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RETIREMENT

Why France might just be the best country in the world to grow old in

French people are living longer than those in most other countries in the world and here's why they should be grateful for the fact they are growing old in France.

Published: 24 February 2017 15:18 CET
Why France might just be the best country in the world to grow old in
Photo: Beaunola/Flickr

A new study confirmed that life expectancy levels in France are some of the highest in the world and they are increasing year on year. The average age for women will soon be nearly 90.

But is it any surprise?

France has long been considered a top spot for spending your later years and as we all know, it's popular with Britons leaving the world of work at home to start a new life in the slower lane in France to make the most of the improved quality of life.

Here are some of the reasons why if you're going to live to a ripe old age, then you're better off doing it in France.

All round quality of life

This applies to everyone living in France but is perhaps even more important for those reaching the age of wisdom.

France regularly scores highly in quality of life surveys. Last year an HSBC survey ranked the country 4th out of 45 for quality of life, well ahead of the US in 26th position and the UK in 30th.

But quality of life encompasses many things so let's get more specific.

Top quality and affordable healthcare

Good healthcare is a big factor for many reaching retirement, and France’s system puts minds at ease.

The Gallic system is one of the best for expatriated retirees, grabbing 88 out of 100 points on the 2017 edition of International Living magazine's Annual Global Retirement Index.

And you get good bang for your buck too, with four out of six expats in the InterNations global expat study finding the price of healthcare to be very affordable. 

Great financial security and benefits

Money isn’t everything, but for a good quality of life after retirement, it helps not to have to worry about your finances.

France ranks very highly for income security among retirees, coming third in the UN’s Global AgeWatch Index, which examined the quality of life of the elderly in 91 countries.

At 3.4 percent, it has one of the lowest poverty rates among elderly people and has 100 percent pension coverage.

Real estate is affordable

As you get older, many people look to quit the renting world and set up shop in their own home, and France is a good place to start looking for one. Though obviously Paris is a different matter.

The typical French person only spends 18.3 percent of their income on housing, and pays off their mortgage in 19 years, according to a 2016 report by mortgage specialists Credit Fonciere.

Easy access to European countries

This one is obviously geared towards expat retirees. Sharing its border with eight different countries, and just a Eurostar away from the UK, France is an easy destination for your progeny back home to come and visit, and for you to explore all Europe has to offer in your retirement.

The excellent TGV high speed service, which offers discounts of up to 50 percent off to elderly passengers, means you don't need to rely on driving to get around the country.

The great outdoors and mild climate
 
France boasts beaches, hills and plenty of beautiful countryside for strolling through nature. Warm climate in the south means the options for outdoor activities for retirees are more varied too. 
 
On sunny days you’ll often see groups of older French people enjoying a game of petanque together or sitting on terraces – both great ways for keeping up an active social life into your later years.
 
And as for the sun, well depending on where you live in France of course, but most of France is spared harsh winters and swathes of the country enjoys long days of sunshine in the summer.
 
 
 

Photo: monkeybusiness/Depositphotos

Low cost of living

You might think that the country responsible for Chanel and the Michelin star dining standards would be full of loaded residents, but the average Francois or Marie earns around €28,000 a year– only slightly above the average for the 20 OECD countries.

And in a Numbeo cost of living index, France ranked as more expensive than the UK and Canada, but less expensive than the US or Australia.

So all in all, those on more modest pensions can still enjoy a decent quality of life in France. 

Good work-life balance

And if you’re still on the payroll when you’re in France, your working life should be arranged to allow you, if not a stress-free, but stress-reduced life before retirement. 

You can retire at 62, and the 35-hour week, although it doesn't apply to everyone means you won’t be worked off your feet at a time when you might be wanting to take you career at a slower pace.

Frequent holidays mean more time visiting family, or kicking back and enjoying the lifestyle.

Feeling safe

And lastly, you just feel safe here. According to the Global Age Watch Index about 62 percent of elderly French people feel safe walking alone at night in their neighborhood or town.

By Rose Trigg

For members

COST OF LIVING

EXPLAINED: How Americans can retire in Switzerland

A tranquil, peaceful and safe country, Switzerland's appeal is undeniable. Here's how Americans can retire in Switzerland.

Published: 18 October 2021 16:00 CEST
Updated: 11 January 2022 14:54 CET
Two people hold up their American passports in a European town square
While it is not easy for Americans to retire in Switzerland, it is fortunately not impossible. Here's what you need to know. Photo by Spencer Davis from Pexels

With clean streets, tranquil vibes and low crime rates, Switzerland is a perfect place to retire. 

People from across the world have flocked to Switzerland to spend their later years, with American singer Tina Turner, Canadian singer Shania Twain, British musician Phil Collins and Swedish businessman Ingvar Kamprad – of IKEA fame – among the many who have all chosen to spend their twilight years in the alpine nation. 

For Americans – or indeed anyone – looking to retire in Switzerland, the good news is you don’t need to be world famous in order to do so. 

You will however need to jump through a few hoops. 

The rules for retiring differ on the basis of whether you are from an EU/EFTA state or not, with the US, UK, Australia, India and Israel being some of the many examples of ‘third countries’. 

If you are not American, click the following link for information on how to retire in Switzerland. 

READ MORE: Everything you need to know about retiring in Switzerland

Here’s what you need to know. 

How can Americans retire in Switzerland

There are two broad categories of Americans wanting to retire in Switzerland: those who already live here with valid working permits – and those who still live in the United States. 

If you worked or are working in Switzerland on a valid residence permit, retirement is unlikely to be difficult at all. 

Switzerland has a retirement age of 65 for men and for women. The retirement age for women was raised from 64 to 65 in June 2021. 

If you fit into this category, then please check our our extensive guide on pensions in Switzerland. 

EXPLAINED: How does the Swiss pension system work – and how much will I receive?

But if you currently do not live in Switzerland/have a Swiss residence permit and would like to retire here, this is still possible. 

How can non-residents including Americans retire in Switzerland? 

In order to be granted a visa to retire in Switzerland, you need to have: 

  • Adequate financial resources and proof you will not look for work in Switzerland;
  • A close connection with Switzerland;
  • You must have Swiss health and accident coverage.

These points are dealt with individually below. 

How does the process work?

If you come from outside the EU / EFTA, you must apply for a visa with a Swiss diplomatic/consular mission in your country of residence, i.e. in the United States. 

First, they will check that you don’t have any criminal records.

You must be 55 years of age or older to move to Switzerland from abroad in order to retire. The Swiss retirement age is 65. 

You will need to demonstrate a close link to Switzerland.

This can be past residency, family ties or even frequent holidays in Switzerland can suffice as evidence of a close connection. 

Real estate can be a factor, although keep in mind that owning property in Switzerland is no guarantee of a close connection. 

Reader question: Does owning a second home in Switzerland give me the right to live there?

Also, in order to be considered, you must prove that you have enough financial resources to live in Switzerland without having to work or claim welfare benefits.

You do not have to transfer the bulk of your financial interests to Switzerland, although this is likely to help illustrate that you have enough financial resources to move there. 

You can transfer your pension to Switzerland provided there’s a bilateral arrangement with your country of origin. More information is available here. 

READ MORE: How to get a visa to retire in Switzerland

The eventual decision is made by cantonal authorities and is often highly discretionary.

Tina Turner, who has lived in Château Algonquin in Küsnacht, Zurich, since 1994, is perhaps the most prominent American who has retired in Switzerland. 

While speaking a Swiss language is a pre-requisite of citizenship, as with plenty of other things, the authorities appear willing to make exceptions when the price is right or when you’re the honorary mayor of Nutbush City.

Turner gave up her American citizenship in 2013 and became a Swiss citizen, despite not speaking German, French or Italian.

Which brings us to…

Money helps grease the wheels

A little-known article of the Swiss law — Article 30 of the Federal Aliens Act — allows wealthy foreigners from outside Europe to move to Switzerland.

Cantons can issue residence permits B to these people, if local authorities deem that there is a “significant fiscal interest” in such a move.

Golden visas: Everything you need to know about ‘buying’ Swiss residency

What exactly does “significant fiscal interest mean?” 

This term is defined by each canton.

For instance, the lowest annual tax rate for a non-EU foreigner is 287,882 francs in Valais, 312,522 francs in Geneva, and 415,000 Vaud. 

Every year, around 40 to 50 people ‘buy’ their way into Switzerland this way, as reported by TagesAnzeiger, which used the numbers published by the State Secretariat for Migration (SEM).

How much should you save for a ‘comfortable’ retirement in Switzerland?

To maintain the usual standard of living during retirement, residents of Switzerland need more savings nowadays than four years ago, according to an analysis by UBS bank, which compared the pension systems of 24 countries.

In 2017, the last time UBS conducted a similar study, that number was 11 percent.

The new UBS International Pension Gap Index found that “the Swiss pension system still enjoys a high reputation. However, contrary to other countries, it is more difficult to push through urgently needed reforms to ensure this reputation will last”.

Click the following link for more information

READ MORE: How much should you save to retire in Switzerland?

Please note: As with all of our explainers, they are intended as a guide only and do not constitute legal or financial advice. Please discuss any financial decisions with a certified expert in the field. 

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