There are many reasons why Madeira is considered one of the best places in the world to live or retire in. The extremely affordable cost of living is just one of them…
If you’re thinking of living in a foreign country, the first thing you should ask yourself is, what lifestyle do you want to have? The climate, the landscape, the food, the language… all these small details will play an important role in your everyday life, and it is the combination of what’s most important for you that you should consider before deciding where to relocate.
It’s no coincidence that Madeira has conquered more and more expats searching for this unique “mix” between what the island has to offer and what families are looking for. And the best part is that in Madeira all this is available at an affordable cost…
Choosing to buy or rent a property in Madeira Island and moving for retirement, is absolutely the best choice. In Madeira you can enjoy not only one of the best climates in the world and almost the most hours of sunshine in Europe, but also good health services and favorable tax climate for retirees.
Madeira is also known for its great nature, leader of Europe when it comes to the most hours of sunshine. Madeira is even named the best place in the world to live after your retirement. Here the sun shines approximately 3,000 hours per year. Madeira island is located in the Atlantic Ocean; with the fresh ocean breeze the Madeira climate is always pleasant.
Madeira is a safe island to live, crime rate is among the lowest in Europe. Health care in Portugal and also in Madeira is good and affordable and health care costs are lower than in many other countries in Europe.
As a pensioner you do not have to make any financial contribution to public health care, but you do get 40% and sometimes even up to 100% of the costs for medicine compensated when being over 65 years old. If you are not eligible for the public health care, then it is advisable to get a private health insurance. After that, you’re assured of good care and short waiting times.
Maderian people are known as friendly, open and relaxed. By a long tradition with immigration, the born inhabitants of Madeira are used to other cultures. After your retirement, the local people will certainly give you a warm and enthusiastic welcome in your new country of residence. In addition they generally speak English very well, so you can make yourself easily understandable.
Living in Portugal is currently much more attractive than any other European country, due to the tax benefits for new residents, called NHR-regime. It is possible to move to Portugal and pay absolutely no tax whatsoever on your pension, whether you decide to take it as one lump sum or as a regular income. This is because many European countries have a double tax treaty with Portugal and Portugal has introduced the Non-Habitual Residents regime (NHR-regime), which allows new residents to pay zero tax on their pension when becoming residents in Portugal.
The NHR regime is aimed primarily at two groups: retirees, receiving pensions from abroad, and employed and self-employed workers, in professions of high added value. Such professions include: architects, engineers, artists, auditors, doctors, university teachers and company managers, among others. But, while retirees are exempt from taxation on pensions obtained abroad, workers in high added value professions pay a tax rate of 20% on earnings in Portugal. In both cases, the regime is effective for 10 consecutive years. As you can see; all the benefits for retirees are available in Portugal.