Here we are again. Every August, I lose a little more of my will to live in Japan. Summer is getting longer and hotter every year. It’s on a one-way track, too. I doubt it will reverse and cool down in my lifetime.
Of course, I live in the Kanto region, so I get what I deserve. We recently took a trip to Tochigi, near Nikko, and it was noticeably cooler surrounded by the forest there. If you are comfortable living away from the baking concrete jungle, Japan has plenty of great options. However, I’ve seen reports of 40-degree temperatures in parts of Hokkaido this year. Retirement somewhere else is sounding pretty good to me right now. Or at least summer somewhere else!
You have probably seen a host of ‘Best places to retire’ rankings already. They are often contentious, as everyone has their personal preference. I just took a look at International Living’s Best Places to Retire in 2025: The Annual Global Retirement Index. Whether you agree with the conclusions drawn there or not, it’s an interesting read. I get the feeling that many of the contributors on the article are American by the way they are gushing about countries that have decent, affordable healthcare!
In Asia, Thailand and Malaysia make the top 10. I wonder about how affordable Bangkok really is these days, but I think it’s easy to dial your lifestyle up or down depending on your budget. Thailand gets my vote simply for the food, which I boldly proclaim to be the second-best in Asia behind Japan. In pure value-for-money terms, the Philippines must rank pretty high, but if you are trying to escape the heat, I’m not sure it’s the right direction to be heading!
The usual suspects dominate Europe. Italy and Greece would be hard to beat for weather, culture and food. Portugal seems to rank highest these days, but at €2,500 – €3,000 a month for a couple to live comfortably, it isn’t exactly cheap.
I imagine somewhere like Croatia could give these countries a run for their money.
So, Panama?
I’ve noticed that Panama comes top of a few of these surveys. Proximity to America is possibly driving this. It’s certainly not the first place I would think of relocating to. Other than the canal and hats, I don’t know much about it. (Apparently, Panama hats are of Ecuadorian origin)
A little internet research suggests that the Central American republic has a stable economy, which is heavily reliant on the service sector. It is an international banking centre, and the world-famous canal makes it a logistics hub. It’s also popular with tourists.
No tax on foreign-earned income is nice. You can qualify for a pensioner visa if you have a pension of over $1,000. If you don’t have a pension, a $200,000 investment in real estate qualifies. You can also simply park the $200k in a three-year fixed-term deposit if you don’t want to buy a place.
“Imagine renting a modern, furnished condo for just over $1,000 a month in a world capital with great weather, New York-style nightlife, and every imaginable convenience. Central America’s only metro line, cheap Ubers, excellent shopping, and a vibrant dining scene await. Or imagine living in a coveted beach town where a golf membership costs $350 a month—that’s what my neighbors pay in Coronado, where I live.”
Well, that doesn’t sound so bad, although it is a little far from Japan!
Of course, it’s probably not necessary to fully relocate somewhere else. My sister just sent photos of her family holiday in a Welsh seaside resort: beach all day, cool at night and light until 9 or 10pm. It’s easy to forget how nice parts of the UK are in summer. And winter in my part of Japan is very mild these days, mostly sunny with very little rain. So a combination of the two would be a pretty good life.
It’s all very well saving and investing for the future, but what does your ideal retirement actually look like? I would love to hear from you – it might give me some new ideas!
Top image by salocin1 from Pixabay
Disclaimer: This should go without saying, but the information contained in this blog is not investment advice, or an incentive to invest, and should not be considered as such. This is for information only.
Smart Money Asia 