Where do the old age pensioners now retire ?

[georgegeorgia]

Well 20 years ago I remember many Aussies were retiring to the land of smiles on their aged Government pensions and having a good quality life.

 

Fast forward  years and the Thai baht is down so the pension is down to around 45,000 baht a month

 

Very difficult to live on I guess 

 

My questions are 

 

Does anyone still live on a meagre pension ?... particularly a Australian govt pension?

 

Are you able to still have the same life quality as say when you first arrived ?

 

Have you had to move either out if Thailand or different part to survive?

 

Have some of you had to leave although you had previously a good life ?

 

Is there anywhere in Asia a pensioner on receiving the equivalent of 45k a month can still have a good life or " live like a king" as they use to say.

 

I guess parts of Isaan maybe affordable ....doubt Chiang Mai is now affordable for pensioners on 45k a month....maybe Phillipines ?

 

 

 

Edited April 5, 2021 by georgegeorgia

[sirineou]

on 45,000 bht You could live like a king if your Kingdome was a sub-Saharan country , LOL . 

. I am only kidding, you might be able to survive on that but to live like a king , not a chance. 

Just to qualify for an extension to stay on retirement  you need  to show  65,000 bht monthly income , or 800,000 in the bank.

You got to remember that the only things that are cheap in any country you go to,   would be things that are locally produced and are dependent on local labor  and regulations. Every thing else that is imported will be as or more expensive than your home country. 

 

 

[Scouse123]

Cambodia seems to be a lot better on import taxes on goods than Thailand regarding food and drink but Healthcare I would not trust.

 

You can live in Isaarn on 45,000 baht a month if you don't go silly. Bearing in mind half decent accommodation will be 10,000 baht a month.

[georgegeorgia]

Yes ...times have changed .

I always remember back in the late 90's many Aussie farang saying how they lived the high life on their aged Aussie pension which went a long way in those days .

I remember a old guy years ago  ( be dead now I imagine ) who was around 75yo at the time...he "escaped" from his crime ridden govt / council high-rise in Sydney and came to Pattaya to live on his aged pension.

 

He was telling me he lived comfortable on it in a studio in jomtien.. obviously different times 

Now it probably can't be done .

 

How times change . Sadly 

 

Maybe other options in other countries

[CharlieH]

Biggest single expense is the roof over your head.

If thats bought n paid for then yes 45k is do able. If you have to rent, then a big piece is gone before you start.

There are cheap places to rent @ 2000 a month, in the rural areas but I wouldnt want to live in one.

 

The govt guideline of 65k is about right for basic living standards I would say.

Depends entirely on your lifestyle.

[Fat is a type of crazy]

Aren't the english even worse off because there pension is frozen.

This was an interesting article and video from 2014 from Australian channel SBS. 

Champagne lifestyle on a lemonade budget: Why so many Aussies are moving to Thailand (sbs.com.au)

 

In Australia the cost of accommodation in particular goes up and up so it's all relative. If you don't have government housing and rely on the pension you may still better off in Thailand. Free healthcare in Australia. 

Many retiring today should have a decent amount of superannuation to add to some pension due to compulsory super that started in the early 90's. I plan to retire at 60 so no pension for me as it starts at 67 and they have tightened up the assets test over the years too, particularly as it effects public servant superannuation,  to make it hard to be eligible in any case. 

 

Edited April 5, 2021 by Fat is a type of crazy

[simon43]

Not quite a pensioner (4 years to go).  I live in what some regard as an expensive town in Laos - Luang Prabang.  My 3 bedroom house by the Mekong river, plus private expat health insurance, 2 fast internet connections, off-road motorbike costs, annual visa/documents, and healthy food (I always eat out every day - too cheap to bother preparing my own), cost me the equivalent of about 30,000 baht a month (I earn three times that amount, so my expenditure of 30,000 baht is not limited for financial reasons - that's just what it costs me to have a happy and healthy life!).

[Brierley]

We own our own house and have no debts. Our living expense have averaged 50k Baht per month for the past three years and there's nothing we want for. We eat out around five or six times each week and take holidays to the islands or up North about three times a year. The rest of our income gets banked and we always have a positive cash flow, our total assets increase year on year rather than being run down. 45k per month for expenses is very doable but as others have said, accommodation is the biggest factor. It helps that we don't drink or get involved in the night life, lifestyle implications can be a financial game changer. 

[Damrongsak]

40 some years ago, I thought I'd retire in Thailand.  Fast forward and I don't think it will ever happen due to age, politics and whatnot.   We own outright a 1 rai compound on the edge of Loei town with two houses, one of which was built for her Mom and newer one built for us by sis-in-law in trade for the old house.  Paperwork is murky but we paid for most and it's a family affair. 

 

When I kick the bucket, I know my wife has a decent 3 bedroom, 2 bath house to go back to if she wishes, and local relatives (heirs?) to care for her. We could live there  very cheaply, probably just on U.S. Social Security alone.  So that's something. 

 

Back home, my 92 1/2 year old Mom is in an assisted care facility is burning about $85,000 USD per year.  ~ 220,000 Baht per month.  Is she the kind of rich foreigner the Thai authorities want to retire there?  555.

 

[meechai]

6 hours ago, georgegeorgia said:

Fast forward  years and the Thai baht is down so the pension is down to around 45,000 baht a month

 

That is better than I thought Aussies got. I thought they only got $952 a month

https://www.servicesaustralia.gov.au/individuals/services/centrelink/age-pension/how-much-you-can-get

 

That aside I think you can live all right for 45k a month in Thailand & we did for many years at 30-50k or so

But I think the big problem for pensioners going forward will be health insurance.

 

Even if you can buy it...eventually at say 70-74 years of age it is going vertical in price.

 

I think the days of winging it without any insurance (claim self insured) will come to an end soon.

Meaning Thailand will eventually require a policy as part of visa extensions etc. It is inevitable IMHO

 

So while I think it is easily possible to live on 45k baht per month that insurance will be the stumbling block

Moving back to home country at that age is not a pleasant experience as it is hard enough 10-15 years before that age to get

reset in your home country

Edited April 6, 2021 by meechai

[Kwasaki]

Depends what you want in life I came in 2005 to retire was on holiday for about 3 years, my pensions came in 2012.

Everything is bought and paid for and I'm settled in nicely, I have my hobbies.

We can live on 15,000 easier enough if we had to, we would just have cut down on beer and eating out on occasion and holiday only once a year.

[dodgybros]

1 hour ago, meechai said:

That is better than I thought Aussies got. I thought they only got $952 a month

per fortnight not month

[Meat Pie 47]

I have retired and live on my old age pension and haven't moved anywhere

and have a good life back in OZ I can even save money of my pension.

 

[meechai]

9 minutes ago, dodgybros said:

per fortnight not month

 

Thanks I did not see that ...Actually I did    not even know what a fortnight was & looked it up 555 ????

[simon43]

[quote]

... Even if you can buy it...eventually at say 70-74 years of age it is going vertical in price.

[/quote]

 

Not necessarily true.  When I took out expat insurance at 57 years old, I obtained details of the age band charges up to 100 years old for the company's clients, (assuming that they joined the scheme without any medical conditions).

 

My current insurance premium at 62 years old is about $200 USD per month, and that will rise to about $450 per month at age 100!  That's still not a vertical increase in price ????

[BritManToo]

9 hours ago, georgegeorgia said:

Is there anywhere in Asia a pensioner on receiving the equivalent of 45k a month can still have a good life or " live like a king" as they use to say.

I live very well on 40kbht/month, house (mortgage 11k/month), car, m/c x3, woman, 2 kids.

My daughter's last 6 months at university squeezed me a bit, but she's finished now.

Edited April 6, 2021 by BritManToo

[xylophone]

46 minutes ago, BritManToo said:

I live very well on 40kbht/month, house (mortgage 11k/month), car, m/c x3, woman, 2 kids.

My daughter's last 6 months at university squeezed me a bit, but she's finished now.

Well you do much better than I do, however I do have some of life's luxuries (red wine) which I can't seem to do without, but only in moderation!!!

 

I get half a pension from NZ and half from the UK and that works out to about 41K baht per month in total, however my outgoings are as follows: –

– rent 12,000 baht per month
– health insurance 11,500 baht per month
– daughter's university and accommodation and living costs 15,000 baht per month
– car and motorbike insurance, approx 1500 baht per month.

 

So you can see that without any food, clothing or petrol costs my pension has gone.

 

Luckily enough I am able to live off interest payments from investments back in NZ, however as we all know, bonds and term deposits are paying next to zero in interest, so digging into the savings is my current MO, although I have managed to invest in a peer-to-peer lending scheme which is giving me around 6.5% per annum, paid monthly.

 

I envisage having to use up most of my investments by the time I depart this mortal coil, although I do hope there is enough left to pass on to my Thai daughter, to ensure she has a good future.

 

Oh.....I forgot about the wine, which sets me back about 9000 baht a month as I am able to buy some pretty good wine direct from distributors whom I know.

[Freeduhdum]

59 minutes ago, simon43 said:

[quote]

... Even if you can buy it...eventually at say 70-74 years of age it is going vertical in price.

[/quote]

 

Not necessarily true.  When I took out expat insurance at 57 years old, I obtained details of the age band charges up to 100 years old for the company's clients, (assuming that they joined the scheme without any medical conditions).

 

My current insurance premium at 62 years old is about $200 USD per month, and that will rise to about $450 per month at age 100!  That's still not a vertical increase in price ????

Do you mind providing your insurance company and policy type? Would love to look into this one. 

And... to answer the OP. 

I'm living in Isaan, 25 minutes from the city and airport. The house/land/car/motorbike are paid off... I literally spend no more than 20,000 baht a month for basic living, eating out, I like to drink wine, trips to the city etc. If I want to head to the beach a couple of times a year, or Bangkok for some shopping, add another 20,000 baht. 45,000 baht is very doable. As has already been expressed, get your housing, transport and health plans sorted and you can do it. 

[Freeduhdum]

3 minutes ago, xylophone said:

Well you do much better than I do, however I do have some of life's luxuries (red wine) which I can't seem to do without, but only in moderation!!!

 

I get half a pension from NZ and half from the UK and that works out to about 41K baht per month in total, however my outgoings are as follows: –

– rent 12,000 baht per month
– health insurance 11,500 baht per month
– daughter's university and accommodation and living costs 15,000 baht per month
– car and motorbike insurance, approx 1500 baht per month.

 

So you can see that without any food, clothing or petrol costs my pension has gone.

 

Luckily enough I am able to live off interest payments from investments back in NZ, however as we all know, bonds and term deposits are paying next to zero in interest, so digging into the savings is my current MO, although I have managed to invest in a peer-to-peer lending scheme which is giving me around 6.5% per annum, paid monthly.

 

I envisage having to use up most of my investments by the time I depart this mortal coil, although I do hope there is enough left to pass on to my Thai daughter, to ensure she has a good future.

 

Oh.....I forgot about the wine, which sets me back about 9000 baht a month as I am able to buy some pretty good wine direct from distributors whom I know.

Who do you buy wine from? If I may ask... and can I purchase from them also? 

[Scouse123]

The topic is like how long is a piece of string with so many variables. I mean out of the 45Ka month what are you expecting?

 

It's the same as guys coming on here saying I have 5, 10 or 20 million baht to retire plus my monthly pension, is it enough? WE DON'T KNOW! 

 

We don't know your lifestyles or spending habits.The only thing you do is to have a ceiling budget per month including all anticipated spends on internet, accommodation,, transport, food, entertainment etc. and if you find you are over it monthly and dipping further into your nest-egg,, you are spending too much. End of!

 

If its a few beers, decent food a motorbike or small car and small compact house in Isaarn, it's doable, of course. If you want to go to Pattaya and off the Totty in the bar, ring the bell in the bar, and eat in western restaurants daily, then you are in for a rude awakening. One thing for sure, bar girls and boys are experts spending other peoples money.

 

We have three houses in a compound which are paid for and built many years ago, my car was bought new 2 years ago and a bit more and paid for, we cook a lot at home, both Isaarn food and Western food, I usually get to Europe at least twice a year.

 

Hobbies are exercise, bit of local travel and visiting the islands, as well as regional travel of course,quite a bit of IPTV, not super exciting, but stress free as a rule.

 

I can honestly say, my other half spends more of our money than I do on too many lucky numbers, and recently some online gambling. I monitor it very closely. No more than 1,000 baht a week in total on the gambling, that I am aware of. I control the money. We have tried handing her a monthly budget and she just isn't cut out for that kind of stuff.

 

But, I stopped drinking and started exercise and losing weight and I don't miss it. I do the Tesco stuff as it gets me out of the house, I don't smoke and other stuff is for our mutual benefit which I don't class as spending ( it is) but part of the budget, such as health insurance, diesel, etc

 

However, she drinks little, rarely goes out of the house ( now and again at Songkran and Mor Lam season ), loves cooking, likes keeping the house nice, and isn't really interested in the latest mobile phones or fancy clothes, only local beauty products. So, it isn't so bad.

 

 

 

 

 

Edited April 6, 2021 by Scouse123

[xylophone]

2 minutes ago, Freeduhdum said:

Who do you buy wine from? If I may ask... and can I purchase from them also? 

Good day, I actually live in Phuket, however couple of my suppliers are based in Bangkok, and I will attach some details for you. They will/may/can deliver!

 

Vinum Lector - Your wine distributor in Bangkok 

 

Also contact for a wine list: [email protected]

 

 

[Freeduhdum]

9 minutes ago, Scouse123 said:

The topic is like how long is a piece of string with so many variables. I mean out of the 45Ka month what are you expecting?

 

It's the same as guys coming on here saying I have 5, 10 or 20 million baht to retire plus my monthly pension, is it enough? WE DON'T KNOW! 

 

We don't know your lifestyles or spending habits.The only thing you do is to have a ceiling budget per month including all anticipated spends on internet, accommodation,, transport, food, entertainment etc. and if you find you are over it monthly and dipping further into your nest-egg,, you are spending too much. End of!

 

If its a few beers, decent food a motorbike or small car and small compact house in Isaarn, it's doable, of course. If you want to go to Pattaya and off the Totty in the bar, ring the bell in the bar, and eat in western restaurants daily, then you are in for a rude awakening. One thing for sure, bar girls and boys are experts spending other peoples money.

 

We have three houses in a compound which are paid for and built many years ago, my car was bought new 2 years ago and a bit more and paid for, we cook a lot at home, both Isaarn food and Western food, I usually get to Europe at least twice a year.

 

Hobbies are exercise, bit of local travel and visiting the islands, as well as regional travel of course,quite a bit of IPTV, not super exciting, but stress free as a rule.

 

I can honestly say, my other half spends more of our money than I do on too many lucky numbers, and recently some online gambling. I monitor it very closely. No more than 1,000 baht a week in total on the gambling, that I am aware of. I control the money. We have tried handing her a monthly budget and she just isn't cut out for that kind of stuff..

 

However, she drinks little, rarely goes out of the house ( now and again at Songkran and Mor Lam season ), loves cooking, likes keeping the house nice, and isn't really interested in the latest mobile phones or fancy clothes, only local beauty products. So, it isn't so bad.

Ok. With all that said... how much do you spend monthly on average?

[Freeduhdum]

14 minutes ago, xylophone said:

Good day, I actually live in Phuket, however couple of my suppliers are based in Bangkok, and I will attach some details for you. They will/may/can deliver!

 

Vinum Lector - Your wine distributor in Bangkok 

 

Also contact for a wine list: [email protected]

 

 

I don't see any prices on the website... what would you say is an average cost per bottle of one of the red cabernet's? Better question is, average low and average high on the reds.. thanks.

Edited April 6, 2021 by Freeduhdum

[xylophone]

1 minute ago, Freeduhdum said:

I don't see any prices on the website... what would you say is an average cost per bottle of one of the red cabernet's? Better question is, average low and average high on the reds.. thanks.

OOPS.......will send the price list now!!

 

Vinum Lector Wholesale Price List April 2021.pdf

 

[BritManToo]

23 minutes ago, xylophone said:

– rent 12,000 baht per month
– health insurance 11,500 baht per month
– daughter's university and accommodation and living costs 15,000 baht per month
– car and motorbike insurance, approx 1500 baht per month.

 

So you can see that without any food, clothing or petrol costs my pension has gone.

 

Oh.....I forgot about the wine, which sets me back about 9000 baht a month as I am able to buy some pretty good wine direct from distributors whom I know.

I'd forget the health insurance and accept death when it comes. Saving 11,500bht/month

Choose a cheaper university, . Saving 10,000bht/month

government minimum m/c insurance. Saving 1,400bht/month 

trade drinking wine to drinking wine coolers. Saving 6,000bht/month. (12btl of full Moon wine cooler 295bht drink 4 a day)

 

That was easy and you now have 28,000bht/month to spend on other stuff.

Edited April 6, 2021 by BritManToo

[xylophone]

1 minute ago, BritManToo said:

I'd forget the health insurance and accept death when it comes. Saving 11,500bht/month

Choose a cheaper university, . Saving 10,000bht/month

government minimum m/c insurance. Saving 1,400bht/month 

trade drinking wine to drinking wine coolers. Saving 6,000bht/month.

 

That was easy and you now have 28,000bht/month to spend on other stuff.

Thank you for your sage advice, but no thanks....... 

 

I have a distended aorta and although it's not currently life-threatening, if and when I do need surgery it will be extremely expensive, and I'm not prepared to accept death at this particular point in time when I have got so many good years ahead of me.

 

My daughter wants to become a teacher and chose the University, and it's not that expensive, but I have rented an apartment near the University for her and given her some spending/living money, hence the expense.

 

The motorcycle insurance I pay the minimum for, however my car insurance is around 14,000 baht per annum, so won't save anything on that.

 

And as for drinking wine coolers.........for someone who has been able to drink some of the finest wines in the world over many decades, that is an absolute no-no!

 

Anyway I don't want to downgrade my standard of living, or my daughters University and living costs, as I have enough money to last me for the rest of my natural life, and some.

 

I have spent about 1.2 million baht per annum, every year since I've been here, and I doubt that will change.

[BritManToo]

Just now, xylophone said:

I have a distended aorta and although it's not currently life-threatening, if and when I do need surgery it will be extremely expensive, and I'm not prepared to accept death at this particular point in time when I have got so many good years ahead of me.

I though you were 70+, at 65 I already doubt I have any good years ahead of me.

[xylophone]

3 minutes ago, BritManToo said:

I though you were 70+, at 65 I already doubt I have any good years ahead of me.

Yes I am 74, and I was very fit and healthy in my younger days, playing football for about 40 years, and competitive tennis for another 10 years, and although years have moved on, I still feel young at heart, despite the potential problem with it!!

 

I calculated that my savings and interest would last until I was 103 years old, so as the saying goes, I'm well catered for, and not sure that I would like to be around at that age anyway!

 

My birth father died at the age of 88, and my birth mother is still alive at 92, so hopefully the genes have been passed on!

 

Perhaps it's the wine that's keeping me young...................

[simon43]

58 minutes ago, Freeduhdum said:

Do you mind providing your insurance company and policy type? Would love to look into this one. 
 

 

I'm signed up with the expat policy from April Insurance (mentioned often in the Insurance forum).  Make sure you get the expat policy, not the policy provided by April Insurance in Thailand.

 

Of course, when starting a new insurance policy, your premiums will be higher if you already have medical conditions, such as high BP etc, and those conditions may not be covered or even the policy refused.  I was fortunate that I took out my insurance cover about 5 years ago, at which time I had no existing medical conditions (same as now...)  But if I develop some new medical condition, my premiums will not be increased just for me - only a general age-band annual increase applies.

Edited April 6, 2021 by simon43

[Scouse123]

40 minutes ago, Freeduhdum said:

Ok. With all that said... how much do you spend monthly on average?

 

I don't really know because I don't really have that much of a concern with capital.

 

I know it isn't that much but I don't have money concerns.

 

I would say in the region of 30K-35K, but no rent or car to pay for. I don't smoke and stopped drinking through choice 7 months ago.