Retire Overseas And Save Money
It’s the dream of many people to retire overseas and save money. Let’s face it; it’s expensive to live in America and some other countries. With inflation going up yearly, it gets more expensive to stay and harder and harder to keep up with the growing financial demands. I know social security and other government retirement plans have a cost of living adjustment built in, but COLA doesn’t keep up with inflation. Retiring abroad is an efficient way to save money and enjoy life.
The cost of living in many countries is half what it is in America. By living in one of these countries on a reasonable budget, you will be able to save money.
If you think you can’t afford to retire, this article may show you how you can retire overseas and save money.
Retire Overseas And Save Money
Before I get started, this article is a result of my article “Where can I live on social security alone?” The questions and answers have so many variables it’s impossible to come up with a one size fits all.
Most people are amazed to learn the cost of living in some foreign countries is half of what it is in the United States. And in many cases, the medical care is just as good as it is in America.
As of this writing, I’m in the Philippines. I’ve always heard the cost of living in the Philippines was low, and it is low compared to America.
Consumer Prices, Including Rent, in the United States are 170.3% higher than in the Philippines. You can move to the Philippines for a third of what you pay now.
The Philippians isn’t the only place you live on a fraction of what it costs to live in America.
Maybe you don’t want tropical weather in your future. There or other places like Chile and Peru, and South Africa you can retire. Do some research to find a place you would like to retire to.
How To Retire Overseas
You need to plan your retirement carefully because you are now entering a new part of life where money may not be as plentiful as it used to be.
If you have health issues, you may want to live close to a medical facility and have healthcare insurance. That’s an individual decision.
Even if you don’t have health issues, you should buy health insurance. You never know when you’ll need it.
Why are you retiring
There are many reasons to retire. I know people retiring so they could do volunteer work or travel and see the world. I know other people that can’t afford to live in the USA and are retiring to other countries so they may enjoy a better life and save money.
How Are You Going To Retire
This is a good question, but the answer is pretty simple. Find a country that you would like to live in. Do your homework to ensure you can afford to live in your new home county and learn the laws and customs.
As a part of your research, you should visit the country you intend to retire to. You should visit your country of choice a minimum of 3 times before deciding to relocate. Three trips should give you an excellent idea of what to expect.
When you visit, check the prices and compare the prices to what you would pay in your home country. Will you be able to save money?
Learn what you need to do to retire. Most embassies will provide you with the information you will need. And there is a lot of information on the internet.
Fill out the paperwork and submit it.
Pay the applicable fees.
Move
Retire Overseas With No Money
So that you know, do not retire to another country without money.
I have read hundreds of articles about retiring with no money. Usually, there’s a hitch. The most common hitch is. If you have a retirement pension, you will receive more money every month.
What if something happens and you need to return to your country of origin? You will have the money to return, but now what? Can you afford to live there? Remember why you retired abroad.
How To Save Money In Your New Country
As for saving money, you can save money where you retire and live. Meaning are you going to live in an apartment, and if you are will it be a high-end or something more modest? The difference will matter. Remember, if you start in a more modest living accommodation, you can move up.
To save money, you need to live below your means. Many countries allow you to do just that. The cost of living in some countries is half what it would cost in America.
Define Save Money
Let’s define saving money. To save money, you need to have money to put away for a rainy day or to satisfy short and long-term goals. In other words, it’s money you don’t need to spend to stay financially afloat.
Spending less is not saving money. To save money, you must park it somewhere safe for an item or event. And not use it for something else.
To retire overseas and save money, first, you need to find a county that will allow you to retire there, and their cost of living is lower than your country of origin. Don’t retire in a country that the cost of living is equal to or more than the country you are trying to retire from.
How To Save Money
To save money, you must spend less than your retirement plans and pension bring in. In the beginning, look for ways to spend less and save as much as possible. As you become more accustomed to the practices of your new home country, you can loosen the purse strings a little.
Make a budget. In your budget, leave room to save money.
The budget I recommend is 50/30/20
- 50% of your income to necessary things Needs
- 30% of your income goes to wants Things you want.
- 20% of your income to short and long-range goals
If you live on this budget you’ll be saving money every month.
Conclusion
Moving overseas to retire and save money is very doable. Do your homework and learn which countries will allow you to retire there and the cost of living. Please visit your new home to ensure you will be happy there.
Every country has its own set of rules and requirements for retirement. Do your research