#Panama 🇵🇦 #BDS_Article: Panama: A Residential Destination for Retired and Pensioned Foreign Nationals

Panama has positioned itself as a top destination for foreign retirees and pensioners seeking a stable legal and economic environment to enjoy their retirement, reduce living costs, and benefit from various advantages. The country offers all this and more, as a cosmopolitan hub where multiple cultures converge daily, making it an attractive residential option for foreigners.

Panama also provides flexible and secure immigration options for foreign nationals receiving fixed retirement income who wish to establish legal residency in the country.

In this context, Panama has offered a specific visa for foreign retirees and pensioners since 1987. This immigration category allows any foreign national who is retired or receives a lifetime pension from a foreign government, international organization, or private company to apply for a retiree and pensioner visa. Notably, this law does not impose a minimum or maximum age for applicants, meaning any individual with an eligible pension or retirement income from outside Panama who meets the requirements can apply. However, this visa does not grant a work permit.

The primary requirement for this visa is a guaranteed lifetime monthly income of at least $1,000. This income may derive from foreign government retirement funds (e.g., social security, military pensions, state retirement funds, or police pensions) or a private corporation’s retirement plan.

Foreign retirees and pensioners whose monthly income falls below $1,000 but exceeds $750 may still qualify by investing in real estate in Panama that is worth at least $100,000, enabling them to apply with a reduced income threshold.

This visa also allows the applicant to include family members as dependents, such as a spouse, minor children, adult children up to 25 years old, or children with verified disabilities.

It must also be noted that for each dependent, the applicant’s minimum income requirement increases by $250. Additionally, married couples who are both retirees/ pensioners may apply jointly, provided their combined monthly income is at least $1,000.

Panama further extends a broad range of discounts and benefits to retirees, pensioners, and senior citizens, whether they are nationals or foreign residents, regardless of immigration status. These include:

1. A 50% discount on tickets for recreational and entertainment activities such as cinemas and theaters.
2. A 50% discount on hotel, motel and hostel rates from Monday to Thursday and 30% from Friday to Sunday.
3. A 25% discount on individual food consumption at restaurants, except those not requiring a business license to operate.
4. A 15% discount at national and international fast-food franchise establishments.
5. A 15% discount on hospital and private clinic services.
6. A 10% discount on prescription medications at pharmacies.
7. A 20% discount on consultation fees for general medicine and medical or surgical specialties.
8. A 15% discount on dental services.
9. A 15% discount on optometry services.
10. A 25% discount on public utility bills.

For all these reasons, Panama is undoubtedly an ideal retirement destination, offering diverse environments, access to a wide range of services, the U.S. dollar as its legal currency, and numerous additional benefits. Make Panama your residence by applying for a retiree or pensioner visa today.

Ericka Muñoz

Attorney Specializing in Labor Law