residence permit for retirees or pensioners in panama

The certification demonstrating the condition of the retiree or pensioner may be B/. 750.00 or its equivalent in foreign currency when the applicant has acquired a property on a personal basis in the national territory for an amount greater than B/.100,000.00 or its equivalent in foreign currency.

Other exceptions to consider:

1. In the case of the spouses, it will be possible to credit both sums to comply with the minimum of the pension established, which is B/.1,000.00 or its equivalent in foreign currency.
2. In the cases of dependent children, their permission will be temporary until they turn twenty-five (25) years old if they prove that they have completed their studies; however, they will not have the right to permanence or pensioner status, except for those dependent children who suffer from a proven profound disability.

The price for the application for the Residence Permit for Retirees or Pensioners in Panama is made up of the following expenses: (notarial, registry, stamps, transactional, transportation, certificates, kinship certificate, SNM registration, etc. including processing card, residence card and multiple visa) and legal fees.

The total cost amounts to US$ 2.110,00. Below we break down the price:

Expenses:
The total cost of Applicant Expenses without dependent is US$ 510.00. Breakdown below:

• Expenses in the National Immigration Service: US$ 450.00 (four hundred fifty US dollars).
• Transactional expenses: US$ 60.00 (sixty US dollars).

Legal fees

The total cost of Legal fees for the applicant without a dependent is US$ 1,600.00 (one thousand six hundred US dollars). ITBMs tax and translations of documents in different languages are not included.

The total cost of:

• Certified Check for US$ 250.00 in favor of the National Treasury; (the client can provide it, or we manage it – certification cost per check is US$ 10.70) – The holder must provide this check, only requested when the retiree have dependents.

The requirements to apply for the Retiree or Pensioner Visa in Panama are the following:

1. Power of Attorney and Request (notarized and by a suitable Panamanian attorney)
2. Three (3) passport size photographs.
3. Duly cross-checked copy of the passport (Notarized).
4. Criminal Record Certificate (or sworn declaration before a Notary if it does not exist in the applicant's country of origin).
5. Health Certificate by a qualified Panamanian doctor.
6. Personal History Affidavit Form..
7. Certification of your status as a retiree or pensioner from foreign governments, international organizations, or private companies proving that you receive a lifetime pension of not less than one thousand balboas (B/. 1,000.00) per month or its equivalent in foreign currency.
8. If the retirement or pension comes from a private company, the following must be provided in addition to the above:
   1. Letter from a foreign pension, trust, mutual fund, insurance, or banking company certifying that it manages funds for the company or applicant.
   2. Certification of existence and validity of the company that grants the pension and manages the fund.
   3. Copy of proof of payment or bank statement.

The difference between pensioner and retiree is that: in the case of the pension we can mention that it consists of a periodic, temporary, or lifetime amount that the Social Security of a country pays due to retirement, widowhood, orphanhood, or disability. Therefore, a person with a pension has or receives a pension for a reason.

While a retired person is one who, after completing the work cycle established by the internal legislation of each country, stops working due to age and receives a retirement remuneration.

However, regarding Residence Permits, applicants must meet the same requirements regardless of whether they are applying for a Retiree or Pensioner Permit.

A pensioner in Panama is a person who receives a pension from the Social Security Administration acquired by virtue of his own contributions as a contributing worker. Includes pensioners for work risks, disability, and old age.

A pension is a benefit in money, in the form of a temporary or lifetime income, that Social Security pays monthly to its insured or their beneficiaries after complying with the corresponding legal requirements.

The Social Security Administration in Panama grants pensions through three programs:

1. Disability, Old Age, and Death Program: comprised of Old Age, Early Old Age, Disability, and Survivor pensions.
2. Professional Risk Program: comprised of Permanent Partial Pensions, Permanent Absolute Pensions, and the Survivor Pension.
3. 3. Complementary Fund Program: made up of Special Retirement Pensions for Seniority of Services and Physical Disability, Complementary Benefits for Old Age, Early Old Age, and Disability. (The Complementary Fund was repealed as of 2001, in compliance with Law No. 8 of February 6, 1997).

To retire in Panama the internal regulations offer many advantages y benefits.

Law 51 states that any person who has contributed 240 paid quotas, verified in the Social Security Administration (CSS), and is 57 years old (women) and 62 years old (men) may enjoy a work retirement, with 60% of the average of their best annual salaries.

Panama presents multiple advantages to those who choose to reside here. Take into consideration that the Panamanian Law establishes that both Panamanians and foreigners residing in the national territory who are fifty-five (55) years of age or older if they are women; or sixty (60) years or older if male, and all retirees and pensioners of any gender, will enjoy the following benefits. The law expressly states:

1. 50% discount on the prices charged for admission to recreation and entertainment activities, such as cinemas, theaters, sports, and other public shows. This discount does not apply to charitable activities whose profits are intended for children, victims, and programs duly authorized by the competent authority.
2. Discount on the public transport fare in accordance with the following classification:
   • Intercity buses, 30%
   • Trains, 30%
   • Boats and vessels, 30%
   • 25% on air tickets from national and foreign public or private companies.
3. A minimum discount on the regular prices of hotels, motels, and pensions as well:
   • 50% from Monday to Thursday
   • 30% on Friday, Saturday, and Sunday.
4. 25% discount on the value of individual food consumption in any restaurant, except those considered as “fondas,” (informal diners) which do not require a business license to operate.
5. 15% discount on the total bill for services from hospitals and private clinics
6. 10% discount in pharmacies for medicines purchased with medical prescription.
7. Discount on the following medical services as well:
   • 20% in the fees for general medicine visits and in medical and surgical specialties
   • 15% for dental services
   • 15% for optometry services
8. The insurance companies that include the risk of illness in their policies will make the necessary adjustments so that the discount benefit is transferred to the insured in the payment of their premiums at the age of fifty-five (55) years or more, for women; and at the age of sixty (60) years or more, for men; and to pensioners and retirees.
9. 20% discount on fees for technical and professional services.
10. 20% discount on the price of all prostheses and aid devices and accessories.
11. D12. 50% discount on closing expenses or commissions on personal and commercial loan transactions carried out in your name at banks, finance companies, and credit institutions.No public or private entity may charge any amount for discount services, neither to the borrowers benefited by this Law nor to the banks, finance companies, cooperatives, and credit institutions in the personal and commercial loan transactions they carry out in your name.
12. Personal and commercial loan transactions carried out in your name in banks, finance companies, cooperatives, and credit institutions will be exempt from the payment of the surcharge or tax stipulated in the Special Interest Compensation Fund (FECI).
13. 15% discount on the maximum interest rate that the law allows banks, finance companies, cooperatives, and credit institutions to charge on personal and commercial loans in your name.”