Lisa, 65: Penang on a visa granted years before she moved

How it came about

Penang was not new to Lisa. She first lived there as a child in 1968, when her family was posted to the air base at Butterworth. She later joined the Air Force herself and was posted to Penang in the late 1980s and early 1990s. Back in Western Australia, her last job was as a training coordinator.

So when she started thinking about retirement, Malaysia was the obvious place to look. She and her husband applied for a Malaysia My Second Home (MM2H) visa and got it in 2018, and she retired in August 2019. Early in 2020 she went to Penang to set things up, flew home for a family event, and the pandemic hit. She ended up back in her old job for more than two years. She retired a second time in January 2023 and has lived in Penang since then.

Her husband hasn’t retired yet. He still works in Australia and flies over regularly.

What it costs them

Lisa told Business Insider she spends about RM3,000 a month (about A$1,070 at the RBA’s 12-month average rate) on eating out, shopping and activities, and gets by comfortably on it. The article doesn’t say what she pays for housing or what her income is, so it’s only part of the picture.

Our own estimate for a full month in Penang, rent included, is about A$1,750 for one person and A$2,540 for a couple. Health insurance is extra.

What went well

She loves the food and the people. She eats out a lot, from roti canai at breakfast to a weekly night market with a friend. There’s a big community of foreigners in Penang, she says, and between coffee groups, mahjong, card games, darts and Sunday dim sum her week fills up. She knits blankets for hospitals and hospices too, and helps local charities raise money. In her words, “Moving here for retirement feels just like coming on a permanent holiday.”

What was hard

Mostly the timing. The pandemic split her plan in two, and she spent more than two years back at work in Australia before she could make the move. Now she and her husband live apart for part of the time while he keeps working. She sees herself staying in Penang for the long term, she says, as long as she can renew her visa.

What has changed since

• MM2H now works in tiers. The official MM2H site lists the current categories. Silver, for example, asks for a fixed deposit of US$150,000 (about A$217,000) in a Malaysian financial institution, requires you to own a home worth at least RM600,000 (about A$214,000), and expects 90 days a year in Malaysia, for a renewable 5-year pass. So Lisa’s 2018 approval tells you little about what a new applicant needs today. Our Malaysia page and our guide to retirement visa age requirements cover the current terms and the questions to ask.
• Visiting first. Smartraveller (page updated 2 October 2026) says Australians can, in most circumstances, get a 90-day tourist visa on arrival, and must complete the Malaysia Digital Arrival Card before they arrive.
• Moving before pension age. Malaysia does not have a social security agreement with Australia. Services Australia says that, unless you claim under an agreement, you must be living in Australia and physically in Australia on the day you claim the Age Pension. Our guide to retiring overseas before 67 explains what that means for the gap years.

What to take from it

• Lisa had lived in Penang three times before she retired there. Knowing a place that well takes a lot of the risk out.
• Visa rules can change between approval and moving day, and the terms a friend got years ago may no longer apply. Only the current terms count.
• Couples don’t always retire at the same time. For now, Lisa and her husband handle it by living apart. Our guide to talking with your partner and family covers that conversation.
• If you retire overseas before Age Pension age and may need the pension later, it pays to plan how you’ll claim it.