houses and apartments.

“Other living expenses are likewise significantly cheaper than in the U.S. In Manizales, a movie theater tickets cost $2, beer at a bar costs $1, and a cross-town taxi rarely costs more than $5. Meanwhile, health insurance premiums run up to 70% less than in the States.”

The dark days of Colombia’s past are gone, and it has been transformed into a country that is thriving. One of the best things about the country is the warm, welcoming Colombian people. Don’t let a lack of Spanish keep you from trying out life here. As the expression goes, “You don’t meet a Colombian…you meet the entire family.” Here you’ll always feel part of the community.

3. Mexico

By Jason Holland

Mexico has been a retirement haven for residents of its North American neighbors to the north for 50, 60 years. More than 1 million Americans and a half-million Canadians call the country home today, living there either full-time or part of the year (often in winter, to escape cold weather). This makes Mexico one of the most popular—if not the most popular—expat destinations in the world.

That makes your transition to a new life in Mexico all that much easier. This large expat community is very welcoming to newcomers, and there is no shortage of activities, clubs, events, happy hours, and more to take part in. you can easily meet new people and make friends. Plus, because of its proximity and trade and cultural ties to the United States, you’ll find that much of what you find on store shelves, on restaurant plates, on TV, and elsewhere is familiar to you. And you have modern conveniences like a well-maintained highway network, cellphone service, highspeed internet, including fiber optic, cable and satellite TV, and any other amenity you might want.

Yet, at the same time, the distinct culture of Mexico is still very much alive. With its traditions, celebrations, and holidays very much in evidence throughout the year. The Mexican people have a real zest for life, with plenty of singing and dancing in the streets, welcoming attitudes towards new neighbors, and a live and let live attitude.

Oh, and don’t forget the food, which comes in as many varieties as their distinct regions. It’s not just tacos, although they are all very delicious. You have ceviche and other seafood on the coasts, the marinated roast pork cochinita pibil of the Maya people in the Yucatan, hefty tortas (sandwiches) at street stalls, and grilled corn slathered in mayo and cheese and sprinkled heavily with chile powder. And that’s just a small taste of real Mexican cuisine.

Those who move to Mexico are drawn by a multitude of other benefits too.

A retired couple can live well in Mexico on a fraction of what they might spend back home. Cost of living is, of course, very dependent on specific people and their lifestyle, but on average, you could spend under $2,000 per month per couple—for all expenses, and have a life filled with fun, no scrimping necessary. This is possible because of low-cost real estate (to rent and buy), affordable food at the market and in restaurants, cheap transportation, low-cost medical care, free and affordable entertainment options, and more.

Residence is easy to qualify for and obtain. The application and approval process is streamlined, much of it is online, and you can secure residence in a matter of a few months. You start with an initial appointment at the Mexican embassy or a Mexican consulate in your home country. There are dozens of consulates in the U.S. You can make an appointment online and then bring in documentation to prove your home country citizenship, marriage (if applying with a spouse), and income. You finish the process at the immigration office nearest your new home in Mexico.

There are two types of residence most expats apply for. Temporary residence requires an income of $1,600, or $82,000 in the bank. (These amounts vary based on the exchange rate between the U.S. dollar and Mexican peso.) Some consulates require that the income comes from Social Security, a pension, or some other guaranteed source. Some are okay with investment or other forms of income. You can be a temporary resident for up to four years at a time. At that point, you can re-apply for temporary residence or convert to permanent.

For permanent residence, which you can apply for right out the gate, you must have $2,000 in monthly income, or $102,000 in the bank.

Once you have either form of residence you are free to stay in Mexico as much or as little as you want. There is no minimum amount of time required to stay in the country, except you can only renew your residence in Mexico.

One of the major benefits for folks of retirement age in Mexico is the widespread availability of high quality/low cost healthcare. In one of the government-run healthcare systems, INSABI, care is actually free to Mexican citizens and foreigners with temporary and permanent residence. There is also another government program, IMSS, that provides coverage (but excludes pre-existing conditions) for $40 per person per month.

There are also private doctors (of every specialty), clinics, and world-class hospitals with all the modern equipment throughout the country, including several that are Joint Commission International certified, which is the gold standard in healthcare. You can pay cash at private facilities or use local or international insurance. Costs are a fraction of what you’d pay in the U.S.

Plus, because Mexico is so large (it’s about three times the size of Texas), it has a great diversity of climates, landscapes, and lifestyles. You can be in a world-class big city, rural village, colonial town, funky beach town, or bustling resort area… You can be in a condo or villa on the beach, high in the cool mountains, off-grid, and in the middle of the jungle… You can enjoy heat, humidity, and sea breezes on the coast. Temperate climates in the Colonial Highlands… the dry heat of Los Cabos… or the southern California “perfect” climate of northern Baja.

With so many locations to choose from, there really is something for everybody in Mexico. And no matter where you go, you can expect a comfortable life of friends and fun, along with a no-hassle residence process, warm weather, beautiful landscapes, modern conveniences, quality healthcare, and more.

2. Panama

By Jessica Ramesch

Panama has ranked at the top of IL’s retirement index many times for many reasons. Even after all these years, the country consistently delivers when it comes to overall value. This is particularly true for anyone looking to stay in the Western Hemisphere. Panama offers ocean views, warm weather, and big-city amenities in a hurricane-free environment. Think about it—how many places in the region offer so much while also making it easy and affordable to live there?

Thanks to Panama’s strategic position outside the hurricane belt we enjoy very mild weather, with lots of sunshine throughout the year. Even during the May through November “rainy season” we have mostly sunny mornings, with an hour or two of rain in the afternoon. Daily highs in the city and beaches are usually around 88 F, with lows around 78 F. In mountain towns like Boquete and El Valle, temperatures are 10 to 15 degrees cooler. There’s truly something for everyone here.

Panama’s location also made it the ideal “Hub of the Americas.” Completed in 1914, the Panama Canal has helped make Panama one of the richest countries in the region. These days big ships pay hundreds of thousands of dollars for each transit. Panama is also a flight hub. It’s just over three hours from Miami, and many of the airlines that serve the U.S. offer direct flights here. Panama’s Copa Airlines is one of the best regional airlines, while Tocumen International Airport is the best airport in the Central America/Caribbean region as well as one of Latin America’s top 10 passenger-friendly airports.

It’s easy to travel in-country, too. We have reliable inter-city buses and domestic flights to multiple destinations. The capital, Panama City, is home to Central America’s only light-rail or metro system. The infrastructure here is top-notch across the board. Panama is one of few countries in the region that boasts well-paved roads, potable tap water, and top-notch Internet and cellphone connections.

And yet Panama remains affordable and accessible. The Pensionado or Pensioner visa has earned Panama a top score, year after year, in the “Benefits and Discounts” category of the index. The program was created to ensure retired Panamanians could live with dignity as active members of society. If you have a pension—regardless of your age—you too can apply to become a resident pensionado.

The main requirement is straightforward: you must have a pension of at least $1,000 a month. Once you become a retiree resident of Panama, you gain access to all the pensioner discounts offered to locals. The savings are almost too good to be true…25% off power bills, 50% off movie and show tickets, 25% off plane fares, 20% off medication, 25% off meals at restaurants, and the list goes on.

Panama isn’t the cheapest country in the region, but given all it has to offer, it is incredibly affordable. Including rent, it costs me about $2,600 a month to live well in cosmopolitan Panama City. I live in a nice apartment just a seven-minute walk from a metro station. I can take an air-conditioned train and get downtown in 10 minutes for $0.35. If it’s a late night, an Uber home costs me $3 or $4.

On my budget I can afford to go out often. From film and music festivals to gourmet restaurants and wine expos, I’m spoiled for choice. This is Central America’s most modern, happening city. It’s incredibly international, and whatever your interests, they’re likely to be represented here. There are language and cultural institutes, museums and galleries, sporting and fitness events of every type…. From sky-diving clubs to motorcycle enthusiasts, I’ve seen it all.

My vacations and weekends away are inexpensive, though they seem very glamorous to my friends back in the U.S. I can get a round-trip ferry ticket to Taboga Island for $20 (the trip takes 45 minutes). Contadora Island is a little more upscale—the ferry costs about $98 and takes less than two hours. Or I can hop in my car and—within an hour and at very little expense—find myself in a completely different environment. There are beaches like Chame, Gorgona, and Coronado…the mountain town of Cerro Azul…Campana National Park…again, I’m spoiled for choice.

Staying home is fun, too. In Panama City we now have great options for everything from sushi and sashimi to pizza and pasta. Many restaurants offer delivery, and with services like Uber Eats things have only gotten easier. The food scene is so exciting that in 2019 UNESCO recognized Panama City as an Ibero-American Capital of Culture with a rich culinary landscape.

Of course, you don’t have to be in the city to enjoy a great meal. I’ve had excellent Indian food in Caribbean Bocas del Toro, Peruvian in the mountain hamlet of Boquete, Argentinian in beachy San Carlos, Cambodian in the rural village of Santa Fe, and Italian in the crater town of El Valle.

At supermarkets and shops across the country you’ll find cheap local produce and products as well as imports from around the globe. From European cheeses to primo aged beef, you can get pretty much anything you want. And when it comes to wine, the prices and selection are unbelievable. (By the way…from wine shops to pharmacies to supermarkets, there are plenty of companies here that offer home delivery.)

Then there’s the worry-free healthcare: Panama’s private facilities are among the best in the region. And there are English-speaking doctors all over the country. I pay $10 to $20 to see a doctor, $40 for dental cleanings, and $100 for five chiropractic sessions. My health insurance is less than $150 a month. I no longer worry about getting older and having medical bills eat up all my savings.

Add to that the warm and welcoming people I’ve met here…the fertile land yielding abundant crops…the two coastlines lined with beaches…and it’s easy to see why I choose to stay. I’ve been here since 2005, and my life has just gotten better and better. Sure, I enjoy traveling and exploring different parts of the world. But I’m always thrilled to come home. For me, Panama still checks all the boxes.

1. Costa Rica

By Kathleen Evans

On the narrow, volcanic isthmus of land between the continents of North and South America, there exists a country so rich in natural beauty, the adjective is actually in its name. “Rich Coast” or Costa Rica attracts millions of visitors and foreign residents throughout the year with its tropical climate; lower cost of living; friendly locals; affordable medical care; vast real estate options; and, of course, its natural beauty.

Earning the nickname “Switzerland of Central America” this peace-loving democracy shines in a region often plagued by political and civil unrest. Costa Rica abolished their army in 1948 and pledged that budget to education and healthcare. Resulting in a well-educated population and medical access for all citizens and legal residents.

This republic is internationally known for its safety, neutrality, and commitment to the environment—with roughly a quarter of its land protected as national parks and wildlife refuges. The current democratic government, under Carlos Alvarado Quesada, is considered progressive and LGBTQ equal rights are mandated—officially legalizing same-sex marriage in May 2020.  A rare policy to find in Latin America.

Once you have acquired your residency, you pay approximately 7% to 11% of your reported monthly income into the Caja Costarricense de Seguro Social healthcare system (Caja for short) and the national medical program is available to you without pre-existing exclusions or age disallowance. Residents have the option to blend public healthcare with private medical care either through out-of-pocket self-insuring or with the purchase of insurance policies. You can purchase these through familiar names like Blue Cross/Blue Shield, CIGNA, Aetna, or a Costa Rican private policy. All at a fraction of the cost compared to the U.S. You will find three JCI accredited private hospitals in the San José area, as well as numerous private clinics throughout the country. The public system has over 29 hospitals and nearly 250 regional clinics, making it easy to find healthcare no matter where you choose to settle.

A couple can live comfortably, but not necessarily extravagantly, here for around $2,000 a month. This includes renting a two-bedroom home with North American amenities, air conditioning, plus groceries, entertainment, transportation, and healthcare. If your monthly budget is closer to $2,500 to $3,000, you will find a relaxed lifestyle with every comfort you require.

One of the things you hear often from expats is how warm and welcoming the ticos (Costa Ricans) are. They are wonderful people, eager to share the magic of their culture, food, and traditions with foreigners. You will also find engaging international communities of expats who will help you through the process of acclimation. The vast majority of new arrivals say it is very easy to make friends and fit in here. Black Americans are also finding peace in Costa Rica away from the systemic racism associated with the U.S. The Costa Rican government’s official proclamation rejects all forms of racism and discrimination.

Pura Vida is a common Costa Rican phrase. Although it translates to “pure life,” this definition merely scratches the surface of a phrase deeply woven into Costa Rican culture, and used to convey anything from “hello” and “goodbye,” to “great news,” “cheers!” and countless declarations in between.

Expat, Nicole Rangel, explains it in this way, “What makes Pura Vida such a check-all statement is that it translates to more than just a greeting. It is a solution, an action, and a way of life. When you approach life with a Pura Vida state of mind, you are opening yourself up to the possibilities of life beyond what you experienced before. You are sharing together in this communal acceptance that life doesn’t have to be controlled or mandated, you can make it what you want, you can have friends you never thought you would have, you experience things you never thought possible because you are opening up to a life less complicated.

“That is why so many people come to Costa Rica and find the best version of themselves—they embrace a new appreciation on life. It is just a bonus that it is in such a beautiful setting,” she continues.

Most expats will confirm living a healthier lifestyle once they arrive. Costa Rica is an outdoor culture—with no shortage of physical activities from fishing, golfing, and horseback riding to hiking, surfing, and yoga. Plus, there are less processed foods, and abundantly healthy choices of locally grown fruits, vegetables, organic eggs, and endless seafood and grass-fed beef. It is no surprise to hear reports about expats having shed unwanted weight, taking fewer prescription drugs, and overall better fitness of mind, body, and soul.

This revelation should come as little surprise since Costa Rica possesses one of only five “Blue Zones” on the entire planet—located on the Nicoya Peninsula in Guanacaste. These zones were discovered by National Geographic scientists and longevity researchers in the early 2000s. They consist of regions that have an unusually high population of centenarians (100+ year-olds). Ten times greater than in the U.S. The research confirms qualities such as healthy diets, natural calcium-enriched water, sunshine, active lifestyles, strong familial and friendship ties, and faith contribute greatly to their longevity.

Costa Rica, like all of Latin America, is predominantly Roman Catholic with approximately 75% identifying with Catholicism. However, you will not find the deeply rooted religious holiday traditions you find in other Latin countries. Costa Rica is considered quite secular. The government assures religious freedom for all. You will also find Evangelicals, Protestants, Jehovah’s Witnesses, and small numbers of Jews, Mormons, and Muslims. Expats who settle in larger international communities will find English-speaking churches—primarily nondenominational Protestants.

With a dozen official climate zones and hundreds of microclimates, there is someplace for everyone’s personal weather preferences. Many people love the temperate “eternal spring” climate of San José, the capital, and the surrounding Central Valley. Or the dry, hot beaches of Guanacaste, or the lush, green landscape of the jungles in the south and Caribbean side.

Like everywhere in the world, the pandemic has dealt the Costa Rican economy a harsh blow and put strains on the healthcare system. Even so, the country remains a good long-term bet as we move toward a post-COVID world, given its natural beauty, resilient population, and progressive vision.

Interactive Table

The table below presents an overview of the top 10 countries in our Annual Global Retirement Index, in order of highest to lowest. Use the previous and next buttons to view all 25 countries. You can filter countries by the following groupings: Overview, Financial, Lifestyle, and Governance and within each category sort scores by ascending or descending order.

Subscribe today and get the full 2021 Global Retirement Index saving of 35% right here.

How We Compile the Annual Global Retirement Index

Each year, we use our ever-expanding network of editors, correspondents, and contributors all over the world to give us the on-the-ground information and recommendations we need to put our index together…

All these people were once in your shoes. All of them wondered if they could find a better life abroad. Many of them were former International Living readers who took the plunge, and now want to share their love for their new home with the world. These are the people we draw upon to put together our index each year.

We rank and score each of the 25 countries in the Index across the following 10 categories:

• Housing. This looks at the value of real estate and how easy it is to buy or rent your dream home overseas. We assess things like the price of houses and condos in areas an expat retiree would like to live in, annual property tax, and if there are any restrictions on expats owning property. We also asked our correspondents whether there are good opportunities to invest in property as a means of earning a rental or capital return.
• Benefits & Discounts. In some countries, as a retiree you can get discounts on lots of things, from airfare and food to electricity and public transport. All the benefits and discounts retirees can get in the country are factored into this category.
• Visas & Residence. If you can’t legally and easily call a country home, it won’t be much good as a retirement spot. This category looks at things like how easy it is to get permanent residence, whether the income you make outside of the country will be taxed within it, and if there are any special residence options for retirees.
• Fitting In/Entertainment. This isn’t just about making friends with locals and expats. It’s also about feeling at home. Can you pick up your favorite North American comforts when you need them? And how easy is it to adapt to the local culture? This category looks at all of these things. Also, what will you do when you’re there? Are there lots of museums, events, and exhibitions? Are there lots of outdoor activities? And can you catch a movie in English when you want to?
• Development. You wouldn’t want to live anywhere where you couldn’t stream your favorite movies, call home, or access reliable electricity. You’ll also want quality roads and an efficient public transport network. These are just some of the factors that feed into the Development category.
• Climate. Moving abroad gives you the chance to escape from the extremes of weather back home. You can find places overseas where the weather is just perfect for you. In this category, we rate the climate of each country, factoring in things like rainfall, temperature, and humidity.
• Healthcare. In this category, we put our experts to the test like never before. How much will you have to pay for things like laser eye surgery, a tooth crown, or a blood transfusion? Can you get common medications for things like asthma and diabetes? And do you need a prescription to get a refill? When it comes to assessing healthcare, we factor in both quality and price to give you a fair and balanced view.
• Governance. Knowing that your new home respects personal freedom, keeps the bureaucracy to a minimum, and offers a stable and safe environment in which to enjoy retirement is a nice feeling. You’ll also appreciate an efficient banking system. And how well did each country cope with the COVID-19 situation, according to our correspondents? The Governance category examines these factors.
• Opportunity. Retirement doesn’t need to be a grinding halt. Maybe you have a business project you’d like to try out, or perhaps you’ve thought about supplementing your income with some freelancing work or online employment. We’ve examined how well the local authorities support small business, whether it’s easy to work remotely, and whether there’s a strong economy in each country. You’ll see the answers reflected in the Opportunity score.
• Cost of Living. A country has to be affordable to be a great retirement spot. It’s that simple. And to assess how affordable each country is, we got our experts on the ground to fill out a comprehensive monthly budget. Everything from the cost of a liter of milk to a bottle of beer to a movie ticket was factored in.

Note: We’ve given Nicaragua and Bolivia low scores in the Opportunity and Governance categories. They’re still viable retirement locations, but because they’ve experienced political instability in recent years, proceed with caution.