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Retirement has become a complex puzzle, with high healthcare costs and the rising cost of living as its pieces. A recent study from Northwestern Mutual revealed that U.S. adults now believe they will need $1.46 million to retire comfortably, a 15% increase over the $1.27 million reported last year. This figure is only expected to rise, with Gen Z and millennials anticipating needing more than $1.6 million to retire without financial stress.
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However, the reality is stark for Americans whose nest eggs fall short. “The average amount that U.S. adults have saved for retirement dropped modestly from $89,300 in 2023 to $88,400 today but is more than $10,000 off its five-year peak of $98,800 in 2021,” per the study. As a result, Americans are retiring in countries that welcome expats.
If you’re considering leaving the U.S. to enjoy your golden years, here are some beautiful locations to keep in mind.
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Costa Rica
The motto for residents of this long-time favorite travel destination is “pura vida,” meaning “pure life.” The country’s natural beauty and high quality of living at an affordable cost are major draws. Moreover, the healthcare system offers a significant financial advantage. “Medical visits, tests and even complex surgeries are 1/4 to 1/3 of the price in the United States,” stated International Citizens Insurance.
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In addition, the cost of living is cheap.
“Some retired couples live well on $2,000 per month and even better on $2,500 to $3,000,” per International Living. “That includes all costs, including housing, transportation, medical care, utilities, food and entertainment.”
Panama
Panama, with its stable economy, stunning landscape, beautiful beaches and Miami vibe — minus the hurricanes — continues to be a top choice for American retirees. The country’s affordability is a key factor, with many retirees finding they can live comfortably on a modest budget.
In terms of healthcare, “You can get health insurance for under $200 a month if you successfully apply before age 64,” according to International Living. “Even if you have zero insurance, doctor’s visits can cost as little as $20, with some services (like vaccines or minor wound care) offered for free or nominal fees of $2 to $5.”
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Another appealing factor is the cost of living, which is 34.2% lower than in the United States. Rent is 51.7% lower, per Numbeo.
Ecuador
For years, American retirees have called Ecuador home, and with good reason. The country is located in the northwestern corner of South America, sitting directly on the Equator. The year-round perfect climate and endless outdoor activities are just a couple of big draws for U.S. expats. However, the affordable cost of living is the main purpose for relocating.
“A couple can get by very comfortably on $2,000 to $2,500 per month, with enough left over to spend on travel, while a single person may only need around $1,500,” per International Living.
Healthcare is also a welcome perk for retirees. “The government-run system — known as IESS — runs at around $95 per month for a couple and covers most needs, but even the private sector is very affordable, with a visit to a GP generally costing $40 and an MRI scan about $250,” International Living stated. “Equipment is state-of-the-art in these private hospitals, and many doctors have done some training in the U.S. or Europe, so they speak English too.”
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This article originally appeared on GOBankingRates.com: 3 Cheap Beautiful Locations To Retire in Central and South America
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Publish date : 2024-06-11 07:42:23
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