Retiree abroad: Top 3 countries for retirement pensions


Retirement should be a time of rest, relaxation and entertainment. In some countries, you can retire well through a comfortable pension plan. Some countries have also entered into retirement benefits agreements with the United States.

The Mercer CFA Institute Global Pension Index 2023 provided an analysis and ranking of 47 pension systems around the world. Each country’s index is calculated through three main factors:

  • Sufficiency: “How much do you get?”
  • sustainability: “Can the system continue delivery?”
  • integrity: “Can the system be trusted?”

Top 3 countries for retirement pensions

Mercer’s report highlights the top three countries for retirement pensions. Each country has a ranking that “reflects a first-class and strong retirement income system that provides good benefits, is sustainable and has a high level of integrity.”

Netherlands (No. 1 out of 47)

  • total index: 85.0
  • rating: A
  • Sufficiency:85.6
  • sustainability:58.4
  • integrity: 37.0

Iceland (No. 2 out of 47)

  • total index: 84.8
  • rating: A
  • Sufficiency: 85.5
  • sustainability: 83.8
  • integrity: 85.0

Denmark (number 3 out of 47)

  • total index: 83.1
  • rating: A
  • Sufficiency: 82.5
  • sustainability: 82.5
  • integrity:77.8

How to qualify for an overseas pension

You’ll want to consider your finances before making the move to retire abroad. Here’s how to qualify for a retirement pension in the top three countries:

  • Netherlands: According to I’m an Expat, under the Netherlands’ General Old Age Act or Allgemeen Oudedomswet (AoW), which came into force in 1957, all people who have lived or worked in the Netherlands between the ages of 15 and 65 can The state is entitled to receive. Pension.
  • iceland: According to the Social Security Administration, the current retirement age in Iceland is 67. The Icelandic pension system requires a minimum of 3 years’ residence in Iceland to qualify for old-age benefits. You can retire early at age 65 with a reduced benefit amount. You can also choose to defer receipt of your benefits until age 70, at which point you will be eligible for a higher benefit amount. It is worth considering that Iceland pays a flat rate benefit depending on the number of years of residence in Iceland, with 40 years of residence meeting the maximum benefit amount.
  • denmark: According to the Social Security Administration, people who are not Danish citizens, and still live in Denmark, can qualify for “social” benefits if they have lived in Denmark for at least 10 years. Five of those years must be immediately preceding eligibility.

Leave a Comment