Can I retire in a low COL country with $500K?

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Check out the leanfire and expatfire subs on reddit. $500k would be extremely lean, but if you let it compound for a few more years, it's possible.

Possible, maybe. A good idea? Probably not. Living one unexpected expense away from bankruptcy hardly seems like a recipe for a rewarding and comfortable retirement.

Spend less, save more.

What if I’d rather live large in a third world country than live frugally in America?

The Baltics are not third world. Living on countryside is extremely cheap.

unless something drastically changes here in the US, medical care alone could wipe OP out, and the cost of medical care isn't that much cheaper in rural areas. Rather, it's harder to get medical care in rural areas.

[Anonymous]

Anonymous wrote:I stayed in a town in Mexico that was popular with American retirees for about a month learning Spanish. I made friends with a few. They were very cheap when it came to getting lunch and things like that. So my perception is that they don’t even have a middle class lifestyle in this low cost country. For me it would not be worth it

If you live in areas with a ton of expats, and don't venture out, it will be more expensive. I was in a small town in Puebla where there were no American expats, and lunch there was like $3/person. The locals cannot afford more. They are probably getting gringo prices.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Wouldn't you want to consider a place where there's reasonablely good medical care in anticipation of aging? Costa Rica and Georgia are the 2 last places that come to mind

Costa Rica has amazing health care. People go there for medical tourism.

$500,000 is probably not enough for even a very frugal American to retire in costa rica. Though I guess a lot depends on how long you think you'll live.

+1 one of my dear friends lives in Costa Rica as an expat, he is rich. It is actually quite expensive to live in the safe scenic expat part and while there is excellent private medical care (often provided by expat doctors) you need to be able to pay for it.

but medical care there is still cheaper than the US.

[Anonymous]

Anonymous wrote:You can if you live their equivalent of a middle class lifestyle rather than the American version.

When I was in Georgia, I saw a very lovely lifestyle. Amazing food, beautiful cities and countryside, lots of religious events, etc. However, even MC professionals often drive beaters or didn’t have a car at all. Women had few articles of clothing because it was so expensive. It was not uncommon for a woman to repeat an outfit twice in the same week. MC US lifestyle looks luxurious there.

A former coworker retired young (55) and went to Mexico. Culturally everything was fine, but she was blowing through her savings at an alarming rate because she was trying to live like her friends in the US. She had to come back to the US and is now working FT at 68.

This is true of Costa Rica too. If you want your own vehicle like in the USA or to take cabs it is very expensive. The middle class there take buses which are often slow and crammed.

[Anonymous]

Anonymous wrote:

Anonymous wrote:I stayed in a town in Mexico that was popular with American retirees for about a month learning Spanish. I made friends with a few. They were very cheap when it came to getting lunch and things like that. So my perception is that they don’t even have a middle class lifestyle in this low cost country. For me it would not be worth it

I’ve spent a lot of time in Latin America, and by and large North American expats (USA and Canada) are weirdos, outcasts and nobodies who couldn’t make it up north and moved to Latin America basically to exploit the locals and engage in sex tourism. Most don’t even bother to learn Spanish, and yes they’re cheap AF. It’s all rather depressing and disgusting. I cannot stand them, and frankly they embarrass me.

Lol, I don't know why I thought this was funny.

[Anonymous]

Anonymous wrote:

Anonymous wrote:I stayed in a town in Mexico that was popular with American retirees for about a month learning Spanish. I made friends with a few. They were very cheap when it came to getting lunch and things like that. So my perception is that they don’t even have a middle class lifestyle in this low cost country. For me it would not be worth it

I’ve spent a lot of time in Latin America, and by and large North American expats (USA and Canada) are weirdos, outcasts and nobodies who couldn’t make it up north and moved to Latin America basically to exploit the locals and engage in sex tourism. Most don’t even bother to learn Spanish, and yes they’re cheap AF. It’s all rather depressing and disgusting. I cannot stand them, and frankly they embarrass me.

Wow. I've lived and travelled in Latin America and none of the above has been my experience. I think you must run in a very different crowd than I do. Rest assured, there is more than one expat crowd.

[Anonymous]

I don’t know how much money I will have when I retire. But my aunt is retired in one of the most beautiful countries in Europe, definitely 1st world. Healthcare is excellent. She lives on €2200 per month pension and wants for nothing. Cultural amenities are boundless and subsidized. That’s how it’s done.

[Anonymous]

Anonymous wrote:I don’t know how much money I will have when I retire. But my aunt is retired in one of the most beautiful countries in Europe, definitely 1st world. Healthcare is excellent. She lives on €2200 per month pension and wants for nothing. Cultural amenities are boundless and subsidized. That’s how it’s done.

^^ she’s a citizen though and I don’t know whether they’d award citizenship to random foreign retiree.

[Anonymous]

Anonymous wrote:I don’t know how much money I will have when I retire. But my aunt is retired in one of the most beautiful countries in Europe, definitely 1st world. Healthcare is excellent. She lives on €2200 per month pension and wants for nothing. Cultural amenities are boundless and subsidized. That’s how it’s done.

Which country?

[Anonymous]

Anonymous wrote:

Anonymous wrote:I don’t know how much money I will have when I retire. But my aunt is retired in one of the most beautiful countries in Europe, definitely 1st world. Healthcare is excellent. She lives on €2200 per month pension and wants for nothing. Cultural amenities are boundless and subsidized. That’s how it’s done.

Which country?

Austria. You might not like it but cities are multicultural, international and affordable.

[Anonymous]

Anonymous wrote:A lot of cheaper countries are cracking down on expat/retirees or requiring a lot more money.

But there are many countries where you can easily live on $1000 a month. Philippines, Columbia, Brazil, etc. $2-$3k a month can make you a king. But you will discover that there are often fewer thing to do than in a developed country, good medical care might require coming back to the states, lots of poverty and cultural issues for you to deal with. Scammers and crime targeting expats. Lots of expats/retirees give up and come back.

The only country on this list I've been to is the Philippines and there's all kinds of things to say about it, but not enough to do isn't one of them. There's good medical care there, too. Plenty of poverty, and plenty of wealth.

[Anonymous]

It can be challenging to maintain investment accounts if you move outside the US. It just takes advanced planning.

[Anonymous]

Anonymous wrote:You can if you live their equivalent of a middle class lifestyle rather than the American version.

When I was in Georgia, I saw a very lovely lifestyle. Amazing food, beautiful cities and countryside, lots of religious events, etc. However, even MC professionals often drive beaters or didn’t have a car at all. Women had few articles of clothing because it was so expensive. It was not uncommon for a woman to repeat an outfit twice in the same week. MC US lifestyle looks luxurious there.

A former coworker retired young (55) and went to Mexico. Culturally everything was fine, but she was blowing through her savings at an alarming rate because she was trying to live like her friends in the US. She had to come back to the US and is now working FT at 68.

It’s weird you think not having a car (in a country with excellent public transportation) or wearing the same outfit twice a week is a sign of poverty.
Only in the US people are shamed if they wear the same stuff more often than some queen B diva thinks is ok.
It’s also ok to wear the same blouse or shirt twice, shocker, I know. And no, it doesn’t mean one stinks

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Check out the leanfire and expatfire subs on reddit. $500k would be extremely lean, but if you let it compound for a few more years, it's possible.

Possible, maybe. A good idea? Probably not. Living one unexpected expense away from bankruptcy hardly seems like a recipe for a rewarding and comfortable retirement.

Spend less, save more.

What if I’d rather live large in a third world country than live frugally in America?

The Baltics are not third world. Living on countryside is extremely cheap.

unless something drastically changes here in the US, medical care alone could wipe OP out, and the cost of medical care isn't that much cheaper in rural areas. Rather, it's harder to get medical care in rural areas.

You kidding us all, right?!

[Anonymous]

When I lived outside the US, the older expats I knew who lived in the county long-term either returned to the US for medical care or delayed care because they couldn't afford it. I also knew an older American woman who struggled to find someone to help her out with tasks with which she had difficulty because she had no family support or close friends in the country.

Before I would retire outside the US, I would make sure I had access to excellent healthcare and make a plan for when my health declined. You don't want to be trying to figure out what to do for nursing care after you realize you are too frail or too broke to travel.