What anyone planning to retire abroad should know

New York is ranked 20th in the ranking of the states of America for the benefit of retirees... Many, after retirement, move to other regions or even to other countries, believing that living in the United States is too expensive (and it is difficult to argue with that). Perhaps you are attracted to the tropical beaches of Costa Rica, or you may want to take advantage of the free healthcare services in the UK. Or perhaps in old age you would like to return to your home country if you are an immigrant. But an American pension abroad can not be received everywhere, in addition, there are many nuances in retirement abroad, writes Go Banking Rates.

If you do not have US citizenship, then going abroad in retirement is risky. In most cases, the Social Security Administration (SSA) stops payments to non-US residents for six consecutive calendar months. Payments will only resume after you return to the United States and remain in the country for at least one calendar month.

However, many restrictions apply to American citizens as well.

IMPORTANT: This article is specifically about Social Security Pensions from the US Social Security Administration (SSA). Accumulative pension plans drawn up by you personally or by an employer operate according to other schemes and it is much easier to organize their receipt abroad.

Countries in which you will not be able to receive an American pension at all

If you live in North Korea or Cuba, you will not be able to receive American retirement benefits there at all. But the good news is that the money will not disappear, but will accumulate and can be sent to you if you later move to a country where the US can send retirement benefits. However, this “good news” applies only to US citizens. If you are not a US citizen, you will not receive retirement during your stay in North Korea or Cuba, even if you move.

Countries where payments are partially restricted

While only two countries completely exclude the possibility of receiving an American pension, there are still many countries where payments are partially limited. These countries include:

• Azerbaijan
• Belarus
• Kazakhstan
• Kyrgyzstan
• Moldova
• Tajikistan
• Туркменистан
• Uzbekistan

Typically, SSA does not pay pensions to people living in these countries. However, you can still get US benefits if you qualify for an exception. To do this, you will have to fulfill and accept certain conditions (more in the next section). SSA created verification toolwhich you can use to find out if you are eligible for the US Pension Exception and in the countries listed above.

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For those who are not eligible for an exception, the payout will be cumulative. You can get this money when you move to a country where you can receive SSA payments. In this case, nothing is said about the citizenship of the pensioner.

Conditions for receiving retirement benefits outside the United States

If you are hoping to receive Social Security benefits while outside the United States, you must meet certain conditions. Non-US citizens must reside in the country where SSA can send payments. In addition, non-US citizens may receive benefits if one of the following conditions applies:

1. You were eligible for monthly Social Security benefits in December 1956.
2. The employee whose benefits are used to pay your benefits died while serving in the US Army or as a result of a service-related disability and was not terminated with disqualification.

In other words, you need to be eligible to receive payments for December 1956. Or receive payments on behalf of a US soldier who died during service or as a result of a disability. Given the prescription, no one meets the first requirement now, but the law on this is still in effect.

In addition to these conditions, SSA has quite complex citizenship requirements to receive payments. For example, those who are citizens of certain countries, such as Canada, France or the United Kingdom, can receive American retirement benefits without complications (if they are eligible). For citizens of Argentina, Iceland and the Philippines, additional conditions apply if you are receiving support as a dependent or breadwinner.

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Other countries provide different conditions for receiving an American pension. For example, getting 40 Social Security credits or living in the US for at least 10 years. Among these countries are China, India and South Africa.

Finally, some countries have a US social security program. And SSA will continue to pay US Social Security benefits if you are a resident of one of these countries. Following countries excluded from this agreement: Austria, Belgium, Denmark, Germany, Sweden and Switzerland.