People often tries to pitch Panama as the best thing since sliced bread, and paint the country as some sort of paradise.

It’s not.

Objectively, Panama has a lot going for it. But let’s be honest here.

Panama is a bit strange, a bit soulless. Panama City itself is a concrete jungle with relatively low energy. Actually, most of Panama is low energy in contrast to countries such as Colombia, Mexico, Brazil, Argentina, etc which all have their own unique and exciting vibe.
 

So why do people go to Panama?

Because it just makes sense:

• It’s easy to get residency
• It’s easy to maintain as an active Plan B residency thanks to low physical presence requirements
• Territorial tax system which in many cases means practically no taxes for tax residents (for non-US people)
• It is relatively developed
• It is safe
• There is decent banking
• A community of interesting and high net worth expats
• Functional and well-connected airport
• Decent options for schools and healthcare
• It’s comfortable and developed

Yes, there is some level of social and political instability, but this is a given in the Latin American context. In any case. Regardless, it’s no worse than what is brewing in a lot of the Western world.

Who should get residency in Panama?

• People whose top priority is low taxation
• People who want a paper residency that lets them travel around the world and still demonstrate that they have a main base somewhere
• People who want Latin America, but a more subdued, calmer, safer and more familiar version of it
• Logical and disciplined people who just want to keep their head down, work and avoid distraction
• People who want a great, easily implementable Plan B

It’s hard to truly fall in love with Panama. However, Panama just makes so much sense.

Your heart will take you to Mexico, Colombia, Argentina, and Brazil, but your brain will take you to Panama. 

Many people actually spend a significant amount of time in Panama to get work done, benefit from low taxes, but then spend the rest of the year in nearby Colombia. It’s objectively hard to stay focused in Colombia.

There are so many ways to obtain residency in Panama

In this video with Wi Men, who has helped me obtain residency in Panama, open bank accounts, etc, we discuss the third route in the Friendly Nations Visa.

Westerners typically like to invest $200,000 in either real estate or a term deposit in a local bank for three years, but one can also simply create a local company and employ oneself.

This is what I did myself. I obtained residency in Panama through company formation

https://youtu.be/28lQ-OHLGSA?si=xz4A0Massu5dypbw

Here are all your options

Westerners and some East Asians need to either create a company or invest at least $200,000. Other people need to invest at least $300,000. Here are all the ways to obtain residency in Panama.

To a World of Opportunities,

The Wandering Investor.

Services in Panama

• How to obtain Residency in Panama
• Real estate lawyer in Panama
• My Realtor in Panama City
• Create a corporation in Panama

Articles on Panama

• Panama City Real Estate Market: 2025 Investor Guide
• Affordable Tax-Free Caribbean Lifestyle and Real Estate
• The Pros and Cons of investing in the Boquete Real Estate Market in Panama
• How to Obtain the Panama Retirement Visa
• Panama Permanent Residency in ONE trip
• What is the Panama Travel Passport and how to get it?
• The Pros and Cons of living in Panama
• Panama Friendly Nations Visa through Work Permit and Company Formation
• How to buy a gun in Panama – Gun rights in Panama
• Real estate for Friendly Nations Visa in Panama City – case studies
• Buying real estate in Casco Viejo of Panama City – Things to know
• Panama Tax Guide
• Remotely opening a bank account in Panama

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