If moving abroad is on your retirement bucket list, Mexico should already be at the top. For years, destinations throughout Mexico have remained the most popular worldwide among Americans and Canadians who are planning to retire abroad, and for good reason.
As Latin America’s second largest economy and the closest geographically to the rest of North America, Mexico is able to provide easy access to friends and family back home, along with modern infrastructure and security. Combine this with a warm tropical climate year-round, a wide variety of thriving expat communities to choose from, excellent healthcare, a low cost (and higher standard) of living and affordable real estate, and it’s easy to see why Mexico was named one of the best places to retire abroad in 2015 and more people than ever before have been moving here permanently!
“It’s possible to retire in Mexico if you’re willing to live modestly,” writes Investopedia. “Alternatively, you could easily spend $10,000+ a month living large in an exclusive beachside community and taking full advantage of a myriad of fine dining, entertainment and travel opportunities.”
Of course, most people fall somewhere in the middle of these two extremes and simply want to locate affordable real estate in a safe community in one of Mexico’s popular expat havens, such as Playa del Carmen, Cancun and Tulum along the nation’s only Caribbean coast, or Cabo San Lucas and Puerto Vallarta on the Pacific side. The good news is that it’s possible to affordably achieve a comfortable lifestyle on a reasonable budget – even one that includes three-times-a-week maid service and weekly visits from a gardener!
For a two-bedroom, two-person household with utilities (including electric, gas, water, local phone, cable TV and Internet), household help, groceries, dining out and entertaining, healthcare and $150 for incidentals, Investopedia and International Living estimate the average retired couple can expect to spend less than $2,500* monthly to live a more than confortable lifestyle.
“For roughly $28,000 per year, a couple could retire comfortably in Mexico,” writes Investopedia. “That puts it well within reach of many Americans.”
Since the average monthly retirement benefit from Social Security for Americans is around $1,294, a retired couple collecting this benefit would pull in a total of $31,056 each year, which is more than enough to cover a luxurious retirement in Mexico that far exceeds anything you could find in the U.S., Canada or Europe for the same amount.
A great way to control costs is to shop where the locals go. Get to know vendors and farmers, which can help expats learn where to buy at the local rate instead of the tourist rate. Also, anyone over the age of 60 who has a Mexico resident visa should sign up for the Personas Adultas Mayores (INAPAM) benefits program, which provides a 10-50 percent discount on a variety of things, including healthcare, cultural activities, transportation and hotels.
“Retiring in Mexico might be a good choice for those looking to enjoy new experiences and cultures, access to affordable healthcare, a change of scenery and a lower cost of living,” writes investopedia.