A growing number of American retirees are choosing to move abroad after leaving the workforce. Indeed, the number of beneficiaries receiving social security benefits while living abroad increased from around 500,000 in 2016 to 760,000 in 2024.

Of course, not all of these beneficiaries are retirees. THE Social Security Administration (SSA) provides benefits to disabled workers and surviving dependents of retirees, as well as individuals who have left the workforce at the end of their careers. However, surveys also show an increase in the number of Americans who would like to move to another country, whether in retirement or before. WE expatriates typically cite multiple reasons for leaving the states, lower cost of living, better quality of life, and desire to travel.

Are you planning to move abroad when you retire? Before taking the plunge, you will need to consider your goals, resources and commitments. Here’s what to keep in mind.

Benefits of retiring in the United States

1. Closer to friends and family

The majority of retirees remain in their current homes or move within the state. For many people, family is an important reason to stay home, especially if there are grandchildren. Others may stay close to their roots to take advantage of established social networks, which allow them to stay physically and mentally active without making new friends.

2. Maintain professional relationships

Only 11% of future retirees say they don’t plan to work in retirement at all, according to a CNBC survey. There are all sorts of reasons to keep control of your professional career, from allaying fears of running out of money to enjoying a career you’ve spent your entire life building. Either way, staying in the United States can make it easier to stay in touch with your professional network.

3. Benefit from continuity of care and support

You can stay with familiar doctors and hospitals, car mechanics, hairdressers, etc. if you stay where you are. Additionally, there is no need to face a language barrier or cultural differences.

Staying in the United States also provides a certain level of predictability for everything from infrastructure to what brand of toothpaste is available at your local grocery store. In short, you stay in your comfort zone and maintain your normal routine.

Disadvantages of retiring in the United States

1. Rising cost of living

THE cost of living in the United States is much higher than in many parts of the world. Housing, health care, and prescription drugs cost more in the United States than in many other countries.

Estimates show that a healthy 65-year-old couple retiring in the United States in 2024 will need to save approximately $330,000 (after taxes) to cover their healthcare expenses during retirement.

2. Quality of life

Rankings of countries with the best quality of life and happiest populations consistently place the United States below countries like Denmark, Switzerland, Canada and Germany. Many of these countries offer socialized medicine, better social safety nets, and less income inequality.

3. Lack of adventure

Not everyone wants life to stay the same. If you’ve always wanted to travel and experience new cultures, retirement may be the perfect time to make your dreams come true.

Benefits of retiring abroad

1. Adventure

Retire abroad is definitely an adventure, but it can be more or less depending on your destination. From the quiet beaches of Vietnam to the trendy cities of South America, you can choose a place that matches your comfort level in terms of modern amenities, access, climate, activities, cuisine, healthcare , culture and customs.

2. Lower cost of living

It is possible to retire Abroad comfortably for a fraction of the cost to stay in the United States This helps if your budget is limited. (Don’t worry about your social securityHowever. It follows you almost everywhere. The same goes for public service benefits.)

3. Access to affordable healthcare

There are public health systems that provide quality care, free or at low cost, depending on the country. Private coverage is available in many countries for significantly less than comparable plans in the United States. Medicare does not cover overseas health care.

Disadvantages of retiring abroad

1. It’s far from home

Depending on where you’re going, a long and expensive flight could pit you against friends and family. Consider how often you’ll want to see your connections in the United States and factor travel into your budget.

2. Bureaucracy and paperwork

Retiring to another country means obtaining a long-stay visa and other documents ensuring you are allowed to stay in your new home. Some countries welcome foreign retirees and offer easy access to residency, but others offer no retirement visa system at all. Wealth opens the doors of many countries thanks to the availability of what is called golden visa programs, but these may be inaccessible to many retirees.

3. You are no longer on vacation

Your slice of paradise might be a great place to visit, but not so ideal for full-time living. The goods, services, and conveniences you are accustomed to may not be readily available, or available at all. Plus, you’ll need to immerse yourself in a new culture and maybe even learn a new language.

Change can be exciting, but it’s also challenging. Make sure you’re ready for a big change.

The essentials

Retiring abroad can offer adventure, new experiences, a lower cost of living and a better quality of life. But it’s not for everyone and it’s not easy.

If you’re considering retiring abroad, start planning early. It can take months or even years to develop your financial plan and obtain the necessary visas and other documents.

Also keep in mind that you will need to adapt to a new culture and possibly a new language. Consider taking several trips to your potential destination to get a feel for the transition that awaits you if you commit.