Top 12 Countries to Retire In -

Affordable, Safe, and Full of Life: Discover Where the World Wants to Retire

Retirement is no longer just about playing golf or baking pies. For many, it’s the ultimate opportunity to reboot life—with better weather, lower costs, and vibrant cultures. But where should you go?

Each year, global retirement experts and expats reveal surprising answers. Based on International Living’s Annual Global Retirement Index, financial metrics, healthcare access, visa options, and real-world retiree feedback, we present the top 12 countries to retire in 2025.

From Latin America to Southeast Asia and Southern Europe, here’s your guide to living the good life—on your terms.

🇵🇹 1. Portugal – The Golden Standard of Retirement

Why it’s top: Mediterranean climate, excellent healthcare, low cost of living, and safety.

Portugal ranks first for a reason. Retirees enjoy a relaxed pace of life, stunning beaches in the Algarve, affordable housing, and a Non-Habitual Residency (NHR) tax regime that exempts most foreign pension income for 10 years.

Pros:

Modern healthcare system
English widely spoken
Affordable wine, food, and property

Cons:

Bureaucracy when applying for visas
Some areas are touristy and expensive

Expert opinion: “Portugal offers the full package,” says Kathleen Peddicord, publisher of Live and Invest Overseas. “Safe, warm, and accessible—it’s a retirement haven.”

🇲🇽 2. Mexico – Vibrant Culture & Close to Home

Why it’s top: World-class cuisine, colorful towns, and accessible healthcare.

Mexico is a favorite for North American retirees thanks to its proximity, established expat communities (like San Miguel de Allende and Lake Chapala), and residency visas with minimal income requirements.

Pros:

Friendly locals
Warm year-round weather
Great private hospitals

Cons:

Safety varies by region
Bureaucracy can be slow

Expert tip: Stick to well-known expat hubs and stay informed about local safety updates.

🇨🇷 3. Costa Rica – “Pura Vida” for Your Golden Years

Why it’s top: Peaceful, eco-friendly, and offers a pensioner visa (“Pensionado Program”).

Costa Rica shines with its universal healthcare system (CAJA), lush green mountains, and low environmental footprint. The lifestyle is laid-back and deeply connected to nature.

Pros:

Great weather
Stable democracy
Health care for residents

Cons:

High import taxes
Infrastructure outside cities is mixed

🇪🇸 4. Spain – Mediterranean Living on a Budget

Why it’s top: World-class healthcare and Europe’s best retirement value.

Spain offers a relaxing, sun-soaked retirement in coastal cities like Valencia or Málaga. You’ll love the public health system, low property prices, and fantastic food culture.

Pros:

Affordable rent and public transport
Excellent healthcare
Rich arts and festivals

Cons:

Bureaucracy and language barrier
Tourist crowds in peak months

🇵🇦 5. Panama – Retirement Benefits Galore

Why it’s top: Legendary Pensionado Program, USD currency, and tropical climate.

Panama rewards retirees with discounts on nearly everything—restaurants, transport, even airfare. The friendly tax policies and fast-growing expat communities make settling in easy.

Pros:

Strong expat networks
No tax on foreign income
Stable banking sector

Cons:

Not as cheap as some alternatives
City life can feel chaotic

🇹🇭 6. Thailand – Exotic, Affordable, and Welcoming

Why it’s top: Top-quality healthcare at a fraction of Western prices, and stunning landscapes.

With the Thai Retirement Visa (age 50+ and proof of modest savings), Thailand is a top pick. Cities like Chiang Mai attract retirees for their cost-effectiveness and wellness options.

Pros:

Inexpensive healthcare and rent
Excellent food and lifestyle
Great for adventure lovers

Cons:

Language and cultural barriers
Political instability at times

🇲🇾 7. Malaysia – Asia’s Underrated Gem

Why it’s top: English is widely spoken, and Malaysia’s “My Second Home” (MM2H) program is open to foreigners.

Penang and Kuala Lumpur lead the way in health tourism and cultural diversity. Malaysia is modern yet deeply rooted in tradition, offering a unique blend of the East and West.

Pros:

Excellent hospitals
Diverse culture and food
Reliable infrastructure

Cons:

MM2H rules can change unexpectedly
Urban traffic congestion

🇨🇴 8. Colombia – Beautiful and Budget-Friendly

Why it’s top: Low cost of living, diverse geography, and improving safety.

Cities like Medellín (the “City of Eternal Spring”) have attracted thousands of retirees in recent years. It’s affordable, scenic, and offers retirement visas.

Pros:

Warm climate and mountain views
Health care is top-notch and cheap
Strong dollar exchange

Cons:

Must learn Spanish
Reputation still affected by past instability

🇪🇨 9. Ecuador – Affordable Living in the Andes or Coast

Why it’s top: Friendly locals, low cost of living, and resident-friendly visa policies.

Ecuador offers true flexibility: beach life in Salinas, culture in Cuenca, or quiet mountain towns. You can live on less than $2,000/month.

Pros:

Climate variety (coast, mountain, jungle)
Senior discounts
Use of the U.S. dollar

Cons:

Healthcare varies outside major cities
Infrastructure underdeveloped in rural areas

🇮🇹 10. Italy – Romance, Culture, and Affordable Villages

Why it’s top: A slower pace, rich traditions, and villages offering €1 homes to attract newcomers.

From Sicily to Abruzzo, Italy offers a romantic, meaningful retirement experience. Though big cities are pricey, small towns are actively seeking retirees.

Pros:

Culinary paradise
Deep cultural heritage
Decent public healthcare

Cons:

Complex bureaucracy
High taxes unless structured properly

🇺🇾 11. Uruguay – Safe, Quiet, and Stable

Why it’s top: A hidden gem with great infrastructure and low corruption.

Uruguay is often overlooked, but cities like Montevideo offer beachside living, a safe environment, and favorable residency for retirees.

Pros:

Progressive and inclusive society
No taxes on foreign income
Reliable power, water, and internet

Cons:

Higher cost than neighbors
Slower pace may not suit all

🇻🇳 12. Vietnam – Where Your Dollar Goes Far

Why it’s top: Ultra-low cost of living and growing expat-friendly cities.

While there’s no formal retirement visa yet, many retirees live comfortably in Da Nang, Nha Trang, or Hanoi on just $1,000/month. Healthcare is private but affordable.

Pros:

Street food and culture
Growing healthcare tourism
Welcoming people

Cons:

No long-term retirement visa yet
Bureaucratic challenges

Final Thoughts: Choosing Your Retirement Haven

Retiring abroad isn’t just a financial decision—it’s a lifestyle transformation. Consider climate, culture, healthcare, visa requirements, and of course, your personal interests. Try before you buy: spend a few months in your chosen country before fully relocating.

Many retirees today are retiring younger, living longer, and stretching their savings further—especially by leaving high-cost countries like the U.S., Canada, or the UK.

So… Where will your next chapter begin?