The post-2020 period marked a profound shift in how Americans perceive retirement. The pandemic revealed not only the fragility of the healthcare system but also the limitations of individual mobility. Even wealthy Americans with summer homes in Europe or private jets experienced the shock of closed borders. For many, the idea of relying on a single passport collapsed.
The American Retirement Exodus, a retirement migration report examining emerging retirement migration trends among U.S. households, frames this shift as a lasting transformation rather than a temporary disruption. Rather than viewing retirement abroad as a niche lifestyle choice, growing numbers of Americans are treating international mobility as a long-term retirement strategy.
Political turmoil that followed, school shootings, the January 6 Capitol riots, climate disasters, and surging inflation, deepened the sense of uncertainty. For “Plan B” future retirees aged 45–60, these conditions made early exit strategies more rational than ever.
American Retirement Migration Trends Since 2020
The rise of retirement migration reflects broader changes in how Americans think about security, healthcare, and quality of life. What was once considered an aspirational lifestyle decision is increasingly becoming a practical financial and risk-management strategy.
The American Retirement Exodus study suggests that retirement relocation is no longer driven solely by cost-of-living considerations. Instead, retirement migration trends increasingly reflect concerns about healthcare access, political stability, climate resilience, and long-term financial security.
Why Americans Are Leaving the US Before Retirement
According to the American Psychological Association, 79% of U.S. adults experience anxiety about mass shootings. Gallup’s 2025 survey found that 47% worry “a great deal” about crime and violence. Retirement migration is therefore not only about economics; it is increasingly associated with public safety, social rights, healthcare access, and climate stability.
For many future retirees, uncertainty itself has become a motivating factor. Rather than waiting until retirement, Americans are increasingly exploring international residency options years in advance as part of a broader Plan B residency strategy.
Retirement Migration Case Study: Karen’s Move from the US to Sweden
Retirement migration case studies help explain the human side of the statistics. Karen L., age 61, represents one of many Americans retiring abroad who cite healthcare concerns, political uncertainty, and long-term quality of life as reasons for relocation.
Karen left the United States with her Swedish husband in 2019. After being diagnosed with stage 4 thyroid cancer, she lost confidence in the U.S. healthcare system. Yet her concerns extended beyond healthcare costs and quality. With four daughters, she worried about political instability and the long-term direction of the country.
Today, she lives in Sweden and describes her life as significantly more stable and predictable. Her story illustrates how retirement migration is often motivated by a combination of healthcare, financial considerations, political, and personal considerations rather than any single factor.
Why Americans Are Retiring Abroad: Push and Pull Factors
Migration decisions are best understood through a combination of push and pull factors.
Pull Factors
- Affordable public healthcare system abroad, particularly in Europe, where healthcare spending per capita remains substantially lower than in the United States.
- Lower cost of living supported by Social Security income in countries such as Portugal, Spain, and Greece.
- Residency opportunities through Golden Visa programs and retirement visa (retirement income) visa pathways.
- Lower housing, food, transportation, and utility costs.
- Greater predictability in healthcare and retirement planning.
Push Factors
- Political instability and polarization.
- Rising concerns about crime and violence.
- Distrust in the healthcare system.
- Increasing insurance costs and healthcare expenses.
- High state taxes and cost-of-living pressures in many metropolitan regions.
Where Americans Retire Abroad
While retirement migration destinations vary considerably, several countries consistently attract many American retirees. Portugal, Spain, Greece, Italy, Mexico, Costa Rica, and Panama remain among the most frequently researched destinations due to their affordable healthcare systems, residency pathways, lower living costs, and overall quality of life.
Among European destinations, Portugal and Spain continue to dominate searches related to retiring overseas. Greece and Italy are increasingly attracting retirees seeking residency flexibility, lifestyle advantages, and lower living costs compared to many parts of the United States.
As a result, these countries frequently appear in discussions about the best countries for American retirees to move abroad and countries attracting retirees in 2025 and beyond.
Americans Retiring Abroad Statistics Show Growing Financial Pressure
Americans retiring abroad statistics consistently show that financial concerns remain one of the strongest drivers of retirement migration. Surveys indicate that many future retirees believe their savings may not be sufficient to maintain their desired standard of living within the United States.
For decades, $1 million was widely viewed as sufficient for retirement. Today, that assumption is increasingly challenged. Schroders’ 2025 survey found that Americans believe they need approximately $1.28 million to retire comfortably. Yet retirement savings remain far below that threshold for many households.
Plan B individuals hold an average of approximately $190,000 in retirement accounts, while Plan A expat retirees average around $250,000.
Additionally, 81% worry that their savings will not last throughout retirement. BlackRock’s 2024 survey similarly found that more than 60% of US citizens share concerns about outliving their savings.
These concerns become even more significant when accounting for long-term care costs, which frequently exceed $100,000 annually in the United States, while Medicare covers only a limited portion of those expenses.
Retirement Migration by State
Retirement migration by state reveals significant differences in affordability across the United States. Rising housing costs, healthcare expenses, insurance premiums, and taxes have contributed to growing interest in retirement relocation among residents of high-cost states.
Data show substantial variation in retirement costs:
- California: $77,809 annual cost, requiring approximately $1.42 million in retirement income savings.
- Texas: $49,723 annual cost, requiring approximately $718,075 in savings.
- Florida: $56,385 annual cost, requiring approximately $884,625 in savings.
| State | Cost-of-Living Index | Annual Cost of Living ($) | Annual SSA ($) | Savings Needed ($) | Median Retirement Savings ($) | % Pop 45–61 | % Pop 62+ |
|---|---|---|---|---|---|---|---|
| Florida | 100.3 | 56,385 | 21,000 | 884,625 | 117,000 | 21% | 27% |
| Arizona | 106.4 | 53,694 | 21,000 | 817,350 | 117,000 | 22% | 25% |
| Texas | 91.2 | 49,723 | 21,000 | 718,075 | 117,000 | 22% | 23% |
| California | 139.8 | 77,809 | 21,000 | 1,420,225 | 117,000 | 21% | 21% |
| North Carolina | 94.9 | 50,370 | 21,000 | 734,250 | 117,000 | 22% | 24% |
| Pennsylvania | 97.5 | 52,260 | 21,000 | 781,500 | 117,000 | 21% | 24% |
| Michigan | 91.3 | 48,642 | 21,000 | 691,050 | 117,000 | 22% | 23% |
| New York | 148.2 | 80,550 | 21,000 | 1,488,750 | 117,000 | 20% | 21% |
| New Jersey | 113.0 | 68,820 | 21,000 | 1,195,500 | 117,000 | 21% | 22% |
| New Hampshire | 109.0 | 63,200 | 21,000 | 1,055,000 | 117,000 | 22% | 23% |
| Virginia | 103.0 | 57,300 | 21,000 | 907,500 | 117,000 | 22% | 23% |
| Wisconsin | 96.4 | 52,700 | 21,000 | 792,500 | 117,000 | 22% | 23% |
| Delaware | 102.0 | 59,200 | 21,000 | 955,000 | 117,000 | 22% | 24% |
| Illinois | 94.0 | 54,000 | 21,000 | 825,000 | 117,000 | 22% | 22% |
| Nevada | 108.5 | 56,900 | 21,000 | 897,500 | 117,000 | 21% | 23% |
| Minnesota | 103.1 | 58,200 | 21,000 | 930,000 | 117,000 | 21% | 22% |
| Ohio | 91.0 | 48,900 | 21,000 | 697,500 | 117,000 | 22% | 23% |
| Georgia | 89.2 | 48,400 | 21,000 | 685,000 | 117,000 | 22% | 22% |
| Indiana | 90.4 | 48,800 | 21,000 | 695,000 | 117,000 | 22% | 22% |
Median retirement savings, however, stand at approximately $117,000. This gap between expected retirement costs and actual retirement assets is one of the primary drivers behind growing interest in retirement migration and international relocation for their golden years.
The American Retirement Exodus Is Just Beginning
The findings presented throughout this retirement migration study suggest that American retirement migration is becoming a structural trend rather than an isolated phenomenon.
Economic pressures, healthcare concerns, political uncertainty, public safety considerations, and quality-of-life preferences are increasingly influencing where American citizens choose to spend retirement.
As retirement migration trends continue to evolve, destinations such as Portugal, Spain, Greece, Italy, Mexico, Costa Rica, and Panama are likely to remain central to discussions about global retirement mobility and Plan B residency strategies.
The American Retirement Exodus report indicates that retirement abroad is no longer simply a lifestyle aspiration. For many households, it has become a practical strategy for preserving financial security, healthcare options, personal freedom, and long-term stability in an increasingly uncertain world.
