Why there is no single "best country to retire"

Most people who Google "best country to retire" end up more confused than when they started.

One list says Portugal, another says Panama, another claims Mauritius is #2 in the world, and a more serious-looking index insists the answer is Norway or Switzerland.

If you are thinking, "How can all of these be true?" – good. You should be.

The short answer: There is no single "best country to retire". It entirely depends on what the index is measuring and what you actually care about.

This page is about why the rankings contradict each other, the typical questions people ask, and how to read these lists without being misled.

The problem: people search for a simple answer that doesn’t exist

Here are the kinds of searches people type every day:

• "Best countries to retire in 2025"
• "Where can I retire on $2,000 a month?"
• "Cheapest countries to retire with good healthcare"
• "Is Portugal still the best place to retire?"
• "Is Mauritius really number 2 for retirement?"
• "Mexico vs Portugal vs Thailand – which is better to retire?"

And they expect one neat list that magically resolves all of that.

Reality check:

• A US-based financial index might say the best country to retire is Norway – because it is scoring state pensions, social spending, and financial security for locals.
• An expat-retirement index might say Portugal is #1 – because it is scoring cost of living, residency, tax on foreign income, and lifestyle for foreigners moving in.
• A visa/tax optimisation index might rank Mauritius high – not because it beats Switzerland on hospitals, but because it is cheap, has a clear retirement visa, and a friendly tax regime.

All of those can be "right", and none of them mean anything to you unless you know what that index is measuring and what you personally care about.

Why retirement rankings contradict each other

Most "best countries to retire" lists are just different mixes of the same ingredients:

• Cost of living (rent, groceries, utilities, services)
• Residency and visa rules (can you live there legally?)
• Tax treatment (will they tax your foreign pension?)
• Healthcare quality and access
• Safety and stability
• Climate and environment
• Language and integration
• Expat ecosystem vs blazing a trail

Different rankings weight these factors differently, exclude different countries, and often assume different types of retirees. One is basically asking "How good is the old-age safety net for locals?" and another is asking "How easy is it for a foreign retiree to live well and pay less?" You should expect contradictions.

Three completely different "games" the lists are playing

1. Geo-arbitrage / expat retirement rankings: Cost, ease of residency, tax on foreign income, healthcare, lifestyle fit. Usual suspects: Portugal, Spain, Greece, Italy; Panama, Costa Rica, Mexico; Malaysia, Thailand; Uruguay, Chile, Paraguay; Mauritius, Malta, Cyprus.
2. Rich-country retirement quality indices: Pensions, public healthcare, financial sustainability, social spending, governance. Typical winners: Norway, Switzerland, Iceland, Ireland, Netherlands; New Zealand, Australia, Canada.
3. Tax / visa optimisation lists: Territorial tax, passive-income visas, non-dom/flat-tax deals, CBI. Examples: Portugal, Cyprus, Malta; Mauritius, Panama, Paraguay; select Caribbean islands.

A country can top one and be irrelevant in another. That’s expected.

So what does "top 20 retirement destinations" actually mean?

If you force everything into one basket and ask "Which countries are repeatedly attractive for foreign retirees across multiple rankings?" you get a hybrid list that looks like:

• Portugal, Spain, Greece, Italy
• Panama, Costa Rica, Mexico
• Malaysia, Thailand
• Uruguay, Chile, Paraguay
• Mauritius, Malta, Cyprus
• Plus a few rich-system options: New Zealand, Australia, Canada, Switzerland (great if you qualify and can afford them)

Notice what’s missing: there is no single #1 for everyone; no single "correct" top 20; some countries are amazing for one profile and pointless for another. That’s why numbered lists are a trap.

Why you are right to be confused

Most articles flatten totally different questions into one fake certainty. People are really asking things like:

• Where can I retire on $2,000/month and still have decent healthcare?
• Where can I retire near the sea without paying tax twice?
• Where can I retire with an EU passport but low housing costs?
• Where can I retire as a US citizen and fly back easily to see family?
• Where can I retire with X in assets if I never want to work again?

But they Google "Best country to retire" and expect the answer to match their age, citizenship, health, income/assets, desired climate/culture, and risk tolerance. It won’t.

How to read "best countries to retire" lists like a grown-up

1. Who is this for? Locals? Foreign retirees? High-net-worth investors? Digital nomads?
2. What is it measuring? Cost, visas, tax, healthcare, governance, climate, lifestyle? How is it weighted?
3. Does this fit my situation? Can you realistically get a visa? Will taxes kill your plan? Is healthcare good enough? Can you handle language, culture, distance?

If the answers don’t fit you, the ranking is noise—no matter the number.

So… how do you actually choose where to retire?

Stop chasing a mythical #1 and answer:

• Non-negotiables: Climate (hot/dry, mild, low humidity), distance/time zone to family, minimum healthcare standard, safety tolerance, city/town/rural.
• Budget: Monthly income (pension, investments, rental), savings/assets, appetite for tax planning (simple vs aggressive).
• Visa doors: Age, passport(s), income vs savings, willingness to invest.

Then shortlist regions (Med, Central America & Caribbean, Southeast Asia, etc.) and the handful of destinations that best match your realities.

Bringing it back to Mauritius, Portugal, Spain, etc.

When you see "Portugal – best country to retire" or "Mauritius – #2 in the world for retirees" or "Panama – global #1," treat them as "Under this scoring system, for this type of retiree, these countries are top-tier."

Your job: decide if you are that type of retiree and if that scoring system matches your priorities.

Explore related comparisons

Where a tool like Retire-Map fits

A generic top-20 list cannot tell you if you can get a visa, what you’d pay in tax, or whether the healthcare and climate fit you.

What you need instead: something that takes your age, income/wealth, risk tolerance, and preferences; applies country-level cost, visa, and tax rules; shows a shortlist of viable countries for your profile; and prompts you compare the trade-offs.

At Retire-Map, we’ve built our entire service around this reality: there is no single "best" country to retire to, only places that fit you better or worse. Our tools are designed to help individuals and specialist advisors cut through the noise – taking real numbers, personal preferences, risk tolerance and constraints – and turn them into a shortlist of countries, clear trade-offs, and practical next steps.

Whether you’re planning your own move or helping clients make life-changing decisions, Retire-Map exists to answer the only question that really matters: “Given my unique circumstances, where does my retirement actually work – and what would it take to get there?”