- John and Susan Pazera moved to Colombia six years ago.
- They knew they wanted to retire early and saw leaving the US as the only way to do so.
- Your expenses in Colombia are low and affordable healthcare makes a big difference.
John and Susan Pazera knew their retirement years would be very different if they decided to stay in California.
As sailors, John and Susan – aged 68 and 64, respectively – were no strangers to travel. In 2001, the couple took a three-year sabbatical and sailed up the West Coast to Central America, where they stopped in Panama. It was a moment of inspiration.
“We started thinking maybe we could retire younger if we moved out of the country,” John told Business Insider.
They’re not the only retirees taking the leap. BI has already spoken to several Americans who have chosen to move abroad in search of better and more affordable retirement conditions. For many older Americans, it can solidify their financial security later in life, especially since just over half of people over age 65 said they earned $30,000 or less in 2021 while in the U.S., according to the National Survey. Census Bureau Current Population.
Moving to a new country can certainly present challenges, including the political atmosphere and potential language barriers. John and Susan recommended that anyone planning to move abroad visit the place where they would like to live a few times, especially when it is not the tourist season and the weather is not so good. They also suggested waiting a few years before purchasing any property.
“You have to adapt to the culture and lifestyle of that country. You can’t bring the American mentality to another country and expect everything to be the same,” said John. “You have to clear everything you expect from the U.S. that you think you will get from another country.”
How they made the move and how much life in Colombia costs
When John and Susan began planning, they first focused on increasing their savings. Then, in 2015, they sold their house and cars, packed everything into seven backpacks and moved to Panama with their two dogs.
Ultimately, they decided Panama was not the right option. Having already visited some cities in Colombia, they were familiar with the local lifestyle and felt confident in making that city their new home.
They stated that if they had not moved abroad, early retirement would not have been a possibility. Instead, they both retired at age 59 – Susan worked remotely for a few years. This is compared to the average retirement age of 63 for women and 65 for men in the US. Furthermore, they believe that their quality of life after retirement will be better.
“Everything was so expensive,” John said. “And we can afford it, but it’s like, do we want to have this lifestyle until we retire? We need to figure out an exit strategy to get out faster.”
They recently purchased a property outside of Medellín, Colombia, so they no longer have to pay rent, but they estimate they will owe about $137 a month in apartment insurance and property taxes. When it comes to basic monthly expenses, they spend about $45 per month on utilities, $40 per month on cell phones, and $36 per month on internet. Healthcare costs vary each month, but they said they typically run around $300.
The couple said the move also gave them the peace of mind of knowing that as they grow older, they will have a healthcare system they can rely on for any physical ailments they may face.
“If we stay in the US, one of us will get really, really sick with some weird illness, and the insurance company will say, ‘Well, we don’t cover that.’ And then it all comes out of your pocket,” John said. “So all the money you have saved throughout your life, you have to put into your savings for something that is not covered by health insurance companies. But here, we know that we can get sick from anything in the world, and we will be taken care of.”
It’s not free health care, Susan emphasized, but “it’s really eye-opening” to see the quality of health care she can get in Colombia for a significantly lower price than in the US.
Lower healthcare costs are often one of the main reasons people may choose to leave the US. Another expat, Debra Crockett, previously told BI that she moved to Turkey after struggling with high healthcare costs in the US and found it much more affordable abroad.
John and Susan are grateful that finances are not a concern for them as they continue to live abroad during retirement. But it’s more than that — they said their neighborhood is very walkable, they can do a number of outdoor activities like hiking and biking, and their neighborhood often has cultural events and activities that they can participate in.
They have achieved their goal of retiring early and can now enjoy the benefits.
“It’s not easy all the time, but it forced us to get into the community and learn because it’s a complete immersion,” Susan said. “And it really feels like the place we should be right now.”
How are you planning for retirement? Share your story with this reporter at asheffey@businessinsider.com.
