Answering Your Big Questions About Retiring Abroad

Moving to another country brings up a lot of questions. Here are straightforward answers to some of the most common concerns for American retirees.

Can I still get my Social Security benefits if I live abroad?

Yes, in almost all cases. The U.S. Social Security Administration (SSA) will send your payments to you in most countries around the world. You can have them deposited directly into a U.S. bank account or, in many countries, directly into a local bank account in the local currency. The SSA has an entire section on its website dedicated to payments for those living outside the U.S. You can find it at www.ssa.gov. There are a very small number of restricted countries, but none of the ones listed in this article are among them.

What about my Medicare benefits?

This is a critical point to remember: Medicare will generally not cover health services you receive outside the United States. There are a few very rare exceptions, but you cannot rely on it for your healthcare abroad. Most expats choose to keep their Medicare Part A (which is usually free if you’ve paid into the system) in case they return to the U.S. permanently. Many also continue to pay their Part B premiums to avoid late enrollment penalties if they move back. However, for your day-to-day care in your new country, you will need a separate health insurance plan.

Do I have to give up my U.S. citizenship to retire abroad?

No, absolutely not. Retiring abroad and becoming a legal resident of another country does not affect your U.S. citizenship. You will remain a U.S. citizen with all the rights and responsibilities that entails, including the right to vote in federal elections and the obligation to file U.S. taxes.

Is it safe for American retirees to live in these countries?

Safety is a valid concern, but it is important to look at it with perspective. Every country, including the United States, has areas that are safer than others. The countries listed here are generally considered safe, and in the case of Portugal and Spain, have much lower crime rates than the U.S. The key is to do your research on specific regions, cities, and even neighborhoods. Expat communities are a great resource for on-the-ground information about safety. The same common-sense rules apply everywhere: be aware of your surroundings, do not flash expensive jewelry or large amounts of cash, and secure your home properly. For official travel advisories, you can always check the U.S. Department of State website.