The 10 Best Countries to Enjoy Your Retirement

While spending retirement at home may seem like the obvious choice for most, financial woes mean an increasing number of people fear they may not be able to afford a comfortable retirement. According to 2024 data, the United States ranks as the 9th most expensive country in the world in terms of cost of living.

As a result, more and more retirees are looking abroad. So, what are the best retirement destinations? In this index, we list the 40 best countries to move to for retirement.

Methodology

The index aims to identify the most desirable places to live among locals and is based on four metrics weighted equally: safety, cost of life, healthiness level, and sunshine duration. We also took into consideration residency requirements for each country.

• Safety. We used the 2024 Global Peace Index (GPI) as the base metric. The GPI is considered the most authoritative dataset on overall safety and includes indicators like homicide rate and number of prisoners, as well as political instability and participation in conflict.
• Cost of life. We looked at the Cost of Living Index compiled by Numbeo (mid-year 2024), which evaluates the combined indicators of grocery, restaurant, transportation, and utility prices in different countries.
• Healthiness level. We used the WHO Healthy Life Expectancy (HALE) at 60 (years) data (2021). HALE is the average number of years in full health a person (usually at age 60) can expect to live based on current rates of ill health and mortality.
• Sunshine duration. We included the average annual number of hours that the main city of each country receives in direct sunlight.

Since the GPI uses indicators normalized between 1 and 5, the rest of the dataset was adapted by normalizing it in the same way using min-max normalization.

Each metric was given equal weight in the calculation, so the final index is an arithmetic mean of normalized indicators. We then multiplied it by 20 to get an index up to 100.

The United States was included in the index for reference.

* Split (Croatia), Miami (USA)

The top 10 countries for retirement

Based on our comprehensive index, these top 10 countries offer the perfect blend of affordability, safety, and quality of life, making them ideal destinations for a fulfilling retirement abroad.

#1 Portugal

Portugal is our top retirement destination. Cost-effective and boasting over 2,800 hours of sunshine per year, it’s also one of the safest countries in the world (#7 in the GPI ranking).

The Algarve and Madeira are known to be attractive regions for pensioners. In addition, Portugal is one of the easiest countries in which to obtain residency.

#2 Spain

In second place, Spain shows impressive scores in all metrics and stands out for being one of the healthiest countries in Europe, with an average of 18.9 years of healthy life expectancy at 60.

Spain has a developed community of retirees living mainly on its coastline and offers a straightforward visa procedure for non-EU citizens.

#3 Mauritius

The only country in Africa to make it into our index, Mauritius is an excellent all-rounder destination. It experiences more than 2,900 hours of sunshine annually and is significantly cheaper than its European competitors.

The country is also characterized by several tax exemptions and offers a retirement-specific residency permit.

#4 Greece

Greece scores well in all metrics, with a slight edge over Portugal and Spain when it comes to cost of life. With around 6,000 islands and a healthy diet, the country ticks all the boxes of an enjoyable retirement destination.

A popular country for short- and long-term visitors, Greece has several pathways in place for residency.

#5 Italy

Another classic retirement and tourist destination, Italy comes out as the second healthiest country for those over 60 in Europe after Spain, with a HALE at 60 of 18.4 years.

With limited visa restrictions, it is also a relatively easy destination to move to. The southern part of the country — from Tuscany to Sicily — is particularly attractive for retirees.

#6 Croatia

An emergent tourist destination, Croatia benefits from 2,640 hours of sunshine per year and has yet to see the large number of retirees that Portugal and Spain host.

Its central geographical position in Europe also gives it an advantage, although the path to residency isn’t as easy as it is for some other countries in our top 10.

#7 Australia

The first country of the Anglosphere to make it into our top 10, Australia is also the strongest cultural fit for U.S. retirees.

A sunny destination with an impressive 19.1 years of healthy life expectancy at 60, it isn’t as cheap as its European counterparts, but it’s still one of the best destinations overall. On top of that, Australia offers a dedicated retirement visa scheme.

#8 Malaysia

Malaysia is the only country in Asia to be part of our top 10. An unbeatably cheap, attractive retirement destination, it offers tropical landscapes, good health infrastructure, and a reasonable amount of sunshine.

Its recently introduced “Malaysia My Second Home” (MM2H) program specifically targets retirees.

#9 Slovenia

Another Balkan entry, Slovenia sees higher healthiness levels in people over 60 than Croatia and is cheaper than Portugal and Spain.

Although it has a limited coastline, its geographical location bordering the Southern Alps and its high position on the safety ranking suggests it’s an excellent retirement destination.

#10 New Zealand

New Zealand is another strong cultural fit for U.S. retirees and completes the top 10. Like Australia, New Zealand stands out for being a safe (#4 in the GPI ranking) and healthy (18.9 years of healthy life expectancy at 60) country despite being on the expensive side.

New Zealand offers a straightforward visa procedure to retirees through a dedicated scheme.