We recently heard from a reader who had a question about Panama:
“Panama has been on your list of top retirement havens for years now,” he writes, “but in your Quality of Life Survey, Panama only got 64 out of 100. What’s the deal? Can I live well in Panama on my $1,700 per month pension or not?”
Let me explain…
Panama has been–and remains–one of our Top 10 retirement havens because the cost of living is a fraction of what you pay up north, the infrastructure is first-rate, and the benefits for retirees are huge. That’s why it places so strongly in our annual Retirement Index, published each September.
But our Quality of Life Survey, which comes out each January, is a different animal. The Quality of Life Survey isn’t about the places your dollars will stretch furthest and you can expect the most lavish retirement for the least money.
Our Quality of Life Survey is about where in the world you can enjoy the absolute best lifestyle–regardless of the cost. And if money is no object, then there are lots of places that out-rank Panama…like France, or Switzerland, or New Zealand. You can see the full rankings for 2009 here.
But if, like this reader, you’re more interested in value for your money…the places where a comfortable quality of life can be yours for a small fraction of what a comparable lifestyle would cost you back home…then Panama should–without question–be on your short-list of destinations to consider.
In fact, Jessica Ramesch, our resident Panama expert, figures you can live well there on less than our reader’s $1,700-per-month budget. She reports:
“Here are some basic monthly expenses, based on calculations for a mid-range, two-bedroom apartment inhabited by two people, in Panama City’s metropolitan area. (Outside this area, housing costs can actually be much lower.)
| Housing (rental or mortgage plus maintenance): | $600 to $1,000 |
| Electricity: | $70 to $175 |
| Gas: | $0 to $20 |
| Water and trash collection: | $12 to $25 |
| Transportation (taxi): | $130 to $170 |
| OR Maintenance/fuel for one car: | $100 to $250 |
| Phone (land line, local calls): | $7 to $25 |
| Phone (cell phone): | $20 to $70 |
| Cable television: | $20 to $55 |
| Internet: | $20 to $35 |
“Natural gas is often included in your apartment maintenance or owner’s fee, which is why it may sometimes cost you $0.
“Bottom line: You can live comfortably like a middle-class local on $1,500 a month–including rent.”
Do you have a question you’d like us to answer? Send it along…
Stay happy and healthy,
Dan Prescher
Publisher, International Living
P.S. We’ve covered several regions of Panama in recent issues of International Living–all places where you can live well for pennies on the dollar and invest ahead of the crowds. International Living subscribers get full access to these past issues and stories. To see them for yourself, go here.
