Thailand: excellent hospitals and an unbeatable cost of living

The Thai private hospital sector is of a good regional standard and attracts well-documented medical tourism. Waiting times are short, equipment is recent, and English is widely spoken.

This is a real argument for a retiree, and it sets Thailand apart from several Southeast Asian destinations where major procedures require evacuation to Singapore or, precisely, Bangkok.

The caveat concerns cost. Prices in this sector are rising rapidly, and health insurance becomes expensive, then difficult to take out, with age and medical history.

This item must therefore be costed over the duration of the plan, not over the first year. For a retirement move, whose horizon often exceeds twenty years, the difference between the two is considerable.

We do not publish ranges of hospital fees or insurance premiums: they depend on age, cover and medical history, and we have not found an official source that would allow us to give figures without being misleading.

The cost gap with Europe is significant for local food, services, labour and transport. Imported goods, alcohol and cars, on the other hand, are heavily taxed.

Here the caveat concerns the exchange rate. The purchasing power of a European pension is the product of local costs and the euro–baht exchange rate, and the latter varies by several tens of percent over a decade.

The baht has gone through periods of marked appreciation against European currencies, which has reduced the purchasing power of pensions received in euros accordingly.

A budget pegged to a favourable rate becomes unsustainable if the local currency appreciates. The practical rule is to check that it would remain viable if the currency appreciated significantly, rather than reasoning on today's rate.

We do not publish a typical monthly budget for Thailand: we have not found an official source measuring a basket of spending comparable to that of an expatriate.

Thailand sets a tax residency threshold of 180 days¹ of presence per year, lower than the one-hundred-and-eighty-three-day threshold used by most countries.

A retiree living there all year round is therefore a tax resident. The scale ranges from 0%² to 35%³, and corporate tax is 20%⁴.

The long-term resident visa offers a cumulative duration of 10 years⁵ and includes a category for retirees, requiring annual passive income of at least from $80,000⁶.

The visa for remote workers is valid for 5 years⁷ and allows stays of up to 180 days⁸ per entry, subject to funds of from THB 500,000⁹.

We do not publish the rule in force on the taxation of foreign-source income remitted to Thailand: the official position has changed and we have not been able to verify it in an up-to-date official source. It must be established with a local adviser before any regular transfer of funds.

• The private hospital sector is a real argument, but its cost rises sharply with age.
• The exchange rate is the first variable in a retiree's budget, ahead of taxation.
• The tax residency threshold is 180 days¹: a year-round stay exceeds it.
• A foreigner cannot own land: only condominium units are open to them as freehold.
• The France–Thailand tax treaty distinguishes between public and private pensions.

One partial hedge against exchange rate risk is worth mentioning: keeping part of your savings in euros and converting only as needed, rather than transferring capital in one go. This approach smooths the risk without eliminating it, and avoids tying up assets in a currency you have no control over.