Retired and in search of a home abroad

[Sarah in SC]

Not exactly on topic, but I didn't realize until I was reading a Rough Guide to Central America last night that El Salvador adopted the US Dollar as its official currency quite some time ago. I wonder how that would affect retirees considering a move there, or that already live there?

 

[MichaelB]

Not exactly on topic, but I didn't realize until I was reading a Rough Guide to Central America last night that El Salvador adopted the US Dollar as its official currency quite some time ago. I wonder how that would affect retirees considering a move there, or that already live there?

It really shouldn't make much difference whether the local currency is the US$ or any other, as long as it is freely convertible. Local prices are what matter. One advantage to being able to use the US$ is no currency conversion fees, which can easily hit 2%. It also relieves the expat from having to hedge. I guess the math challenged don't have to walk around with their calculators. Wait - they still do - because measures are still metric.

 

[braumeister]

It really shouldn't make much difference whether the local currency is the US$ or any other, as long as it is freely convertible. Local prices are what matter. One advantage to being able to use the US$ is no currency conversion fees, which can easily hit 2%. It also relieves the expat from having to hedge. I guess the math challenged don't have to walk around with their calculators. Wait - they still do - because measures are still metric.

Very true, and there is also the issue in some countries of whether to use the official exchange rate or the "black market" rate at your friendly neighborhood cambio. I have seen gringos get in trouble by not knowing the ropes well enough to get over this hurdle.

 

[Brat]

The OP's lack of international travel is evident.

In my experience for the same standard of living the cost of living isn't lower in developing countries. Of course if they are willing to live like a local costs would be modest.

The other issue is health insurance. Medicare doesn't cover you outside the USA and its protectorates. They would need to purchase health insurance valid for their country of residence and may want to purchase medical evacuation insurance.

 

[NYEXPAT]

I guess the math challenged don't have to walk around with their calculators. Wait - they still do - because measures are still metric.

I never know how to get 4 eggs! I think I'm saying a quartro de Kilo and they keep trying to give me 64 eggs?

 

[NYEXPAT]

The OP's lack of international travel is evident.

In my experience for the same standard of living the cost of living isn't lower in developing countries. Of course if they are willing to live like a local costs would be modest.

I find that hard to believe! In my experience the only things that are more expensive then in the states are gas (for some of us),Luxury goods and some imported items like designer clothes, cars due to tariff's and duties. The food is generally cheaper and better quality, Housing is less,Medical care is cheaper and as good or better, Medicine is cheaper,Public transportation, private schools,maids,cooks,gardeners,dining,movies,entertainment, all cheaper!

Granted, if you are a LBYM type living in the sticks paying $550.00 a month rent, I doubt there is enough cost savings to offset the costs of airline travel/Car Purchase/etc. in the average retiree's life span.

 

[haha]

I never know how to get 4 eggs! I think I'm saying a quartro de Kilo and they keep trying to give me 64 eggs?

Likely they are completely flummoxed. Try cuatro huevos, por favor!

 

[YoungSaver]

The OP's lack of international travel is evident.

In my experience for the same standard of living the cost of living isn't lower in developing countries. Of course if they are willing to live like a local costs would be modest.

Completely 100% agree.

 

[kcowan]

I never know how to get 4 eggs! I think I'm saying a quartro de Kilo and they keep trying to give me 64 eggs?

In Mexico, eggs are sold at room temperature and are usually in 12 or 18 packs. Of course, the corner store will sell in any quantity...just not by the kilo!

 

[NYEXPAT]

In Mexico, eggs are sold at room temperature and are usually in 12 or 18 packs. Of course, the corner store will sell in any quantity...just not by the kilo!

It is the same way in Peru. The Supermarket sells them in 18 packs. When I go to the corner (at least 3 times a day) to pick up things for the wife/cook/guests they always use the metric system. 4 eggs = a quarter of a kilo, Cien Gramos = 6 slices of ham etc. The reason you buy 4 eggs at a time is 3 eggs in an omelette and the 4th egg is used to rid evil spirits from a child. They pass the egg over the naked childs head, chest,arms,legs, and then crack it open, to see what they caught. Instead of throwing it away after, I said why don't you fry it up for the dog. After so many looks of disbelief , I just oohh and ahhh with the rest of them!

I realize we are getting off track here so I will say this:
Latin american culture (as are most) is truly fascinating if you take the time to learn and enjoy all of the nuances. As a married expat you will not get to experience it as much, unless you are open minded and take the time to befriend the native people and not live in a gated expat community.

 

[kcowan]

After so many looks of disbelief , I just oohh and ahhh with the rest of them!QUOTE]Always a good strategy. Also their remedies for many ailments...

 

[YoungSaver]

This thread is getting way off track of what the OP is looking for, however I hope she has learned some useful information from this thread. Most people are suggesting non-rural living and I agree. Life will be much easier, you will have some socialization with other humans, you will be part of a community instead of confined to loneliness in the sticks and you will have access to many more necessities.

 

[Ed_The_Gypsy]

BensKat,

We are in a somewhat similar situation. We have an advantage in that we have the experience of living many places, some far, far away (note my location today under my avatar). Living outside the US is my Plan B.

I have been reminded http://www.early-retirement.org/for...hetoric-than-reality-61137-2.html#post1189221 that it is possible to live in the US inexpensively. Taking into consideration things you have said here, I think that staying in the US might be a better option for you, especially if you have not traveled much. There is some culture shock moving to the South (more or less, depending on where you go), but at least you know the rules and the language.

One thing I am trying to keep in mind is that it costs money to relocate. It is a heck of a lot cheaper to do it in the US than to go abroad. And a heck of a lot easier to change your mind if it doesn't suit you.

It is also easier to research places in the US than elsewhere, too. There are a lot of articles covering cost of living, amenities, taxes, political and social ambiance, climate and safety for places in the US. It is easier to visit them on a trial basis, too.

I suggest a gradual approach. Plan to take a while to adjust to not working after you are all retired. Plan some low-budget, leisurely trips around the country. The country is not going to fall apart that fast. There is always time to go abroad. By the way, I suggest reconnaissance trips for foreign destinations, too. And live there a year before committing.

Cheers,

Ed