Panama as an ideal destination for retirees

Panama as an ideal destination for retirees
by Smythe Bradley


Panama is becoming a popular destination for retirees as a poll conducted by American Association of Retired Persons showed Panama as the 4th best destination in the world for retired persons. International Living magazine rated Panama as the premier place for retirees to settle down. The reasons are not far to seek. Panama offers a decent living at affordable cost. Thus retirees can stretch their dollars a little more by migrating to Panama. It is a safe democratic country with stable government and offers salubrious climate with low wages and taxes.

Some of the advantages of choosing Panama as a retirees' destination are:

* High quality and at the same time affordable medical facilities * Low taxes, in fact all foreign income, capital gains, interest income are completely tax free * Property prices are low about half of that prevailing in states like Florida * Easy connectivity by air. Panama is just a few hours away from southern parts of U.S. * Foreigners enjoy the same property rights as Panamanians and there is no discrimination * Tax exemption is available for new constructions * Panama is an ideal tourists destination with some of the world?s most beautiful beaches and other tourist attractions like adventure and eco tourism * Language is not a problem as English is widely spoken and understood and Panamanians are a friendly people * Americans can feel at home as most of the products and services available in U.S. are available in Panama as well * The Panamanian government offers attractive incentive schemes to woo foreign retirees

Panama enjoys tropical climate with rainforests, wildlife, mountains and sunny beaches. It has good communication and other infrastructure facilities. Some of the incentives offered by Panamanian government to foreign retirees are:

* Retirees planning to settle down in Panama can bring $10,000 worth of personal effects without paying duties * One automobile every 2 years is allowed to be imported without taxes * 25% discount on utility bills; 25% on airline tickets and 30% discount on other forms of transportation * 20% discount on doctor?s fees; 15% on services provided by hospitals in the absence of insurance and * 10% discount on medicines * 50% discount on entrance tickets to movies, sports and other cultural events * 15% discount on loans and 20% discount on professional services

The only country that comes close to Panama in terms of costs and standard of living in Central America is Costa Rica. Panama is a young and growing country and is making great strides economically. Panama government however, does face budgetary problem and the need to provide employment to the growing population and also increase social spending but these factors have not affected foreign retirees so far.

With all the plus points listed above, Panama must be in any retiree's radar for migrating and leading a peaceful retired life.


About the Author
Smythe Bradley is an expat living in The Republic of Panama. He has published many articles on offshore asset protection in panama, panama visas and residency, as well as many other expat issues.