3. Mexico
Mexico’s tax system provides relief for part-time residents, as foreign income is not taxed for those residing less than 183 days a year. Double taxation treaties with several countries ensure expats avoid being taxed twice. English is widely spoken in expat centers and vacation destinations, and U.S. foods, products, sports, and movies are popular and widely available.
Even in major hotspots like the Riviera Maya, you can pick up a brand-new condo in the low $200,000s—lower if you move away from the beach. It’s the same on the other side of the country in beach destinations like Baja or Puerto Vallarta.
Mexico ranked third in IL’s 2024 list of Best Places in the World to Retire.
- Key Benefit: Tax relief for part-time residents and double taxation treaties.
- Cost of Living: $1,500 to $3,000 per month for a couple.
4. Belize
Belize’s Qualified Retired Persons (QRP) Program offers retirees exemption from taxes on foreign-earned income. With no capital gains or inheritance taxes, Belize provides a secure financial environment for expats.
It is also the only Central American country where English is the official language, making it easier for English-speaking retirees to navigate daily life and legal processes. Belize is a short flight from many major U.S. cities, making it easy for retirees to stay connected with family and friends.
Belize ranked 17th in IL’s 2024 list of Best Places in the World to Retire.
- Key Benefit: No taxes on foreign income, capital gains, or inheritance.
- Cost of Living: $1,500 to $3,000 per month for a couple.