It’s easy to understand why a Jamaican retirement would be attractive to many people. Anyone who’s enjoyed Jamaica’s beaches, lush greenery and beautiful weather could see the appeal of living out their golden years in the country. There’s no denying, though, that Jamaica lacks many of the amenities and resources of a more developed country like Spain or Switzerland. If you have your heart set on a Caribbean retirement, here’s what you need to know. Consider working with a financial advisor as you explore places to retire.
Average Cost to Retire in Jamaica
The affordability of Jamaica is one of the biggest reasons that it’s a popular spot for retirees. In most cases, you should be able to retire comfortably in Jamaica for far less than in the U.S. This is due in large part to the affordable real estate prices. While you can certainly find multi-million dollar homes in some parts of Jamaica (for instance, Montego Bay), property on the whole is much cheaper than in the U.S.
If you’re looking to live on the coast, houses in port towns like Ocho Rios or Port Antonio are typically less than $200 per square foot. If you’d prefer to live in the city, a one-bedroom apartment in the center of Kingston will cost around $500 per month, according to the pricing data website Numbeo. On average, renting in Jamaica will cost you between $300 and $1,100 a month.
The only things that are more expensive in Jamaica are perishable items that need to be imported, like milk. According to Numbeo, a gallon of milk would cost around $10.24 in Jamaica (although you’ll usually buy it by the liter). You can ameliorate this by seeking out locally made goods whenever you can. Factoring in food, transportation, utilities and recreation, you can live reasonably in Jamaica on a monthly budget of between $650 and $850.
Healthcare in Jamaica
Jamaica has a public healthcare system that is free to all residents of the island. Clinics exist in each parish on the island, and they range in size and sophistication. However, public hospitals are routinely overcrowded, leading to notoriously long wait times. This is in large part due to violence-related injuries.
There is at least one hospital in every parish in Jamaica, but the largest and best-equipped facilities are in Kingston and Montego Bay. Even in these largest cities, though, serious medical conditions often require evacuation to facilities in the U.S.
You will most likely want to visit the private facilities in Kingston or Montego Bay for your own care. Although services aren’t free like the public facilities, the quality of care will be significantly higher. Before you leave the states, consider purchasing an international healthcare insurance plan. This will cover you for medical expenses in both Jamaica and the U.S. if you require evacuation. The cost of these plans can vary widely depending on your age, how comprehensive your coverage is and if you exclude any countries. It can be as cheap as $3,000 and as expensive as $40,000 a year.
Visas for Retirees in Jamaica
As an American, you can stay in Jamaica for up to six months without a visa. To stay longer, you’ll need to apply for residency status. As part of your application, you’ll need your passport, evidence that you can financially support yourself without working and a completed application form, which you can find at the Jamaican consulate.
If you prefer, you can also apply for your residency status through the Jamaican consulate while you’re still in the U.S. This is probably the safer plan: While plenty of Americans obtain permits for retirement, receiving one isn’t a guarantee. Don’t move your entire life to Jamaica (or any other country) without being confident that you’ll be able to stay permanently!
Safety in Jamaica
One of the biggest drawbacks to Jamaica as a retirement destination is the troubling crime rate. Dangerous areas of Kingston and Montego Bay have caused the U.S. embassy to issue a travel advisory: “Violent crimes, such as home invasions, armed robberies, sexual assaults, and homicides, are common.” The advisory also says to exercise increased caution and explains that law enforcement lacks the adequate resources to effectively handle serious criminal incidents. Further, it says that violent crime such as home invasions, armed robbery, homicide and sexual assault is common in some areas in both major cities.
Taxes for Retirees in Jamaica
If you live in Jamaica you are considered a resident for tax purposes if any of the following obtain: you spend at least six months in the country a year; you have a home in Jamaica and visit Jamaica any time in a year; or you visit Jamaica at least three months over year for four consecutive years.
As long as you retain your U.S. citizenship, odds are you’ll have to pay taxes in both Jamaica and the U.S. The two countries have an agreement to protect against double taxation. However, you will still have to file both returns each year.
If you’re a resident of Jamaica, your statutory income above $11,712.18 will be taxed at 25%.Generally, statutory income is income that hasn’t already been subject to withholding by a Jamaican employer. Any income above $46,845.72 will be taxed at 30%. For tax purposes, you are a resident if you have spent more than 183 days of a tax year in the country.
There are some exceptions to this, thanks to the tax treaty between the U.S. and Jamaica.
First, your income from Social Security won’t be taxed by the Jamaican government. It may still be taxed by the U.S., though. Second, if you have a pension from employment in the U.S., that will be subject to U.S. taxation but not Jamaican taxation.
Bottom Line
If you’re looking to spend your third act abroad, Jamaica has a lot to offer. Your money will travel farther so long as you shop smart and local. You’ll also need to make some decisions about health care and insurance. While it may not be the most economically developed country, Jamaica’s gorgeous views and balmy breezes could be just right for you.
Tips on Saving for Retirement
- A financial advisor can be a big help in building a comprehensive retirement plan. Finding a qualified financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with up to three financial advisors who serve your area, and you can interview your advisor matches at no cost to decide which one is right for you. If you’re ready to find an advisor who can help you achieve your financial goals, get started now.
- Saving for retirement can take many forms. To supplement your income from Social Security, you could open anIRA or participate in a401(k) plan through your employer. Whatever your choice, starting sooner rather than later can give you a better chance to earn compound interest.
- When discussing retirement preparation, it’s critical that you leave your savings untouched. If you withdraw from your 401(k) early, you’ll lose out once in tax penalties and again in lost interest. An emergency fund can be a good alternative if you need some extra cash.
Photo credit: ©iStock.com/Wildroze, ©iStock.com/Cecilie_Arcurs, ©iStock.com/agustavop
Hunter Kuffel, CEPF® Hunter Kuffel is a personal finance writer with expertise in savings, retirement and investing. Hunter is a Certified Educator in Personal Finance® (CEPF®) and a member of the Society for Advancing Business Editing and Writing. He graduated from the University of Notre Dame and currently lives in New York City.
FAQs
Jamaica Permanent Residence Visa
You can retire in Jamaica using the Permanent Residence Visa. You must have a retirement plan and show evidence that you have enough money to support yourself during your stay on the island. The process takes about three years on average, so it's essential to start early.
How much is needed to retire in Jamaica? ›
An individual could require a little about US$700 per month to retire in Jamaica comfortably, without including rent or mortgage. Jamaica's minimum salary, however, did not rise until April 2022, when it was made US$240 per month. An individual with tertiary education makes, on average, US$670 per month in Jamaica.
How much does healthcare cost in Jamaica? ›
Jamaica healthcare spending for 2019 was $327, a 2.35% increase from 2018. Jamaica healthcare spending for 2018 was $320, a 2.61% increase from 2017. Jamaica healthcare spending for 2017 was $312, a 12.89% increase from 2016. Jamaica healthcare spending for 2016 was $276, a 0.03% increase from 2015.
How long can a US citizen live in Jamaica? ›
VISITOR: Commonwealth citizens are allowed a maximum of 12 months stay on the island and Non-Commonwealth citizens are allowed a maximum of 6 months stay on the island as a visitor. Documents needed: Valid passport no less than 6 months to the expiration date.
Can I collect Social Security if I move to Jamaica? ›
If you are a U.S. citizen, you may receive your Social Security payments outside the U.S. as long as you are eligible for them. However, there are certain countries to which we are not allowed to send payments.
Can Americans retire in Jamaica? ›
Visas for Retirees in Jamaica
As an American, you can stay in Jamaica for up to six months without a visa. To stay longer, you'll need to apply for residency status.
How can I live in Jamaica permanently? ›
A non-Jamaican national can apply for Permanent Residency in Jamaica on the following basis:
- Employment: Working in Jamaica for three years or more.
- Marriage: Being married to a Jamaican national.
- Retirement: Persons who no longer work in their home country and are desirous of living in Jamaica.
Requirements vary from country to country but Americans can stay in Jamaica for up to six months without a visa. For a longer stay, you'll need to apply for residency status. As part of your application, you'll need your passport and evidence of your ability to support yourself financially.
How much does it cost to live in Jamaica in US dollars? ›
A family of four estimated monthly costs are 2,659.2$ (409,868.2J$) without rent. A single person estimated monthly costs are 748.4$ (115,359.2J$) without rent. Cost of living in Jamaica is, on average, 27.3% lower than in United States. Rent in Jamaica is, on average, 69.8% lower than in United States.
Does Medicare cover me in Jamaica? ›
In most situations, Medicare won't pay for health care or supplies you get outside the U.S. The term “outside the U.S.” means anywhere other than the 50 states of the U.S., the District of Columbia, Puerto Rico, the U.S. Virgin Islands, Guam, American Samoa, and the Northern Mariana Islands.
You can only use Medicare in the USA and its territories. This includes the 50 US States as well as its territories: Puerto Rico, the Virgin Islands, Guam, American Samoa, and the Northern Mariana Islands.
Is medical care good in Jamaica? ›
The area is home to many expats and good quality health care is available — even if you have to travel to get it. Foreign nationals in the country might want to ensure they have a comprehensive level of health insurance and access to adequate funds to pay for repatriation or evacuation for treatment if necessary.
Can I be a dual citizen of the US and Jamaica? ›
U.S. law does not mention dual nationality or require a person to choose one nationality or another. A U.S. citizen may naturalize in a foreign state without any risk to his or her U.S. citizenship.
Can Americans have dual citizenship in Jamaica? ›
Every country has their own laws on whether or not a person can hold citizenship in two or more countries. Jamaica accepts dual nationals.
How do I prepare to move to Jamaica? ›
How To Move To Jamaica The complete guide!
- Find A Job. ...
- Apply For A Visa/Permit. ...
- Get Health Insurance. ...
- Rent Or Buy Property. ...
- Move Your Belongings. ...
- Register For Healthcare. ...
- Open A Bank Account. ...
- Transfer Money.
To acquire the full amount, you need to maximize your working life and begin collecting your check until age 70. Another way to maximize your check is by asking for a raise every two or three years. Moving companies throughout your career is another way to prove your worth, and generate more money.
Can I live outside the US and receive Social Security benefits? ›
If you earned Social Security benefits, you can visit or live in most foreign countries and still receive payments. Look up the country on the SSA Payments Abroad Screening Tool to be sure you can receive your payments.
What happens to my Social Security if I leave the US? ›
If you leave the U.S., we will stop your benefits the month after the sixth calendar month in a row that you are outside the country. You can make visits to the United States for specific periods of time, depending on how long you've been outside, to continue receiving your benefits.
Can an American buy a house in Jamaica? ›
There are no legal or other restrictions on the purchase of land in Jamaica by foreign concerns. The requirement is that the permission of the Exchange Control Department of the Bank of Jamaica be obtained, especially when such purchase involves the remittance of foreign exchange to Jamaica.
What is the average salary of a person in Jamaica in US dollars? ›
In total, the national gross income amounted to 5,190 U.S. dollars in 2021.
This allows a foreign national to live and work in Jamaica without restrictions on their stay, without submitting an application for a work permit or Jamaican citizenship. They are not afforded the same constitutional rights as a Jamaican citizen.
How do I get a visa to live in Jamaica? ›
To apply for a Jamaican visa, you need to submit the following documents:
- Valid passport. Your passport must be valid at least three months after the return date. ...
- Two passport-sized photos. ...
- Application form. ...
- Fee payment. ...
- Health insurance. ...
- Bank statement. ...
- Criminal record. ...
- Accommodation proof.
Living in Jamaica has a lot to offer expats; from career opportunities and job markets to leisure activities, schools, and local cuisine. The island is also home to a vibrant culture and friendly people.
How much is a gallon of gas in Jamaica? ›
For comparison, the average price of gasoline in the world for this period is 279.44 Jamaican Dollar. Use the drop menu to see the prices in gallons.
...
Jamaica Gasoline prices, 15-May-2023.
| Jamaica Gasoline prices | Litre | Gallon |
|---|
| JMD | 199.752 | 756.143 |
| USD | 1.291 | 4.887 |
| EUR | 1.189 | 4.501 |
When planning your stay, we recommend that you budget about US$65-75 per person per day, on average, for groceries in Jamaica.
What is the average rent in Jamaica? ›
RENT PER MONTH
Rent is expensive but largely depends on whether you're staying in a rural area or closer to the cities. The rent would average at around $350 per month, because outside of the city it would cost somewhere around 282.3$, while in the center of one of the cities, it would cost above 430.39$ per month.
Is American money good in Jamaica? ›
US Dollars are accepted in tourist areas, but if you pay with a note you'll receive Jamaica currency coins as change. This can often be at an unfavourable rate. So, if you're planning to explore less touristy places as part of your holiday, we recommend taking Jamaican Dollars to get the best prices.
How much is $100 in Jamaica worth in the US? ›
Are you overpaying your bank?
| Conversion rates Jamaican Dollar / US Dollar |
|---|
| 100 JMD | 0.64805 USD |
| 250 JMD | 1.62012 USD |
| 500 JMD | 3.24023 USD |
| 1000 JMD | 6.48046 USD |
8 more rowsCash: You will not need to exchange your US dollars into Jamaican dollars because everyone takes US currency. It is recommended that you bring between $150 and $500 per person for spending depending on what you plan to do. Please have at least $200 in small bills ($1.00, $5.00 and $10.00) with the balance in twenties.
Do you need health insurance in Jamaica? ›
While expats can access healthcare services at private medical facilities in Kingston, Montego Bay, and other tourist areas, prolonged sickness and emergency health conditions may call for emergency evacuation outside the country - making international health insurance essential.
Jamaica falls into the group of countries that provide health care free of cost for its citizens which means, since 2008, visits to public hospitals and clinics come at no financial cost to the citizens. This extends to prescription drugs and some surgeries.
Is health insurance mandatory in Jamaica? ›
Jamaica is introducing a mandatory insurance fee travelers must pay to gain entry to the country. Starting next month, travelers will need to pay $40 as part of the island's Jamaica Cares program to cover emergency medical services.
Are U.S. citizens living abroad eligible for Medicare? ›
Can I get Medicare if I live overseas? En español | Generally, yes. Even though Medicare doesn't typically cover care you receive outside of the United States and its territories, you may turn 65 while living abroad.
Can you live overseas and use Medicare? ›
Remember, you can have Medicare while you live abroad, but it will usually not cover the care you receive. Most people qualify for premium-free Part A, meaning you will pay nothing for coverage. If you must pay a premium for Part A, be aware of the high monthly cost for maintaining Part A coverage.
Can I opt out of Medicare if I leave the country? ›
If you move outside the United States: Medicare Part A (hospital insurance), is available to you if you return. No monthly premium is withheld from your Social Security benefit payment for this protection. You can continue paying for your Part B benefits or drop them while out of the country.
How much are doctors fees in Jamaica? ›
Out of pocket payments in the private sector are affordable. For example, seeing a private doctor in Kingston can cost between JMD$3,500 and JMD$4,500 (US$25 and US$32). Medical centres may also require cash payments upfront for any treatment.
What is the biggest health issue in Jamaica? ›
NCDs such as Cardiovascular Disease, Diabetes and Chronic Lower Respiratory Disease are the leading cause of death and continue to be a major public health burden in Jamaica due to the lifelong treatment and care needed to address these chronic conditions.
How good are the hospitals in Jamaica? ›
Public healthcare in Jamaica
The World Health Organisation (WHO) reports that Jamaica ranks 53rd globally, when it comes to the effectiveness of its healthcare system.
Can an American marry a Jamaican citizen? ›
Obtaining Documentation of a Valid Marriage in Jamaica
According to information provided by the U.S. consulate, Jamaican marriages require both the U.S. citizen and the Jamaican to be in the country for a period of 24 hours before holding the ceremony.
How long can a U.S. citizen stay out of the country? ›
While the normal limit is a year, you can stay longer and still preserve your US citizen if you are a military service member, Government employee, or meet any other criteria discussed above i.e., work for a US multinational or you proactively preserve residence. Please correct the marked field(s) below.
Persons overseas who are applying for a Jamaican passport must submit their application to the relevant Jamaican Embassy or Consulate. The embassy will then send the application to the Passport Immigration & Citizenship agency (PICA) for processing.
What are the benefits of dual citizenship in Jamaica? ›
Vote in General and Local Government Elections. Receive Social benefits and get access to government programmes. Exemption from international Fees at Jamaica's premier universities. Duty free allowance from customs and at the airport.
What country does the US not allow dual citizenship? ›
Yes, some countries don't allow dual citizenship with America. Among them are China, United Arab Emirates, India, Austria, Japan, and some others. If you want to obtain citizenship of these countries, you need to renounce your American passport.
What are the four ways to become a Jamaican citizen? ›
Applying for Jamaican Citizenship
- Descent.
- Marriage.
- Naturalization.
- Registration (Commonwealth)
- Registration (Minor)
You can retire in Jamaica using the Permanent Residence Visa. You must have a retirement plan and show evidence that you have enough money to support yourself during your stay on the island. The process takes about three years on average, so it's essential to start early.
Can US citizens move to Jamaica? ›
To move to Jamaica, you must apply for a long-stay visa. With a long-stay visa, you can stay up to one year. They are mostly issued for work, study, family reunification, etc. To apply for a long-stay visa, you must also apply for a residence permit.
What is the permanent residence visa in Jamaica? ›
This allows a foreign national to live and work in Jamaica without restrictions on their stay, without submitting an application for a work permit or Jamaican citizenship. They are not afforded the same constitutional rights as a Jamaican citizen.
How long do you have to live in Jamaica as a foreigner to become a citizen? ›
A person may be granted naturalization after a minimum period of five (5) years residency in Jamaica on application following his/her residency through either Visa or Work Permit application.
Does Jamaica have free healthcare? ›
Public Healthcare in Jamaica
Most of them fall under the public sector. These hospitals offer services to its citizens and residents, at no cost. There is a considerable difference in the quality of service that each of them provides. The majority of government hospitals have more number of patients they can handle.
Is it cheaper to live in Jamaica than the US? ›
Cost of Living in Jamaica
In Jamaica, it is estimated that the cost of living is approximately 25% less than in the U.S., and rent in Jamaica is approximately two-thirds cheaper than rent in the U.S. Excluding rent or mortgage, an individual may need just under US$700 to live comfortably in Jamaica each month.
There are no legal or other restrictions on the purchase of land in Jamaica by foreign concerns. The requirement is that the permission of the Exchange Control Department of the Bank of Jamaica be obtained, especially when such purchase involves the remittance of foreign exchange to Jamaica.
How much money do you need a month to live in Jamaica? ›
A family of four estimated monthly costs are 2,659.2$ (409,860.8J$) without rent. A single person estimated monthly costs are 748.4$ (115,357.1J$) without rent. Cost of living in Jamaica is, on average, 27.3% lower than in United States. Rent in Jamaica is, on average, 69.8% lower than in United States.
Can Americans own homes in Jamaica? ›
Buying property in Jamaica
Foreigners are eligible to buy property in Jamaica without any restrictions. The process begins when the buyer makes an offer. Once the seller accepts it, a land survey is carried out.
Which visa lead to permanent residency? ›
Three common ways of becoming a permanent resident are through gaining: a family-stream permanent visa. a work-stream permanent visa. business or investor-stream permanent visa.
What is the difference between residence visa and permanent residence? ›
A Permanent Resident Visa is usually the next step after being granted a Resident Visa. While Resident Visas have travel conditions that only allow a person to re-enter New Zealand as a resident until a certain date, a Permanent Resident Visa allows indefinite re-entry to New Zealand.
How do I get a permanent residency visa? ›
There are several ways to obtain permanent residency in the U.S, including:
- An employer-sponsored green card application, based on a specific, permanent, full-time job offer. ...
- A self-sponsored employment-based green card application without the need for a specific job offer. ...
- Marriage to a U.S. citizen.
The date by which you must leave Jamaica will be stamped in your passport. If you wish to extend your stay beyond this date you will need to apply to the Jamaican Passport, Immigration and Citizenship Agency. Overstaying without the proper authority can result in detention and/or a fine.
