How Much Income Do You Need for Panama’s Retirement Visa? Updated 2026 Thresholds

Overview of the Panama Pensionado Program

Very few programs are as friendly to retirees as the one we're featuring in this article. With an easily achievable minimum income, Panama pensionado visa helps many expats relocate to a stable and safe environment. Delve into the details and requirements here.

Benefits of the Pensionado Visa

Tax Advantages

This program is designed to make relocation easy and affordable by providing discounts, tax reliefs, and setting flexible requirements. The applicant can import household goods to a total of $10,000 without paying tax. In line with this, they can import a new car every two years, also duty-free. 

Another tax advantage is territorial taxation and low-income tax rates, although this is not strictly related to the pension program. 

Discounts for Pensionado Visa Holders

Retirees have access to significant discounts in key areas, including entertainment, traveling, and medicine. Some discounts are exclusive to the pensionado status holders, while others apply to all retirees. When it comes to medicine, they get 20% off medical consultations, 15% off dental and eye exams, 10% off prescription medicines, and 15% off hospital bills if the individual has no insurance.

As for entertainment, they access 50% off sports events, concerts, and movies all around the country. Regarding tourism and travel, we have prepared a graphic showing the most relevant discounts.

Permanent Residency and Property Ownership

This program grants immediate permanent residency with no obligation to live permanently in the country, and the possibility of getting citizenship after five years of permanent residency. 

The fact that Panama has a relatively low cost of living means that retirees have an extra perk when acquiring property and property maintenance: they get 15% off loans made in their own name, 50% reduction in closing costs for home loans, and 1% less on home mortgages for properties they use as personal residences. 

Monthly costs are also reduced thanks to discounts on utility bills (25%), and professional technical services (20%). 

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Eligibility Requirements for the Pensionado Visa

Financial Requirements

With the $1000 lifetime pension (which can be from government or private sources), any individual can apply to the pension visa, which doesn't stipulate a minimum or maximum age. Any person can have a lifetime pension at any age for various reasons, and this makes them eligible. 

According to Article 200, Law No. 9, the minimum threshold is $1000 a month (which can be combined by two pensions from the applicant and the spouse), or $750 a month if the applicant also buys a real estate for at least $100,000, and 250 extra for each dependent.

Documents Required

• Passport of the main applicant (with more than six months of validity)
• Passport of each dependent (with more than six months of validity)
• Second ID (any document that has the applicant's photo, like a driver's license)
• Second ID for all dependents who are 18 or older
• Police criminal record for applicants and dependents who are 18 or older
• Marriage certificate for those applying with their spouse
• Birth certificate if applying with dependents
• Sworn declaration of being single for dependents who are 18 or older
• Certification of studying at the University for dependents who are 18 or older
• Letter from the company or institution that issues the pension income
• Certification proving that the entity exists
• Banking statements or proof of payment
• Passport-type photos for each applicant and dependent
• All documents must be apostilled or authenticated in a Panamanian consulate
• All documents must be translated into Spanish through certified translations
• All documents must be submitted in physical form

Dependents and Family Inclusion

Applicants can add their spouse and children, the latter being younger than 18, or between 18 and 25 if they are financially dependent on the main applicant and study full-time at the university.

Mundo experts recommend that dependents apply through another alternative: permanent residency for children, as pensionado only grants them residency till the age of 25. 

Application Process for the Pensionado Visa

Step-by-Step Application Guide

The first step is the primary assessment that you will do with your Mundo expert; only then will you proceed to gather the documents and fill out the forms. You will send digitalized copies to your Mundo expert so that he/she can guide you and assist you. Once the documents are ready, you will travel to Panama with the physical documents and submit them with your application to the national migration office.

There will be a period of approximately 3 months in which the office will review your application. If you can stay in the country, you can do it, or you can choose to go back home while you wait.

The receipt of your permanent resident card is also in person and requires your presence at the national migration office.

Application Submission and Approval Timeline

The longest part of the process is the application review, a stage that lasts at least three months. Documents are generally gathered within 2-3 weeks, depending on the case and the efficiency of the applicant in obtaining neat copies, translating, and notarizing.

As for the visits to the country, they can take up to five business days. Mundo doesn't recommend doing this in November because this is when the national holidays are celebrated.

Cost of Obtaining a Pensionado Visa

To get the pension visa, you will have to pay all applicable fees and face the cost of making notarized copies and translations. For other migration programs, two payments are required: 250 to the National Treasury and 800 to the national migration service. 

Healthcare and Living in Panama

Healthcare Options for Retirees

There are plenty of state-of-the-art clinics with excellent doctors, nurses, and healthcare personnel. Here are some of the best and most renowned:

Panama Clinic

Besides having advanced facilities and highly skilled professionals, this clinic has what is known as the International Health Service Department. This is a team dedicated to providing case-by-case support, considering the patient’s culture and background. This is not a minor detail, as expats may need special support while being treated in a foreign country, in many cases, away from their family and loved ones. 

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Pacifica Salud in Punta Pacifica and Costa del Este

Pacifica Salud is affiliated with Johns Hopkins Medicine International, thus securing the highest standards. The clinic has recently developed new stroke policies to obtain an international certification and enhanced its pediatric emergency department. Besides, it is constantly focused on improving efficiency and patient safety.

Hospital San Fernando

A healthcare center certified by the Joint Commission International, this was the first private hospital when it was founded in 1949. Since then, it has trained doctors under the highest and strictest standards, and it has provided integrated services to local and foreign patients. 

Hospiten Paitilla 

Hospiten Paitilla has been helping patients for over 50 years with services including radiology, physiotherapy, lab studies, and maternity. It is ideal for foreigners or frequent travelers as it has a comprehensive network of prestigious medical centers across the globe. 

Due to the cosmopolitan nature of this country, many of the doctors are bilingual, so that expats can feel at home while being treated or during consultations. 

Convenient costs

For U.S. citizens, Canadians, and Western Europeans, the costs of healthcare are highly competitive and much lower than at home. A regular consultation can cost approximately $50, while in the US, you can expect to pay from 200 to 400 depending on the state and the specialty. Moreover, retirees in the US have to face costs that Medicare doesn’t cover, like long-term care and dental or vision follow-ups. 

Cost of Living Considerations

Eating at a restaurant can cost from 5-7 dollars to 20-25, while public transportation costs a few cents (0.32 and 0.50 for the metro). As for renting apartments, a one-bedroom can vary from 800 to 1500-1800 a month, depending on the location, amenities, and conditions. All these prices are considerably lower than in world-class capitals like Miami, New York, Paris, or London. 

Pros and Cons of Retiring in Panama

Advantages for retirees and expats

The country provides outstanding conditions for experts and especially for retirees under the pension visa. The main advantage is definitely the low cost of living and the possibility of stretching your retirement income farther than at home. Besides, you will be welcomed by a cosmopolitan environment with tolerance of different religions and ethnicities and wide use of the English language. 

What you may dislike

Deciding where to retire is a huge step, and doing it abroad means that you will be far away from friends and family. Although some may visit often, not everyone will, and you won’t see them as frequently.

Secondly, you may miss some things. Even though the country of the canal is improving its infrastructure considerably, it is not as organized as other capitals in terms of urbanization. 

When it comes to nature, Panama doesn’t lack tropical paradises, and it has a mild mountain weather in Boquete; nevertheless, you will be missing out on other types of landscapes that you do find in other destinations. 

Finally, the country of the canal has a rich cultural environment, but it is not comparable to the theaters, classical music, museums, and archeological sites you enjoy in Europe or the US. 

Disclaimer: the information in this article may be inaccurate or outdated at the time of reading; therefore, this article doesn’t constitute formal migration advice. Please consult with certified professionals before applying for a visa. 

Frequently Asked Questions

Can I Work with a Pensionado Visa?

Retirees can work in foreign companies or own a business. 

Do I Need to Live in Panama to Maintain Residency?

Not necessarily, as the minimum stay conditions are flexible. 

Can I obtain citizenship in Panama through the pension visa?

Since there is no citizenship by investment program, you can obtain citizenship through a regular naturalization process after permanently living in the country for 5 years. So, yes, the pensionado program can be the first step in your journey to citizenship. 

Conclusion and Final Thoughts

All in all, the country of the canal offers one of the best retirement programs in the world and access to one of the best economies in Central America and the most relevant cities in Latin America. 

The country stands out for its lifestyle opportunities, low costs, excellent health care, and ample expat community. 

Related Resources and Further Reading

Mundo recommends visiting our residency and citizenship section, which can be found on our home page. There, you can find other types of visas and citizenship programs if you're looking for a different approach to migration.

We handle our requests in-house through our team and are connected with agents, experts, and lawyers dedicated to investment migration, establishment of companies, opening of international bank accounts, real estate, and family office. We are just one click away, so write to us and send us your enquiries. 

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