How My Expat Life Rescued My Retirement
By Don Murray

There have been times in my life when I needed to be rescued. Like the time I landed my float plane on a remote Alaskan lake and became disoriented. As I hiked through thick, marshy growth, the weather quickly worsened as the clouds lowered almost to the ground. I could no longer see the horizon or the nearby mountains. I had no idea which way to walk to return to my airplane. Thankfully, I made it out. The how is a story for another time.

Then there was the time I was emotionally shipwrecked. My rescuer, Diane, (who is now my wife) shed light into the darkness I felt.

And then, there were times when I have actually and successfully saved myself.

Retiring outside the U.S. is one such occasion and is, perhaps, the most impactful "save" of my life.

What is now called "The Great Recession" began in 2007/2008 and has been calculated to have been the greatest financial downturn of all time, next to the Great Depression. That recession marked the beginning of a very painful economic chapter for my wife and I.

Not only was our bank account almost empty, our emotional reserves had also been depleted. Although millions of others were suffering similar fates, that knowledge did little to buoy us as our future appeared uncertain and my 62nd birthday was approaching. This is not what we had planned. 

We made the decision to leave the U.S. after reading numerous articles, including those from International Living. We communicated with a number of people already living abroad to confirm such things as cost of living, medical care, relative safety, and culture. We asked all the typical questions and received honest answers.

It appeared we could live a very comfortable, and economical life in Ecuador. At that time, it was the number-one-rated retirement destination in the world (according to International Living'sGlobal Retirement Index). The one thing we did (which few do and I do not recommend for most folks) was to move to a country we had never visited.

We sold and/or donated everything except what would fit into six suitcases. We landed in Quito, Ecuador, and were met by friends we had made online. We drove the seven hours to the northern coast and walked into a condo our friends had arranged for us. The healing, financial and emotional, began at that moment.

Don and Diane's expat adventures began in Ecuador. Today, they live in Mexico.

What, exactly, did our rescue involve? What happened in Ecuador that could not have occurred in the U.S.?

The first and most obvious benefit we received was a significantly reduced cost of living, less than half our cost back in the U.S. And our lifestyle had actually improved. We had a fully furnished condo just across the road from the Pacific Ocean. The views were as good as you can imagine. The condo came equipped with everything including pots, pans, silverware, glasses, and a coffee maker and the rent was only $450 monthly. Our village was small and quaint and close enough to larger towns to provide for our needs.

Absolutely everything was cheaper. Fresh food was everywhere and eating healthy was natural. We paid a pittance for groceries, car insurance, gasoline, electricity, and medical care. Most costs were less than half what we had been used to paying.

But the greatest benefit was something less tangible. Something that's tough to put a cost to. We regained our emotional health. Stress completely disappeared with the ongoing knowledge that we would never again need to worry about our retirement funding.

We began to seriously learn Spanish. There was no choice. No one in our adopted hometown of San Vicente spoke English. Our confidence grew as we learned a second language and gradually adapted to a new culture. Diane and I grew closer as a couple, accepting our new challenges with a smile, knowing we had found a secret life that only a few in our expat tribe shared.

It's now been seven years since our lifesaving expat adventure began. We moved from Ecuador to Mexico about five years ago and have just completed construction on our home in a tiny Maya village in Yucatán.

Every day remains an amazing gift that costs pennies on the dollar. We have great friends and neighbors and are about to plant our first garden. We have zero debt and money in the bank…a long way from where we began.