Wednesday, September 10, 2014

Baby Steps Forward

Panama is a relatively easy place to get a visa, at least for people from Canada, United States, or other countries they consider Friendly Nations. There are several different passport options, including the tourist visa; various investor/business visas, which each have unique requirements including how much you need to put in a bank account; and a retirement visa, aka the Pensionado Program, which I have read is one of the world's best retirement plans.

What is an expat? It is a shortened term for expatriate and is the term used for somebody who resides outside of their native country for any given amount of time. When we move to Panama, we will be part of the expat community, along with others around the world. What is the difference between a migrant worker/immigrant and an expat? After "heavily researching" on Wikipedia (perhaps the Oxford Dictionary have been a more credible source), the difference between an expat and migrant worker is a skilled/professional laborer versus manual laborer. In essence, it is all about perspective. I might consider myself an expat when I move to Panama, but Panamanians may see me as an immigrant or migrant worker. It is an interesting concept. Immigration reform is such a hot topic in the United States. If Immigration reform were a hot topic in Panama, this topic would directly affect us; because yes, at the end of the day, we will be immigrants of Panama.



As a whole, you can have a varied amount of options of what your goals are for living in Panama. We have spoken to people who live in Panama and have visitors visas. We have heard that many people will drive up to Costa Rica and turn back around, so they can re-stamp their passport and stay legal for the amount of given time allotted: up to 90 days.

Another visa option, which is apparently very new is called the Executive Decree 343 for Work/Business visa. This visa requires that you are able to put $5,000 in a bank account, plus $2,000 more for each dependent. You also have to show proof that you have real estate, an employment letter/contract from a business for work, or proof of ownership of a corporation that is licensed in Panama.

The next option for one wishing to get a visa in Panama is the Forestry Investor visa. This visa in essence, is to help with teak (a type of hardwood) growth. You can apply for as a large or small investor, which either requires an $80,000 or $60,000 investment. The large investment, from my understanding can eventually allow you to gain citizenship after 5 years of residency, whereas the small investor does not.

There is a Self Economic Solvency Visa, which requires you to invest at least $300,000 into a CD at a Panamanian bank, into real estate in Panama, or a combination of the two. If you maintain this investment for three years, you are eligible for permanent residency.

The last visa is the Pensionado Plan, which I have read is one of the best and most appealing retirement plans in the world. In order to qualify, you must prove you have a pension of $1,000 per month. Those who wish to obtain this visa do not have to purchase real-estate. Benefits include discounts on many things, including but not limited to hotels, health care, airline tickets, and energy bills.



There are two common currencies in Panama: the Balboa and the US Dollar. While people have Balboas and Panamanian money, you can easily pay for something with a US Dollar and will not have to convert anything. If a coconut costs one Balboa, you can give the vendor $1 USD. Sometimes you will get USD as change, other times you will get Balboas, or a combination of both. They covert 1:1.

We recently got our finger prints done and are now in the process of sending them to get checked by the FBI. I am not exactly how strict the Panamanian government is with your criminal history, such as whether you can have a drunk driving charge and how long it has to be since that charge was on your record. Luckily for us, there should not be anything to worry about. Once we submit our payments and fingerprints to the FBI, we should hear back from them within about 30 days.

Once we hear back from the FBI, we will proceed with the next steps of the visa process. Some of the process depends on us. We will have to be available for at least 11 working days in Panama as part of the process. Once this is complete, we will have a better idea on when we will actually move down. We will provide more in depth details as we get closer and become more familiar with the actual steps.

~Natalie

Disclaimer: these pictures were found off the internet and not ours.


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