Retirees moving abroad for cheaper living and healthcare: Canada, Japan

It’s a path that’s becoming increasingly attractive to some retirees, especially amid political uncertainty. Dee, a 71-year-old retired teacher, previously told Business Insider that she was considering moving out of the US for the second part of her retirement, especially as the current political climate “terrifies” her; is particularly interested in Central America.

“It seems I could afford to live a little longer, a little better; my income would stretch a little more,” she said. Dee may be bucking a trend: There were 18,940 retirees in Central America receiving benefits in 2022.

Business Insider looked at the countries with the most retirees receiving Social Security. Many of the localities have income tax treaties with the US, which means that income is not double taxed by both the US and the country where citizens live.

Perhaps unsurprisingly, Canada and Mexico – the two countries that share a land border with the US – placed in the top three. Retired technical writer Linda Ofshe, 71, moved to Canada in 2022 to be with her husband; she previously told Business Insider that Canada is a little safer and has a little better climate and politics.

“My life has gotten a lot better since leaving the United States, and I have no intention of ever living in Texas again,” Ofshe said.

Pensioners have too buried in Japan, which more than doubled the number of American retirees receiving Social Security between 2008 and 2023.

Germany remains a popular place to retire; Gary Hohenstein, a 73-year-old native of New York, retired there when he was 59. He previously told BI that life there is calm and his pension benefits stretch further than they would in the city. And Baltimore native Jeffrey Park, 63, previously told BI that he planned to retire in Germany, where he has worked for 13 years.

“Everything is just a little more personal, or smaller, or a little old-fashioned, compared to American life,” Park said.

Poland is also an increasingly popular location, with the expat retiree population growing by almost 325%. SmartAsset ranked Poland as the best country for retirement when looking at cost and peace of mind. The Philippines has also seen its expatriate retiree population explode since 2008, growing by nearly 88%; which could be attributed to a low cost of living and ease of access in obtaining visas.

And Italy remains a retiree stronghold, although its population of expatriate retirees has declined slightly since 2008. Italian retirees have previously told BI they are heading to Italy to escape US politics and health care costs; a more relaxed work culture was just the cherry on top.

“I have to say it’s almost a total dream,” Christina Schwendeman previously told BI. “Every morning, we wake up and look outside and say, ‘I can’t believe we live here.’

Are you an American who moved abroad for retirement? Contact this reporter at [email protected].