I have spent a lot of time and have had a base in a number of countries with my current. Having livened in 5 countries (Philippines, Thailand, China, Malaysia & Vietnam) and visited many others. I have written a comprehensive review of where the best value places to retire as an expat.
Thailand:
Thailand has a huge expat retirement population. Hot weather, good food, and great beaches make life here easy for many. Bangkok, Hua Hin, Chaing Mai, Chang Rai, and Phuket are all popular expat destinations. I was just in Hua Hin and saw more foreigners living in the city than locals, however, even with the strong Baht of 2019 and the stricter immigration laws, it is still a popular place to retire.
The main one for me is medical facilities in Thailand, they are world-class, so much that Thailand is now a health tourism location. With world-class facilities offering heart bypass from $10,000, you can see why hospitals as Bumrungrad are exceptional and attract visitors from around the world. I went for a middle-tier hospital in Bangkok for a minor operation a few months ago and the treatment was fantastic. It was clean, no waiting for months for the operation, the aftercare was precise and well displayed in perfect English. It really was impressive, and this was a middle-tier hospital (Phyathai).
Expats coming from the UK and Europe are better off still getting expat insurance though and for the over 65s, this will cost at least $200-$300 a month. This is a substantial extra cost compared to being in the UK or Spain. If you have pre-existing conditions, moreover, you may not get insured.
To get a retirement visa, there are some financial requirements. You need to have a bank account with THB 800,000 (about $25,000) and double that (close to $50,000) for a couple, or a monthly income of THB 65,000 (around $2,000 a month), or a combination of a bank account and income that exceeds THB 800,000.
After meeting this requirement, you must then obtain a one-year retirement visa. To get this you must be 50, have a Thai bank book and a letter from your bank in Thailand. In addition, you will need to provide pictures, a passport and departure cards. You will also need to get an `extension of stay’ notice and a re-entry permit. This will allow you to re-enter the country if you leave it. Finally, you must report to immigration every 90 days to check-in and verify the address you are living in. If you have ever been deported from Thailand or had any sort of criminal history you may not get the visa.
For people under 50 who are financially independent and retired, you will need to find another solution. One is to enroll on a Thai language course or another education course. Spend a limited amount of money, and get a student visa. In 2017, a `digital nomad visa` was introduced. Called a Smart Visa, it is designed for business people.
They have limited the applicants to startup business owners, investors, high-level executives, or other highly-skilled professionals. Visa rules are always changing, but if you have a decent budget and you are under 50, you should be able to get a visa. Spending 2-3 months a year in Thailand on a tourist visa if you live elsewhere in SE Asia, is very easy.
One of the biggest mistakes I have seen in Thailand is underestimating costs. Many Thais live off $1,000 a month or less and you can too, however, this doesn’t include luxuries. To travel domestically and internationally, occasionally eat out and be insured will cost you between $1,500-$2,500 depending on your tastes and expectations. A luxury retirement with maids and big house, may cost at least $4,000-$5,000 a month.
Indonesia
Indonesia does attract expats as it is the biggest economy in South East Asia. Jakarta is an expat destination, but not a retirement destination, it has some of the worst traffic I have seen, prices are expensive (especially for alcohol) and it is a business city.
Bali and some other beach resorts, in comparison, are laid back and cheaper. You can live in Bali villa and enjoy a luxury lifestyle of spas and massages, all for $2000 a month. A more modest lifestyle can be had for $1,000-$1,500 a month.
What did surprise me about Indonesia was how strict immigration can be, I found Indonesians are some of the friendliest people I have met, but immigration at the airport was an exception. It was curious for me, as for most foreigners from high-income countries, why would they go to Indonesia on a tourist visa to take money from the non-existence Indonesian welfare system?
Based on that experience, it shouldn’t come as a surprise that there are numerous requirements to retire in Indonesia. In Indonesia, the age in which you can get a retirement visa is 55, 5 years older than Thailand. The other requirements include:
- Possess a passport or travel documents with more than 18 months remaining validity
- Copy of all passport pages
- A copy of your resume
- A copy of your marriage certificate if you are married
- Proof of $18,000 per year of income. This will come from statements from your bank or investment funds. Married retired couples must both prove an individual income of $1500/month and apply separately.
- Proof of medical/health insurance, life insurance, and third-party personal liability insurance in country of origin or Indonesia Statement of living accommodation in Indonesia.
- Minimum cost of $35,000 if purchased house/apartment or, a minimum rental cost of $500/month in Jakarta, Bandung, and Bali; US$300/month for other cities in Java Island, Batam, and Medan, and other cities a minimum US$ 200/month.
- Statement to declare intent to employ an Indonesian maid and/or driver whilst living in Indonesia Payment of Immigration Fee based on effective regulations. You must sign a lease for housing with a minimum one year period. Alternately you can supply proof that you own a house under an Indonesian spouse’s name.
Cambodia
Cambodia is an off-the-beaten-track location but is up and coming. People are friendly, it is cheap, growing fast and has an easy visa system. Retirees can come to the airport and get a business visa on arrival, and then renew for up to 2 years at a time. Kep and Kampot, moreover, are more relaxed than Phnom Penh or Siem Reap.
Having lived in 5 countries, visited 35 countries and more than 200 cities, I haven’t seen a place as good value as Phnom Penh for some things. Not cheap, but good value. Basic goods like water are more expensive than China or Thailand, but you can go to an excellent French or other international restaurant for lunch for $10, and that is for three courses! A traditional Khmer massage can cost you $6-7 including a tip.
Sihanoukville has a sleazy reputation, but like Pattaya, has been trying to change its image for the better. Some of the beaches are beautiful, however it doesn’t have the same amenities as Phnom Penh or Siem Reap but it does offer a more relaxed lifestyle.
Malaysia
One of the big positives about Malaysia is that they do have a specific retiree scheme. Started in 1997, it has become popular in particular amongst British retirees, which is unsurprising, given that Malaysia is a former UK colony. That fact means that over 90% of Malaysians speak fluent English. Coupled with the golf courses, natural scenery, and excellent climate, this puts Malaysia high on an expat retirees list.
Under the ‘My Malaysia Second Home Program’, expats pay a one-off fee of $3,000. The program then helps expats get a 10-year visa and also helps with housing. Like Indonesia, the capital city is more expensive, but the traffic infrastructure is much better, outside the capital, expat retirees can buy a house for $75,000-$150,000.
Penang is a good destination for retirement. Cheaper and more laid back than Kuala Lumpur, with a good climate and the same excellent food, it offers retirees a great standard of living.
Vietnam
Vietnam is hitting a sweet spot right now, it is good a place to live, it is developed enough in the big cities, such as HCMC, to be very livable but still good value. Vietnam doesn’t have an easy visa situation as Cambodia or Malaysia for retirees. Having lived in HCMC is still good value, however, it is developed enough to offer extra conveniences compared to Cambodia, such as readily available taxis and cheaper consumer goods due to economies of scale.
Even though Vietnam doesn’t currently offer retirement visas, it is relatively easy to stay on tourist and business visas long term. Another negative about Vietnam, like Cambodia, excellent healthcare can only be found in bigger cities such as Ho Chi Minh. Thailand offers world-class healthcare these days, and health tourism has been their reward. If you get sick or need certain medicines, Vietnam isn’t the best option, even if you get expat medical insurance.
According to International Living, Vietnam comes way down the list when considering a good place to retire. Having said that, I would say most expats (both retirees and working-age individuals) seem happy in Cambodia and Vietnam if they can get used to their way of living.
Philippines
The Island chain nation has some of the most beautiful beaches in the world, English is widely spoken, and the people are ultra-friendly. The Philippines offers a range of retirement visas that are fairly straight forward and low cost. Somewhat comparable to the Thailand Elite Visa and the Malaysia my second home. https://pra.gov.ph/srrv/
- It gives a range of options one version being of depositing 10,000 USD with a pension of 800 USD a month for single and 1000 for a couple.
- Without a pension 20,000 USD being put into an Active accredited Philippine bank. This can also be used for the deposit of condominium that is above the value of 50,000 USD
- The application is straight forward, the cost is around 1000-2000 USD for one-off service fees and 300-400 USD annual fee.
Some of the downsides to a place like the Philippines (as with Cambodia and Vietnam) is the health care facilities and the traffic. Living in Manila is now voted the world’s worst for traffic. In addition to this, it can be a risky place occasionally with an array of beggars and children, you need to be aware of your belongings. It does have some expat areas Makati and BGC, Metro Manila’s own version of Singapore. For peaceful options, there are some great places Baguio, Cebu & Tagaytay to retire in.
Europe
Spain, Portugal and Greece
Spain is arguably the `original` retiree destination for the British, Dutch, Germany and Scandinavian expats. With cheap or subsidized healthcare, if you are from the EU & Spain can actually compete on cost with Thailand and Cambodia once you factor in this benefit.
With relatively good costs in some parts of the country, excellent climate and proximity to other European countries, Spain, Greece and Portugal will continue to be popular expat destinations.
In Portugal, retirees outside the EU usually hold Type I visas. That visa requires people to show proof of private health insurance valid in Europe, as well as proof of sufficient funds to support living and a criminal background check. After five years’ residence in Portugal, retirees can apply for a permanent residency visa, with associated healthcare benefits.
Portugal has a great reputation for having friendly locals, an easy-going lifestyle and ease of opening bank accounts. Against that, driving is supposed to be dangerous and Portuguese is a more difficult language to learn for many expats compared to Spanish and French, but that will depend on your native language.
Bulgaria
Also in the EU, but certainly not a traditional retirement destination, Bulgaria is an up-and-coming retirement destination. With houses from $55,000, cheap costs and an ever-increasing expat community, Bulgaria’s expat community is likely to continue to grow.
One of the advantages of Bulgaria is; it’s in the EU, expats from other EU countries don’t require visas. Non-EU citizens who are retired in their home country can apply for a Bulgarian Pensioner D visa and temporary residence permit. Documents submitted to the embassy will include:
- Documents showing you are entitled to a retirement income, legalized with a notary public.
- Document from a bank in Bulgaria ascertaining that the application has a valid bank account in Bulgaria, where regular transfers can be made
- Evidence of address in Bulgaria
- Medical insurance
South America
Mexico/Dominican Republic/Panama/Costa Rica :
For Americans and Canadians, Mexico and the Dominican Republic are good destinations. The visa situation is very favorable in the Dominican Republic, with even overstayers fined a relatively small amount of money.
Mexico has an easy-going lifestyle, but many people are worried about safety. Most of the crimes are committed by people who know each other, such as gang members, so retirees aren’t usually targeted.
For Americans all over the world, getting expat insurance will be cheaper than back home. From experience, most Americans are happier with the overseas insurance situation compared to Europeans. For British people who have grown up in a system where healthcare is free at the point of use, people can feel it is an extra cost.
One of the advantages of retiring in Panama is that you only need to prove funds of $600 a month. That doesn’t mean that it is recommended that you can only live on $600 a month in Panama, but it does show the rules are less strict than elsewhere.
In terms of safety and proximity, Costa Rica ticks many boxes. It has been a retirement destination for Canadians and Americans for 30+ years now for this reason, and many other factors.
We hope this blog has been helpful for you and if you need any questions answering please DM us or email us via our website!
