The Top Countries To Retire Compared: Where Should You Retire?

It might be easy to get on board with the idea of retiring overseas…

But it’s not as easy to figure out where in the world you should pursue it.

Most people, faced with this tough question, make comparisons to help narrow things down. One of the most commonly asked questions we get at Live and Invest Overseas is “Which place is better?” Is it Panama or Costa Rica?… The south coast of Spain or the south coast of Portugal?… Does Thailand have the best opportunities forlow-cost beach living… or does Vietnam?

No place is inherently better or worse than the other. Which place is “better” depends entirely on you and your preferences, circumstances, and agendas. And although we can’t define those things for you, we can help you consider your options for reinventing your life in one destination relative to another.

In a recent issue of Overseas Living Letter, Editorial Director Sophia Titley pitted the world’s favorite retire-overseas havens against each other, examining the pros and cons at the country level. To give a more realistic view of what life is like in each place, in the issue she takes the time to zoom in on one town in each country and compare it to its counterpart in the other.

No place is perfect, everywhere has its pluses and minuses… but by going through the comparisons, you’ll come away with a stronger se nse of which haven is the best choice for you.

Let’s take a quick look at some of the general country comparisons…

Colombia Versus Ecuador

Colombia Pros:

Ecuador Pros:

Top investment haven with enormous upside
Best health care in Latin America
U.S. dollar to Colombian peso currency advantage
Strong economy
Welcoming locals, interesting culture
Diversity of lifestyle options (Euro-chic to Caribbean-beach, Spanish-colonial to rural living)
Dual coastlines: Caribbean and Pacific
Residency is inexpensive, quick, and easy to attain (you can even process the application yourself)
No criminal background check required for residency
Fast paths to citizenship

Renowned for its low cost of living and real estate
Geographically diverse country
Uses U.S. dollar, meaning no currency exchange risk
Low tax jurisdiction
Welcoming locals, interesting culture
Residency is inexpensive and easy to attain
Senior benefits program includes discounts on goods and services and line-jumping ability
Residency affords one the same rights as a citizen and the right to import household effects duty-free
Fast paths to citizenship
Well-established expat communities in
Cuenca and Loja

Colombia Cons:	Ecuador Cons:
Necessary to learn some Spanish Expat communities are small and dispersed Not a low-tax jurisdiction Foreigners can’t own within 2 kms of international borders or within 2 kms of the coast No Colombia-United States dual taxation treaty in place	Ecuador has restrictions on being out of the country during your first two years of temporary residency A criminal background check is required to obtain residency Foreigners can’t own within 50 kms (31 miles) of international borders or the coast No Ecuador-United States dual taxation treaty in place

Portugal Versus Spain

Portugal Pros:

Spain Pros:

High quality health care that can be free if you establish legal residency
Extremely safe, welcoming country (third safest in the world)
Roman and Moorish patrimony
Schengen-member country
Politically neutral
Portugal Golden Visa program: a fast-track to residency that can lead to citizenship
Excellent food and wine, with an emphasis on fresh seafood
Home to Europe’s best beaches
Oldest country in the Old World, with history that dates to 1139 B.C.
Offers tax incentives for foreigners
English is widely spoken
Well-positioned for travel around the Continent

High quality health care (seventh-best in the world according to the WHO)
Offers the Spain Golden Visa program
Roman and Moorish patrimony
Schengen-member country
Major cities with rich cultural scenes
Mediterranean coastline and climate
Excellent food and wine, with an emphasis on fresh seafood
Spanish is an accessible language
Gateway to Europe
Well-positioned for travel around the Continent
Diverse lifestyle opportunities, from cosmopolitan to vineyard to offshore island

Portugal Cons:	Spain Cons:
Restrictions on where you can purchase property to qualify for the Portugal Golden Visa program Old-World bureaucracy Bracing Atlantic-water temperatures at Portugal’s beaches Portuguese is difficult to learn	Political unrest (strikes, marches, protests, etc.) is common High taxes, complicated taxation system Old-World bureaucracy Crowded beaches during peak season, over-development

Panama Versus Costa Rica

Panama Pros:

Costa Rica Pros:

World’s top offshore haven
Bona fide tax haven (taxes income on a
jurisdictional basis)
Uses U.S. dollar, meaning no currency exchange risk
Generous and easy-to-maintain visa policies (including the Gold Standard of retirement visas, the Pensionado Visa)
New residency by investment program
Strong economy
Quality, affordable health care
Diverse lifestyle options (Pacific and Caribbean coasts, islands, mountains, and Panama City)
Entrepreneur’s playground
Super accessible, the “Hub of the Americas,” with direct flights to the States and Europe

Long-standing reputation as an overseas retirement destination, well-established expat communities
High-quality health care (higher ranked than
the States and Canada)
Dual coastlines: Pacific and Caribbean
Stunning natural environment: beaches, rain
forests, rivers, lakes, etc.
Trailblazer in protection of environment and biodiversity
Progressive policies: widespread LGBT acceptance, high literacy rates
Stable government and economy
Politically neutral, no military

Panama Cons:	Costa Rica Cons:
Mostly humid climate; long rainy season Poor service standards Mañana attitude High-quality health care isn’t evenly distributed across the country	Road quality is among the worst in Central America High cost of living “Tico time”—the slow pace of life, doing administrative tasks can be painful High import fees for goods brought into the country High costs to qualify for visa options (the Rentista Program requires US$2,500 in monthly income)

Belize Versus Mexico

Belize Pros:

Mexico Pros:

Official language is English
Commonwealth nation that uses rule of law
Tax haven (taxes income on a
jurisdictional basis)
Big, well-established expat communities
Laid-back pace of life
Belize dollar pegged to the U.S. dollar (1 Belize dollar = 50 cents)
Amazing natural scenery that the government makes an effort to protect
Mesoamerican Reef (largest barrier reef in the Western Hemisphere) is found offshore
Top fishing, snorkel, and scuba destination (particularly at the Blue Hole)
Qualified Retirement Program (QRP) is one of the world’s best retiree visas
Several sites of historical significance

Most accessible overseas retirement destination in the world for Americans and Canadians
Home to the biggest population of North American expats in the world (2 million-plus)
Familiarity—home to American franchises (from Walmart to Home Depot)
Dual coastlines: both Pacific and Caribbean
Diversity of lifestyles: many well-preserved Spanish-colonial cities, desert environments,
white-sand beaches, jungles, etc.
Rich history, with the sixth most UNESCO World Heritage Sites in the world
High-quality, low-cost health care
Easy to get residency, generous tourist visas (180 days)
Delicious and inexpensive food and drink

Belize Cons:	Mexico Cons:
High heat and humidity Limited access to quality health care Poor road infrastructure Limited selection of goods in supermarkets Cayes and coastal areas can be impacted by hurricanes Time-in-country requirement to maintain QRP status	Reputation for crime, gringo pricing Foreign restrictions on property ownership (can’t own within 100 kms of international borders or within 50 kms of the coast without a fideicomiso) Over-development of tourist zones Not everyone speaks English

Thailand Versus Vietnam

Thailand Pros:

Vietnam Pros:

Low cost of living
“The Land of Smiles,” famous for having the friendliest locals in the world
Big, well-established, diverse expat communities
Local population speaks a good level of English
World-class health care
Naturally stunning landscapes, some of the most beautiful beaches in the world
Top-rated, brand-name golf courses
Luxury-level, inexpensive spa treatments
World-renowned cuisine that costs next to nothing

Extremely low cost of living; luxury lifestyles available for very low costs (even Social Security alone)
Currency advantage of U.S. dollar to Vietnamese
dong (U.S. dollars go a long way here)
Historically rich, culturally fascinating country
(multiple UNESCO World Heritage Sites)
Diverse, naturally stunning landscapes, including extensive coastline and islands
You can explore the country by train
Luxury-level, inexpensive spa treatments
Healthy, delicious, inexpensive local cuisine (including fresh coffee)
French-colonial architecture and influence

Thailand Cons:

Vietnam Cons:

Restrictions on foreign ownership of property
Pollution in major cities
Scams and pickpockets in touristed areas, corruption
Seedy tourism
Frequent political disputes that can negatively affect quality of life
Prone to natural disasters (typhoons, floods,
tsunamis, etc.)
Geographically far from North America (time
and expense of international travel)
Thai is difficult to learn

Restrictions on foreign ownership of property
Pollution in major cities
Low English levels among locals
Expats are sparse outside of major cities
Vietnam does not have a tax treaty in place with the United States (though it does
with Canada)
Prone to natural disasters (typhoons, floods,
tsunamis, etc.)
Geographically far from North America (time and expense of international travel)
Inability to learn local language

Kat Kalashian
Editor, Live and Invest Overseas Confidential