Cost of Living in Panama

With inflation going up in America (and maybe world-wide, but I’m not an economist), I thought it was important to share the ACTUAL cost of things in Panama. Garrett and I have talked about this several times since arriving, but the information online and available through the relocation tours really sets people up for failure when they arrive. Gone are the days of $2 meals (unless you know where to look) and $5 dental appointments. It is, however, still muuuuuuch cheaper than the United States. For most things. It’s also important to note that the prices vary greatly based on where you are. We’ve positioned ourselves in one of the larger “expat bubbles” which does make the cost higher than if we were in a more locals-only area. The reason why we have chosen this area is the convenience. It’s incredibly nice to have 4 grocery stores close by, and a McDonalds for nights that I don’t want to cook, I like having restaurants and coffee shops. The doctors and dentists also speak English (mas o menos). 

Rent

Let’s talk about rent costs first. Just like everything here, there is a large range of rental prices. My dad told me that I would be living on a dirt floor in a grass hut when I moved here, but I am happy to report that I do not, and neither does anyone I’ve met. It is also very important to note that Panama is a developing country, so that does exist, as do bars on windows and chicken wire around gates. My mom was very worried when she first arrived and saw this, but this is very normal in areas that are still developing. Petty crime happens here and those are good ways of deterring people without the best intentions. For a high-rise condo on the beach, you can plan to budget a minimum of $1200 a month for a 1-2 bedroom and they can go up from there (when I say go up from there I mean can be a few thousand a month.) These generally have nice amenities like a gym, pools, security, maybe even bars and restaurants on the premises. The house that we rented here was $1100 a month. It was a 4 bed 3 bath with a swimming pool, not right on the beach (about a 10 minute walk). I have seen casitas listed in the area (small studio or 1 bedroom small house) for $600 a month, and those will usually be furnished, but not much more in terms of amenities. Our current beachside condo costs $1300 a month. It is a 4 bed, 4 bath. It includes a pool and social area, and parking.

Food

Food! Aw food, my favorite subject! My budget for groceries here for a family of 4 is $80 a week. Some people here may think that’s too high and others might wonder how it’s so low, it just depends on lifestyle and diet. Imported goods are expensive, a can of Campbell’s Tomato Soup that I just bought was $2-ish (I need to get better at looking at price tags) but that taste of home on a few rainy dreary days was needed. 

-I can find a mini-loaf of Tillamook cheese (if you aren’t familiar with Tillamook, what are you doing with your life?) is $7-ish dollars. In the states you can get a 2lb loaf for $12.24. A mini loaf is half that, so it tracks (kinda) but is more expensive here. 

-A gallon of  refrigerated milk here is $6.98, in the States its $3.12. 

-Fruits and veggies here are fresh and cheap. I stop at my favorite fruit stand in Coronado and get a $1 pineapple (which is literally the best pineapple of my life), a $3-5 watermelon (depending on size) and a free Spanish lesson for the day. We have a trade set up with our gardener, he gets our papaya (because I think they taste like feet) for some of his mangos (again, best mangos in my life.) 

-We get a whole chicken for $4-5, depending on size (when I say whole I mean head and feetsies still attached). En Estados Unidos es $7-9. 

-Beef here is very tough and has to be stewed all day, but it’s $3.50ish/ lb of steak. Once you figure it out though, its still good. 

-Beer is .55 a can for the local beer, literally cheaper than water. 

One thing I find so interesting here is that it is very hit and miss what a store will be carrying that week. Sometimes there is no lettuce for that week. Once passion fruit season is over, they are gone, and if you see a canned imported item you might need later: get it while they have it. 

Medical, Dental, and Vision

One thing I am fascinated with in every country we go to is how their medical system works. Mostly fascinated by this because the privatized healthcare in America is the most insane crock of shit I’ve heard of. $5k for skin to skin with my baby… nah. We have been so lucky to never have to figure out the healthcare system while traveling, but living here it is required. I love a dentist appointment to get my teeth cleaned, and my eyes are getting bad in my 30s, so *shrug* it was time. We all got our teeth cleaned at the dentist here who speaks English and studied in Canada. The appointment was $30 per adult (we got a special price because of a promo for Valentine’s day? I guess it is normally $50) the girls were $20. I unfortunately had a cavity, so I got to experience that. The cavity filled was $50. They do not use anesthetic for cavities here, so I told my dentist next time I will take a Xanax before I go. He told me that tequila will work better. But it was quick and painless. He doesn’t use a hygienist to clean, he does everything. 

My only complaint was his hands are very large, and my mouth is fairly tiny. He said to me after my cleaning “You have beautiful teeth but your mouth is difficult to work in.” Yes sir, that seems accurate. 

As mentioned above, my eyes are going. 20/20 my whole life then I turned 35 and that stopped. My eye exam, lenses, and frames came to $110. Garrett got a physical and full bloodwork for $70. He also got something called a blood tumor on his finger (which is when your body experiences trauma and just never heals in that spot). So, he had to go to the hospital and get X-rays. The hospital and X-rays were $50 then he had to get it removed at a dermatologist and have a pathology done, that was $113. They did use anesthesia for that, but did not wait until it kicked in before cutting it off. The medical and dental is great here, but not for the faint of heart. You are not babied here. 

There are also a large differences in hospitals here, there are government hospitals for everyone, these are usually the cheapest. Then there are private hospitals for anyone to go to, these cost a little more than the public ones. Lastly there are private that require a subscription with that company to receive care from (like Kaiser in California). There are also medical insurance plans you can purchase here and are probably good to have, but we have not purchased those yet. The prices I quoted are for the private that anyone can go to.

Utilities

Once you decide to settle into a new place, figuring out the normal utilities can seem like a mountain to climb. This is again why I love Coronado, there are heaps of expats who have figured it out and will point you in the right direction. Things like water, trash, internet, cellphones, electric, and gas. Cell service was the easiest thing to get set up, we walked into the cellular store. Which, by the way, did not sell cell phones. Only service. I loved that because there was no hassle, they gave me a sim card and I gave them a credit card to pull monthly payments from. Our cell service is $30/ month unlimited data. I don’t know if it has minutes or message limits because WhatsApp is king here, and that’s data based. 

-Internet service is 400mb down for $57 a month. 

-As far as water goes, I’m unsure how that works, we’ve never seen a bill. And they seem to be unsure, too, because sometimes it does work and sometimes it doesn’t. It’s Panama! 

-Gas is easy and straight forward, if you have a gas stove and gas water heater you pick it up at the corner store in a tank and hook it up to your house. Once you have the tank to get it refilled is $5. 

-Electricity is spendy! It’s tiered based on usage, so higher users pay a premium. The air conditioners are all wall mount units and coming from Idaho, it’s tempting to want to run them all day everyday. Please don’t. I’m a serious stickler on the AC because it’s so expensive. I will allow the family to run them at night to sleep only, doing this is about $315 a month. That’s 3 ACs for 8 hours a day. As we acclimate, we use it less and less, I prefer not to sleep with it on because the fan works great and I get too cold. Everyone in the house thinks I’m insane, because night time temps are 82 degrees. 

-Trash was easy to set up, there are not traditional addresses though, so I had to go in and point on a map where the house is, so they could tell the drivers to now pick up the trash there, it’s $12/ month. 

Insurance

Car insurance is insanely inexpensive, I have to imagine if I ever need to use it I will be better off to not. This is because the language barrier to process a claim seems overwhelming and based on what I pay it seems like they will either fight the claim or deny it altogether. My car is a 2010 Toyota Fortuner, which they don’t have in the states. It’s a 3-row SUV about the width of a Honda Accord, and thank goodness. The roads here are tight so it’s critical to have a skinny car. I truly hope that I never have to find out. I have the basic coverage and paid the entire year upfront. It cost me a whopping $180. Garrett has a much newer car, the Jimny. See previous posts if you are curious. Since his is newer and nicer, we opted for full coverage. His costs $460 a year. 

Extras

Lastly, it’s important to note a few extras to budget for. The grocery baggers aren’t paid by the stores, the live off tips. I tip $1 regardless of how much or little groceries I get. I hope this just balances out in the long run. If you have someone pump your gas, instead of pumping it yourself then tip the guy $1. In restaurants, tipping is good. I usually do 15% of the bill, I think you are supposed to do 10% or less, but they really appreciate it. If it’s excellent service and they helped me with my Spanish or tried to understand me and laugh about the mispronouncing, then I will leave 20%. 

I will leave you with my favorite way to judge cost of living: McDonalds. En Panama, there is what is called the Caja Grande (our favorite). It is 4 fries and 4 entrees, you can get drinks or desserts, but we stick with the basics. Our order is 2 double cheeseburger meals and 2 ten piece nuggets (dos hamberguesa con queso y dos mcnuggets con salsa agridulce, if you will). This costs $15.99. I don’t know what that can cost in the states, but for us it feels like a good deal for a special treat.