How to Obtain a Panama Retirement Visa : visasupply.com

Panama has been ranked as one of the world’s most appealing countries for retirees. Best known for the Panama Canal, the nation’s historic ties to the United States make the country a favorite destination for North Americans. Retirees are drawn to the country’s lush tropical environment, friendly locals, modern infrastructure, quality housing, modern healthcare, familiar American brands, and vibrant nightlight. Panama offers first-world amenities at affordable prices. Living costs average 25% lower than those in the United States, according to Numbeo (https://www.numbeo.com/cost-of-living/country_result.jsp?country=Panama). The laid-back environment is safe and secure, supported by a stable political environment and business-friendly policies that sustain a growing economy.

The Panamanian government encourages retirees and their families to take up residence at the junction of Central and South America through its Panama Pensionado program, one of the world’s most popular retirement programs. Publications such as Business Insider and International Living currently rank Panama as the world’s second-best countries for retirees globally, trailing only neighboring Costa Rica.

In 2019, 2.5 million tourists visited Panama. Tocumen International Airport is a global hub that provides a convenient base for traveling to other destinations within Latin America. The airport is roughly a four-hour flight from Atlanta or three hours from Miami, making it easy for Southerners to return home as needed. The Panamanian balboa is pegged to the U.S. dollar, so currency conversion is straight-forward for newcomers. In fact, U.S. dollar notes are the only currency in circulation (although there are Panamanian balboa coins used in the country). Panama is also in the Central Time Zone, making it easy to match schedules when communicating with family members back home.

Panama City, the cosmopolitan capital, features modern skyscrapers and Western conveniences surrounded by natural wonders. The hip Casco Viejo neighborhood in the historic Old Quarter is a UNESCO-protected area with narrow trick streets and restored colonial houses. The cultural influences of African, Spanish, and Caribbean peoples come together to create a unique melting pot of diverse civilizations. Panama City (and the entire country of Panama) have a sizable population of Chinese, many of whom have been living in the country for three centuries and operate businesses such as convenience stores and restaurants. There are also Lebanese, Palestianians, Syrians, and Indians, as well as a small, but powerful Jewish community.

Boquete, the country’s best-known retirement venue for many Americans, is a mountainous region with mild weather and social activities such as horseback riding and dancing. The cool climate of El Valle -- long a weekend getaway spot for Panama’s elite -- is popular for retirees for its green tourism attributes and strong expat community. San José de David (aka David), the capital of Chiriquí Province in western Panama and the third largest city in the country, is a commercial hub set in an agricultural region that continues to grow in popularity with retirees. Other top retirement spots include Sana Fe, a mountain town similar to Boquete but with lower costs; and Pedasí in the Azuero Peninsula, where traditional villages are a center of culture and folklore. Pedasí is located just a short drive from several beatiful beaches such as Playa Los Destiladeros, Playa Arenal, and Playa Venao, a small beach town that has become a popular destination for surfers in recent years.

Many retirees come here to enjoy the warm yet hurricane-free climate. The country stretches from the Pacific Ocean to the Caribbean Sea. More than 1,800 miles of coastline offer waters ranging from surfing hot-spots to quiet getaways. Panama has more than 1,400 islands surrounded by crystal-clear waters; white sandy beaches; lush green rainforests; and mountainous coffee plantations. The hundreds of islands comprising the Bocas del Toro archipelagos is the prefered retirement destination for beach-lovers and boaters. Panama City is the only urban capital in the world with a tropical rainforest within its city limits, the Metropolitan National Park. Hike to the top of Cerro Ancón, and you can view the new city, the old city, and the ruins of the original colonial settlement at Panama City. Birding, snorkeling, white-water rafting, and simply exploring nature are also popular with visitors of all ages.

Pensionado Program Offers Extra Benefits

The Panama Pensionado program is widely considered one of the best retirement programs in the world. It is available to all legal residents of Panama of retirement age (60 and up for men; 55 for women), including foreigners. The program currently offers such incentives and discounts as:

Import tax exemption for household goods.
Import tax exemption to import a new car every two years (NOTE: You must still pay other taxes when importing your car beyond the import tax.)
25% discounts on utility bills.
25% discount on airline tickets and 30% on other transportation.
15% discount on loans made in your name.
1% reduction on home mortgages for homes used for personal residence.
20% discount on doctor's bills 15% on hospital services if no insurance applies.
15% off dental and eye exams.
10% discount on medicines.
20% discount on bills for professional and technical services.
50% discount on entrance to movie theaters, cultural and sporting events.
50% discount at hotels during Monday to Thursday, 30% on weekends.

While benefits may change in the future, the government has indicated that it will grandfather in existing benefits for those previously retired in Panama.

Panama Retirement Visa Qualifications and Documentation

The Panama retirement visa program is available to anyone who receives a life-long pension – even if they are not actually retired. To obtain the retirement visa, you must apply in person through a lawyer in Panama rather than directly through a Panamanian consulate or embassy.

The Republic of Panama does not require a visa for normal travel from the United States to Panama. All you need to enter the country is a U.S. passport valid for at least the next three months, plus a round-trip ticket back to the United States. This allows you to stay in Panama as a tourist while the process of obtaining your retirement visa is underway. It typically takes about six months for the final retirement visa to be issued, although you should receive a temporary visa after you submit your application. You will also need to be physically present in Panama when the final visa is issued.

However, before traveling to Panama, you will need to authenticate several documents in advance through the consulate in Washington, D.C. All documents issued abroad must be authenticated by the Panamanian Consulate or stamped with Apostilled BEFORE submitting paperwork to your attorney in Panama. The consulate charges $30 per document. The process is outlined at the consulate’s website (https://www.embassyofpanama.org/legalization-of-documents-1), which includes more details on submitting documents and making payments.

The basic documents that need to be authenticated in advance are:

Certified birth certificate (updated version issued by the Office of Vital Records of the state where you were born.
Proof of income (notarized).
Certified marriage certificate, if applicable.
Original police record check issued by the F.B.I. (stamped and signed).

Requirements for the retirement visa are listed on the consulate’s website, https://www.embassyofpanama.org/retire-in-panama. Additional requirements beyond the documents listed above typically include:

At least 18 years old.
Original U.S. passport.
Photocopy of all pages of your U.S. passport.
Four photographs.
Completed registration form, which can be obtained by visiting the Immigration Office in Panama City in person.
Proof of pension providing a minimum monthly income of US $1000 from a government program or private corporation. For a spouse or minor children, your minimum income must be increased by US $250 per month per dependent. You must provide notarized verification of the pension amount. Proof of federal pension can be obtained from the Social Security Administration at https://www.ssa.gov.
Health certificate issued by a Panamanian doctor.
Proof of fees paid to Consulate.
Sworn statement about your personal background, obtained through a lawyer in Panama.

If you are single, obtain a bachelorhood certificate from a local court. If none is available, a notary public can certify this in the presence of two witnesses. The document will also have to be authenticated by the Panamanian Consulate.

Spouses and children of the applicant can also be included in the retirement. You will need to provide:

Power of attorney.
Authenticated marriage and/or birth certificates for each dependent.
Copy of each dependent’s U.S. passport.
Four photographs of each dependent.
Certificate of good conduct of wife and children over 18 years old during the last five years, notarized and authenticated.
Health certificate issued by a Panamanian doctor.
Sworn statement about personal background done through a lawyer.
Responsibility letter duly notarized and authenticated by Panamanian Consulate.

Residents of the United States with questions about obtaining a retirement visa for Panama -- or who would like us to help them ensure they have accumulated the necessary documents and paperwork before they travel to Panama -- can schedule a telephone call through our website or email Michael at michael@visasupply.com. We can also refer you to immigration attorneys, real estate agents, and personal drivers to help facilitate your initial trip to Panama.