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Guide · 12 min read · November 25, 2025 · Fact-checked October 7, 2026

Retiring Abroad: Ten Countries to Consider

Retiring abroad can offer a new culture, a different climate and, in some places, a lower cost of living. This article looks at ten countries that are popular with retirees and summarises the main residence route each one offers to people living on a pension or other passive income. Thresholds change regularly, so treat the figures below as a starting point and always confirm current visa requirements with the country’s official immigration authority or consulate before you apply.

What to Weigh Up

  • Cost of living: Housing, food, transport and healthcare relative to your income.
  • Healthcare: Whether you can join the public system or will need private insurance.
  • Residence rules: Income or savings thresholds, age limits and renewal conditions.
  • Taxes: How your pension will be taxed, including any tax treaty with your home country.
  • Community and climate: Social life, language and weather that suit you.
Tip: Spend an extended period in a country before committing, ideally in more than one season.

Ten Countries to Consider

1. Portugal

Portugal issues a residence visa for retirees and people living on passive income, commonly called the D7. Applicants must show means of subsistence, which Portugal’s immigration agency (AIMA) measures against the national minimum wage. That minimum wage is €920 a month in 2026.

2. Mexico

Mexican consulates issue permanent residence visas to official retirees and to applicants aged 62 or over, subject to income or savings thresholds set in Mexican pesos. For example, the consular section in Washington, D.C. asks for a pension of at least MXN 139,400 a month over the last six months, or an average bank balance of at least MXN 5,576,000 over the last twelve months. Amounts can differ between consulates.

3. Costa Rica

Costa Rica grants temporary residence as a pensionado to people who can prove a lifetime pension of at least US$1,000 a month. Spouses, children under 25 and adult children with disabilities can be included. Foreign residents are expected to be insured with the Caja Costarricense de Seguro Social (CCSS), the public social security system.

4. Spain

Spain’s non-lucrative residence visa is for people who will live in Spain without working. Applicants need financial means equal to 400% of the IPREM income indicator, which Spanish consulates state as €2,400 a month in 2026, plus €600 a month for each dependent family member. They also need full health insurance from an insurer authorised in Spain; travel insurance is not accepted.

5. Malaysia

The Malaysia My Second Home (MM2H) programme offers long-term passes in several tiers, each requiring a fixed deposit in a Malaysian bank. The Silver tier requires a deposit of US$150,000 and a minimum age of 25, while a category for people aged 50 and over in designated special economic and financial zones requires US$32,000.

6. Panama

Panama offers permanent residence to retirees and pensioners whose lifetime pension is at least US$1,000 (B/.1,000) a month. The minimum falls to US$750 a month for applicants who own property in Panama worth more than US$100,000.

7. Thailand

Thailand’s Non-Immigrant O-A (long stay) visa is for applicants aged 50 or over and allows a one-year stay. Royal Thai Embassy guidance lists a bank balance of at least THB 800,000, a monthly income of at least THB 65,000, or a combination of the two, plus health insurance of at least US$100,000 (THB 3,000,000). Requirements vary slightly between embassies.

8. Ecuador

Ecuador offers a temporary residence visa for retirees (residencia temporal de jubilado), valid for two years. Applicants must show a monthly pension of at least three times Ecuador’s unified basic salary and hold health insurance valid in Ecuador for the length of the visa.

9. Colombia

Colombia’s M visa for pensioners (Visa M Pensionado) requires a lifetime pension of at least three times Colombia’s current monthly legal minimum wage.

10. Malta

English is one of Malta’s official languages, alongside Maltese, which makes daily administration easier for English speakers. The Malta Retirement Programme gives qualifying pensioners a special tax status: foreign income received in Malta is taxed at 15%, with a minimum tax of €7,500 a year plus €500 for each dependant.

Practical Tips for Retiring Abroad

  • Visit first: Spend time in the country to see whether it suits your lifestyle.
  • Check the official visa rules: Confirm current requirements with the immigration authority or consulate, as thresholds are often updated each year.
  • Plan for healthcare: Find out whether you can join the public system and what private cover you will need.
  • Get tax advice: Check how your pension will be taxed in both countries.
  • Consider currency risk: Exchange rate changes can raise or lower your income in local terms.
  • Learn the language: Even basic skills make daily life and integration easier.

Ready to see which country fits your retirement plans? Take the Switch Horizon questionnaire to compare destinations against your priorities.

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