5 Affordable Countries Where Americans Are Living Well for Less

1. Panama

Panama continues to rank high on retirement lists, and for good reason. The cost of living is moderate, with one-bedroom apartments in towns like Boquete or beach communities outside Panama City typically renting for $600–$800 per month. The country uses the U.S. dollar, which makes finances simple for American retirees, and generous retiree incentives—like the Pensionado visa—make it especially attractive. A Pensionado visa, also known as a retirement visa, allows foreign retirees to live in Panama if they can show a stable monthly income, usually from a pension or other retirement source.

Panama offers expats access to both public and private healthcare systems, but most opt for private hospitals due to their higher standards, faster service, and English-speaking staff. Facilities like Hospital Punta Pacifica in Panama City are affiliated with top U.S. institutions and deliver quality care at a fraction of U.S. costs. While basic public care is widely available and affordable, expats often prefer private insurance for comfort, speed, and peace of mind.

English is widely spoken in expat-friendly areas, particularly in healthcare and customer service. Add in the country’s tropical climate, Caribbean and Pacific coastlines, and convenient travel connections, and Panama makes a compelling case for retirees seeking both comfort and adventure.