This Latin American country was just named the best place for expats — and it could stretch your retirement savings

Indeed, Panama has earned a hat trick by ranking No. 1 for the third year in a row in InterNations’ 2026 Expat Insider survey — one of the largest expat surveys of its kind, with responses from nearly 8,000 expats representing 162 nationalities.

Panama leads the way in rankings for “personal finance” and “working abroad,” while coming in second for “ease of settling in” and “expat essentials.” Its lowest ranking is in “quality of life,” — No. 6 out of 31 expat destinations.

It’s also popular with retirees, with 18% of respondents moving there after leaving the workforce.

While the FIFA World Cup — and the viral Viking trend — is driving tourism in Norway, the Nordic country ranks last in the Expat Insider survey. From a high cost of living to loneliness, expats here are the unhappiest. Indeed, the majority of countries in the bottom 10 are European (though Spain and Portugal are still popular, ranking in the top 10).

Here’s why countries ranked the way they did, and what to consider before making a move abroad.

The top expat countries

In Panama, 90% of expats feel they have enough disposable income to lead a comfortable life. That could be why 37% of respondents have already retired here and 18% plan to.

“Settling in is nearly effortless,” according to the survey. Nine in 10 expats “praise the general friendliness of the local residents (vs. 63% globally) — only Thailand receives an even better result for this factor.”

Mexico, which ranks second overall, gets top marks for ease of settling in. For example, three in four (73%) respondents say that making local friends is easy, compared to 39% globally. And 81% feel they can live a comfortable life with their disposable household income.

While only 68% positively rate their personal safety, many expats — as in Panama — plan to stay permanently. One in three (32%) are already retired here and 38% plan to.

Rounding out the top five are Thailand, United Arab Emirates (UAE) and Brazil.

Despite being No. 3 on the list, Thailand has the best-rated cost of living. It’s easy to find housing, and it’s affordable. Plus, it ranks No. 4 for quality of medical care. That could be one reason 40% of expats are already retired here and 22% moved here specifically to retire.

But the fact that Thailand ranks No. 1 for “friendliest of local residents” could be the reason why it remains such a popular retirement spot.

The lowest expat rankings

Norway, which ranks last overall, has the worst-rated cost of living of all destinations in the survey. Expats are also struggling to settle in. Almost three-quarters (72%) say making local friends is hard — about half say their friends are other expats.

Germany, which ranks second to last, has some of the same issues. It ranks 30th for “getting used to local culture,” with 62% of expats finding it difficult to learn the German language. In Türkiye, just over half (52%) of expats cited the language barrier as a major concern before moving here.

Eight of the 10 lowest-ranked destinations are European, aside from Canada (which ranks 27th) and Türkiye (coming in at 29). Türkiye is part of both Europe and Asia.

Much like Norway, expats find it hard to live off their disposable household income in Canada, which means those countries might not be the best retirement options for those who want to stretch their nest egg.

When it comes to “ease of settling in,” Norway, Sweden, Austria, Germany, Czechia and Switzerland take the bottom six spots. In those countries, expats “struggle with unfriendly locals, few local friends and not feeling at home,” according to the survey.

What to consider before moving abroad

Several cost-of-living calculators can help you compare what you’d pay for housing, transportation, groceries and healthcare in another city or country, so you can estimate how much you’d need to maintain the same lifestyle you live at home abroad.

The U.S. Department of State can provide information on legal residency requirements, cross-border tax implications and healthcare availability. For example, you may need to meet minimum pension or savings thresholds to retire in a particular destination.