Dominican Republic as a destination for ER's

[Duarte]

I'm planning for my early retirement (hopefully) in a few years. Obviously the key to a successful retirement is to be able to have a steady stream of income that would allow you to live the way you want. The way I see it if I retire in the US I will not have enough money to live a confortable life. Fortunately for me I have a great option (The Dominican Republic). I should disclose at this point that I'm originally from there, so my experience may be a little different to other people. I've calculated that I could live extremely comfortable down there with a 36k USD/Year income (as long as you own your house and car). I'm talking about a life without having to sacrifice anything. With this money you can have a maid, gardener, nanny and even a driver if you so desired. The weather is warm all year round. Some of the best beaches in the caribbean. Real state is dirt cheap (100k for a 3000 sf home - depending on where you're buying). Freedom to do whatever you wish, without tons of laws restricting your every move. Lots of great golf and let's not even talk about the women (paradise for the single male)
Not trying to promote The DR as a destination (it may not be for everyone). Just wanted to share my plans with others and hopefully open the eyes of those looking to retire early to alternatives to retiring in the US which would require a great deal of income to maintain a confortable lifestyle.

 

[cute fuzzy bunny]

Do you need a cook?

 

[Whakamole]

. I've calculated that I could live extremely comfortable down there with a 36k USD/Year income (as long as you own your house and car).

You can live comfortably in the US on 36K/year if you own your own house and car too.

 

[Lohengrin]

. I've calculated that I could live extremely comfortable down there with a 36k USD/Year income (as long as you own your house and car). I'm talking about a life without having to sacrifice anything. With this money you can have a maid, gardener, nanny and even a driver if you so desired.

You can live confortably almost anywhere in the continental U.S. on 36 grand if you owned your house and car outright. Now, you might not have a nanny, gardiner, or driver but living without those is not exactly sacrificing anything. You could still have the maid tho. They're not that expensive. And most retired people, even early retireds, are usually past the nanny stage

 

[John Galt]

I believe that a "couple" can live quite comfortably
in rural areas all over the USA on much less than
36K per year. For example, since my full retirement
(1998), we have never had combined income even
close to that figure. We do not plan to see it
in the future either.

John Galt

 

[unclemick]

I suspect being 'from there' and knowing the culture, language and lay of the land so to speak can make a huge difference.

Speaking of moving to a foreign country - in 1976 moved from Colorado to New Orleans - still a dam yankee in some peoples book.

 

[Duarte]

Yes, you could probably live "comfortable" in the US with about 36k/year income if you own your house and car outright, but the point I was trying to make is that in The DR I could live almos in luxury with that same amount. BTW, there's no income tax to pay down there, so if you make 1000 dollars you take home 1000 dollars.
The truth is I could actually live pretty confortable down there with much much less (probably about 1500/USD month for two people), but I like to be conservative when planning and I don't want to have to have to do without the things I like. This 36k/year budget includes several trips back to the US a year, eating out at fine restaurants whenever I feel like, etc...In other words I don't want to have to sacrifice lifestyle in order to retire early.
In addition the other point I wanted to make was that owning your house outright in the US is just not that easy. What type of house can you buy with 100k in The US? Not much...

I see people stating that you will need 2 million plus to retire...I will only need about 700,000 (even by taking out 4% a year)...that's a huge difference.

Unclemick: You're probably right that being from there originally does make somewhat of a difference, but there are many expats, retirees, etc...living down there and living a great life on a not so great income.

Again I just wanted to show people (especially those who think that they can't retire, because they don't have millions) that there are other alternatives. My two cents...

 

[sgeeeee]

I suspect being 'from there' and knowing the culture, language and lay of the land so to speak can make a huge difference.

Speaking of moving to a foreign country - in 1976 moved from Colorado to New Orleans - still a dam yankee in some peoples book.

I know how you feel. In 1977 we moved from Mt. View, California to Raleigh, North Carolina. We felt like we had left the planet. And once a northerner moves to the South, I don't think you can get over being a damn yankee till you die.

 

[BigMoneyJim]

I don't think you can get over being a damn yankee till you die.

No, you're still a yankee even then.

 

[cute fuzzy bunny]

Beats Key West, where I understand the 3rd generation down from people who move there are still considered "new people" and arent entirely welcome.

 

[haha]

Re: Duarte and Hispaniola

Hi Duarte,

Thanks for your interesting posts. I think a great opportunity exists for someone who comes from somewhere else, to come here (USA) make a good living and go back to wherever they came from, where they are essentially kings. Plenty of Indian guys do that off a short stint at Microsoft. I think it is different for a born American, because as the other posters have mentioned, there really aren't all that many places one can move to and really be accepted. Tolerated often, integrated less often. Especially if the American man or woman is already married.

I am thinking about going down there (Dominican Republic) this summer to practice my Spanish, and get in some merengue and salsa. I saw some Dominican dancers, and they have a very cool, smooth salsa style.

Would you recommend Santo Domingo, or some other smaller place? I wuold proably plan to stay a month or so.

Many thanks for any input-

Mikey

 

[Lancelot]

One can live very well in Thailand for $1,000 US per month, especially outside Bangkok

However, I'm always on the lookout for a "back-up" country. Keep us posted about ERing in the DR!

Thanks,

Lance