For U.S. Ex-Pats Retiring to Panama Is A Lot Like Going Home

When you spend time with American Ex-Pats here, you will hear the same comments. You will hear about how much Panama feels like home. This remarkable country has a culture and flavor all its own, but more than a hundred years of living and working with folks from the U.S. has influenced life here many ways.

One of the lesser known aspects of the relationship between the U.S. and Panama extends back to the birth of this nation. When Panama was struggling to win its freedom from Columbia in the opening years of the last century, it was military support form the U.S. that turned the tide. Nearly a century of working side by side on the Panama Canal followed. This resulted in an American/Panamanian hybrid citizen that locals affectionately call “Zonies”.

Today, evidence of Panama’s close ties to the U.S. can be seen everywhere. One of the first things you will notice when you arrive in country is that there is no need to exchange money. The U.S. Dollar is the official circulating currency of Panama. As you make your way into Panama City from the airport you will see shopping malls filled with the same brands you have come to love back home. When its time to grab a bite, you will find a McDonald’s, Wendy’s. TGI Fridays, Burger King, and so on. While in town you will probably stay at the Sheraton, Holiday Inn, Hilton, or some other American hotel chain. You will probably rent your car from AVIS, Budget, National or some other U.S. based company. When shopping for your home here, you might end up living in a Trump high rise tower, or one of many others with American names like San Francisco, Pacific Coast, and Palm Beach.

While it is true that you will find many surprising connections with life back home, one thing you will be glad to leave behind is the high cost of living in the U.S. Moving your retirement dollars offshore can help you stretch your income in many ways. For example, when you retire to Panama, you will no longer have to pay taxes on income you earn outside of the country. In addition, if you buy your retirement home with the right guidance, you won’t have to pay property taxes for up to 20 years. These two factors alone will usually save upwards of 30% of the dollars you are now spending back home.

It is also important to remember that Panamanian law allows you to invest and bank in secrecy. The mechanisms that make this financial privacy possible have also produced one of the best estate management jurisdictions on earth.

The people of Panama want you to retire here. As proof, the Panamanian government has instituted one of the most generous senior discount programs on earth. Panama’s “Pensionado Program” provides qualified retirees with discounts on a wide range of good and services. You’ll save up to 50% off of regular ticket prices for entertainment options like movies, theaters, sporting events, etc. Qualified seniors also save 50% off of the price of mid-week hotel stays, 50% off of the cost of closing your home mortgage, 30% off public transport costs, 25% off domestic air tickets, 25% off at restaurants, 20% off of professional and home repair fees, 20% off the already low cost of a Doctor’s care, 5% off of your hospital bills if you are not insured, 15% off of the cost of dental and eye exams, 10% off on local prescription prices… and more!

If you are thinking about retiring in Panama or just visiting to develop an asset protection, business, banking, or investment strategy, make sure to begin by building a strong relationship with a local attorney. There are many third party sources able to help you select the best one for your needs. These groups provide unbiased reviews of providers in Panama’s professional community speeding you to a successful pairing.

For more information on retirement, banking, estate management, taxation, employment, forming a Panamanian foundation or corporation, real estate, trade policy, local economics, vessel registration, obtaining legal counsel, or any other topic related to doing business in Panama… click here