Retiring in Costa Rica as an American: Complete guide

Costa Rica is one of the hottest retirement spots for Americans because it combines natural beauty, outdoor activities, and high-quality healthcare at lower costs than in the US.

Living costs have been rising because of how popular Costa Rica is with Americans, but you can expect your expenses to still run below US prices.

If you're wondering how to retire in Costa Rica as a US citizen, you'll find all of the information you need to know in this guide.

We’ll also introduce Wise, a fast and easy way to move money between the US and Costa Rica. Let’s dive in!

Table of contents
Is Costa Rica a good place to retire? Can Americans retire in Costa Rica? Retiring in Costa Rica from US: programs Retiring property abroad? Send money the hassle-free way with Wise How to retire in Costa Rica as an American How much does it cost to retire in Costa Rica What are the best places to retire in Costa Rica? What should you know about Costa Rica healthcare?

Is Costa Rica a good place to retire?

Yes, many Americans move to Costa Rica to retire. The country's tropical climate, abundant fresh produce, and welcoming attitude toward foreigners help support an active and healthy lifestyle that many retirees are looking for.

American retirees can take advantage of one of the three residency programs that Costa Rica offers. You can typically qualify for residency by showing steady retirement income or investing in local property.

The Costa Rican healthcare system is also consistently ranked as one of the best in the world, but you can expect your medical expenses to still be quite low - especially compared to the US.

Pros and cons of retiring in Costa Rica

Overall, Costa Rica is one of the best retirement destinations in the world. However, there are still a few potential downsides that you need to be aware of before making the move.

Pros of retiring in Costa Rica

• Large expat communities: You'll find established American communities in many areas, especially around Tamarindo and the Central Valley. This will make it easier for you to adjust to international living

• Natural diversity: Costa Rica has beaches, rainforests, mountains, and volcanoes all relatively close to each other, so living there is a nature lover's dream

• Tropical climate: Costa Rica has a dry season (December-April) and a rainy season (May-November), but both come with nice and warm weather

• High-quality healthcare: Costa Rica has a great healthcare system and your appointments there will cost much less than in the US

• Outdoor-focused lifestyle: There are lots of outdoor activities for you to take advantage of, so Costa Rica is great for American retirees who want to stay active

• Strong infrastructure: Electricity, internet, and water work reliably in most areas, but you should be prepared for an occasional blackout as in many Latin American countries

Cons of retiring in Costa Rica

• Cost of living: Growing expat communities have pushed prices higher than in many other Latin American countries. A modest lifestyle costs about 893 USD monthly before rent per person, with upscale areas costing much more¹

• Language barrier: Most Costa Ricans speak Spanish and only know basic English, so you'll likely need to invest in some Spanish classes

• Slow pace of life: Government processes and everyday tasks take longer than in the US. Simple errands might require multiple visits and long wait times, which can quickly become frustrating

For retirees who can handle the higher costs and slower pace of just about everything, Costa Rica is a solid retirement option - largely because of its natural beauty and high-quality healthcare.

Can Americans retire in Costa Rica?

Yes, Americans can retire in Costa Rica through three established residency programs. The Costa Rican government created a straightforward path to residency for retirees who meet the financial requirements. We’ll dive into these next.

There's no specific retirement age requirement in Costa Rica, so you can relocate whenever you're ready and financially qualified.

Retiring in Costa Rica from US: programs

Costa Rica offers 3 main residency options for retirees.²

Costa Rica retirement visa (Pensionado program)

You need a lifetime monthly pension of at least 1,000 USD from a government agency or private organization to qualify for the Pensionado program. Social Security, military pensions, and other retirement income all qualify for this visa.

Fixed-income program (Rentista visa)

You must show a monthly income of at least 2,500 USD from investments or your business activities. This income must be stable and guaranteed for at least 2 years.

Investor visa (Inversionista program)

You can get permanent resident status in Costa Rica by investing at least 150,000 USD in real estate, a Costa Rican corporation, or the Costa Rican stock market.

Most North American retirees choose the retirement visa (Pensionado) to get permanent residence, but you're free to explore the other two options as well. Each program provides legal residency and access to Costa Rica's healthcare system.

💡 Regardless of the program you choose, you'll have to pass a background check.

Retiring property abroad? Send money the hassle-free way with Wise

Now that we covered some of the basics, the only question left is: how to send money to pay for your property overseas?

Wise offers you a quick, secure and transparent way of sending money to Costa Rica. You get the mid-market exchange rate for your payments and see how much it’s charged for the transfer before sending the money from your bank.

With the Wise Account you can also hold 40+ currencies, spend money in 150+ countries, and receive like a local in 8+ different currencies.

Get started with Wise

Please see Terms of Use for your region or visit Wise Fees & Pricing for the most up to date pricing and fee information

How to retire in Costa Rica as an American

---

1. Choose your residency program

Review the three residency options - Pensionado, Rentista, and *Inversionista *- and figure out which one is right for you.

If you have a pension or retirement fund, you'll likely qualify for the *Pensionado *program - Costa Rica's official retirement visa.

2. Prepare your application

The exact documents that you will need for your application depend on the visa that you're applying for, but you'll likely need your:

• passport
• birth certificate
• proof of income
• marriage certificate (if you're married)

3. Research locations

In Costa Rica, you have the option of living close to the beach, in the jungle, or by the mountains. Make sure to research different locations to see which iteration of the pura vida lifestyle you like best.

The Central Valley has the most developed amenities and healthcare access. If you're looking for beach living and surfing, you'll probably like Costa Rica's Pacific coast, such as Tamarindo and Jaco. At Monteverde, you'll find a cooler climate and cloud forests.

4. Find a rental or buy a house

Generally speaking, it's a good idea to rent in Costa Rica before purchasing a property so that you get a good idea of what to expect before settling down.

Once you're ready to buy, make sure to work with a licensed real estate agent and a qualified lawyer.

Learn more about buying property abroad as an American in our full guide.

5. Open a Costa Rican bank account

A local bank account will come in handy for daily spending. Most expats can successfully open a bank account in Costa Rica with a major bank like Banco Nacional or BAC San Jose.

6. Get healthcare coverage

Sign up for the public CAJA healthcare system and consider private insurance for additional coverage. Most Americans retiring in Costa Rica use a mix of public and private healthcare.

7. Meet other expats

Once you're settled in, it's time to create a support network and meet other expats in your neighborhood or general area.

Join expat Facebook groups or WhatsApp chats where you can ask for advice and recommendations - this is especially useful when looking for vetted maintenance workers and other service providers.

8. Take Spanish classes

You can get by with just English in Costa Rica, but knowing basic Spanish will make your daily life much easier. Chances are, there will be plenty of local tutors available where you live, so consider taking Spanish lessons.

How much does it cost to retire in Costa Rica

The cost of living in Costa Rica has increased in recent years, but your expenses will still be lower than in most parts of the US.

For example, in Guanacaste (a popular expat area) the rent is 80% lower, restaurant prices are 38.5% lower, and groceries are 31.2% lower than in Houston.³

So, how much do you need to retire in Costa Rica?

The answer to this question largely depends on your lifestyle. Living like a local keeps costs down. Maintaining an American lifestyle with imported foods and luxury housing pushes expenses much higher.

Ultimately, there are options for every budget - from simple living to high-end luxury.

What’s the cost of living in Costa Rica?

On average, a single person can expect basic monthly costs without rent to be 893 USD. For a family of 4, expect an average of 3,261 USD without rent.¹

You can make an educated guess that most retired couples should be able to live comfortably on 2,000 to 4,000 USD monthly (without rent) for a comfortable lifestyle with occasional luxuries.

Here's a more detailed look at what to expect.

Expense	Average cost¹
Simple restaurant meal	10 USD
Nice dinner for 2	60 USD
Gas (1 gallon)	6 USD
New Toyota Corolla (or similar vehicle)	34,718 USD
Utilities	84 USD
Phone plan	26 USD
Internet	54 USD
1-bedroom apartment, central area	790 USD
3-bedroom apartment, central area	1,487 USD
Buy an apartment (per square foot)	248 USD

Life in the areas that are popular with expat retirees generally costs more than in local neighborhoods.

Do you pay taxes after retirement in Costa Rica?

As a US citizen, you'll continue paying US taxes on your worldwide income - even while you're living in Costa Rica. The US taxes its citizens regardless of where they live.

The good news is that Costa Rica doesn't tax foreign-source income for retirees, so your pension, Social Security, and investment income are all safe from Costa Rica taxes.

You'll only have to pay taxes if you have Costa Rican-sourced income, such as rental income from your property.

💡 You may also qualify for tax breaks from the US government to lower your tax bill, but that's something you should discuss with your financial advisor or a tax professional.

Can you still collect Social Security after moving to Costa Rica?

Yes, you can still collect Social Security payments while living abroad.

You can set up direct deposit to your US bank account, and it may be even possible to set it up with certain Costa Rican banks.

What are the best places to retire in Costa Rica?

Costa Rica is a diverse country, so there are many places for you to choose from.

• Central Valley: You'll find the best amenities and healthcare close to Costa Rica's capital, San José. There are many international restaurants and a large expat community, so you'll feel right at home

• Tamarindo: This Pacific beach town is popular with expats who love surfing. You'll find many English-speaking businesses and beachfront restaurants

• Manuel Antonio: Manuel Antonio National Park is famous for its fascinating wildlife, and you'll find plenty of restaurants and activities here. You can also find accommodations with ocean views

• Atenas: This small mountain town is located close to San José and is perfect for retirees who are looking for peace and a laid-back lifestyle

• Lake Arenal: If you're looking for cooler temperatures, Lake Arenal could be a good option - just keep in mind that it's a more remote destination, which means harder access to amenities and healthcare

If you want to eventually buy property in Costa Rica, it's a good idea to try living in different parts of the country to see which area resonates with you the most.

What should you know about Costa Rica healthcare?

One of the main reasons why retiring in Costa Rica as an American is so popular is the country's healthcare. Costa Rica's healthcare system ranks 36th globally according to the World Health Organization, which is higher than the US.⁴

Costa Rica has universal healthcare through the CAJA system (Caja Costarricense de Seguro Social), which covers all medical procedures, appointments, hospital visits, and prescription drugs.

Legal residents must join CAJA and pay monthly contributions based on their income, typically 7-11% of the reported monthly income or pension.⁴

CAJA sometimes comes with long wait times and bureaucratic processes, but the hospital infrastructure is generally solid and the doctors are highly qualified. You can also combine your CAJA coverage with private healthcare to have more flexible options.

When using private options, you can still expect affordable costs. Regular doctor visits cost 60 to 75 USD, specialist visits are around 100 USD, and most diagnostic tests are under 100 USD.⁴

For CAJA-covered appointments, you'll likely pay nothing.

---

Retiring in Costa Rica can get Americans a higher quality of life at a lower cost than in the US. You'll find a lot of natural beauty and established expat communities.

The cost of living in Costa Rica is higher than in many other Latin American countries, but good infrastructure and healthcare justify the extra expenses for many expats.

There are also multiple residency programs that you can qualify for, with the Costa Rica retirement visa only requiring a monthly income of 1,000 USD.²

Wise makes it easy to send high-speed, low-fee transfers to Costa Rica and spend like a local. Use it to avoid exchange rate markups and manage your money worldwide.

Sources

1. Numbeo - Cost of Living in Costa Rica
2. Henley & Partners - Costa Rica
3. Numbeo - Cost of Living Comparison Between Houston, TX and Guanacaste
4. International Citizens Insurance - Understanding the Costa Rican Healthcare System

Sources checked 3/10/2025