Retire in Mexico

Can I retire in Mexico as a solution to the retirement crisis in America?  

Retirement In Mexico

There is a solution to what is being called the "retirement crisis" in the U.S.A. In Baja California the popular roadside banners are calling it "The New American Dream - Retire in Mexico".  This trend in retirement is not without merit.  Americans that chose to retire in Mexico to save as much as 90% of what it costs to retire north of the border.

A luxury oceanfront condominium in San Diego costs about three million dollars with annual taxes of $3,000 to $5,000 compared to the expenses involved in retiring in a comparable oceanfront condo in Rosarito, just 20 miles south of the border, at less than $300,000 and less than $1,000 in annual taxes.  The saving and benefits do not end with the cost of retirement housing.  You can read more about the "Mexico Retirement Solution" here in a previous post, we made, Mexico Is The Best Place To Retire.

The retirement crisis statistics are alarming

About 80% of Americans are facing a crisis concerning retirement.  Almost 10% of Baby Boomers, (52- to 72-year-olds) claim that they have no plans for retirement.  A recent survey from GoBankingRates.com found over half of Americans have no more than $10,000 saved for retirement, and 1 in 3 have nothing saved at all. The National Institute on Retirement Security estimates the nation’s retirement savings gap is between $6.8 and $14 trillion.

According to an article in National Affairs - Is There A Retirement Crisis? - If you have followed the headlines in recent years on the question of Americans' retirement savings, you could be forgiven a bit of panic. "Our next big crisis will be a retirement crisis," read one headline in MarketWatch earlier this year. "The Greatest Retirement Crisis in American History," read another in Forbes. A study by the National Institute on Retirement Security put its warning in the form of a question: "The Retirement Savings Crisis: Is It Worse Than We Think?" 

These predictions of doom typically point to one or another recent study prepared by important-sounding groups. The Center for Retirement Research at Boston College estimates that more than half of working-age households are at risk of having inadequate retirement resources. The National Institute on Retirement Security goes further, claiming that at least 65% of workers are saving less than required to meet their retirement income needs. The New America Foundation reports that, among middle-income retirees, "[f]ewer than half...have any form of pension income, and only a slim majority have any form of asset income."

The American Retirement Crisis - Mauldin Economics

Here we see that 33% of Americans have no retirement savings at all; another 23% have less than $10,000; and a further 10% have less than $50,000. So that’s 66%, a full two-thirds of Americans, with either no savings at all or not enough to generate significant income. (If you have $50,000 and can pull out 4% a year without drawing down principal – which is hard to do – you’ll get something like $160 a month.) Read more here at Mauldin Economics - Angst in America, Part 3: Retiring Broke

How Worried Are Americans about Retirement?

As reported by the Federal Reserve Bank of St. Louis,  How Worried Are Americans about Retirement? 

Monday, March 26, 2018
By YiLi Chien, Senior Economist, and Paul Morris, Senior Research Associate

Americans have plenty of reasons to worry about their financial well-being in retirement. The future of social security is uncertain, the cost of health care is skyrocketing, and many Americans have retirement account balances that are too low to maintain their current living standards.  Read more Americans have plenty of reasons to be worried about retirement  

Use our Contact us form to sign up for our complementary two day and night stay at Las Palmas.

email: sales.lostbajadiscovered@gmail.com
telephone: Mexico 011 521 661 110-8333

Boulevard Popotla 1905, Km. 31, Popotla
22710 Rosarito, B.C. Mexico