American Retirees Flock to This International Destination — and It’s Got Great Health Care, Low Taxes, and High Quality of Life

Retiring abroad is trending among senior Americans. According to the Social Security Administration, the number of U.S. citizens receiving their benefits abroad has risen from 413,000 to 760,000 in three years, and 38 percent of them relocated to Europe.

But a new report gives more clarity on where Americans can go for the best health care, quality of life, and security. According to Global Citizen Solutions, a visa and relocation consulting company, Spain and Portugal are the most popular retirement destinations among senior U.S. citizens.

Spain scored a perfect 100 out of 100 for quality of life, which was assessed based on factors like health care, climate, and flight accessibility.

“With a public health care system and affordable supplementary private insurance options, Spain prioritizes the well-being of its residents, a key factor that entices retirees to relocate,” Laura Madrid, research lead at Global Citizen Solutions, told Travel + Leisure. “Moreover, Spain offers an excellent public transportation network, known for its efficiency and affordability a plus for retirees ditching the daily use of private cars.”

Portugal is a very close second with 99.79 points in the overall rankings. The report notes that in recent years, many Americans have settled in both countries for sunny weather and access to affordable health care.

“A lower cost of living is also an important factor in the decision to relocate, with living expenses in Spain and Portugal being considerably lower compared to other European nations and the U.S. Moreover, both nations offer special tax regimes for expatriates during their initial years of residence, making the Iberian Peninsula even more appealing,” the report states.

In the overall ranking, Costa Rica is third, and Uruguay and Mexico are fourth and fifth, respectively.

However, a slightly different picture emerges in the quality of life category, where our southern neighbor takes the silver medal, and Portugal drops one spot to No. 3. The winner in the economics category, which measured factors like cost of living, tax optimization, and rent prices, is Malaysia, which offers foreigners financial incentives like no tax on foreign-sourced income. (Americans living abroad still need to pay taxes in the U.S.)  

When it comes to social factors like migrant acceptance and integration, the top retirement destination is New Zealand. 

The report also identified the leading factors for retiring abroad. Affordable housing options, quality health care, and tax incentives are the top three motivators for seniors when choosing to retire in a foreign country. An increasing number of adults also opt to spend their golden years outside the borders of our country to acquire a second citizenship “as a strategic insurance plan,” according to the report.

You can see the full report on globalcitizenssolutions.com.