Article Highlights:

• Rising costs, favorable exchange rates and affordable healthcare are driving more North Americans to retire abroad.
• One in three travelers now considers international retirement, with younger and higher-income groups leading the trend.
• Visa and immigration policy improvements worldwide make it easier for retirees to establish residency overseas.
• Popular destinations include Mexico, Portugal, Costa Rica, Spain and Thailand for cost, climate and cultural appeal.
• Europeans are also increasingly retiring abroad due to aging demographics, economic pressures and easier mobility.

Retirement used to mean downsizing to a smaller home, heading south within the US or settling into a quiet Canadian town. But today, a growing number of North Americans are choosing something more ambitious: retiring abroad. From Mexico and Costa Rica to Portugal, Spain, Thailand and beyond, the ex pat lifestyle is quickly shifting from a niche choice to a mainstream retirement strategy.

Data from the Global Rescue Fall 2025 Traveler Sentiment and Safety Survey shows the momentum clearly. More than one in three respondents are considering retirement outside their home country. Among younger travelers—those between 35 and 54—the interest is even higher, signaling a generational shift toward international living as part of long-term financial planning. Rising domestic costs, favorable currency exchange rates and more accessible immigration pathways all contribute to this growing movement.

Exchange Rates, Social Security Benefits Are Parts of The Appeal

For most retirees, financial security is a primary driver of decision-making, and retiring abroad often provides a dramatic improvement in purchasing power. With a favorable exchange rate or lower local prices, retirees can stretch their retirement savings and Social Security benefits significantly further.

A lower cost of living abroad allows retirees to enjoy comforts that might be out of reach at home like larger homes or ocean-view apartments, household help, frequent dining out, access to cultural experiences and travel opportunities

Countries like Mexico, Portugal and Panama are famously affordable for North Americans, especially when US or Canadian dollars convert favorably against local currencies. Currency exchange benefits become even more significant during times of strong North American dollar performance, enabling retirees to lock in long-term financial advantages.

Affordable Healthcare Without Compromise

High healthcare costs in the US and rising premiums in Canada for supplemental services push many retirees to explore alternatives. International destinations often offer affordable healthcare that is high in quality, accessible and modern. In countries like Costa Rica, Portugal and Thailand, medical professionals frequently train in Europe or North America and private care costs a fraction of what retirees pay domestically.

Many retirees report paying as little as 20% – 40% of US healthcare prices for procedures, dental work or routine medical visits. Coupled with inexpensive private insurance options abroad, this is one of the strongest incentives to retire overseas.

Visas, Residency and Immigration Policy Are More Welcoming Than Ever

Countries worldwide recognize the economic value retirees bring and have adapted visa and immigration policies to attract them. Retirement visas, long-stay visas and income-based residency programs allow retirees to settle abroad with fewer bureaucratic obstacles than in the past.

Popular options include:

• Portugal’s D7 Visa, ideal for pensioners and passive-income earners
• Spain’s Non-Lucrative Visa, a long-time favorite among European and North American retirees
• Panama’s Pensionado Visa, one of the most retiree-friendly pathways in the world
• Mexico’s Temporary and Permanent Residency, accessible and widely used

Even countries historically harder to settle in, such as Greece or Italy, have simplified retirement pathways in recent years. Combined with better digital infrastructure and international banking, establishing an ex pat life abroad has never been easier.

Lifestyle, Culture and the Pursuit of a Better Quality of Life

Many retirees report another powerful motivator: the desire for a more fulfilling lifestyle. International retirement offers something domestic options sometimes can’t: new languages, walkable communities, vibrant culture, outdoor activities year-round and a slower, more intentional pace of life.

Whether it’s café culture in Europe, beach living in Southeast Asia or jungle scenery in Central America, retirees are choosing destinations where lifestyle, and not just affordability, aligns with their long-term vision for happiness.

Statistical Trends

The number of Americans retiring abroad has grown steadily over the past two decades. Between 2008 and 2022, the number of US retirees receiving Social Security benefits overseas rose by nearly 48%, increasing from about 306,000 to more than 450,000. Today, some estimates suggest as many as 5 million Americans now live abroad and roughly one in six US seniors is considering an international retirement. Stronger exchange rates, the rising cost of living in major US metro areas and more accessible long-stay or retirement visas in countries like Mexico, Portugal, Costa Rica and Panama continue to accelerate this trend.

Canadian retirees follow a similar trajectory, though with fewer formal data points. Roughly 4 million Canadian citizens live abroad across all age groups and experts agree the number of retirees within that population is rising as Canadians look for warmer climates, more affordable healthcare and lower day-to-day expenses. Destinations such as Mexico, Spain and Costa Rica draw large Canadian ex pat communities that often double in size seasonally and increasingly include full-time retirees.

Europeans are also participating in a growing wave of retirement migration. While the percentage of older migrants in Europe remained stable for decades, the sheer growth of the EU’s aging population means the number of retirees moving abroad has risen substantially. Northern Europeans, particularly from the U.K., Germany, the Netherlands and Scandinavia, continue to relocate to lower-cost, sunnier destinations such as Portugal, Spain, Greece and Bulgaria. With Europe’s 65+ population projected to rise from 19% in 2020 to nearly 30% by 2100, demand for affordable, lifestyle-friendly retirement destinations is expected to keep accelerating within the continent.

Younger and Higher-Income Retirees Lead the Trend

According to Global Rescue’s survey, interest in retiring abroad is strongest among travelers under 55 and among those earning above $150,000 annually. This group has spent years traveling internationally and sees global living as a realistic continuation of their travel lifestyles. Their comfort with international environments combined with their financial ability to relocate positions them as the new leaders of the ex pat movement.

The Future of Retirement Is Global

With higher living costs at home and more accessible international options, the logic behind retiring abroad is stronger than ever. Retirees are evaluating their Social Security benefits, exchange rates, healthcare expectations and lifestyle goals, and more are deciding that an international move offers the best value and the best life.

As global mobility improves and ex pat infrastructure expands, the number of North Americans and Europeans retiring abroad is expected to continue rising. For many, it’s a financial decision, yes, but it’s also an opportunity to reinvent retirement entirely.

The Global Rescue Connection

Retiring abroad comes with incredible rewards, but also unique risks, especially when living far from familiar medical systems and emergency services. A Global Rescue membership ensures retirees have access to medical evacuation, field rescue, medical advisory support and worldwide crisis response when they need it most. Whether you’ve settled in Portugal, Panama, Mexico or anywhere else, Global Rescue provides the safety net that lets retirees enjoy their international lifestyle with confidence.