The Ultimate Guide to Retiring in Australia

When it comes to retiring in Australia, there are a few things you should understand. This guide will explain why you should call Australia home.

When it comes to retiring in Australia, there are a few things you should understand. This guide will explain why you should call Australia home.

Are you thinking of retiring? Is Australia your desired destination to live in for the rest of your years? Australia rates as one of the most popular destinations for retirement by most expats.

Approximately 1.3 Million UK expats currently reside in Australia. The country owes its popularity to its naval culture, appealing coastal areas, and top-tier amenities.

Thus, as you navigate through your retirement plans, it is critical to have the necessary information on the laws of the land beforehand. This article provides an overview of all you need to know when retiring in Australia.

Pros and Cons of Retiring in Australia

Geographically, Australia is the sixth-largest country and the smallest continent in the world. Two oceans surround it; the Pacific and the Indian Ocean. The country is often also referred to as the world’s smallest Island because of the water bodies.

Retiring in Australia has both advantages and disadvantages. Some of the reasons why Australia is a popular destination for retiring include:

Extensive Beaches and Warm Climate

Australia has the advantage of having two oceans that surround it. This means that you get to enjoy extensive shorelines and beautiful beach scenery.

Unlike other countries that experience harsh winter seasons, Australia boasts of a tropical climate. As a result, you’ll get to experience more sunshine and warm weather. So be sure to pack a few swimsuit sets.

Plenty of Outdoor Activities

Australia is a nation that enjoys sports. Most of the According acknowledge that sports are a significant part of their culture.

In addition, living in Australia means that you can easily attain physical fitness. From watersports to hiking and cycling, and plenty of outdoor activities to choose from.

Common Language and Culture

It is easier to blend in with other Australians. The nation has experienced many waves of migration and therefore encompasses a mix of cultures. You can easily spot your fellow nationals who also reside there.

Good Healthcare

Australia is best known for its quality healthcare systems. The country ranks first among other Organization for Economic Co-operation and Development (OECD) countries. Both public and private facilities are well equipped and deliver quality medical care.

Australia also provides a variety of home care packages to retirees living in the nation, as illustrated in The home care packages help the elderly by providing high-quality care and accord support where needed from the comfort of their home.

That country, however, has its fair share of drawbacks such as:

Large Distance between Cities

Australia is a large country; thus, most of the towns and cities within Australia are far spread out. This means you would have to endure long commutes from one town to another.

If you decide to settle in a small community outside the city, you may experience isolation due to the distance.

Difficulty in Obtaining a Visa

The country continues to enforce stringent border restrictions. This means each person applying for a visa goes through a long scrutiny process and plenty of paperwork.

Cost of Living in Australia

When deciding whether to retire in Australia, it is essential to consider your cost of living as a crucial factor. According to a survey, the cost of living in Australia is slightly higher than that of the United States. However, depending on which part of Australia you live in, the cost of living can be significantly lower.

Living in Australia as a single person attracts a monthly estimated cost of 1,326.81A$ without rent, while a family of four incurs monthly estimated costs of $4,737.00 without rent.

For example, living in New York can be considerably expensive compared to living in Melbourne. However, in comparison to the UK, the cost of living in Australia is relatively similar.

Before moving to Australia, it is essential to understand the cost of living and how it differs from your country. If the price is higher, you should consider adding up your savings before making a move.

Visa Options for Retiring in Australia

The Australian Government provides a particular visa class for retires opting to spend their years in Australia. The Retirement Visa (subclass 410), retirees and their partners have a four-year period to live and commute within Australia freely. However, if you want to extend your stay, you can renew your visa for a new term.

Aside from the retirement visa, you can also gain entry into Australia through a family-stream permanent residence visa. If you have any family member residing in Australia as a citizen, you are eligible for this type of visa.

If you don’t have any family members living in Australia, you can still retire in Australia with a Business or investment-stream permanent residence visa. This visa is entitled to those wishing to invest in Australia. You have the option of either starting a new business or investing in one that already exists.

With a business investor visa, there are five categories to choose from:

Australian Business Innovation Visa

This visa applies to persons wishing to start, develop or manage a business in Australia. To be eligible for this visa, you require nomination from a state.

Australian Investor Visa (Business)

To be eligible for this visa, you need to invest a minimum amount of AUD 1.5 million in a state within Australia and also maintain a business within the country. Also, you need a nomination by a state for this type of visa.

Significant Investor Visa

This visa requires an investment of a minimum of AUD 5 million. Applicants can be nominated by the state or Austrade (The Australian Trade and Investment Commission).

Premium Investor Visa

Eligibility of this Visa requires an investment into premium investments of at least AUD 15million.

Entrepreneur Visa

To apply for this visa, you need to fund a project of at least AUD 200,000.

Applying for a Visa

In easing your visa application process, it is advisable to prepare all your documents and update them. As a minimum, the Australian Embassy will request the following records:

  • Recent photos of you and your spouse (if applicable)
  • Proof of Health Insurance
  • Proof of Assurance of Support
  • Proof of Identity
  • Evidence of relationship to a family member (if applicable)

You can apply for your visa online through the Department of Home Affairs website.

Housing in Australia

The process of purchasing a home in Australia is almost identical to that in the US. Similarly, the cost of housing in Australia is higher in the cities compared to the suburbs.

On average, the cost of a one-bedroom apartment within the city Centre in Australia is $1217.58 (1674.46 AUD). In the US, the national median price for a one-bedroom is $1216 from June 2019.

In comparison, the cost of housing in Australia is similar to that in the US.

As a retiree wishing to reside in Australia, you are eligible to purchase a home in Australia.

However, being a foreigner, you should know your budget since you will pay more taxes and require government approval.

Since Australia is a popular destination, the nation has mortgage brokers who specifically work with foreigners to help them secure a home.

One of the benefits of retiring in Australia is that you can borrow money to finance your mortgage. However, the process of purchasing a house involves a realtor, mortgage breaker, and lawyer.

Once your loan is pre-approved, you can proceed and apply for a mortgage. At this point, the Foreign Investment Review Board then reviews your application.

After obtaining your mortgage and FIRB approval, you can pay a minimum deposit of at least 10% for your new home. After this, you get to receive a title to the property.

Best Places in Australia to in Live When Retiring

If you are unsure of the exact place you want to retire to in Australia, these seven top-rated destinations will give you an idea of the ideal city for you.


Sydney is one of the top-rated popular tourist destinations. From the cultural charms to the magnificent architectural design and beautiful beach scenery, Sydney’s popularity continues on an upward trajectory.

The city is also famous for the spectacular Opera House. The architectural concept behind this armadillo-like structure creates a unique experience for every individual who visits the place.

Another popular attraction within Sydney is Bondi Beach. The beach is one of the most iconic beaches in Australia, with an extensive stretch of fine sand. The calm waves tend to attract surfers from various parts of the world.

Despite being a vibrant and exciting city to reside in, it can be relatively expensive. Before deciding to live in Sydney, consider weighing your options with your financial advisor.


Notorious for its unpredictable weather, Melbourne still stands as a popular place to live while retiring in Australia. Melbourne is famous for its electric bike culture, arts, food, drinks, and plenty of festivals.

In addition, the Central Business District within Melbourne provides a great nightlife experience. If you are an artsy type of person, then Melbourne is the right destination for you.

The city is also a hub for sports activities such as cricket, tennis, football, and F1, taking place all year round.


Hobart is a popular destination if you are seeking countryside and affordable living. The city is the second oldest city within Australia and has comfortable temperatures all year round.

In addition, the city is also quite close to Mount Wellington if you are a hiking lover.

Brisbane and the Sunshine Coast

Picture this, natural scenery, all year round of sunshine and stunning beaches. These are the three top attractions of the Sunshine Coast in Queensland.

Brisbane is also a famous destination for retirement owing to the natural landscapes that surround the city.


If you enjoy peace, Adelaide is the right place for you. Also known as the capital of South Australia, Adelaide is famous for its food and drink.

If you are a wine lover, you will enjoy sampling drinks from the nearby Barossa Valley vineyards. Accommodation within Adelaide is considerably affordable with friendly neighborhoods.


Despite being far away from major towns, Perth is a city for the laid back. The city is home to several nature reserves and receives more sunshine than other parts of Australia.

The city has plenty of outdoor activities to choose from in addition to having pristine beaches.

A fast-growing economy characterizes the city because of its proximity to Asia. Therefore, it is the ideal place to start a business.


Known as Australia’s inland capital, the city boasts excellent cultural attractions and a myriad of bars and restaurants. The city is more appealing for families and offers affordable accommodation options.

However, renting a house in Canberra is relatively expensive compared to buying one. Notably, the city has the lowest crime rates compared to other cities within Australia.

Taxes in Australia

If you plan to earn money while retiring in Australia, it is vital to understand how the tax system works. As a general rule of thumb, foreigners in Australia end up paying more taxes.

For example, if you are earning less than AUD 90,000, your income tax is 32.5%. Therefore, it is essential first to seek the services of a tax professional on the tax implications of moving to Australia.

Seeking counsel first can help you significantly lower your tax burden.

Get Ready for Retiring in Australia

Finally, before packing your bags and moving to Australia, there are a few other things you should familiarize yourself with to minimize your worries about retiring in Australia.

Despite the country’s similarity in-laws and language, some challenges accompany moving to a new country.

Proper prior research into your destination choice is very instrumental in ensuring you get a comfortable stay. In addition, while saving for retirement, you should consider speaking to your financial advisor on the downside of retiring outside of your country.

Since we are in the era of the Covid-19 pandemic, it is vital to ensure that you and your spouse get vaccinated before embarking on your trip. In addition, the Center for Disease and Control advises all foreigners to ensure they are fully vaccinated.

For more information or assistance regarding retiring in Australia, you can check our website for resources to guide you through your transition.