Federal Retirees Are Leaving the U.S. for Central America

John Faith
July 13, 2014

The American economy is not improving for many citizens, including federal retirees. Because affordability is a key phenomenon for many retirees, they choose different paths to living out their retirement years. Many retirees are looking towards Central America for homes and lifestyles they can afford. They are finding living expenses are just too high to maintain the kind of lifestyle they desire to live in their retirement years.

Central American countries, like Ecuador still place them within reach of their families back in America within a day’s flight. Retirees who have moved to Ecuador report paying on average $400 for a 3 bedroom apartment that might cost them $900 or more per month in some parts of the United States. They also report spending much less for health care expenses and can spend the equivalent of $2.00 per person on a high-end lunch. These attractive economic features have many retirees looking to other shores to enjoy their fixed-income status in retirement.

Retirees report missing their friends and families when living abroad, but are comforted knowing an airplane reservation will help them make that connection relatively easy. With retirees leaving the United States, will that be yet another drain on the American economy? Dollars that could be spent in the USA are being spent other places not benefiting the U.S. economy at all. It is time that the USA started looking into ways to not only retain workers in the workforce but retain its citizens in the country after retirement.

The statement alone that retirees are leaving the U.S. for other shores that offer a more affordable lifestyle on a fixed income is more than food for thought. The US should be strategizing and finding solution-driven ways to create more home affordability for American citizens. Why should an American citizen have to leave the country of his/her birth to find affordability? If leaving the country is simply a matter of choice, then that it one thing. However, to leave because you cannot afford to live in your own country is an eye-opener and a call to action that something needs to be done without delay.

After spending 30 to 40 years on a job, the expectation should be that one can choose to live out the last years in comfort and relative security. It is terribly disturbing that a move is made because of the inability to afford the basic needs of life – a place to live, food to eat, transportation, medical care and a little something left over to do whatever you will. If that cannot be accomplished, then why spend the majority of your life working only to find out that after retirement you must hitch up your wagon and stake out a new place because your retirement money can’t pay for you stay within U.S.. borders.

We’ve got a lot of work to do to make America work for its people. As you age and have paid your dues by working long and hard, you should not have to bare the burden of looking for a place you can afford to live in. Places in the States designed for senior living are basically for high-income individuals. Let’s not forget about low-medium-high. There are people, retirees in every category. Let’s work towards accommodating them.

P. S. Always Remember to Share What You Know.

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