When it comes to retirement, location is everything. And for the world’s billionaires, that couldn’t be more true. From private islands to luxurious ski chalets, the planet’s richest people spare no expense when it comes to finding the perfect place to spend their golden years. Here are five countries where billionaires retire.
Monaco
This tiny European country is a playground for the rich and famous, and it’s also one of the most popular places for billionaires to retire. Monaco boasts a mild Mediterranean climate, stunning scenery, and a relaxed tax regime.
Aside from the world-famous casinos and hotels, Monaco is a popular destination for the rich and idle looking for a place to call home because it doesn’t collect personal income tax or capital gains taxes. There are also no property taxes in Monaco, so its real estate companies enjoy a constant stream of foreign expatriates cheerfully coming in to spend their retirement in style. Rental properties are taxed at 1%. Monaco also eliminated taxes on dividends paid by local companies and does not charge a general corporate income tax.
These generous tax policies have made Monaco a popular retirement destination, and with its sophisticated nightlife and casinos, there’s plenty to keep retirees entertained. Notable residents include top tennis player Novac Djokovic, Formula One driver Lewis Hamilton, and actor Grace Kelly.
Switzerland
Switzerland is another popular destination for wealthy retirees, thanks to its stunning Alpine landscape and world-class skiing. It’s also home to numerous luxury brands like Cartier, Gucci, and Patek Philippe, and some of the world’s most exclusive hotels like the Buergenstock Hotel and the Dolder Grand.
Switzerland’s tax policies are also very attractive to the wealthy, as it has a low corporate tax rate and a system of cantonal taxes that can be lower than in other countries. There is no wealth or estate tax in Switzerland, and retirees can take advantage of special pension schemes that allow them to shelter.
What’s more, Switzerland has a reputation for being a safe haven for investors, which makes it an attractive option for those looking to protect their wealth. Billionaires who have made their home in Switzerland include another Formula One driver, Michael Schumacher (they do like their tax havens), James Blunt, and Microsoft co-founder Paul Allen.
Austria
Like Switzerland, Austria is another Alpine country that offers retirees beautiful scenery and world-class skiing. But what sets Austria apart is its vibrant cultural scene. From Vienna’s famous Opera House to Salzburg’s Music Festival, there’s always something going on in this picturesque country for the rich and famous who are also patrons of the arts.
Austria has a progressive income tax system, with rates starting at 25% and going up to 50% for high earners. However, there are a number of deductions and allowances that can be claimed, which makes the effective rate lower. There is also no wealth or estate tax in Austria, not does it have inheritance, estate, and gift taxes. This makes it extremely attractive for those who want to preserve generational wealth.
Notable residents include Red Bull founder Dietrich Mateschitz and businessman Heinrich von Pierer.
Brazil
For those who want to spend their golden years somewhere sunny, Brazil is another top retirement destination for billionaires, thanks to its tropical climate and beautiful coastline. The country is also home to a number of luxury resorts like the Royal Tulip Brasília Alvorada and the Belmond Copacobana Palace, making it the perfect place to relax and enjoy life.
Brazil’s tax system is one of the most complicated in the world, but for those who can navigate it, there are a number of benefits. For instance, there is no capital gains tax on the sale of shares or real estate, and retirees can take advantage of a number of deductions. The exchange rate also favors those who are looking to retire here, as the Brazilian real is currently around 20% of the US dollar.
Notable residents include energy magnate Eike Batista and construction tycoon Jorge Paulo Lemann.
Italy
Italy is renowned for its food, wine, art, fashion, and stunning scenery. It’s no wonder then that it’s such a popular choice for retirees. From classic cities like Rome and Florence to idyllic coastal towns like Capri and picturesque countryside regions like Tuscany, there’s something for everyone in this beautiful country.
Although some cities in Italy such as Milan have a reputation for being one of the most expensive cities in the world, the Old World allure and Mediterranean lifestyle make it worth the price tag. Notable residents include Fiat heir Lapo Elkann and fashion designer Valentino Garavani .
These are just five of the countries where billionaires choose to retire. So if you’re looking for a luxurious retirement destination, any one of these would be an excellent choice!
