Southeast Asia is one of the most popular regions for retirees in search of new experiences, a change of scenery and a lower cost of living. While Thailand is perhaps the most well-known country in the region among the tourist and expat crowds, nearby Vietnam – with its natural beauty, welcoming locals and low cost of living – is worth a second look, especially if being off the beaten track interests you Like any country, however, there are pros and cons to retiring in Vietnam.
- There is an growing trend for Americans to retire abroad to sunny, beachy, and exotic locations.
- Vietnam is one such top destination, offering beautiful beaches, lush vegetation, and low costs of living.
- Beware, however, that Vietnam lacks a retirement visa program with the U.S., and while costs may be cheaper, quality of healthcare may also be lower.
Known for its diverse natural environment, Vietnam is home to forested highlands, tropical lowlands, terraced fields and great river deltas, plus more than 2,000 miles of varied coastline offering everything from white-sand beaches and palm trees to secluded coves with dramatic limestone pillars. Though crowded, the cities feature a thriving art scene, French-colonial architecture and tree-lined boulevards.
A low cost of living
According to the city and country database website Numbeo.com, Vietnam’s cost of living (excluding rent) is 46.46% lower – and rent is 62.89% lower – than the average data for all cities in the U.S. It’s possible for expatriates to retire comfortably here for about $1,000 a month (your actual budget could be much higher or lower depending on your lifestyle and preferences, but $1,000 is a good starting point). Cars are expensive (the government imposes a 100% tax on imported vehicles), so most expats (and locals, for that matter) get around on motorbikes, buses and taxis. (However, because Vietnam is committed to the Association of Southeast Asian Nations trade agreement, this tariff reportedly should be reduced to zero by the end of 2018 for vehicles purchased from other participating countries.)
Healthy and delicious food
Vietnamese cuisine blends flavors from France (from the days of French colonization) and nearby Cambodia, China, Laos and Thailand. Fresh ingredients – including lots of herbs, spices and veggies, with minimal use of oil – form the basis of traditional Vietnamese cooking, and many dishes embrace the five fundamental taste senses: sour, bitter, sweet, spicy and salty. Vietnam is known for its street food, and adventurous retirees can enjoy a variety of soups (pho), noodle dishes, spring rolls, sticky rice and Saigon baguettes.
No retirement visa scheme
A foreigner can get a one- or three-month single- or multiple-entry visa to visit and can then reapply and re-enter as the visa expires. (It's helpful that you can apply for a visa extension within the country by visiting a local travel agent.) If you have family ties to Vietnam, you may be eligible for a Permanent Residence Card (PRC), which is valid for three years, after which you must renew your application. If you or your parents were born in Vietnam (or if you are married to a Vietnamese citizen), you may be eligible for a Five-Year Visa Exemption, which allows you to leave and re-enter the country over the course of five years without the need to reapply for a visa each time. Vietnamese nationals living abroad and their families are also eligible.
Congested urban traffic and pollution
Even though rural Vietnam is home to two-thirds of the country’s population, the two main cities – Hanoi and Ho Chi Minh City – are clogged with traffic and pollution. Some estimates pinpoint Hanoi as the most polluted city in Southeast Asia, an unfortunate distinction considering that the entire region is well known for its haze and smog. Vietnam’s pollution is made worse by the increasing number of cars and motorbikes, an inadequate public transportation system and widespread fires from illegal slash-and-burn practices in Indonesia, made worse when the burning coincides with a long dry season.
While the people of Vietnam are very warm and welcoming to foreigners, the culture shock can be considerable. As with most countries, it’s not what you’re used to back home. English is mandatory in primary schools but is not widely spoken outside of tourist areas, and learning the Vietnamese language is a big undertaking. The cities are crowded and noisy, and it can be hard to get used to the traffic: With no stop signs and few traffic lights, just crossing the street can be a dangerous exercise in patience and timing.
Access to affordable and quality healthcare is an important consideration for most retirees, but the Vietnamese healthcare system is undeveloped by Western standards. You may have to go to Singapore or Thailand for a serious illness or injury.
The Bottom Line
As with any country, there are advantages and disadvantages to retiring in Vietnam. When making the decision to retire abroad, it’s important to carefully consider the pros and cons and to form realistic expectations for what it will be like to live there for the long term, not just as a tourist. The visa situation may make Vietnam especially complicated if you have no family connections to the country. (For more, see Going Back to Vietnam to Retire: A How-to Guide.)
Note: U.S. citizens traveling or residing abroad are encouraged to enroll in the Department of State’s Smart Traveler Enrollment Program (STEP), which provides security updates and makes it easier for the nearest U.S. embassy or consulate to contact you and/or your family in case of an emergency. (For more, see Plan Your Retirement Abroad and Thailand vs. Vietnam: Which Is Better for Retirees?)