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NewsWould you Retire Overseas?
Would you Retire Overseas?

Would you Retire Overseas?

Tags: Cost of Living Superannuation
Last updated by Jess Lindell on

bali-beaches-nusa-duaAustralia has one of the highest poverty rates among over 65s in the OECD, reports the Sydney Morning Herald. In fact, 35% of retirees are at risk of poverty, according to a recent survey on global Pension schemes.

On top of this, we know Australia has an ageing population with more Australians than ever before approaching retirement age.

This leads to some very serious policy questions around the best way to improve retirement savings for future generations. While the Government and policy experts argue and cut deals like this one, where does it leave those Australians who have already retired and are having trouble making ends meet?

Ever thought of moving to Thailand, or maybe Bali? Many retirees have, apparently.

Thousands of Australians 50 and over are packing up and heading overseas to retire, according to the authors of ‘Sell Up, Pack Up & Take Off’.  From South-East Asia, to France and to Italy, it seems many retirees are making their savings go further by moving overseas.

South-East Asia, in particular, is attractive due to the lower cost of living. The authors say that in Malaysia rent is about 80 per cent lower than Sydney and groceries almost 60 per cent cheaper. These represent massive savings for someone on a pension.

Malaysia even offers a special long-term visa for retirees called a Malaysia My Second Home (MM2H) Visa.

A similar story emerges in Bali, traditionally a popular holiday destination for Australian tourists. Like Thailand, Bali is emerging as an alternative for older Australians looking to maintain their quality of life in retirement, according to this report from the Herald Sun.

As the money goes further, it seems retirees are living the ‘good-life’ inclusive of book clubs, wine clubs and movie nights – and there’s no shortage of fellow expat retirees.

So is 60 really the new 40? Would you consider retiring overseas?

Originally posted on .

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Ben
Ben from QLD commented:

I may visit a few months but will stay based in Oz. Have you thought about very poor water quality, malaria is rife in most Asian countries, health services are generally worse (but cheaper). Our beaches are among the best in the world with golden sands and great surf. 

Fred
Fred from QLD commented:

The problem is with still being eligible for your pension income after 6 weeks. Centrelink does not allow this. So how does one overcome this? Cheers. Fred 

Penelope
Penelope from NSW replied to Fred:

Ive asked that too, Fred. No response yet. 

Julian
Julian from WA commented:

It's simply not true that you can't get your Australian Age Pension overseas, of course you can, and permanently too. There are just two things to consider about the rate of Pension. The first is that to leave and get the full Age Pension overseas you have to have lived in Australia for 35 years between age 16 and Pension age. Any less, and the Age Pension if you live overseas, is reduced proportionally. Second, if you live overseas permanently, the Pension supplement can not be paid to you if you're not an Australian resident. What would happen after 6 months is that you would no longer be paid the Pension Supplement (max $62.90 singles/$94.80 couples at the moment), paid for Pharmaceutical, Utilities, GST and Telephone Allowance, that you can only get when resident in Australia. Otherwise you still get the full Pension, and all increases too. http://www.humanservices.gov.au/customer/enablers/centrelink/age-pension/age-pension-while-travelling-outside-australia That's all there is to that! :) 

Penelope
Penelope from NSW replied to Julian:

That is not what I was told by a Centrelink staff member, Julian. I was told 13 weeks before aged pension cuts out. This is what I mean when I said earlier that Centrelink staff members give you conflicting answers. I know it used to be a lot longer than that because I was overseas for 3 months from Oct 2008 and my pension cut off one week before I,arrived back and I was only away for an extended holiday visiting friends in several countries whom I had met while living abroad back in the 70s. 

Noreen
Noreen from NSW commented:

Ann from N.S W. My husband and I are planning to spend our winters in Thailand , say from mid May to sept. Have been there many times and love the place , 

Angela
Angela from WA commented:

Thanks Bill from Queensland I have not looked into it and was not aware the government could stop your pension if you move overseas . 

Trevor
Trevor from QLD commented:

I would consider this move. I would need a great deal more information,health care, Transport, housing,jobs???? Businesses more information. 

Con
Con from VIC commented:

Yes!! at the earliest opportunity. Australia was heaven in the 60's and the 70's then it went down hill. The large influx of migration legal and illegal was too fast but what really destroyed Australia especially Melbourne was allowing foreign investment, and allowing them to buy homes, pushing real estate prices up becoming a Monopoly game,letting the rich get richer. Owning a house it's definite behind anyone's reach. With that everything else has gone up in price. It's too expensive to live here in Australia, especially Melbourne. 

Penelope
Penelope from NSW replied to Con:

Oh for the 60s again. Con. Australia was a pretty safe place to be then, not so in some areas these days. I remember when we never had to have house alarms and security cameras and could leave our doors unlocked. 

Edna
Edna from NSW commented:

No I would never live anywhere where my race was out numbered Who knows if there was unrest in any other country, I wouldn't feel safe. No I'll stay in this country in these uncertain times Edna Woy Woy NSW 

Someone
Someone from QLD commented:

It is part of my retirement plan to spend part of the year in Asia and the rest in Australia. No intention of buying property there as it leaves it open for me to chose a country for each 3 month stay... 

Glenn
Glenn from NSW commented:

We are thinking very seriously about moving to Thailand to retire in the near future. We would purchase a small business just to have an income of sort coming in. 

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