Americans Live in Panama
Americans Live in Panama
Retire to Panama
Retire to Panama and take advantage of better weather, taxes, healthcare, and costs. With several low-barrier visa options, Panama is a top expat destination.
How to Retire in Panama
Retirement Visa
A top retirement visa globally, the Pensionado Visa requires proof of just a US$1,000 a month pension or retirement income.
Friendly Nations Visa
The Friendly Nations Visa will grant you residency if you make a local bank deposit, purchase real estate (US$200,000+), or start a business.
Investor Visa
Investing US$300,000 in real estate or depositing US$500,000 in a bank account will qualify you for residency.
Citizenship in Panama
After five years of legal residency, you can apply for citizenship, which is a tricky process that requires the President’s signature.
Tourist Visa
U.S. citizens can stay in Panama for just 180 days visa-free. Clearly, this is not a permanent solution for retirees in the country.
Panama in Photos
Lower Cost of Living
Panama’s low cost of living means your retirement dollars stretch further. Many expats live comfortably on US$3,000 a month.
Adequate Infrastructure
Especially in Panama City, you’ll find modern buildings, reliable power, clean water, fast internet, and top-notch hospitals.
Easy Travel Access
Panama City’s Latin American hub of an airport offers direct flights to major U.S. cities and even more international destinations.
Summer Weather
Enjoy tropical sunshine (and humidity) all year in Panama City or head to Boquete for a cooler, spring climate.
Large Expat Scene
Boquete, Panama City, and beyond offer welcoming expat clubs, events, and services tailored for Americans.
Low (or Zero) Taxes
Thanks to its territorial tax system, Panama exempts your US-sourced retirement income from local taxes.
English Proficiency
English is widely spoken in Panama’s healthcare system, business world, and expat-heavy areas. Integration is easy.
Simple Immigration
Relocation to Panama is stress-free with the easy, low-barrier Pensionado and Friendly Nations residency programs.
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How Life in Panama Compares
Cost of Living in Panama
If necessary, you can live comfortably in Panama for $3,000 a month. While Panama City is considerably more expensive than its Latin American counterparts, prices are lower than in major American cities. Freedom Files clients often find they can save money while upgrading their lifestyle.
Taxes in Panama
Panama operates a territorial tax system, so your foreign-earned and -sourced income is not taxed here – no matter whether you’re a tax resident. Definitively, low or zero taxes is one of the biggest financial perks of retiring to Panama.
Community in Panama
Panama has thriving expat communities in cities like Boquete, Coronado, and Panama City. If you move here, you’ll find meetups, clubs, and social networks already in place. Even in quieter mountain or jungle towns, there’s usually a friendly expat presence.
Quality of Life in Panama
Panama has a nice mixture of natural beauty and cosmopolitan conveniences. Clean air, a year-round climate, and fresh food make it easy to stay healthy. And while the pace of life is slower, services are still solid. For some, the weather can be a bit hot and humid though.
Safety in Panama
Panama is one of the safest countries in Latin America. Most expats feel secure here, especially in well-known retirement areas. Petty crime can happen, but violent crime is rare. Use caution like you would anywhere.
Travel Connectivity in Panama
Panama’s Tocumen Airport is one of the best-connected airports in Latin America and easiest places in the region to come and go. You’ll get nonstop flights to several U.S. and European cities. Travel is generally quick, easy, and affordable.
Infrastructure in Panama
Panama City has good roads, clean water, fast Wi-Fi, and good public services. While small towns do lack some basic infrastructure necessities, this level of infrastructure in Latin America is rare.
Healthcare in Panama
Panama’s private healthcare and insurance options are surprisingly high quality and affordable. Many doctors are trained and educated abroad, and English is widely spoken. Routine care and prescriptions cost far less than in the US.
English Proficiency in Panama
You can get by with English in most expat areas and professional settings (e.g. doctors, lawyers, and business owners). That said, Spanish is the national language, and learning the basics will help a lot, especially if you live outside Panama City.
Bureaucracy in Panama
Panama has its fair share of paperwork and waiting in line. Finding the right partners can be a minefield. For instance, anyone who graduates from law school is a lawyer in Panama. So with the Freedom Files’ vetted local partners, you can avoid the hassle and get the right help.
Where to Live in Panama
Population: 23,562
Boquete
An oasis in the cool highlands of western Panama, Boquete has a large and growing American expat community. Climate is spring-like year-round, which is perfect for retirees who don’t enjoy the tropical heat and humidity that the rest of Panama can offer. The town is also surrounded by mountains and coffee farms, perfect for those who enjoy hiking and other outdoor activities.
Population: 2,054,540
Panama City
Panama City is the country’s – and arguably, the region’s – cosmopolitan economic and cultural hub. In Panama City, you’ll find modern high-rises, luxury condos, excellent healthcare, shopping, and international cuisine on every corner. It’s a top choice for retirees who want access to city life and a major international airport with global connections.
Population: 21,511
Coronado
Ideal for retirees who want beachfront living with modern comforts, Coronado is a laid-back resort town just 1.5 hours from Panama City. It’s known for its gated communities, golf courses, and ocean views. The area has a well-established American expat scene with grocery stores, clinics, and cafes catering to foreigners.
Population: 7,602
El Valle de Antón
Nestled inside the crater of a volcano, el Valle de Antón offers cool mountain air, lots of greenery, and a peaceful village vibe. It’s a favorite weekend escape for city dwellers or a lesser-known destination for retirees who want nature and a quiet lifestyle. The town features hiking trails, waterfalls, thermal springs, and a famous farmers market.
Panama in the Blog
FAQs About Panama
Can I actually afford to retire in Panama?
Yes, you probably can. Many American expats live comfortably on less than US$3,000 per month, especially outside Panama City. Most US expats get more for less here, without sacrificing their lifestyle or any comforts.
Is Panama safe for American retirees?
Generally, yes. Panama is one of the safest countries in Central America, especially in expat-friendly areas like Boquete, Coronado, and el Valle de Antón. That said, petty theft can happen, so stay aware.
How easy is it to get Panamanian residency?
Very easy compared to other countries. The Pensionado Visa only requires US$1,000 per month in retirement income and comes with permanent residency and tons of retiree perks. Panama also offers immigration options for investors, business owners, and even digital nomads. The Freedom Files immigration experts will help you identify the best path for your goals.
What’s healthcare like in Panama?
Surprisingly great. Private hospitals are modern and affordable, and many doctors are educated and trained stateside. Routine visits can cost US$15 to US$50, and you can get a premium private insurance plan for a few thousand bucks a year.
Will Panama tax my Social Security or retirement income?
No. Panama operates on a territorial tax system, so they do not touch foreign income, except in unique circumstantial cases. Your Social Security, pensions, and investment income stay in your pocket. Freedom Files cross-border tax experts can help you plan for tax and other elements of your relocation.
