Baby Boomer Best Retirement Spots

The financial crisis is hitting everyone in the pockets and as millions reach retirement age, stretching their money has become a necessity as retirement plans and savings fall woefully short of maintaining their standard of living.

Seniors are increasingly looking overseas for low cost retirement destinations. The most recent cost-of-living data from Xpatulator.com reveals a number of exotic destinations where seniors can still enjoy the good life for less. Here are five cities that you may want to consider.

Quito, Ecuador

In the latest Xpatulator.com cost of living rankings, Ecuador ranks 193rd out of 219 countries while its capital city, Quito, ranks 598th out of the 780 locations listed. While being closer to the bottom of the list based on the cost-of-living, Ecuador tops several recent lists as the best place in the world to retire. Quito is elevated at over 9,000 feet and is near the equator which allows it to enjoy consistent cool weather with average highs near 70F and lows near 50F year round. According to Huffingtonpost.com, the state sponsored health care system recently change to include care to all legal residents including those over the age of 60 as well as those with pre-existing conditions. Recently called South America's prettiest big city combined with good and accessible health care, you have a winning combination.

Nashville, Tennessee, USA

While Bankrate.com recently awarded Tennessee the title of best US state to retire, Music City, as Nashville is often known, has become the state's newest Boomtown. The low cost of housing, no income tax and high quality of life, has retirees flocking to Nashville in record numbers.

Nashville, Tennessee ranks 727th out of the 780 locations included in the list of Xpatulator.com's most expensive locations.

Bali, Indonesia

Ranked 597th, a move up of 67 places from last year's rankings, it is still considered an inexpensive vacation and retirement destination, but the island is becoming increasingly popular and gradually more expensive. 

Sofia, Bulgaria

Bulgaria's low cost of living, outstanding infrastructure, membership of the EU, bustling culture and entertainment scene plus  easy low-cost connections to Europe make this a perfect base without the price tag of a city like Rome, Paris or Zurich.  Bulgaria ranks 211th out of 219 countries in the Xpatulator.com cost-of-living rankings while Sofia ranks 759th out of 780 locations. So if spending your golden years exploring the capital cities of Europe sounds like your idea of retirement, Sofia, Bulgaria provides an excellent retirement option.

Chandigarh, India

Chandigarh, nicknamed the "Pensioners Paradise" is virtually unknown outside India other than to westerners that have traveled to India as medical tourists. Many seniors are now looking at India as a potential retirement destination. Chandigarh is the administrative center of both Haryana and Punjab states, and was created from a mostly barren landscape starting in the 1960s. It has uncharacteristically wide streets, well organized public transportation and the highest per capita income of any city in India.

Overall India ranks as the 206th most expensive country in the Xpatulator.com rankings.

There are many considerations that you need to make before choosing an overseas city to retire. Attention should be made to the type of medical care available, whether there is access to western style goods and your proximity to family and friends are all important factors. The bottom line is that it’s a personal choice, but increasing numbers of people are happily choosing to expand their horizons to enjoy a better quality of life in retirement.

Xpatulator.com provides up-to-date cost of living data for over 700 locations worldwide.

Steven McManus is a Remuneration and Benefits Consultant and founder of  http://www.xpatulator.com where employers and employees can calculate how much you need to earn in another location to have a similar spending power.
Calculators include Salary Purchasing Power Parity (recommended if you are an organization planning to relocate an employee to an international location, or an individual with a job offer in another country), International Assignment Management (recommended for the calculation of the compensation and benefits for a typical expatriate assignment of six months up to five years duration using your choice of home and host location), Cost of Living Allowance (recommended for calculating a cost of living allowance for short-term assignments and a detailed cost of living comparison basket by basket) and Cost of Living Index (recommended for the calculation of 3 or more host location cost of living indexes using your choice of home base city).

Assignment in Quito

Today I would like to discuss Quito in Ecuador. If you were to be sent to Quito on an expatriate assignment or if you were to relocate there, you are likely to experience weather that is cooler being inland at a higher elevation compared to the tropical coast and the Amazonian jungle in the lowlands. You will meet people who speak Spanish and indigenous languages.

The cost of clothing is high compared to other places. The cost of food and beverages and transport is very low compared to other places. The cost of housing is low compared to other places. Quito, is the capital city of Ecuador. Quito is the second-highest administrative capital city in the world (after La Paz, Bolivia), and the highest legal capital (ahead of Sucre, also in Bolivia, and Bogota, Colombia). From a day to day comfort perspective, you are likely to experience high degree of hardship.

Be sure to negotiate an appropriate salary or allowance to compensate for the cost of living. If you live in Quito or if you lived there recently, let us know what your experience has been. Would you live in Quito again?

Source: Xpatulator.com

Ecuador, Quito Cost of Living January 2010

LOCATION: Ecuador is in Western South America, bordering the Pacific Ocean at the Equator, between Colombia and Peru.

CAPITAL CITY: Quito and it is the second most populated city

LARGEST CITY: Guayaquil

CURRENCY: US Dollar

ECONOMY: Ecuador has substantial petroleum resources and rich agriculture. The country exports primary products such as oil, bananas, flowers and shrimp.

Quito has an overall cost of living index which equates it with low cost of living locations. The overall cost of living index is comprised of the prices for defined quantities of the same goods and services across all 13 Basket Groups. Quito is currently ranked 262 overall, most expensive place in the world for expatriates to live, out of 276 international locations. The cost of living overview for each of the 13 Basket Groups is as follows:

Alcohol & Tobacco costs for alcoholic beverages such as alcohol at bar, beer, locally produced spirit, whiskey, and wine as well as tobacco products such as cigarettes is relatively more expensive compared to other cities with a rank of 85 out of 276.

Clothing costs for clothing and footwear products such as business suits, casual clothing, childrens clothing and footwear, coats and hats, evening wear, shoe repairs, and underwear is relatively less expensive compared to other cities with a rank of 238 out of 276.

Communication costs for various communication costs such as home telephone rental and call charges, internet connection and service provider fees, mobile / cellular phone contract and calls is equally expensive on average compared to other cities with a rank of 127 out of 276.

Education costs such as creche / pre-school fees, high school / college fees, primary school fees, and tertiary study fees is relatively less expensive compared to other cities with a rank of 214 out of 276.

Furniture & Appliance costs for furniture, household equipment and household appliances such as dvd player, fridge freezer, iron, kettle, toaster, microwave, light bulbs, television, vacuum cleaner, and washing machine is relatively less expensive compared to other cities with a rank of 224 out of 276.

Grocery costs for food, non-alcoholic beverages and cleaning material items such as baby consumables, baked goods, baking, canned foods, cheese, cleaning products, dairy, fresh fruits, fresh vegetables, fruit juices, meat, oil & vinegars, pet food, pre-prepared meals, sauces, seafood, snacks, soft drinks, spices & herbs is relatively less expensive compared to other cities with a rank of 269 out of 276.

Healthcare costs for general healthcare, medical and medical insurance such as general practitioner consultation rates, hospital private ward daily rate, non-prescription medicine, and private medical insurance / medical aid contributions is relatively less expensive compared to other cities with a rank of 269 out of 276.

Household costs for housing, water, electricity, household gas, household fuels, local rates and residential taxes such as house / flat mortgage, house / flat rental, household electricity consumption, household gas / fuel consumption, household water consumption, and local property rates / taxes / levies is relatively less expensive compared to other cities with a rank of 200 out of 276.

Miscellaneous costs related to stationary, linen and general goods and services such as domestic help, dry cleaning, linen, office supplies, newspapers and magazines, and postage stamps is relatively less expensive compared to other cities with a rank of 242 out of 276.

Personal Care costs for personal care products and services such as cosmetics, hair care, moisturizer / sun block, nappies, pain relief tablets, toilet paper, toothpaste, and soap / shampoo / conditioner is relatively less expensive compared to other cities with a rank of 263 out of 276.

Recreation and Culture costs such as books, camera film, cinema ticket, DVD and CDs, sports goods, and theatre tickets is equally expensive on average compared to other cities with a rank of 170 out of 276.

Restaurants, Meals Out and Hotel costs such as business dinner, dinner at a restaurant (non fast food), hotel rates, take away drinks and snacks (fast food) is relatively less expensive compared to other cities with a rank of 198 out of 276.

Transport costs for public transport, vehicle costs, vehicle fuel, vehicle insurance and vehicle maintenance such as hire purchase / lease of vehicle, petrol / diesel, public transport service maintenance, tires, vehicle Insurance, and vehicle purchase is relatively less expensive compared to other cities with a rank of 268 out of 276.

Your exact customized cost of living index for Quito is based on which of the above basket groups as well as the comparison location you select in the Calculators.

In terms of the hardship people are likely to experience, assessed in global terms, Quito is ranked as a high degree of hardship location with a hardship index of 30%.

Your exact customized hardship index premium for Quito is based on the comparison location that you select in the Calculators.