Retire in the Philippines — Can You?
So you want to Retire in the Philippines? Your homework assignment for today is to go and read this excellent article. Go ahead, I’ll wait, but do come back, because I have some very specific Retire in the Philippines comments and clarification that you might find interesting.
Finding Value in Disillusionment
by: Billy and Akaisha Kaderli
It’s a wakeup call. These days unpredictability is the theme of the marketplace, and hordes of would-be retirees have lost solid gains in their portfolios and home values. Seemingly, there is no place to turn for financial solace, with dread and anxiety running rampant. But perhaps there is value in being disillusioned.
Just as the people in the Gulf will be forced to reconstruct their lives or those who have lost assets in other natural disasters will need to rebuild their homes, perhaps your retirement dreams are calling for a major makeover. … (go ahead, read the rest, it’s well worth the time …
Retire at Age 38? They did. They now have 21 Years Experience at NOT having a Job.
You’re back? Good, great article isn’t it? I put a link to their great book here too, in case you want to read it … I’m not making any money of it, by the way, it’s just something so many of us need I can’t resist 
Here’s my take on Billy and Akaisha’s “Practical Steps”
Retire in the Philippines — Practical Steps
1. Cut fear down to manageable bites: Fear corrodes your life. The best way to deal with anxiety is to take action. If your current lifestyle is not sustainable and your retirement ambitions are whimsical, what can you do to gain traction?
- Get a grip on your spending
- Debt management and
- Savings.
The number of folks who contact me and tell me “they can’t” cut spending and save money just astounds me.
I guess, after a lifetime of being taught that the consumptive, phony Hollywood dream American lifestyle is a normal way to live, these people truly believe that they can’t. News flash. “The Real Housewives of New Jersey” aren’t really what life is all about.
Sadly, shows like this are popular in the Philippines … “celebrity” and “glamor and glitz” are a big part of life here, but the advantage of retiring in the Philippines is, you can live much, much cheaper than you can back in the USA, or in any other retirement venue I can think of.
I you read the article, you know that Billy and Akaisha are big on Thailand. That’s cool, because Thailand is also a great retirement destination. But unlike Billy and Akaisha, and a lot of other writers on this subject, I have lived, long-term in both Thailand, and the Philippines. My Filipino born/American citizen wife lived and worked in Thailand too, so I don’t speak from theory here, or regurgitate what “they” say. we speak from practical experience.
Thailand is a great destination … the Philippines, for American retirees, is a significantly better retirement destination, though.
If Thailand was better for our retirement, you can bet your channel clicker my wife and I would be there, rather than saving money and enjoying life in the here in the Philippines.
2. Evaluate other options for health care: “We receive letters from our readers enumerating concerns over their ability to access health care in retirement. For these people, it is their number one priority, and their entire future hinges on this one expense. As health insurance premiums rise, no amount of savings seems to relieve the emotional pressure they feel. They live in a state of constant threat, which is not good for their health!”… truer words never spoken.
Health care and health care expenses are a concern … but they are not what your whole life should revolve around.
Heath care in the Philippines is not the same as health care in the US. In some cases it may not be as good, in many cases it’s better (in my opinion, based, again, on actual experience). On the World Heath Organization rankings, the Philippines ranks a pretty dismal 76th place (out of about 200 countries). However, the USA ranks as nearly as dismal 37th. That’s right. The only place the USA is in number one in the health care world is COST.
So stop worrying so much and start living. Your US health insurance may continue to cover you here in the Philippines (check directly with your provider, please, don’t ask me, I don’t know). You may be able to use TRICARE or VA benefits. You might buy commercial Philippine health insurance (I’ve written before about Health Insurance Quotes — Philippines.
Or you might just click on the banner to your left (I do get a commission if you buy from Medex). They offer a pretty comprehensive plan for as low as $1.22 a day on an annual basis. Is a little over a buck a day really worth the worry and agony which Fox news has filled your head with? Relax. De-stress. You’ll live longer. You’ll certainly live happier.
3. Think out of the box – consider relocating: “While many of you may not have contemplated leaving your hometown for your retirement years, you may find yourself in a different frame of mind lately. There are dozens of countries and hundreds of cities in the world to live that won’t put a financial stress on your savings …”.
Exactly. That’s what this is all about. In many cases, retirement advice always seems to center around the idea that staying right where you are is the only, or at least the best overall alternative.
For some people, it might be. For a great many of you, though, I think you owe it to yourself to really explore other options. Americans are just to sedentary and self-centered. We believe our own press releases too often. The USA is not the center of the known universe. There’s a lot to learn and a lot to like about retiring in a new country.
There are things you won’t like, either … you note this is not one of those blogs about the Philippines that rambles on about “tropical paradise” … paradise it is not.
But if you don’t get off your spreading backside, make a move and try things out for yourself .. you will die without knowing. We are all running out of marbles you know, wherever we chose to live.
4. Don’t let peer pressure decide for you: “ Change often brings stress with it and many times we turn to loved ones for comfort and input. If one of the solutions to your retirement future means moving out of state or country, this can intimidate those whom we hold dear. Family and friends may try to keep you close by pointing out the struggles involved in your plan, and instead of helping, you could have more doubt than before. Remember, this is your life…” Indeed. I think, sometimes, this is the number one obstacle to people being able to retire in the Philippines.
It’s common for people to talk to me first about money, but after we find a solution to that issue, we tend to get to the meat of the matter. People are just afraid because their mom or the Aunt Tilly, or the guys down at the Legion Home all tell them they are crazy to think about making such a move.
Time to think this through and stand on your own two feet. Even your mom, precious as she is in your life, does not live your life for you.
A related issue is, many US citizens have some vague idea that you need some sort of special permission to live overseas, or that there is a ‘time limit’; of some sort about how long you can live outside the USA.
The a simple answer is, absolutely not. An American citizen can live outside the USA just as long as he or she chooses to. You can renew your passport, pay your taxes (yeah, you still have to do that, although there may be some huge tax advantages for some folks), vote, have a USA address, watch US TV, have a US phone number, maintain a US Internet IP address … in short, do just about anyhting a US citizen can do with feet on US soil. For as long as you want to.
If you have children overseas, they will still be 100% US citizens as well.
You are the captain of your soul
5. Dealing with the general fear of the unknown: “There are great emotional components to retirement. Studies we have read point out that it’s not always finances preventing people from leaving the world of work. Fear can come on many levels. If you have been hard driving, productive, loyal to a savings plan, the ‘Go-to’ person at work, the actual act of retirement could leave you without a sense of direction or feel like a letdown. You could be scrambling for a self-definition that you can live with, anything that doesn’t make you appear to be soft or lacking ambition. Or your biggest fear might be that you could find yourself bored, without a schedule, and wondering what you will do all day..”
Again, very true words and sound advice. Whatever your other plans about moving to or retiring in the Philippines might be, I strongly you have a plan for “doing something” and especially, “being someone”.
As many of you know, I not only write often about making a living in the Philippines, but earning online in general … my ‘flagship site’ on the earn while retired issue … empowering your life as a baby boomer might interest you.
There’s money to be made, but way, way more important than making money itself is the idea of having a purpose and something to work at.
Too many people have a sad retirement. not because of where they live, but because they don’t have a plan for doing something. Playing golf every day is not really doing something and being somebody … and it gets old.
Are You Going To Retire in the Philippines?
So, what do you think? Will you Retire in the Philippines.
Dave;
Both articles bring out alot of improtant truthes about how people view living abroad. Or even in another state for that part away from family. But as you so directly put it IT’s YOUR LIFE so live it and stop letting other people live it for you. The more reasons that a person thinks of for not living to a new place the less motivative they get for makeing the decision that could probably be the best decision they could of ever made.
My dad once told me this little saying that a person will change, When the pain of change is less then the pain of staying where your at. That was when I decided to leave Detriot and join the Navy Best move I ever made. Meet My awasa of 32yrs, lived in Japan and Philippines for a tolal of ten years and visited many more
countries. So all I can say is that you are so right live your life and find that special place that is you. Don’t stay in a box because of what others think or your afraid. Heck I’m moving to the Philippines in 24 months haven’t been their in 20 years. Scared sure but damn excited about the adventure that awaits me. My awasa and I believe that we can conquer anything together.
Plans are still a go for October visit.
Bruce and Dave
Very nice articles to reed indeed.
As I sit here in may garage looking at 20 years of collected non essential stuff my plan to head to the RP has been set in motion. Giant Yard/Garage sale. House closing is set for May 6th temporary housing is lined up.
I can tell you first hand that the fear of the unknown can be overwhelming. BUT the first step has been taken on the next journey. I am getting a lot of flack by Family members but I am thinking that maybe they are in their own way jealous of our plans. It would be MUCH easier to just live the American Plight and live here until the ripe old age and just accept the norm.
Neal;
Amen to another doer!! sold my house in March and moved into an apartment for 24 months. departure date for the Philippines is Aug 2013. Seems like a long time but it will be here before you know it.
About stuff my asawa and I gave our adult kids about 3/4 of our possessions I cried. Because I know they would have never bought the tools or furniture/appliances. But must keep focused on the BIGGER picture.
Thanks to Dave and his articles he stoked.
Where are you moving to in the Philippines?
Bruce
The Wife is a only child and is from Davao so we dont have any big issues with family coming to visit us there (permanantly) if we settle there. But we also have friends that live near Tagaytay that we will be visiting to check out that area. I pretty much promised Dave a bottle of Grey Goose so I will prolly check out his area also when I look him up. I got to check out Navy Paul in Bataan so I will do a recon of that area also.
Time frame wise we will visit as soon as my retirement goes thru, could be 4 months could be 6 months.
I sold off most of my garage stuff that cannot be sent to the RP in Balikbayan boxes, all my sockets, wrenches, drills grinders, wire feed welder,special Harley tools, chopsaw,sawzall,chainsaw,will follow me to RP eventually.
All the other stuff was donated to the Salvation Army, and a couple boxes of clothes were sent to Agusan DelSur to poor distant relatives.
Neal, (or anyone else who might know)
May ask if you can steer me in the direction of finding a method of shipping my personal property, some tools and and higher dollar items I really hope not to have to replace, is there an issue with customs, do you know? Thanx, Charles my email; chuck902@gmail.com
Charles (ID 5816) » Hi Charles, welcome to PhilFAQS … I’m “Philly’, the ruler of the universe and chief typo creator here. Thanks for visiting and commenting.
There are several methods you could use to ship your tools 9and I believe you should, becuase good tools are really hard to find here at times). But to recommend a method I need more info. How will you be coming to the Philippines? Tourist visa, Permanent resident (13-series), SRRV, or ???…. the visa you will be living on makes a world of difference in the shipping options available to you. Feel free to email me privately with your details, just click on the link by my name. Godspeed.
How much do you want to ship … how many pounds, are the items bigger than a breadbox, etc.
Feel free to email me privately (philly@philfaqs.com) if you want to discuss in more detail, or you can call me at 1-719-966-4295. If I don’t pickup, leave a voice mail that includes your time zone and best time to call you back.
Neal in RI (ID 5813) » My only regret in shipping? I’m sorry I didn’t ship more. I ‘shoved’ a lot of stuff of on my poor, long-suffering son, just becuase he had space for it. How foolish that I didn’t ship it. “If Only” ….
Philly;
I also shoved alot of stufff onto my son maybe I should of kept it maybe not.
He has good use for it if he can understand the treasure trove we gave him.
See Dave when I move I want to start fresh for the last time. Sure bring my personnel effects I hold fear but everything else new. No Kid marks or scrtaches for moving. After 40 yrears of going without or buying things to just get by those days are over. Of course living in the Philippines is different than the States, but that is our choice and we will build our lives and house in the old fashion way based on three words. Simple, relaxed ans satifying. Or kids just would not understand this being materialistic is not always good.
Since were on the subject what items do yuo suggest we buy here in the states and ship (via B.B. Box) to the Philippines?
If he has good use for it, great. In my case, my son didn’t need 9as just one example), his third lawn mower. And WOW when I saw what lawn mowers would go fo here, even cheap Wal*Mart push mowers? I shoulda brought it …
Neal in RI (ID 5811) » Actually, the biggest fear after the first year or so will not be the unknown, but boredom … keeping things from becoming the ‘same old same old’. After nearly five years here, you know the only thing that could tempt me to move back to the US?
Moving to Florida where my SIL lives and starting a lawn care/home handyman service. I’ve seen, first ahnd, what crappy service passes for good business there, and I could do better with one hand tied behind my back.
Yes, the thing I miss most about the USA? Being in business for myself. It’s depressing/frustrating to think about any business here, becuase the constant pall of ‘it can’t be done’ and other truly dedicated negativism is so hard to break through.
That’s why I spend a lot of tikme in online business ‘tinkering’ … but it’s sometimes not enough ‘hands on’. Sitting and doing nothing makes one old, fast.
Neal,
We will be living in Subic Bay a stone throw away from Paul T and Randy. And my family lives in Silang Cavite
Right outside of Tagaytay. So lets stay in touch.
Just found this Blog site. It is great and will book mark it right now. My Asawa and I have a house in Paranaque were we will retire in late 2012. I am looking forward to reading everyones thoughts, stories and comments
Scott Hegerle (ID 5817) » Hi Scott. Welcome to the community here and thanks for the kind words. A house in Paranaque , he? Well that’s sure close to the airport … and a lot of other great places as well. My wife, Mita, and I are in Marilao, Bulacan, just north of Metro Manila itself. 2012 is “coming soon”. Let me know any way I can help.
I never realized how many people have or are contmeplating moving to The Philippines for their retirement. My neighborhood where I live now has turned over at least twice in the 35 years I have lived here. People retire and can not afford the taxes. Fortunately I have a smaller place and pay about half of what my neighbors pay in taxes. When the time comes for me to consider retirement I will see just how far my retirement income will go here.
I recently watched a DVD about health care and how American Citizens could not get the health care they needed when they needed it because they did not have health insurance. Many of them were brought together by the producer of this DVD and went elsewhere for affordable care. Those that were refused in the USA due to lack of health insurance recieved excellent health care in such countries as France, The UK and even Cuba of all places and they were not even charged for the excellent treatment and care they got in these foriegn countries. In the USA some of these people were put out on the street by hospitals and given a ride to homeless shelters and just left on the sidewalk !
That got me to thinking, with the cost of Medical Care in The Philippines, instead of spending thousands per year for health insurance here, just save that money in a bank account and only use it if needed for much lower cost health care in the Philippines. I have toured a couple of hospitals on my visits there. Next time I am going to take a look at a very well known ISO 9001 Certified Hospital. I might even try to get a Physical Exam there as trying to get one here they send you around to specialists, each doing only one part of a physical exam. The Doctor I had for many years used to do everything in his own office including the lab work. Unfortunately he retired so those days are gone. I finally got a Doctor here to admit if they don’t see at least 4 or 5 patients per hour, they are not making enough money to cover their overhead. It is all controlled by the Insurance Companies. This has just about convinced me that Health Care may have an advantage in The Philippines if you are anywhere near a decent health care facility. Be your own insurance Company, save your cash and maybe even make a little interest on it, then if you need it get cost effective treatment in The Philippines. The only place in Philippines that interests me is Iligan City. Mindanao Sanitarioum Hospital is ISO 9001 Certified and from some of the pics of the inside I have seen resemble that of hospitals in the USA. I am going to tour this place next time I visit. The credentials seem impressive if you look them up.
Another consideration I have thought of, once I retire ( if I ever really do ) is not to immediately sell what I have here and move lock stock and barrel to Philippines, but maybe rent a place for 6 months or a year and just give it a try. If I feel at home there then I would sell out what I have here, if I feel I can not deal with it on a full time live there basis then I would just consider it as an extended vacation and still have my home here in the USA.
Although I have immensely enjoyed my visits and vacation I know it is not the same as being a full time resident. On each visit though I explore more and more things I would require to know if I did actually live there.
From what I have found so far, at least for me I think I am satisfied with what I have found concerning the health care issue. It could very well be a better deal there in the Philippines !
Bob New York (ID 5863) » Hi Bob, thanks for being such along-time, faithful reader and for your great comment. Basically, it’s a whole blog article in itself, and since I am the big frog in my own little puddle here, I shall put on my best Jean-Luc Picard accent and utter the famous words, “Make it so”. Thanks for writing an article for me, Bob.
(By the way, Bob, you really should think of blogging about the Philippines, retiring, moving/not moving. etc., etc. I have read your comments for years and I really think you could contribute to the community … feel free to write me privately – dave@philfaqs.com – if you’d like to discuss it further)
Dave, two of the smartest things I’ve ever done in my life are this: #1.Married a beautiful Filipina 11 years ago.
#2. Moved to the Philippines close to 2 years ago with my beautiful Filipina wife at the age of 57. Having the time of my life! Do I have all the luxuries back in the States that I think I needed? Nope. I don’t miss them one bit. Am I rich? Nope? But I don’t have to go to some boring job everyday and put up with corporate B.S. I have everything that I need right in the Philippines. Man, if you even consider making a move to the Philippines, do it! i sincerely don’t think you’ll regret it.
Dave DeWall (ID 5874) » That’s my feeling too, Dave. So many people ask me about what i miss, as if I were ‘giving something up’ in order to live here. My thought, especially after my last trip back to the US is, I am not missing a damn thing. If I were to move back to the US, I’d be giving up a lot. Many Americans have it completely backward, IMO.
Just to comment on medical fears of some of your contributors. Just to make the story short. My Philippina wife had her gallbladder removed in California, however there were additional problems with the bile duct, and strictures which could have killed her. After surgery about 6-mths we went to overseas assignment where the DoD doctor tols us that if she didn’t have a by-pass done, she was dead in about 3-4 months. We had a choice, come back to US or find another place overseas. We chose St. Lukes Hospital in Manila. The 6-hr surgery was a success, and now nearly 3-years after, my wife is in excellent condition. The only concerns the surgeon had was as far as my wife’s internal organs was on how the US doctors put everything back from previous surgery. Drs in US were concerned in performing the surgery, and actually abandoned one, feeling that they can’t do a good “job”. We had Foreign Service Health Insurance that reimbursed us for 90% of the cost. The entire cost, including 7-day stay, dr. fees, anesthesia, etc. was about $12,000 equivalent. Last year we had an Executive chek-up, which cost us $350 each. You couldn’t have the similar check-up authorized by HMO in the US. It would cost at least 4-times more and would be completely out-of-pocket expense. In our planning stage for retirement to RP, we consider the health insurance cost, it may be a little expensive, but as we age, I consider it to be a good investment…if you can affort it.
What we found is, that most of the drs. in RP although being educated there, many have done their internship in US, and continue to have a professional association with their colleages/hospitals there. In addition to that they are trained to do the surgeries, without relying on the technology.
So that being said, in short, one may have concerns abouth health care, but you can rest assured that when you will need it it will be there.
Can’t wait ro retire……my calendar shows 980 days…unless I decide to cut it short….no pay raises under current administration anyway.
For me to have my own individual health insurance here in the USA it is estimated that it would cost me between 8000 and 10,000 per year USD ! As I have it now, I only pay 20% and my employer pays the rest and it is in a group plan. If I ever retire, I could save that amount of meney each year instead of paying it to an insurance company here in the USA, and I would think I would be in decent shape there in Ph should anything major be required.
I kind of doubt that Doctors there in PH are being bullied around by Insurance Companies. Here in the USA the insurance companies tell the Doctors what to do and how to do it and the flat rate amount they will be underpaid for their services. It would not surprise me if more doctors here get out of general or specialist practice and go into research or something else just to get away from the bullying from the Insurance Companies.
You can not even get a decent Physical Exam here any more. You get sent around to 5 or 6 specialists who only spend a few minutes with you . They all have to ” Cash In ” on insurance co-pays from the patient to make any kind of living out of their practice. Additionally Doctors pay 1 Million USD or more every year to insurance companies to insure themself against Malpractice lawsuits.
I am seriously going to try to get a complete physical exam at Mindanao Sanitrium Hospital in Iligan City on my next visit just for comparison. I have friends there that can set up the appointment for me before I arrive. If the physical exam there is anything like it ” used to be ” here, well, you know where I am going to go for an annual physical from now on !
Bob New York (ID 5880) » A lot6 of people make the mistake of thinking medical care in the Philippines is all ‘backward”, Bob, and that’s a bad assumption. In particular you point up something the Philippines is very good at … “Executive Checkups”. For the price of what would be one or two (of many) blood tests in the US, you get a complete workup. Many of these package deals also include a decent room accommodation for the spouse or significant other.
Another thing I enjoy about medical care here is, it is much more participatory. If my doctor finds something he considers needs attention, he talks with me about possible treatments and accepts my judgement on what I should do next … none of this bossy, talking-down to the patient which is especially rampant in the USA.
I don’t like to criticize until I have the chance to investigate myself. I toured a hospital on my last visit because I knew someone that works there so I had an ” IN “. I don’t think I would want to spend time in that one myself and I discretely commented to my friend afterward that a building like that here would most likely be demolished. That has nothing to do with the quality of the care because I would not be in a position to comment on that. I can only comment on things that I do know something about with any kind of accuracy.
I have been quite interested in Mindanao Sanitarium Hosp, in Iligan City which seems to be one of the major ones there. It is also associated with it’s college on the same premesis which is quite popular for nursing students. I am not sure about student Doctors but eventually I will find out.
Next visit I am going to arrange to have a physical in this place and then make an evaluation from my own experience.
Yes, I fully agree with you about many Doctors here in the USA. When the long time Doctor I had retired and a replacement practice took over, I went in for a physical and felt fine, when I came out of the place I felt like throwing up in the parking lot. Not from anything done to me in what little exam I got, but more from aggrivation from the way I felt I was treated. I probably would have been treated better in a welfare clinic ! ( USA style ). Then I had to go to a urologist, then to another one for something else etc. etc. etc. each time paying a $30 USD Co-Pay because they were All Specialists !
If you look on Youtube, you can find videos of doctors in foriegn countries and also student doctors taking a practical exam in giving a physical. They do stuff I never see here and it is a lot more than a 15 minute quickie exam. This is what gave me the idea why not get a physical next time I go to Iligan City. This would also be a great way to see Mindanao Sanitarium Hospital. I have friends there who can make the appointment for me ahead of time. It is something like this that will give me the first hand experience so I can make some kind of educated opinion.
In the USA usually when the word Sanitarium is used it is in reference to a mental hospital. This seems Not to be the case in regards to Mindanao Sanitarium Hosp in Iligan City. Also as I mentioned it is ISO 9001 certified.
The more I think about it, the better it sounds. Instead of paying thousands a year to an insurance company where the CEO makes a few million a year. Where an insurance adjuster dictates to Doctors how to perform their practice, where some procedures will not be paid by the insurance company because they dont feel it is necessary, etc. etc. etc. If I just save up the money instead and pay cash at a substantially rate when needed. There is something like this starting up in the USA called ” Simple Care http://www.simplecare.com but it is slow in taking off.
Ever notice if you go to a Doctors office in the USA how there are more people working in an office on PC screens than there are Doctors examining patients ? It is mostly because of all of the paperwork involved with insurance companies.
I wonder if there are any insurance companies available to Expat retirees there in the Philippines ?
If I ever were to seriously consider moving to The Philippines, with what I have seen and learned so far, Quality Medical Care would not be too much of a concern for me at this point, but I will continue reaserching.
Bob New York (ID 5888) » Hi Bob, yes indeed, there are many insurance options available to foreigners in the Philippines. I’ve written about them a number of times, including Health Insurance Quotes — Philippines and Live in the Philippines and Keep Your US health Insurance and Blatant Ad Or Life Saving Info.
As I’ve mentioned before, all those people at the computers in the doctors office aren’t doing medical records, per se, they are really engaged in the loan sharking/payday loan business, which is what medical care in the USA has become.
I don’t know if you were ever a fan of the Sopranos when it aired on HBO, but there were many aspects of that show that mirrored reality. In a very early episode, Tony, the boss and Hesh, his stereotypical Jewish Loan Shark (Shylock) partner, get heavily into submitting phony claims and fabricated diagnostics tests to insurance companies for profit.
Believe me, if I had Mafioso tendencies, I’d never deal with drugs, robbery, prostitution and all those other typical crimes you see n the news. Profit margin is too low. Insurance fraud … “white collar crime” … that’s where the real money is … and if you get caught, jail sentences are virtually nil compared with violent crimes … so it’s a win-win all the way round *sigh*