Retirement Abroad isn’t for Everyone
Feb 10th, 2008 by Kevin
Many people that we talk to have an interest in living abroad when they retire, and are looking for ways to secure land now, or are looking for stepping stones on how to get there through an initial offshore investment, rolling over into a purchase of retirement property.
There are many reasons why people consider offshore retirement. In the US market where the cost of living is already high, and getting worse, people see with areas such as Central America, an opportunity to retire younger with their desired standard of living without requiring millions in the bank. They see a chance to have a life adventure instead of a meager, and possibly boring retirement on a fixed income. They see a chance to live in a beautiful setting with year round warmth, but not have to pay the extravagant prices of the sun belt regions of the US. They see an opportunity to explore options around working during retirements on their terms - owning a small business, and having fun doing it - not because they have to work to survive. All of these reasons and more are why people are beginning to explore retirement in central america, and other places outside of the US. However, this option isn’t for everyone, and should be considered carefully under each individual circumstances.
I read a really good story about this in today’s International Living Postcard/email newsletter. (I would link to it, however it doesn’t appear to be available on their website, so if you want to subscribe, here is the link). The auther Paul Terhorst, a retired US expat talks about this very concept…
Most people become attached to their tiny piece of the action and lifestyle, no matter where it is or how good it is. … We typically back into a particular career and lifestyle when we reach 23. We start a career and develop a lifestyle. Then we spend the rest of our lives fiercely protecting our position. It’s as if we believe there will never be an alternative. We stay in our comfort zone even when we outgrow it and it becomes uncomfortable.
The key part here is the last sentence. As we age we tend to be more set in our ways. It is important to remain conscious about this change, and to stay malleable and fluid so that you can make the right decisions in your life based on your environment at the time. Also don’t have your ‘life plan’ too structured. Have an goals or a vision, but allow yourself the flexibility and freedom to take some zigs and zags along the way no matter how far along you are in your life. Paul goes on to close with:
In thinking about retirement abroad you’re either one of them or one of us. If you’re one of them you cling to the known: your job, your neighborhood, your way of doing things. You fiercely resist change and moving out of your comfort zone. If you’re one of us, you long for a new adventure, a new challenge. You push beyond your known limits, allow yourself to make mistakes and learn from your life experiences. Make sure you know where you are on this change spectrum before you make your retirement plans. You want to choose a retirement that fits. You should only consider moving abroad if you like change, new experiences, and new ideas.
