Which Lifestyle Would Cost Our Family Less - Oregon or Costa Rica? - Part 1: Taxes

Gringo expats decide to retire in Costa Rica for a wide variety of reasons. Topping many expats' lists of desirable advantages would be maintaining their living standard at a lower cost or enjoying a higher standard of living for the same cost. That goes for adventurous, frugal younger expats as well as older expats such as myself stretching their retirement dollars.

Costa Rica can certainly offer terrific savings, especially in the areas of health care and housing. Many other daily expenses, however - automobiles being the most egregious example - are higher than what most norteamericanos are accustomed to. Depending on your financial status, lifestyle choices, goals and ability to adjust, the comparative financial equations we all go through at some point before moving here will each have their highs and lows.

Taking Stock of Expat Living Expenses

One Constant Is That Things Change

As we approach a new phase in which our own income will shift to primarily U.S. Social Security, our calculations are changing. In fact, just in terms of cost of living, we find that it may actually be cheaper for us to reside in our previous home state of Oregon. I'm not going into all the gory details of that calculation, but this two-part article does hit the high points. Hopefully, it provides additional food for thought to those considering moving to Costa Rica

First Trip to Panama - Part II - Boquete

Boquete View (Photo credit: Wikipedia)

As we meandered through the detours along the new 4-lane stretch of highway on our way from Davíd to Boquete, we remarked on how dry the valley was. The sparseness of the stubby plants hinted that perhaps this area didn't enjoy much rain even in the wet season. On both sides of the highway, spaced by miles and far from Davíd were clustered houses that looked like mini-versions of suburbs in New Mexico or Arizona. Small lots, faux adobe, all painted in desert pastels.

Until nearly in Boquete, the road climbs gradually, but noticeably. Though I'd heard many times of this Panamanian gringo oasis, I don't think I'd ever seen a photo of it. My first view of the town was plainly not congruent with my brain's contrived image. Somehow, I'd pictured it larger and spread out across a mountain top. In reality, it's laid out lengthwise in a narrow, rising valley, steep peaks on all three sides. My first thought was of a "theme town", such as Park City, Utah, or Ashland, Oregon, though I'd be surprised if the founders planned it that way. There's a queer uniqueness and hazy similarity between each building and block along the two main thoroughfares that merge into one further up the valley.