Thinking of Retiring Abroad? Here's What to Know
According to International Living’s 2026 Global Retirement Index, Greece now tops the list of best places to retire abroad — its first-ever #1 ranking. Panama ranks second, followed by Costa Rica, Portugal, and Mexico rounding out the top five retirement destinations abroad.
Many retirees consider moving out of the country in search of greater affordability, adventure, and a change in lifestyle. However exciting retiring abroad may sound, it deserves considerable planning.
Things to Consider When Retiring Abroad
1. Where Do You Want to Retire?
There are many starting points for narrowing down retirement destinations abroad, but primary considerations may include:
- Cost of living
- Stability of the country
- Access to healthcare
- The type of experience you desire
- Climate
Engage your spouse in the conversation — both of you need to be happy and excited for a move to work long term.
2. Visit Prospective Candidates
Test drive the country you’re considering. No amount of research from your living room can replace being on the ground, experiencing the people and actual living conditions firsthand.
3. Check Visa and Residency Requirements
Each country has different requirements for permanent residency. Some have programs specifically designed to welcome retirees. Either way, you’ll need to understand what’s required of you before putting down roots.
4. Make an Appointment with a Tax Advisor
While visiting prospective countries, spend time with a local tax advisor to understand how that country taxes U.S. retirees. You don’t want any surprises once you’ve made the move.
5. Nirvana Doesn’t Exist
As you go through this process, appreciate that every country will have its pluses and minuses. You’ll need to balance them based on your personal priorities — and remember that most countries won’t offer U.S.-style living.
6. Consider Health Insurance
Medicare generally does not cover health care expenses incurred overseas, and the same is often true for private U.S.-based health insurance. Research health insurance options that will cover you in the country of your choice before you go.
7. Consider Renting First
Moving into an unfamiliar area makes it difficult to make smart real estate decisions right away. Consider renting first to learn the area, understand the neighborhood, and confirm it offers the range of activities you want.
8. Beware of Scams
A retiree working toward a dream is fertile territory for people looking to separate you from your money. Work only with reputable businesses that you’ve identified through research and trusted referrals.
Planning for Retirement Abroad Takes More Than a List
Retiring overseas from the U.S. is an exciting decision, but it’s also a complex financial one — from tax exposure to healthcare coverage to how it fits into your broader retirement income plan. If you’re based in Fort Myers or elsewhere in Southwest Florida and weighing an international retirement, working with a financial professional alongside a local tax advisor in your destination country can help you plan with confidence before you make the move.
Frequently Asked Questions
What are the best places to retire abroad right now?
According to International Living’s 2026 Global Retirement Index, Greece ranks first, followed by Panama, Costa Rica, Portugal, and Mexico. Rankings are based on factors like affordability, healthcare, climate, and visa accessibility.
What should I consider before retiring abroad?
Key factors include cost of living, political and economic stability, access to healthcare, climate, visa and residency requirements, local taxation of U.S. retirees, and health insurance coverage.
Does Medicare cover healthcare costs if I retire overseas?
No. Medicare generally does not cover health care expenses incurred overseas, similar to most private U.S.-based health insurance. You’ll need to research and secure health insurance coverage in your destination country.
Should I buy property right away when retiring abroad?
It’s generally wise to rent first. Renting allows you to learn the area, understand the neighborhood, and confirm it offers what you’re looking for before committing to a real estate purchase.
Do I need a tax advisor when retiring overseas from the U.S.?
Yes. Tax treatment of U.S. retirees varies significantly by country, so meeting with a local tax advisor during your visits helps you understand your obligations and avoid surprises.
How do I avoid scams when planning retirement abroad?
Work only with reputable businesses and professionals identified through careful research and trusted referrals — retirees pursuing an exciting new chapter can be a target for scams.
