Retirees in the United States are increasingly looking for better options for their post-work life, and many are choosing to move abroad for a higher quality of life. According to the Retirement Index for U.S. Citizens launched by the Global Intelligence Unit (GIU), American retirees seek a relatively low cost of living, high-quality healthcare, good weather, and a relaxed pace of life when it comes to relocation.
From Portugal to Costa Rica, there’s a wide range of destinations offering the ideal lifestyles for U.S. retirees. But, with so many great options, choosing the right place to retire can be challenging.
This article will share the top countries for Americans to retire based on GIU’s Retirement Index, and provide insights on what makes these countries appealing, such as living expenses, healthcare systems, and retirement visa options. We’ll also discuss options for acquiring second citizenship for those considering a more permanent relocation.
This is more of what we will cover:
Why Do Americans Choose to Retire Abroad?
The Global Citizen Solutions Retirement Guide for U.S. citizens shows that more Americans are retiring abroad to enjoy lower living costs, tax benefits, political stability, and new cultural experiences. It ranks the top 16 countries for U.S. retirees by looking at factors like living costs, rent, climate, healthcare, safety, and English proficiency.
The guide also showed that some retirees are motivated to get second citizenship for easier travel and extra benefits. While there are challenges like U.S. global income taxes and banking restrictions, retiring abroad can improve lifestyle and finances.
Benefits of Retiring Abroad for U.S. Citizens
Cost of Living
Cost of LivingThe best retirement destinations have lower living costs, helping retirees make their savings last. These countries often provide affordable housing, healthcare, and daily expenses, making them ideal for retirement.
Climate
ClimateRetiring abroad offers the chance to enjoy warmer climates and milder winters, common in regions like Central America, the Caribbean, and parts of Europe, enhancing quality of life.
Healthcare
HealthcareAnother good reason is access to high-quality healthcare at a lower cost. Retirees look for healthcare services that cost less than in the U.S. and often find they can access affordable medical services and prescriptions.
Lifestyle and Culture
Lifestyle and CultureRetiring abroad allows you to immerse yourself in a new culture, enjoy different cuisines, and explore diverse lifestyles. Retirees usually appreciate the slower pace of life and the chance to travel more extensively.
Tax Benefits
Tax BenefitsAmericans often retire abroad to enjoy tax benefits like lower income taxes and treaties that prevent double taxation. Such agreements may exempt foreign income and allow Social Security benefits without extra taxes, boosting retirees’ financial security.
Adventure and Exploration
Retiring abroad allows individuals to experience new adventures and explore parts of the world they may not have had the opportunity to visit while working.
Safety
SafetySafety is a key factor for many Americans moving abroad, looking for countries with lower crime rates, political stability, and a higher sense of security.
Second Citizenship
Second CitizenshipAcquiring a second citizenship can provide benefits like easier travel, better social services, and the flexibility to live and work in multiple countries.
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10 Best Countries for Americans to Retire
1. Spain
- Retirement Index ranking: 1
- Average cost of living: $2,000-$2,500
Spain ranks as the top country for retirement, scoring 100 in the GIU’s US Retirement Trend report. Though petty theft can occur in tourist areas like Barcelona and Madrid, it has low crime rates.
Madrid is a popular expat choice and known for its culture and history. Living costs for a single person average $2,000 to $2,500 per month, with rent for a one-bedroom apartment around $1,322.50 in central areas and $968.05 in outer areas.
The country has Spain’s Non-lucrative Visa for Americans moving abroad, which is perfect for those who want to live without working. Applicants must show a monthly income of over €2,400, proof of accommodation, and private health insurance. Another option for Americans is Spain’s Golden Visa. This program gives residency through a qualifying investment, with the most common route being a real estate investment of at least €500,000.
Read the Global Intelligence Unit's US Retirement Trend report
2. Portugal
- Retirement Index ranking: 2
- Average cost of living: $1,900 to $2,600
Portugal is a popular destination for U.S. retirees, offering a warm climate, affordability, and good healthcare. Retireescan use public healthcare or opt for private insurance with English-speaking providers, especially in Lisbon and Porto. The country is also ranked the 7th safest in the world.
Living costs range from $1,900 to $2,600 per month, and a one-bedroom apartment in Lisbon costs around €1,441, much lower than in New York.
The Portugal D7 Visa is ideal for retirees with stable income from pensions or savings. Alternatively, the Portugal Golden Visa offers residency through investment, starting at €250,000.
Read our Guide on Portugal's D7 Visa for US Retirees
3. Costa Rica
- Retirement Index ranking: 3
- Average cost of living: $1,000 to $2,500.
Costa Rica ranks third on the retirement index with a score of 99.51 points. The Central Valley, including San José, is popular for its mild climate, while coastal areas offer beautiful but warmer and more humid conditions.
Costa Rica’s public healthcare system, CAJA, provides universal coverage, and private healthcare remains affordable. The average monthly cost of living in Costa Rica is around $1,500, with consumer prices 45.5% lower than in New York City and rent up to 83.6% cheaper.
Retirees can apply for Costa Rica’s Pensionado Program with a minimum income of $1,000 per month or the Rentista Program if they don’t have a pension, requiring either $60,000 in savings or $2,500 per month for two years.
4. Uruguay
- Retirement Index ranking: 4
- Average cost of living: $1,200 to $2,500
Uruguay offers a mild climate and coastal areas like Punta del Este with cooling sea breezes. The healthcare system combines public and private options, with retirees often choosing the affordable “mutualistic” system, which costs $100 to $200 per month.
Considered South America’s safest country, Uruguay has low crime rates, though petty crime occurs. The average cost of living is around $1,200, with prices in Montevideo 79.6% lower than in New York City.
American retirees can apply for the Pensionado Visa with a stable monthly income of $1,500 or more, health insurance, and a criminal background check. Dependents can also be included.
5. Mexico
- Retirement Index ranking: 5
- Average cost of living:$1,200 to $2,000.
Mexico is the fifth most attractive country for American retirees, scoring 97.19 points. This is because it is also close to the U.S. and offers diverse climates, from hot summers in the north to milder temperatures in central areas.
Healthcare is strong, with public services and private insurance options. Health insurance costs about $5,900 for Americans, and the average cost of living in Mexico City is around $1,200 per month, which is significantly lower than in the U.S.
Retirees can apply for a Permanent Resident Visa with a minimum investment of €98,440 or a monthly income of €1,491 for six months. Applicants must be at least 60 years old or meet other criteria if younger, and some consulates may require a criminal background check. This makes Mexico an ideal place for U.S. retirees looking for an easy way to to move out of the U.S.
6. New Zealand
- Retirement Index ranking: 6
- Average cost of living: $1,500 to $2,800.
New Zealand has a mild climate, with warm summers and cooler winters. In the north, temperatures range from 20-25°C in summer and 12-16°C in winter.
The healthcare system is universal and government-funded. However, private insurance, which costs between $26 and $130 per month, is available for people who want quicker specialist access.
New Zealand is also safe, ranking 4th globally with low crime rates. It’s also rated Level 1 by the US Department of State.
For retirees, the Temporary Retirement Visitor Visa allows a stay of up to two years. To qualify, you must invest NZD $750,000, have NZD $500,000 for living expenses, and an annual income of NZD $60,000 or more. You must also be 66 years or older.
7. Italy
- Retirement Index ranking: 7
- Average cost of living: $1,300 to $3,200
Italy has cold winters and warm summers in the north and milder winters with hot summers in the center of Italy. Retirees can benefit from Italy’s healthcare system, with public services funded by taxes and private insurance available for quicker access, costing $120 to $350 annually.
Italy is safe and ranked 31st globally, though petty crimes can occur in tourist areas. The cost of living is much lower than in New York. In the capital city of Rome, expenses average $2,020, with rents around $1,140. In Milan, it’s $2,350.
Retirees can apply for Italy’s Golden Visa with a €250,000 investment in start-ups. The visa includes family members and offers tax incentives for income after becoming a tax resident.
Read our Guide on the Italian Golden Visa
8. Canada
- Retirement Index ranking: 8
- Average cost of living: $2,500 to $3,500
Canada has a great public healthcare system, but new residents may need private insurance until they are eligible, which costs $4,000 to $6,000 annually. It is particularly attractive to U.S. citizens for its close proximity, cultural similarities, and being an English-speaking country.
Additionally, living costs in Vancouver average $2,981. American retirees with Canadian family members can apply for permanent residency through family sponsorship.
Alternatively, a Visitor Visa allows a stay of up to six months. Another option is the Canada Start-up Visa, which allows entrepreneurs to move to Canada by starting a business. This visa requires investment and support from a designated organization.
9. Ireland
- Retirement Index ranking: 9
- Average cost of living: $3,000 to $4,000 in Dublin
Ranked ninth for American retirees, Ireland has warm summers and varying rainfall across regions.
Ireland’s two-tier healthcare system offers public services through the Health Service Executive (HSE), but many choose private insurance for quicker access. Ireland ranks third on the Global Peace Index, ensuring safety.
The cost of living in Dublin is relatively high, with monthly expenses ranging from $3,000 to $4,000, and a one-bedroom apartment costs around $2,750. Additionally, the US-Ireland tax treaty helps prevent double taxation.
American retirees can apply for the Irish Retirement Visa by proving they earn at least €50,000 annually (or €100,000 as a couple), have private health insurance, and intend to live long-term in Ireland.
10. France
- Retirement Index ranking: 10
- Average cost of living: $2,700 to $3,200
France is a top 10 destination for American retirees, offering excellent healthcare funded by taxes.
The climate varies: Paris has cool winters and warm summers, while the south, like Bordeaux, enjoys milder winters and hotter summers.
When it comes to finding housing in Paris, rent for a city-center apartment costs around $1,500, much lower than New York’s $4,189.81. While general living expenses add up to monthly expenses, range from $2,700 to $3,200, with r
Retirees can apply for a Long-Stay Visa (Visa de Long Séjour) to stay in France for over 90 days. This visa is often the first step toward residency. The requirements include proof of financial support, health insurance covering at least €30,000, and accommodation details.
Best Countries for Americans to Retire Abroad Comparison
Country | Retirement Index Ranking | Average Cost of Living (USD) | Percentage Difference | Visa Options for American Retirees |
Spain | 1 | $1,500 - $1,800 | 45% lower | Non-Lucrative Residence Visa |
Portugal | 2 | $1,600 - $2,000 | 40% lower | Golden Visa, D7 Visa for retirees |
Costa Rica | 3 | $1,200 - $1,800 | 50% lower | Pensionado Visa, Rentista Visa |
Uruguay | 4 | $1,800 - $2,400 | 30% lower | Temporary Residence Visa |
Mexico | 5 | $1,200 - $2,000 | 60% lower | Temporary Resident Visa, Permanent Resident Visa |
New Zealand | 6 | $2,500 - $3,000 | 15% higher | Investor Visa, Retirement Visa |
Italy | 7 | $1,800 - $2,500 | 30% lower | Italy Golden Visa |
Canada | 8 | $2,000 - $2,800 | 20% higher | Super Visa, Permanent Residency |
Ireland | 9 | $2,000 - $3,000 | 20% higher | Stamp 0 (Retiree Visa) |
France | 10 | $2,000 - $2,800 | 20% higher | Long-Stay Visa |
Best Countries for Americans to Aquire Second Citizenship
As highlighted by the Retirement Guide for U.S. citizens, getting a second citizenship is one of the key motivators for Americans to retire abroad. These are some of the top countries to get a long-term residency and citizenship by investment while enjoying the benefits of visa-free travel.
Country | Program type | Minimum Investment | Investment Options | Citizenship Timeline |
CBI | $230,000 donation $300,000 real estate | Government donation. Real estate investment Business investment. | Six months | |
CBI | $200,000 donation $200,000 real estate | Government donation. Real estate investment | Nine months | |
CBI | $235,000 donation, $270,000 real estate | Government donation. Real estate investment. Business investment | Six months | |
CBI | €600,000 donation + €700,000 real estate | Government donation. Real estate investment. Government bonds 4. Business investment. | 12-36 months | |
CBI | $250,000 donation or $400,000 real estate | Government donation. Real estate investment. | Four to six months | |
CBI | $400,000 real estate purchase | Real estate investment. Capital Investment. Bank deposit. Government bonds. | Four to six months | |
CBI | $130,000 donation | Government donation. | Two months | |
CBI | $240,000 donation or $300,000 real estate | Real Estate Investment. National Economic Fund | 10-12 months | |
RBI | € 250,000 recovery or maintenance of national cultural heritage. €500,000 business investment | Business investment. Job creation. Recovery of national cultural heritage. | Five years | |
RBI | €250,000 real estate, €50,000 business. | Real estate. Business. Government bonds. | Five years (Permanent residence) | |
RBI | €250,000 real estate | Real estate. Capital contribution. Government bonds. | Seven years | |
RBI | €250,000 (real estate funds) | Real estate funds. Charitable donation. | Eight years | |
RBI | €250,000 (real estate) | Real estate investment. Business investment. | Five years (Permanent Residence) | |
RBI | €300,000 in real estate | Real Estate and Business | Seven years |
Things to Consider Before Retiring Abroad
Before retiring abroad, there are several important things to consider and prepare for to make the move easier. Here are the key points:
Cost of living
Look into the cost of living in your chosen country, including housing, food, and healthcare. Some countries may be cheaper, but there could be hidden costs like expensive goods or services.
Healthcare access
Make sure the country offers good, affordable, and high-quality healthcare. Some countries offer great healthcare at low prices, but you might need private health insurance or meet certain requirements to use it. It’s important to choose a place with a high life expectancy to ensure a long, healthy retirement.
Tax rules
Understand the tax rules in both the U.S. and your new country. The U.S. taxes its citizens on their worldwide income, so check if any treaties help reduce double taxation or offer exemptions on foreign income. Look for tax advantages to help minimize your overall tax burden while living abroad.
Visas and residency
Find out about visa and residency rules. Many countries have special retirement visas, but you may need to meet certain income, health, or investment requirements.
Banking and money
See if it’s easy to open a bank account and manage your money abroad. Some countries have rules that make it harder for foreigners to access financial services.
Social life and support
Look into the local community and social life. Having a support network of expats or locals can help you adjust and feel more comfortable in your new home.
How Can Global Citizen Solutions Help You?
Global Citizen Solutions is a boutique migration consultancy firm with years of experience delivering bespoke residence and citizenship by investment solutions for international families. With offices worldwide and an experienced, hands-on team, we have helped hundreds of clients worldwide acquire citizenship, residence visas, or homes while diversifying their portfolios with robust investments.
We guide you from start to finish, taking you beyond your citizenship or residency by investment application.
Frequently Asked Questions About the Best Retirement Nations for Americans
What’s the best country for US expats to retire to?
The best country for U.S. expats to retire to depends on personal preferences, but countries like Mexico, Portugal, and Costa Rica are popular choices. They offer affordable living, good healthcare, and a relaxed lifestyle. These destinations also provide retirement visas and tax advantages, making them great options for American retirees.
How can a US expat retire in Europe?
If you’re wanting to retire in Europe as a US expat, you will need to apply for either a long-stay visa or retirement visa.
The requirements will differ from country to country but in both instances you will have to demonstrate that you have sufficient funds to financially support yourself.
If you’re going the retirement visa route, you will not be allowed to work while living in the intended country.
What’s the best place for US expats to retire in Latin America?
According to our Global Retirement Index for US citizens, the following countries rank the highest for retirement in Latin America:
- Costa Rica
- Uruguay
- Mexico
- Panama
What’s the best place for US expats to retire in Southeast Asia?
In Southeast Asia, the best location for US expats to retire is Thailand. With the Thai Non-Immigrant O-A Visa, people aged 50 and above can stay for in the country for up to one year for retirement.
What’s the best place for US expats to retire in South America?
The best nation for US expats to retire in Latin America is Ecuador. The higher altitude of cities like Cuenca provides a warm climate without the extreme heat. Ecuador is also considered one of the best countries to retire abroad for Americans, as pensioners can access discounted flights to the US through the country’s retirement visa program.
What are some other best countries for US expats to retire in?
Other top countries for US citizens to retire in include Cyprus and Malta, and Caribbean countries like Dominica, St Kitts and Nevis, and Grenada.
Cyprus and Malta both offer permanent residency through renewable permanent residence permits in exchange for investment.
Caribbean countries like Dominica, and St Kitts and Nevis have citizenship by investment programs, granting citizenship to US expats who invest a minimum sum in their economy.
Where is the cheapest place to retire?
The cheapest place for US expats to retire to is Colombia due to its low requirement of just $774 in monthly income to qualify for a retirement visa. Other countries like Thailand have low housing costs with monthly rent under $400.
What is the safest country for Americans to retire in?
The safest place for US expats to retire to is Iceland due to its low crime rate and small-town feel, as well as unparalleled equality and good relations with other countries.
Can a US citizen retire abroad?
Yes, a U.S. citizen can retire abroad. Many Americans choose to retire in foreign countries to enjoy a lower cost of living, warmer weather year round, and high-quality healthcare.
It’s essential for retirees to consider visa requirements, residency laws, and tax implications when planning their retirement abroad.
What are the downsides of retiring abroad?
Retiring abroad can have downsides such as navigating complex visa and residency requirements, potential language barriers, and differences in healthcare systems.
Additionally, retirees may face higher taxes or limited access to familiar financial services. Being far from family and friends can also create emotional challenges.
What are the best countries for retirees?
The best country for retirees depends on individual preferences, but countries like Portugal, Spain, and Mexico are popular for their affordable cost of living, high quality of life, and good healthcare. They also offer visa options specifically for retirees and provide a relaxed pace of life.
Where do the happiest American retirees live?
The happiest American retirees often live in countries like Costa Rica, Portugal, and Mexico, which are known for their affordable cost of living, friendly communities, and excellent healthcare. These countries offer a relaxed lifestyle, great weather, and vibrant expat communities, making them ideal for retirees looking for happiness and comfort.
What are the best retirement places for singles?
For singles, Portugal, with its affordable living and vibrant expat communities, is a top choice.
Spain offers lively cities like Barcelona, a rich culture, and since it hugs the Mediterranean Sea, it’s a haven for beach lovers.
Costa Rica is known for its natural beauty, friendly locals, and relaxed lifestyle, making it a great option for those seeking adventure and connection.
How do you decide which country to live in?
Many expats living in countries like Canada and Japan prioritize quality of life, while others prefer to retire in the cheapest and safest countries, such as Hungary, Romania, Chile, and Mongolia. Some retirees prioritize affordable healthcare when choosing a place to live.
Where do most American retirees choose to live abroad?
Popular destinations for American retirees include:
- Costa Rica: Offers special visas for foreign retirees
- Philippines: The country also offers a retiree visa that allows foreigners to live permanently in the Philippines from the age of 50, provided they have a pension.
- Switzerland and Italy: Rural towns offer cash payouts to foreigners who choose to move there and the option to buy a “one euro home” on the condition they renovate it.
- Thailand: Known for its effective healthcare system and retiree-specific visa.
What are the visa requirements for Americans retiring abroad?
Retirement visa requirements are country-dependent, but typically include proof of health insurance and identity as well as evidence that you can sustain yourself in the intended country (such as a pension).
Which countries provide permanent residency to retired Americans?
The following countries offer permanent residency to US retirees:
- Portugal
- Panama
- The Philippines
- Belize
- Costa Rica
- Ecuador
- Malaysia
- Colombia
- Spain
What are the best destination for Americans beach lovers to retire in?
For Americans retirees who love sandy beaches and warm weather, they will enjoy destinations like Portugal, Spain, Costa Rica, Mexico, Panama and Belize.
Which countries offer the best healthcare for retired Americans?
Norway, Switzerland, Singapore, Germany and France all offer excellent healthcare for retired Americans because of their skilled medical professionals and innovations.
For more affordable cost of living combined with great healthcare systems, medical tourism hubs like the Philippines, Mexico and Thailand are excellent options.
Where can American retirees live comfortably on Social Security alone?
American retirees looking to live comfortably on Social Security benefits abroad should consider Ecuador.
Ecuador allows US citizens to collect Social Security benefits while living in the country. These benefits stretch further as the cost of living is much lower than in the United States. Ecuador also offers affordable, high-quality healthcare services.
