When preparing for retirement, you may dream of enjoying the best years of your life in the best tropical destinations on Earth. As long as you’ve been busy saving to build your financial “nest egg,” that dream of a tropical paradise retirement may be much closer than you’ve assumed.
Below, we’ll take a closer look at some wonderful Caribbean countries and territories that offer prime conditions and fantastic amenities for your ultimate tropical paradise. From calm and idyllic beaches to exhilarating exotic adventures, these destinations might have everything you need to make your retirement dreams come true.
1. Antigua and Barbuda
As one of the most affluent Caribbean nations, Antigua and Barbuda has plenty of creature comforts and amenities, including an overall high standard of living, solid healthcare infrastructure, comfortable expat-heavy communities, and easy access (via airplane) to and from the U.S. This country also presents the rare opportunity to obtain special tax benefits and dual citizenship.
2. Puerto Rico (U.S.)
In many ways, Puerto Rico offers the best of both worlds: a unique local culture full of amazing communities, art, and cuisine, plus a location where U.S. citizens and permanent residents don’t need to jump through hoops to obtain legal residency. Puerto Rico offers ample tax benefits for residents. And for LGBTQ+ retirees seeking a safe and accepting new home, Puerto Rico is one of the most queer-friendly Caribbean destinations.
3. Cayman Islands (U.K.)
Let’s get this out of the way here and now: The Cayman Islands is anything but cheap. But if you can handle higher real estate and living costs, this British Overseas Territory has it all, including a pleasant tropical climate, beautiful Caribbean beaches, low taxes, stable government, a strong economy, and a growing suite of amenities catering to seniors.
4. Dominica
Not to be confused with the Dominican Republic, the separate nation of Dominica in the Eastern Caribbean tends to be one of the region’s safest and most stable places to settle down and grow new roots. This island offers everything from spectacular natural scenery—including rainforests, waterfalls, hot springs, and pristine beaches—to reasonable living costs and affordable housing options.
5. Aruba (Netherlands)
Nestled near the Caribbean coast of mainland South America, Aruba is the island paradise that wows visitors with its lovely beaches and luxury resorts. If you choose to retire in Aruba, you can take more time to discover the island’s hidden gems, such as the natural wonders of Arikok National Park and the cool offerings in the main city of Oranjestad. It’s also one of the more affordable Caribbean islands to live in and has some of the region’s lowest crime rates.
6. Turks and Caicos Islands (U.K.)
Turks and Caicos is another British Overseas Territory that offers many perks, including some of the world’s most beautiful beaches, upscale residential communities perfectly suited for retirees, and tax-free living. Like the Cayman Islands, Turks and Caicos homes tend to be expensive, but you will get a lot in return if you can afford the premium.
7. U.S. Virgin Islands
If you’re a U.S. citizen who wants all the benefits of Caribbean living without the hassles of establishing long-term residency on foreign soil, then the U.S. Virgin Islands may be ideal. While you get easy access to the gorgeous beaches of Virgin Islands National Park (on the island of St. John), you also get to stay in U.S. territory.
Though the cost of living is a bit higher than the U.S. average, you will enjoy a 100% property tax exemption and a 90% reduction in personal income tax.
8. The Bahamas
When they say, “It’s better in the Bahamas,” Bahamians really mean it, especially if you’re looking to retire here. Due to the high cost of living and pricey real estate, you will likely need a large nest egg to find your own Bahamian paradise. But if you can afford it, you will find a variety of luxury residential communities, ample outdoor recreational opportunities, decent healthcare options, and no personal income or capital gains tax.
9. Jamaica
Jamaica is hard to beat when it comes to natural scenery and rich local culture. Over the years, Jamaica has also drawn a growing community of expats seeking the ultimate chill retirement. It helps that affordable housing options are available, the cost of living tends to be more reasonable, and there’s never a shortage of things to do around the island.
10. Barbados
Barbados is another Caribbean country that offers a treasure trove of beautiful beaches, magnificent coral reefs, and the UNESCO World Heritage Site of Bridgetown. It also has a more diverse real estate market full of housing options for luxury buyers and bargain hunters and offers a fairly easy process for retirees to obtain permanent residency.
11. Grenada
Long considered the “Spice Isle,” Grenada knows how to keep things spicy with its gorgeous beaches, the wondrous city of St. George’s, and its famed local rum. Grenada is also easy on American and Canadian retirees: English is its official language, affordable housing is available, and the cost of living is relatively low.
12. St. Lucia
St. Lucia may have a reputation as a popular honeymoon destination, but retirees have good reasons to keep the romantic vibes going year-round on this lovely island. It’s definitely a great Caribbean island to maintain an active lifestyle, with ample opportunities for swimming, diving, sailing, and more. It’s also one of the more affordable Caribbean islands, so you can potentially live large without blowing huge holes in your budget.
13. The Dominican Republic
With a stable democratic government, a strong local economy, reasonable housing and living costs, a huge supply of great beaches, and a wonderful local culture, the Dominican Republic might check all your boxes if you’re aiming for a prime Caribbean retirement. Even better, the Dominican Republic has many direct flights to and from U.S. and Canadian cities for easy travel.
14. Curaçao (Netherlands)
If you want the convenience of living in Aruba and the natural beauty of Bonaire, then Curaçao may be your “Goldilocks” ABC Island. It’s less developed than Aruba, so losing yourself in Mother Nature is easier. At the same time, this island has more mature infrastructure, a good array of housing options, and a reasonable cost of living.
15. Belize
Offering everything from a warm climate and incredible natural beauty to a warm, welcoming culture and ample healthcare services, Belize is a great choice for U.S. and Canadian retirees seeking an affordable yet exciting new home. And since English is one of the country’s official languages, it’s easy to get acclimated to your new home.