The Pensionado Visa: Panama's Gift to Retirees

The Panama Pensionado Visa is widely regarded as the world's most generous retirement visa, and after going through the process ourselves we can confirm the reputation is well earned. To qualify, you need a lifetime pension income of at least $1,000 USD per month. NZ Super qualifies. Australian Age Pension qualifies. A KiwiSaver drawdown pension qualifies. The benefits are extraordinary: 50% off entertainment, 30% off fares, 25% off restaurant meals, 15% off hospital bills, and 20% off medical consultations. There is also a one-time import allowance for household goods tax-free. Permanent residency is granted from day one, and you are never required to pay Panamanian income tax on foreign-source income. Two additional benefits that do not get mentioned often enough: Pensionado visa holders receive a full exemption on property tax for their personal primary residence — your main home is completely tax-free. If you own any taxable investment properties and choose to pay the annual land tax in a single lump sum, Panama gives you an additional 10% discount off the assessed amount. Pensionado holders also receive a 25% discount on electricity usage costs, which makes a meaningful difference if you run air conditioning through the wet season. Our legal costs for the Pensionado visa for both of us as a married couple were well under NZD $2,000 in 2025. The process took approximately four months from start to approval. We used PTY Legal, whose immigration team handled every document, apostille, and Ministry submission on our behalf.