Countries › Panama › Guide › 8. Immigration › Retiring to Panama: the pensionado residence with a B/.1,000 lifetime pension, the rentista retirado with Banco Nacional deposits, and the Ley 9 de 1987 import benefits

Retiring to Panama: the pensionado residence with a B/.1,000 lifetime pension, the rentista retirado with Banco Nacional deposits, and the Ley 9 de 1987 import benefits

Last verified: 2026-10-29 · Status: Stable

A foreigner with a lifetime pension of at least B/.1,000 a month from a foreign government, international organization or private company can obtain indefinite permanent residence as a pensionado, adding B/.250 a month per dependent; spouses may combine pensions. A rentista retirado instead lives on at least B/.850 a month of interest from a five year time deposit at Banco Nacional de Panamá or Caja de Ahorros. Ley 9 de 1987 granted these retirees duty free imports of household goods and a car, but bars them from working except in limited cases.

Panama's currency, the balboa (B/.), is at par with the US dollar, which circulates as legal tender; the Superintendencia de Bancos states that the balboa's value is on a par with the US dollar (checked 29 October 2026). USD figures therefore equal the balboa figures.

Key facts

Pensionado: minimum lifetime pension	1000 PAB per monthDecreto Ejecutivo 320 de 2008 art. 200, as of 2026-10-29 · in force
Pensionado: additional income per dependent	250 PAB per monthDecreto Ejecutivo 320 de 2008 art. 201 (Decreto Ejecutivo 26 de 2009), as of 2026-10-29 · in force
Rentista retirado: minimum monthly interest income	850 PAB per monthDecreto Ejecutivo 320 de 2008 art. 196 (Decreto Ejecutivo 26 de 2009), as of 2026-10-29 · in force
Rentista retirado: minimum deposit term	5 yearsDecreto Ejecutivo 320 de 2008 art. 196 (Decreto Ejecutivo 26 de 2009), as of 2026-10-29 · in force
Duty free household goods import (one time, as enacted)	10000 PABLey 9 de 1987 art. 2 num. 1, as of 2026-10-29 · in force
Exchange rate used for USD conversions	1 PAB per USDBalboa at par with the US dollar (Superintendencia de Bancos), as of 2026-10-29 · in force

The rule

1. Pensioners and retirees receiving a pension from a foreign government, international organization or private company who settle in Panama with enough means may apply; the monthly pension may not be lower than B/.1,000 and must be granted for life.
Example: Pension of B/.1,000 a month. / US$1,000 a month.Decreto Ejecutivo 320 de 8 de agosto de 2008, art. 200, 2008-08-08 official text · verified 2026-10-29

2. Besides the common requirements of Decreto Ley 3 art. 28 except its fee and deposit numeral, the applicant files a certification of a lifetime pension of at least B/.1,000 a month, additional solvency of B/.250 a month per dependent (an additional pension or a local bank reference), a property certificate if relevant, and for private pensions a letter from the foreign pension, trust, fund, insurance or bank administrator, proof of the payer's existence and a payment receipt or bank statement. Spouses may add their pensions together to reach the minimum.
Example: Couple with one dependent child: B/.1,000 + B/.250 = B/.1,250 of monthly pension income, which may combine both spouses' pensions. / US$1,250 a month.Decreto Ejecutivo 320 de 2008 art. 201 as worded by Decreto Ejecutivo 26 de 2 de marzo de 2009 art. 53, art. 201, 2009-03-02 official text · verified 2026-10-29

3. The pensioner permanent residence is granted indefinitely, without need of renewal.Decreto Ejecutivo 320 de 2008 art. 203 as worded by Decreto Ejecutivo 26 de 2009 art. 54, art. 203, 2009-03-02 official text · verified 2026-10-29

4. Rentista retirado: a foreigner who earns a monthly income of at least B/.850 coming exclusively from interest on a time deposit at Banco Nacional de Panamá or Caja de Ahorros, free of liens, for at least five years. Withdrawing the deposit at any time after the first five years, or breaching Ley 9 de 1987, causes loss of the incentives. The permit lasts five years and may be extended for equal periods.
Example: B/.850 a month means B/.10,200 a year of interest; the deposit needed depends on the rate the bank actually pays. / US$10,200 a year of interest.Decreto Ejecutivo 320 de 2008 arts. 196 and 199 as worded by Decreto Ejecutivo 26 de 2009 arts. 51 and 52, arts. 196 and 199, 2009-03-02 official text · verified 2026-10-29

5. As enacted, Ley 9 de 1987 gives these retirees a one time duty free import of household and personal goods up to B/.10,000, duty free import of a car for personal or family use every two years, and exemption from migration deposits and charges for the pensioner visa; goods imported duty free cannot be sold, leased or pledged without paying the taxes (household goods are free after three years).Ley 9 de 24 de junio de 1987, arts. 1, 2 and 3, 1987-06-24 official text · verified 2026-10-29

6. Pensioners and rentistas may invest in Panama but may not work, except when providing specialized services not offered by Panamanians to the government, when they have invested representative sums in a private company with labor ministry authorization, or as directors of companies in which they hold investments.Ley 9 de 1987, art. 6, 1987-06-24 official text · verified 2026-10-29

Route	Income test	Term
Pensionado	Lifetime pension of at least B/.1,000 a month plus B/.250 per dependent	Indefinite
Rentista retirado	At least B/.850 a month of interest from a 5 year deposit at Banco Nacional or Caja de Ahorros	5 years, renewable

Retiree routes, Decreto Ejecutivo 320 de 2008 as worded by Decreto Ejecutivo 26 de 2009

Worked example

A retired couple with pensions of US$700 and US$450 a month combine them (US$1,150, B/.1,150) to pass the B/.1,000 test for the main applicant.
A retiree without a pension places funds in a five year deposit at Banco Nacional de Panamá whose interest pays at least B/.850 a month, and applies as rentista retirado.

Step by step

Obtain a certification of the lifetime pension, apostilled and translated, and recent payment proof.
For private pensions, add the administrator's letter and proof of the payer's existence.
File through a Panamanian lawyer with art. 28 documents, police record and health certificate.
Once approved, ask the customs and tax authorities about the import benefits before shipping household goods or a car.

Common traps

The pension must be for life; a fixed term annuity or investment income does not meet the pensionado test.
The rentista deposit must be at Banco Nacional de Panamá or Caja de Ahorros, not a private bank, and early withdrawal ends the benefits.
Retirees may not take ordinary employment; consulting for local clients without authorization is work.
The Ley 9 import benefits are described as enacted in 1987; confirm their current scope with customs before relying on them.

Sources

← Other investor residences in Panama: own economic solvency (B/.300,000 in property or deposits) and the macro enterprise investor (B/.160,000 plus five Panamanian employees)Panama's remote worker visa: B/.36,000 of foreign income, nine months renewable once, B/.250 fee and no local work →

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