The best place to enjoy retirement, at least for those who live on an income and are not afraid of distances, is in South America. The says it Global Retirement Report and Index 2026 of Global Citizen Solutions, a consultancy company specializing in residences and citizenships abroad. Uruguay is in the lead, while Italy stops in ninth place. The index compares 46 residency programs designed for those who support themselves with pensions, savings and other passive income. Each country participates with only one visa, the one most suitable for a pensioner (the Portuguese D7, for example, or the Spanish non-profit visa). There are five evaluation criteria: quality of life, mobility and citizenship, taxation, procedure and costs. The greatest weight lies with the quality of life.
Why Uruguay wins
Uruguay scores 99.9 points, one tenth more than Mauritius and three tenths more than Spain. The gaps are so minimal that the authors themselves suggest reading the top part of the table in bands, not as an order of arrival. The Uruguayan program requires an income of 1,700 dollars a month and immediately grants permanent residency, without going through temporary residency. Citizenship comes after three years for married couples and after five for singles. The visa covers your spouse, children under 25 and even dependent parents. From a fiscal point of view, the territorial principle applies and inheritance tax does not exist. Furthermore, from January, a new law offers new residents ten years of exemption on foreign investment income, as an alternative to a fixed rate of 7%.
Italy, strong passport and heavy taxes
With 97.2 points, Italy precedes only Greece in the top ten. It is second out of 46 for mobility and citizenship, just behind Athens, but slips to 36th place for tax treatment. The elective residence visa requires at least 31,000 euros of income per year, the times vary from six to twelve months and citizenship takes ten years. Those who move to a southern municipality with fewer than 30,000 inhabitants can count on the flat tax of 7% on foreign income, but the tax assessment remains severe. Portugal, often described as a pensioner’s paradise, is only fifth: the reform of the law on nationality weighs heavily on the evaluation, which increased the years of residence required for citizenship from five to ten (seven for citizens of the EU and Portuguese-speaking countries). The editors caution that the study is a starting point, not personal advice. Visas and tax rules change often, and it’s best to check them before packing your bags.
The 2026 ranking
This is the complete ranking for 2026:
- Uruguay – 99.9
- Mauritius – 99.8
- Spain – 99.6
- Costa Rica – 99.5
- Portugal – 99.3
- Paraguay – 98.2
- Latvia – 98.0
- Andorra – 97.8
- Italy – 97.2
- Greece – 95.9
