John, 73: a modest pension in Chiang Mai, with about 40% saved

How it came about

John spent most of his career in finance, venture capital and start-ups, with a stint running his family’s farm. He retired in his early 60s and went back to study. A lifelong traveller, he first visited Chiang Mai in the early 2010s and liked its temples and mild climate. He moved there from Western Australia in 2019.

What it costs them

Business Insider reported his pension at about US$18,000 a year, about A$28,000 at the time, after reviewing his bank statements. The article says it is a government pension but not which one.

Rent was under US$200 a month (about A$290) for an air-conditioned studio with a basic kitchen, close to his favourite Mexican restaurant. Housing, utilities and transport together came to a few hundred US dollars a month. Food was cheap at restaurants and street stalls.

With costs that low, he said he saved about 40% of his income. He also said his pension would be nowhere near enough to live on in Australia. As he put it: “The cost of living is cheap”.

For comparison, our own estimate for one person in Chiang Mai is about A$1,950 a month, with rent, eating out and extras included and health insurance not. It is an average, not one person’s budget.

What went well

He has money left over. Saving almost half his income means he can travel, and he had recently spent a few weeks in Spain. He lives alone but makes a point of meeting people through local social groups and the occasional wellness retreat, and said he did not feel lonely. He described Chiang Mai as having a huge retirement community, with people from all over the world.

What was hard

The article says little about hardships. It does mention health: part of what he saves is set aside for unexpected costs and health care fees.

What has changed since

• Pension Supplement (from 20 September 2026). If a pension like John’s is the Age Pension, the rules changed after this story ran. Services Australia and the Department of Social Services say that from 20 September 2026, pensioners living overseas for good no longer get any Pension Supplement, where before they kept a smaller basic amount.
• Visa-free entry to Thailand. VisasNews reported, citing Thailand’s Royal Gazette, that Australians arriving from 15 September 2026 get 30 days visa-free, down from 60. Smartraveller says you may only be allowed 2 visa-free entries each calendar year without a justifiable reason; Thai consular pages say entries over land borders under the visa exemption are limited to 2 a calendar year. That matters for anyone who travels in and out of Thailand without a longer-stay visa, such as those in our Thailand retirement visa guide.
• Prices and exchange rates are from 2024. At the RBA’s 12-month average rate (A$1 = US$0.6919), US$200 is about A$290.
• Europe. Smartraveller says Australians can visit the Schengen area, which includes Spain, for up to 90 days in any 180-day period. Staying longer means a visa from Spain itself. Spain’s embassy, or a licensed visa agent there, can say what applies. Our Spain page has more.

What to take from it

• John’s own advice to others, as reported, was to research a country’s culture and cost of living and to visit at least once before a long-term move. Our guide to trying a place before you move covers the ways to do that.
• A low-cost base can leave room to save and travel, even on a modest pension.
• Saving for health costs is part of the plan when you pay your own way. What a hospital stay would cost where you live, and whether insurance would pay, are worth knowing. Our guide to international health insurance by age covers what to ask.
• A move overseas does not have to be the last one. John was already looking at his next place.