'plus and minuses of retirement in puerto rico' Retirement

plus and minuses of retirement in puerto rico

dennis e moffett (69.214.178.57) -

what are the advantages of retiring to puerto rico as opposed to any place in the usa?

whatadvantages are there?

Reply #1 Rick (69.142.105.125) -

hi,I was thinking the same thing. I have a Puerto Rican friend who moved back and thought it was great. I visited him and it is nice place, the people were extremely friendly. I'm going back maybe in January but it's difficult trying to deceide where to look for property. I think to live as an American would be expensive, livivng with the locals would be fun but it's not the America I'm use to. Not to say it's not good but different. I haven't traveled much but so far Pureto Ricans are the nicest people I've met. Keep in touch and let me know how you make out. Rick

Reply #2 Pedro (199.184.38.5) -

From a personal finance standpoint, there really is no advantage as compared to living in any other state - if you are asking from the tax standpoint, etc. There is a difference though in that in Puerto Rico you'll be fully taxed by the State government (PR Hacienda), as opposed to the Federal government, which does this through agreement with PR. The aforementioned assumes you are a resident of Puerto Rico and is regardless if your income comes from Social Security or whatnot. The agreement portion comes in when you file your Federal Taxes and put in the "Foreign Tax Credit" form for being taxed in Puerto Rico. Yes, it sounds as if it where a foreign country arrangement and in a way it is. Despite being a US territory, for tax purposes in Puerto Rico they have a fiscal automony in taxation.

PR taxes are pretty steep, so all in all, your total % of income taxes may be greater than the combination of state-and-federal in one of the US states.

Aside from that... advantages include great weather, beaches, a beautiful country, and a totally different culture.

Reply #3 Bert Rosenheck (71.187.168.74) -

Hi. My wife and I have owned a condo in Playa Azul (Luquillo) for many years and have been coming down several times a year on vacation. We love it. We are now trying to evaluate the +- of leaving NJ where we now live, to become permanent residents in our soon to happen retirement. I need to get a better handle on tax issues and estate planning issues among others. We will of course check with the appropriate professional advisers but would welcome any anecdotal insights.

Reply #4 A. Hernandez (64.12.117.202) -

Saludos. It is my understanding that when you move to Puerto Rico, you only pay your federal taxes and no local taxes if your pension is coming from the mainland. Could anyone clarify this point of taxation? I am very grateful.

Reply #5 Sandra and Ben (166.214.23.8) -

My husband and I have been living in Florida for the last 23 years and even though we loved it, the property taxes and expenses are so great and my husband is retired, that we are seriously considering moving to Puerto Rico since my family is there and they believe that it would be a lot easier for us financially since we would not have to pay for rent or property taxes.

Is anyone aware of who to talk to or a website (calculator) regarding the amount of taxes to pay the government regarding pension and social security. We are confused on how to review this information?

Thank you so much for all the information!!!!!

Reply #6 Debra Barr (72.47.28.136) -

I am a 55 year-old disabled female vet (USAF) who lives on a fixed income of approximately $1500/month. I no longer have a lavish lifestyle nor do I wish for one. I just want to live near the beach and fishing. In the US, I do not pay taxes n my Social Security Disability earnings and I have a choice of Medicare or Veterans Administration health care. How would this change in Puerto Rico?

Thank you sincerely,

Debra Barr

Reply #7 ernesto vaca (68.198.198.196) -

i will like to be register to receive information on retirement in puerto rico.

Reply #8 Minerva (67.224.144.161) -

I have been living in Puerto Rico for over a year, now. I am neither American nor Boricua. I am European, but have lived in the USA for many years. I have been blogging about various aspects of PR retirement all during that time, so anybody interested in any particular subject (health care, dwellings, cars, bureaucracy etc. etc) may want to check it out.

My - personal - judgement is: mo matter how naturally beautiful PR is and how nice the weather (in winter only), I shall soon happily move out of the island.

There are many things in Puerto Rico which for me were - or still are - particularly annoying, and most expats I know here are snow birds. As a snow bird you have an element of adventure and many of the annoyances are much easier to take, if you deal with them for only 4-6 months a year and then go back to easier pastures.

• Retirement in Puerto Rico

Reply #9 elsie (173.73.172.86) -

I have heard that if you reside as a primary residency in your home in PR, you do not pay property taxes, like in the states.

Reply #10 Bob (199.208.239.141) - 08/02/09 15:43

As I understand it if you live in PR as a US military retiree, your retirement pay is exempt from the US Former Spouses Protection Act and as a result the ex-spouse cannot get a distribution of up to 50% of your military retirement.

Reply #11 Soliel from San Juan (Contact Member) - 09/17/09 17:47

I have been living in PR since 1993, for more than 7 years I worked and paid local taxes SS and Med. Then I was not needed anymore and fired. now I am soon 70 and would like to know how to survive.. when I asked I was told by Social Security here that what I have paid during the years working is not enough so to receive any Social Security benefits... obviously the company let me go just in time.. being from Europe I have other ideas of how to treat people. Is that correct? Is people over 65 without income not protected in any way?

How to get medical insurance?

Need your help!

soliel

Reply #12 maria (98.211.170.144) - 10/01/09 20:48

is it financially save to retire on an income of 1200 a month to poerto rico

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