Panama is a Perfect Plan B

If you’re not quite ready to move overseas but want a backup plan, consider making Panama your Plan B.

If you’re concerned about how things are headed in your country and want to move to a place where it’s more stable, offers more freedom, and prices are more affordable, you have more options.

Think Panama!

Many people from diverse backgrounds are relocating to other countries, especially as remote work has become more prevalent since COVID-19. They’re seeking a place where they can live with more freedom and a lower cost of living.

However, not everyone can sell everything and move to a new place right away. You may have reasons such as a lack of remote work, a mortgage, children in school, or elderly parents that keep you in your current location.

If that’s the case, don’t worry! You can start taking steps today to make your dream location a reality someday. In this article, we’ll focus on creating a Plan B for those who know it’s a smart move!

While some people decide to sell everything and relocate to a new place, not everyone can do that yet.

However, you can still dream about it. That’s ok! You can start taking action today so that your dreams can one day become a reality.

In fact, we’re going to take a look specifically at those of you who would like to pursue a “Plan B.”

Reasons for Having a Plan B

As we all experienced during the pandemic, unexpected events can happen quickly. And when they do, it’s terrible to feel like we’ve lost complete control and have no options. That’s why we can all learn from these experiences and prepare ourselves.

At the start of the pandemic, as borders began to close, there was panic, especially among those of us with families spread worldwide. There was a concerning possibility of not being able to hop on a flight to see our loved ones. Or, even worse, seeing them and then being unable to return to our country of residence.

In Panama, when the borders were closed for several months, only those with a residency visa were allowed to enter. Even those who owned real estate or had family in Panama could not enter Panama without a residency Visa.

Tourists had to leave Panama. You can’t just move to another country. To live in a country indefinitely, you must get a residency visa.

This prompted many tourists to opt for permanent residency. We’ll get into how to obtain permanent residency later in this article. But first, let’s look at more reasons why having a Plan B is helpful.

Why have a Plan B?

● You have the urge to relocate eventually, but now isn’t the time.
● You’d like to retire in a different country.
● You dream of an adventure like one you’ve never had.
● You are ready to experience a new culture.
● You find yourself better aligning with the values in a different country.
● You had a wake-up call during the pandemic and want to live more freely.
● You know you cannot afford to retire where you are now.
● You no longer feel at home where you live now.

Whatever the reason, and there are many possibilities, you have decided that you want to be prepared for the unexpected.

Well, Panama is a perfect place to have as your Plan B. In fact, you’ll probably find that you want it to be your “Plan A” soon enough.

How to Make Panama Your Plan B

It’s no secret that I absolutely love Panama. I highly recommend this beautiful, welcoming country to anyone looking for a change. However, if, for whatever reason, you aren’t able to make a move completely just yet, it’s a wonderful place to have as a backup plan.

Gaining residency and opening a bank account is relatively easy in Panama compared to other countries.

Another pro in favor of Panama? It’s a beautiful country, rich in biodiversity, with a lower cost of living than the U.S., Canada, and most Western European countries.

Now, let’s look at what should be on the top of your priority list when it comes to your Panama Plan B.

Gain Residency

Having legal residency in your Plan B country is essential if you need to travel there on short notice. Upon arrival in Panama, if you don’t have residency, you can stay for 30-180 days as a tourist; after that, you must leave.

There are several options for obtaining residency in Panama.

Panama was ranked one of the Best Places in the World to Retire by Travel and Leisure in 2022. A significant reason is the many benefits retirees receive in Panama, including an easy path to residency.

Retirees can apply for a “Pensionado Visa.” The only requirement is a monthly lifetime income of $1,000 USD from Social Security, a pension, or another government retirement program. For a couple applying together, you must show $1250 USD in lifetime income.

Alright, but what about those of you who aren’t retirees?

If you’re not retired, you’ve got options, too. There is a “Friendly Nations Visa.” This visa allows anyone who invests $200,000 in real estate or a 3-year CD in Panama to obtain a visa. After five years of permanent residency, you can apply for Panamanian citizenship and a passport.

Or, if you can show income from a remote job or online business, you can get a Friendly Nations Visa by setting up a special corporation.

You must apply for permanent visas in Panama using a Panama immigration lawyer. Our Online Complete Panama Relocation Guide has recommendations for reliable and affordable English-speaking immigration lawyers who have helped thousands of people relocate to Panama.

If you are getting a residency visa in Panama for your Plan B, you should know there is NO requirement to live in Panama. You only need to visit for at least one day every two years.

Get a Bank Account

Part of every Plan B plan should be quick access to cash. If you need to move money from your country to Panama quickly, you’ll need to have a Panama bank account. Opening a bank account in Panama is quite simple. The process is even more straightforward once you obtain your residency.

To open an account, you will need your passport, driver’s license, and a recent bank letter of recommendation. You may also need to show recent tax returns to prove that you don’t owe taxes in the country you are moving from. A letter from your attorney confirming you’re in the process of obtaining residency will also help. You’ll also need a $500 deposit to open the account. Some banks in Panama offer online banking and an English-language app.

The exact requirements will vary by bank. But with all the necessary documents and a minimum deposit, you could open an account as quickly as a couple of hours.

Panama’s official currency is the Balboa, but the US dollar has been used for over 115 years.

You can wire money from your bank to your Panama bank account quickly and easily. If you have a US bank account, you can also write a check to deposit into your Panama bank to avoid wire fees.

Why Panama For Your Plan B

Panama makes it relatively easy for foreigners from the U.S., Canada, and Europe to obtain residency, especially with its attractive options for retirees. Retirees get these discounts once they have a permanent visa:

* 25% off utility bills
* 25% off airline tickets to anywhere in the world
* 30% other transportation
* 20% off doctors’ bills, 15% off hospital services (if insurance does not apply)
* 10% discount on medications (many pharmacies offer 25% discount)
* 15% off dental exams and eye exams
* 50% off movie, cultural, and sporting event tickets
* 50% off at hotels (Mon-Thurs), 30% off hotels (weekends)
* 20% off professional and technical services
* Import tax exemption on up to $10,000 household goods

You may receive additional discounts upon request. Last month I bought a new sofa. I asked the salesperson whether they offered a Jubilado discount (the same as the Pensionado discount). They gave me 10% off my purchase and free delivery!

You can get a temporary visa within a week. Your permanent visa will not be ready for about six months. And, while you must apply in Panama, you don’t have to stay there for the entire processing time. You must return to Panama for a few days to pick up your permanent visa.

There is no requirement to live in Panama once you get a visa. You only need to return for at least one day every two years.

Beyond serving as a practical Plan B, Panama is rich in culture and natural beauty. The pace of life is slower, allowing you to focus on enjoying the little moments in your day-to-day.

More Reasons Panama is the Perfect Plan B

Panama has a stable government and a strong economy. Panama has traditional values. There is no military. Panama has no bases or wars going on in other countries.

Panama is tough on illegal drugs and does not have the cartel problems that some countries have.

Panama has affordable healthcare and health insurance!

Panama has excellent weather all year. No snow, no hurricanes! You can pick your ideal temperature in Panama – live at the beach, mountains, or in Panama City.

Panama has a 365-day growing season with fresh vegetables and fruit. Panama has the sweetest pineapples you’ll ever eat!

Plus, Panama has fish from two oceans. Of course, they raise chickens and beef, too. Rice is grown in Panama. Even if Panama did not import food, there would be plenty to eat from what’s available locally. You have everything you need to safely survive (THRIVE) in Panama.

Consider a Plan B in Panama as safety insurance.

It’s a good idea to have legal residency in a different country to have a place to go if necessary. You should set it up before you need it!

Legal residency means you hold a visa that permits you to live in the country indefinitely.

You have health insurance just in case of a significant health problem, so a major medical bill does not bankrupt you.

You have house insurance just in case of a fire or hurricane, and your house is destroyed or damaged.

You have car insurance just in case you get into a wreck, and your car is totaled.

You never know what the future holds, so you get insurance, like safety insurance. At the very least, get legal residency in a different country that you can flee to if things start heading in the wrong direction where you are now. During the pandemic, many countries closed their borders to non-citizens and non-residents.

Hopefully, you will never have a health problem.

Hopefully, you never have a house fire.

Hopefully, you’ll never be in a car accident.

But you protect yourself from these dangers with insurance… just in case.

You might never need to flee the country where you live now. But if you do, knowing that you already have complete “safety insurance” in Panama will give you peace of mind.

You may need to relocate to Panama for a year or two until conditions stabilize in your home country, or it could be indefinite. With “safety insurance,” you’ll already have everything in place.

Panama has an entirely different vibe. There’s a live-and-let-live attitude. Everyone is so friendly. Panamanians are also extremely hospitable. It’s easy to feel at home in Panama because the locals are welcoming.

Moving to Panama changed my life. I wouldn’t doubt making the move for a second. I can’t imagine living anywhere else.

The rules for getting legal residency can change at any time. It’s a good idea to set your Plan B up while you qualify for residency, even if you can’t move to Panama immediately.

The Online Complete Panama Relocation Guide has more information about residency options for you and your family. We also have a list of affordable immigration lawyers to work with.

Consider coming on an all-inclusive 6-day, 7-night Panama Relocation Tour. You’ll meet experts, expats, and see rentals in each area. Our bus is a rolling seminar that covers everything you need to know for a hassle-free move to Panama. Learn how to get your pets to Panama, ship household goods, get affordable health insurance, buy a car, and so much more.

Even if you’re not ready to move to Panama yet, keep Panama in mind as a Plan B. Residency in a different country is the perfect safety net that will give you peace of mind.