How We Moved Abroad and Cut Retirement Costs in Half

Retirement in the U.S. was starting to feel out of reach.

Between rising housing costs, unpredictable healthcare expenses, and the everyday price of groceries, my partner and I began to wonder if we were doing something wrong—or if there was simply another way.

That’s when we started looking beyond the map we thought we knew.

What began as a daydream turned into a decision that cut our retirement costs in half—and completely transformed our lifestyle.

Moving abroad isn’t for everyone, but for us, it was the key to unlocking financial freedom and a richer day-to-day experience. In this article, we’ll share exactly how we did it, where we chose to go, what it really cost us—and how you can explore the same path for your retirement.

The Decision to Leave the U.S.

For years, we followed the typical retirement playbook: save diligently, pay off debt, and plan to age comfortably in the same house we’d always lived in. But as retirement neared, we realized something unsettling—our money wouldn’t stretch as far as we’d hoped.

Healthcare premiums were rising, property taxes were unpredictable, and the cost of everything from utilities to entertainment just kept climbing. We weren’t looking for luxury—we just wanted a simple, enjoyable life where we didn’t have to stress over every dollar.

So we asked the question we never thought we would:

“What if we retired somewhere else?”

That one question led us down a rabbit hole of research into expat life, international cost of living comparisons, and global healthcare options. We found forums full of retirees thriving on half of what we were budgeting. Some were in Latin America, others in Southeast Asia or Europe. And they weren’t just surviving—they were living well.

We didn’t decide to leave the U.S. overnight. But once we started gathering information, the idea became less of a fantasy and more of a plan.

Choosing the Right Country

Deciding to move abroad was one thing—figuring out where to go was another. With dozens of attractive options, we created a checklist of what mattered most to us: safety, affordability, good healthcare, welcoming expat community, and of course… sunshine.

🌍 What We Considered:

• Healthcare quality and cost

• Ease of obtaining residency or long-stay visas

• Cost of living compared to U.S. standards

• Language barrier and ease of communication

• Local culture, climate, and lifestyle

• Access to international airports for visits back home

After months of research, expat blogs, and video calls with people already living abroad, we narrowed our list to three countries. Eventually, we chose Portugal—specifically the Algarve region—for its affordable healthcare, coastal beauty, and large English-speaking expat community.

💵 Cost Comparison: U.S. vs. Portugal (Monthly Averages)

“We didn’t feel like we were sacrificing anything—we just stopped paying U.S. prices for the same or better quality of life.”

Financial Impact of the Move

Moving abroad didn’t just improve our lifestyle—it transformed our entire financial picture. We went from carefully managing every expense to finally feeling like our retirement savings could breathe. And that’s because nearly every line item in our budget got cut in half—or more.

🏡 Lower Housing Costs

In Portugal, we rent a spacious 2-bedroom apartment with ocean views for half the cost of our modest home’s mortgage and property taxes back in the States. And maintenance? It’s practically nonexistent.

🏥 Affordable Healthcare

We joined a reputable private health insurance plan for just $200/month for both of us—compared to nearly $1,000/month in the U.S. Even out-of-pocket costs are shockingly low. A routine doctor visit? About $30.

🍽️ Day-to-Day Savings

• Groceries are 30–40% cheaper, especially fresh produce, meat, and local wine

• Public transportation is safe, clean, and reliable—no need for a car

• Dining out is affordable: a full dinner for two with wine? Around $25

“For the first time in years, we’re not worried about every grocery receipt or gas bill. We actually enjoy budgeting now—because there’s room to breathe.”

Even better? With our lower cost of living, we’ve been able to travel more, build an emergency fund, and still save each month—a freedom we never thought we’d have in retirement.

Adjusting to a New Culture

Moving abroad wasn’t just a financial shift—it was a cultural adventure. While Portugal welcomed us with sunshine and warm people, adjusting to a new country still came with its learning curve.

🌐 Learning the Language (and the Lifestyle)

• While many locals spoke English, we made an effort to learn basic Portuguese out of respect—and practicality

• Shopping at local markets, navigating the pharmacy, or visiting government offices was easier (and more enjoyable) with a few phrases under our belts

🕰️ Slower Pace, Simpler Living

• Life moves slower in the Algarve—and that took some getting used to

• Banks and post offices might close early, and no one’s in a rush (except Americans)

• But once we let go of our need to rush, we found real joy in the present moment

👥 Finding Community

• We joined an expat group that meets weekly for coffee and conversation

• Volunteering at a local animal shelter helped us feel connected

• Making friends with locals and expats alike has made this place feel like home

“We came for the affordability, but we stayed for the people. The friendships we’ve made here have been the greatest gift of all.”

Yes, there were challenges—but each one came with a lesson. And those lessons have made retirement feel more fulfilling, adventurous, and meaningful than we ever imagined.

Pros and Cons of Retiring Abroad

Retiring abroad has been one of the most rewarding decisions we’ve made—but like any big life change, it comes with both benefits and trade-offs. Here’s what we’ve learned along the way.

✅ The Pros:

⚠️ The Cons:

“Yes, we miss the grandkids. But we also feel more energized, more connected to each other, and more financially free than ever.”

Knowing the pros and cons helped us approach the move with realistic expectations—and that clarity has made all the difference.

Advice for Others Considering the Move

If you’re thinking about retiring abroad, know this: it’s entirely possible—and it doesn’t have to be overwhelming. With a bit of planning and a willingness to adapt, your dream retirement can become a reality.

🌍 Start Slow and Smart:

• Take a test run. Rent in your chosen country for a few months before making a long-term move. It gives you time to learn the area, the language, and your comfort level.

• Talk to other expats. Join online communities or local meetups to learn from real people who’ve already made the leap.

• Research healthcare options. Know what insurance plans are available, how the system works, and whether you’ll need supplemental coverage.

• Understand visa requirements. Some countries offer retiree visas with minimum income or savings thresholds—plan ahead for documentation and timelines.

• Budget for back-and-forth travel. Visiting family, renewing documents, or simply taking a break means you’ll want a cushion for international flights.

“Moving abroad felt scary at first, but once we did our homework—and actually lived it—it felt less like a leap and more like a step forward.”

Don’t wait for perfect conditions. Start with a small move, ask lots of questions, and keep an open mind. You’ll be surprised how many doors open once you take that first step.

Conclusion

Retiring abroad may not be the traditional path, but for us, it’s been the right one. We found a lifestyle that’s not only more affordable but richer in every sense—in experiences, in relationships, and in peace of mind.

We didn’t downsize our lives—we upgraded them by choosing a different way to live.

Whether you’re curious about the cost savings, drawn to new cultures, or simply looking for a fresh start, moving abroad might be your ticket to a more fulfilling retirement.

For more insights, tools, and real-world stories to help you design your retirement with confidence, visit RetiredLifeTips.com—your trusted source for Lifestyle advice for retirees and smart Retirement Planning abroad.