| Retiree Status in Panama |
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| Written by Matt Landau | |
| Thursday, August 31 2006 | |
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Retiree status in Panama is referred to as "jubilado" or "pensionado". This status has many benefits and we have outlined them here for you. Below the official rules, you can find a personal experience as to how many of these benefits are actually implimented and how the status actually plays out. RESIDENT VISA FOR PENSIONED OR RETIRED. According to several laws that rule this kind of visa, all Panamanians or foreigners, legal residents that are: 1. Women 57 years old or over 2. Men 62 years old or over 3. any Retired or Pensioned by either a government or a private agent have access to all privileges granted under these regulations. Discounts A. Theaters, sports, cinemas and public shows: 50% B. Public Transportation of every kind inside the country: 30% C. Airfare tickets departing from and inside the country: 25% D. Hotels, motels and hostels: 30% E. Restaurants: 15% F. Private hospitals: 15% G. Prescribed Drugs: 10% H. Physician Consultations: 20% I. Airport Service: 50% J. Basic water, telephone and electricity services: 25% K. Exoneration in import tax for vehicles, personal furniture and estate taxes under certain regulatory measures. L. Preferred attention in any public or private institution, with an exclusive teller in Banks and government agencies M. Exoneration of real estate taxes for the main property. Necessary Documentation To legally obtain the status is not circumscribed to a specific age . Migration office requires the following documents to be submitted with the application. 1. Certification of Income as retired, pensioned of any government agency or private company that will grant you a minimum of US$500.00 a month for a sole individual and US$250.00 for each additional spouse or children minor of age. This is the main document needed and may have different versions. Your local lawyer will recommend which would be the best way to prepare it. 2. Certification of good health * 3. Certification of –HIV test. * 4. Six (6) color photographs. * 5. Notarized copy of your whole passport. * 6. A sworn declaration of antecedents before Panamanian authorities.* 7. Register in the Migration department. * * All these are performed by the real estate agency and while in Panama city. It can usually be done in one working day. US & Canada: Regarding the certification of your pension, after it is issued by the social security department or the local company in charge of making the payments, you should send this document to a notary in your country to have the signature authenticated. After notarized, an APOSTILLE is needed. The apostille is a certification usually granted in the US by the Governors` office and it allows the document to be accepted by the signatory countries of La Hague Treaty. In Panama city: You can easily obtain this certification in the US embassy in Panama city. Be sure to bring a copy of your bank statement showing the monthly deposits of your pension and a copy of any official documentation showing you are retired, along with your original passport. Opening a Bank Account: For Panamanian banks is mandatory to open accounts with at least two recommendation letters. Ask your local bank to issue a letter stating, in general terms, how long have you been their clients, and name and telephone number to verify the information. In Panama, we will provide you with local references. You do not need to detail account numbers or specific amounts. In certain American banks in Panama you might be subject to a credit investigation and information regarding your accounts. Banistmo and Banco Nacional (two largest banks in Panama) offer American retirees savings account with direct deposits from the US social security system at no cost. To open one of these is simple and only requires two identifications, specially one certifying your retired status. Both of these banks offer branches and ATM`s all over the country. Depending on your needs, we will recommend a specific bank to work with, at least during your first year here. Panama does not tax foreign income for retired. If you plan to conduct business in our country, a Panamanian corporation is recommended as a way to save tax dollars and increase your business expansion. These and other creative investment ideas can be discussed for each individual. -------------------------- Personal Experience as a Jubilado in Panama Jubilado pronounced the guru way Hoo-be-do-be-do-be-la-doe has been ok to the guru. 1. I was given a 10% discount on a new Prado (Toyota SUV) but then received another 12% by Ricardo Perez (the owner of the dealership) for “purchasing in Feb.” I am still not clear on what that was all about so I ended up with a 22% discount on the Prado: not a problem for me. 2. I was given discounts for the movies even before I had the card. 3. If you want the discount at restaurants you need to tell them before they bring the bill and you have to sign it. So what's the problem with that? However, only the jubilado gets the discount (not the other members of the party): what's wrong with that? That discount, if I am alone, pays most of the tip as well. 4. Air Panama (one of the domestic airlines) gives me the discount from David to SJO (Costa Rica), a trip I make frequently now, being at the round trip is only $164.00. I receive about 10% to 15% off the ticket price. 5. I have not applied for electricity or phone discount yet but I will be doing so soon. A friend of mine has done this relatively stress-free. I do not forsee a problem. No jubilado discounts are given for cell phones: only home land line apply. 6. I registered at the Do-It Center (one of our biggest hardware stores) with my jubilado card so I get a discount there, as well as a hardware store called Novy. I have lived in Costa Rica for over 30 years and never became a pensionado—I didn't line the PEN plates you had to put on your car. The guru translation for PEN, PENdejo. NOW after my kids are out of school and the guru is somewhat free, I feel like I'm doing it all over again BUT things are growing in Panama at a much faster rate than they ever did in CR. So I now take advantage of the jubilado or pensionado plan that Panama has opened up (this happened at the same time that CR closed the doors to the same plan). I read complaints all the time from retires but after 33 years in Latin America, if I have learned one thing, it is that gringos are a hard lot to please. They have been spoiled by the life style presented to them in the U.S. I say come to Panama and enjoy the culture as it is, without trying to see it as the place you came from. But that's just me. |
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| Last Updated ( Saturday, April 21 2007 ) |
"say come to Panama and enjoy the culture as it is, without trying to see it as the place you came from."? I no culture there,exept money getting million lowyers and realestare speculators.Is no Opera or famost music composers in Panama.The job in this country is take $ from outside. 
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