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Panama: One of the Best Countries for Retirees

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    Introduction

    Panama is fourth on the list of the best countries for retirees on International Living's 2024 Annual Global Retirement Index. This highlights that the country has multiple benefits and favorable conditions for the people who choose Panama as their retirement destination.

    For several years, some countries in Latin America and the Caribbean have appeared on the list of the best places to live for retirees. Although Panama fell to fourth place in 2024, after being in third place in 2023, it continues to be one of the favorite destinations for foreign retirees to live, according to the Annual Global Retirement Index prepared by the International Living platform.

    avenida-balboa-panama

    Top Countries for Retirement in 2024

    1. Costa Rica
    2. Portugal
    3. Mexico
    4. Panama
    5. Spain
    6. Ecuador
    7. Greece
    8. Malaysia
    9. France
    10. Colombia

    The full list can be found on International Living's 2024 Annual Global Retirement Index.

    Why Panama is a Top Choice for Retirees

    The visa benefits, favorable climate, affordable living costs, private healthcare access, access to housing, and political stability, among others, are factors that take the study into account to catalog the best countries to live and retire to.

    In the case of Panama, the report gives it an overall measurement of 82.85 points out of 100. For special visa benefits for foreign retirees, the score is 98, the highest among the 17 countries covered by the measurement.

    Pensionado Visa

    Foreign retirees who decide to live in Panama can apply for a pensioner visa, which makes it easier for them to move to the country. Data from the National Immigration Service indicate that people must present proof of a monthly pension of $1,000 in addition to other requirements.

    Once this pensioner visa is processed, you are granted a residence card and subsequently a card issued by the Electoral Tribunal with the letter "E" to identify foreigners residing in the country.
    For a complete guide about the various visa options, check our article: Residency in Panama.

    The index is based on data from expatriate centers established in various countries and also takes into account accommodation conditions and a category called "affinity," in which retirees describe how easy it is to adapt to society, make friends, and have access to entertainment activities.

    Opinions from Retirees

    The International Living report compiled some opinions from retirees living in Panama:

    "Panama is my rock. When I consider my travels across the country and abroad...what I've read in the news from America and around the world...the upheaval of the past few years (and the positives)...all the little weaknesses and pleasures of life... I feel more grateful than ever for Panama," describes Jessica Ramesch.

    She indicates that the climate, proximity to beach destinations, and airport connectivity are part of the advantages, in addition to a dollarized economy. Not to mention the various tax exemptions and the economic benefits for pensioners.

    "Panama is perfect... for me... but it is not without problems. Like any country, Panama has its problems. There are inefficiencies in government, the judiciary, and garbage collection... to name a few. While it is very modern, with high-speed internet and countless online services... it is also, in many ways, still developing. Like all Latin America, it is also, in many ways, still developing," she adds.

    Living and Retiring in Panama

    Despite its challenges, Panama offers numerous benefits: a temperate and sunny tropical climate, beaches and islands in the Pacific and the Caribbean, zero hurricanes, proximity to the United States and Canada, a strong dollarized economy, affordable quality healthcare, no income tax on foreign retirees, and low property taxes.

    For a complete guide about the Panamanian tax system, check our article: Taxes in Panama.

    retiree-panama

    Destinations such as Tierras Altas, Volcán, and Boquete in Chiriquí are popular among foreign retirees, whether to live or visit during their retirement in Panama.

    Read our article Retire in Panama to discover more aspects of the retirement process in this country!

    Sources & Footnotes

    [1] International Living: Best Places to Retire
    [2] Embassy of Panama: Retire in Panama
    [3] PwC Tax Summaries: Panama

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