4. Costa Rica: The “Pura Vida” Lifestyle

Costa Rica has long been a beacon for Americans seeking a peaceful, nature-filled life abroad. Its famous motto, “Pura Vida” (the pure life), is more than a saying; it is a reflection of the culture’s laid-back, friendly, and environmentally-conscious attitude. With its stable democracy, lack of a standing army, and stunning biodiversity, Costa Rica offers a unique and appealing package for retirees who value wellness and the great outdoors.

The Cost of Living in Costa Rica

Costa Rica is the most expensive country in Central America, and its popularity has driven prices up in recent years. However, it still offers good value compared to the U.S. A retired couple can expect to spend between $2,000 and $3,500 per month to live comfortably. Your budget will depend heavily on your lifestyle and location. Living in the Central Valley near the capital, San José, is more affordable than in the popular coastal tourist towns. Rent for a modern two-bedroom home can range from $800 to $1,500. One of the best ways to save money is to shop at local farmers’ markets (ferias), where fresh fruits, vegetables, and meats are abundant and cheap.

Healthcare in Costa Rica

The healthcare system is one of Costa Rica’s biggest draws. It has a government-run universal healthcare system called the CAJA, which legal residents are required to join. You pay a monthly fee based on your reported income (typically 7-11%), and in return, all of your medical care, from checkups to prescriptions to major surgeries, is covered. The quality of the CAJA is very high, though wait times for non-urgent procedures can sometimes be long.

In addition, there is a thriving private healthcare system with modern hospitals and clinics. The costs are much lower than in the U.S. but higher than in the public system. Many expats use a combination of both: the CAJA for regular care and prescriptions, and private insurance or out-of-pocket payments for elective procedures or to see specialists more quickly.

Visas and Residency

Costa Rica offers several residency options for retirees. The most popular is the Pensionado Program. To qualify, you need to show proof of a lifetime monthly pension of at least $1,000. This can come from sources like Social Security or a government pension. Another option is the Rentista Program, which is for those without a traditional pension. It requires proof of $2,500 in monthly income for at least two years or a large deposit in a Costa Rican bank. Both pathways lead to temporary residency, which can become permanent after three years.

Pros and Cons: Embracing Pura Vida

The Pros are rooted in lifestyle. The country is famously peaceful and stable. The focus on nature and outdoor activities—from hiking volcanoes to surfing—is a dream for active retirees. The healthcare system is excellent and affordable. The local population (Ticos) is known for being warm and welcoming to foreigners.

The Cons are practical realities. The “Pura Vida” mindset can sometimes translate to slower service and a more relaxed attitude toward deadlines, which can be frustrating for those used to American efficiency. The country’s infrastructure, especially roads outside the main corridors, can be challenging. The rainy season, which lasts for about half the year, is very wet. Petty theft is also a concern, so it is important to be mindful of your belongings.