Episode 055 – The Advantages of Early Retirement in Portugal | Mark

Episode 055 – The Advantages of Early Retirement in Portugal | Mark

Hey guys, this week we have the second part of our interview with Mark from The Obvious Investor! We focus on Portugal as the country of choice for retirement, and follow Mark as he explains how to take advantage of the country’s tax system and culture from his first hand experience as an early retiree in the region.

We also talk about:

  • Weather variety in Portugal
  • Real estate taxation
  • The impact of geoarbitrage on retirement age
  • A day in the life of an early retiree
  • Social interaction in a new country
  • Portuguese language

Don’t forget to subscribe our podcast on Itunes, Android or Spotify. Direct download here.

Why Portugal is an awesome choice for early retirement

When Mark started considering options for a country to retire in, he discarded his native UK from the beginning because of climate and cost of living, US also wasn’t an option due to health care costs. After examining various Central and South America countries, he found that Portugal actually meets both the main requirements: inexpensive living and the context of European civilization, with drinkable water, good roads and so on. Add to it a laid-back lifestyle and a good level of security, and the choice was made!

BTW: Open a mintos P2P lending account with us and get 0.5 cashback for your first investments. We get a small commission at no additional cost for you. More info here.

A breakdown of life expenses for an early retiree in Portugal

Mark reports how his life expenses are structured and their overall level compared to other countries. Health insurance is particularly convenient in Portugal, the public system is almost free and private insurance offers plenty of options at very little cost compared to countries like US or UK. Renting is also available at very reasonable costs, ensuring that you avoid the tourist region of Algarve and the capital Lisbon. Food is quite inexpensive and you can get very good quality, as well as going out.

A tax system that is very attractive for foreign people

Portugal is actually trying to actively attract foreign people by means of a system of tax advantages that can be extremely convenient for retirees or digital workers. The Non Habitual Tax Residency program, for example, allows you to receive passive income from other countries tax-free or with very minimal taxation for 10 years. Combined with the low cost of living, this alone can result in a significant shift of the age at which it will be possible to retire.

Curious about news and big ideas from the financial independence community? Check our newsletter!

Links

P.S. If you like our content and want to support us consider signing up for the services we recommend here. Some of them, are free or we could arrange a bonus for you. In other cases, you’ll just make your life easier :-).

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.