The importance of saving for retirement is obvious: if you want to live a comfortable life once your career’s over, you have to save up. But according to research, 68 per cent of Canadians don’t have a retirement plan and 30 per cent haven’t even saved a single cent. That’s an alarming number of people who aren’t prepared for life without a steady income, especially if they want to continue to live comfortably on Canadian soil.
However, one way to escape the crushing financial reality when it’s time to retire is to stretch your hard-earned dollars by moving abroad. Personal finance and travel expert Barry Choi has done the math and found five countries where you can live off of $200,000 for your entire retirement (or about 30 years).
Check out these five spots around the globe where you can really make your money last.
In smaller cities (avoid Bangkok), Choi explains that you can score an apartment for $200 to $300 a month, and meals run for just $1 or $2 each. But you’ll need to consider the lack of healthcare there, he warns. Travelling back to Canada for certain procedures may have to be factored into your budget.
While not a financially stable country, Nicaragua offers excellent healthcare, Choi says, noting that you can visit the doctor for just $15, and private house calls are only around $35. These rates are a drop in the bucket compared to what you’d spend in the Unites States. Plus, it’s a relatively short plane ride back home (at least, compared to other places on the list).
Outside the country’s capital, Kuala Lumpur, cities like Penang offer apartments for around $500 per month in rent. But the best part of opting for Malaysia is its proximity to other countries in Asia. Flights come cheap, especially compared to what we’re used to paying here in Canada. Let the exploring begin!
There’s a theme here: avoid large touristy hot spots. Choi notes that while living in Barcelona or Madrid comes with a hefty price, other options like Grenada, which is another beautiful city in the south, are much more affordable, with rent ranging from $500 to $600 per month. Not to mention that you’ll get to enjoy awesome weather year-round. You’ve always wanted to perfect your Spanish, right?
When you think of Costa Rica, your mind probably draws up images of sandy beaches and ocean views. But instead of heading to the coast, consider setting up life in the country’s central valley. You’ll be an hour from the beach, tucked away happily in your jungle-based abode. Plus, flights between Canada and Costa Rica aren’t as long or expensive as overseas to Asia or Europe.