Retiring in Vietnam: Pensions, Tax, and Currency

Vietnam has no formal "retirement visa" but the DTV five-year visa has effectively become one for retirees with foreign pension income. The country is increasingly popular for British, Australian, French and Canadian retirees priced out of Thailand and the Philippines.

Visa options for retirees

Route	Suits
DTV (5-year)	Most retirees with pension or remote income — easy renewals, no work permit, multi-entry
TRC via marriage	Married to a Vietnamese national; see marriage visa
TRC via investment	Real-estate or company investment over thresholds; expensive
Long-stay tourist visas + border runs	Outdated approach, avoid

For the vast majority of foreign retirees the DTV is the answer.

Receiving your pension

The mechanics:

1. UK / Australian / Canadian / US pensions paid into your home-country bank account
2. Periodically move funds to Vietnam via Wise, Revolut or wire
3. Hold mostly USD/GBP/EUR balances; convert to VND only as you spend

Direct deposit into a Vietnamese bank account is technically possible but:

• The bank will apply a 1–3% FX spread
• Some pension providers won't transfer to non-domestic banks
• Reporting becomes more complex

Wise gives you a USD balance, a GBP balance, an EUR balance — local receiving details in each. Convert at near-mid-market rates only when needed.

Tax residency for retirees

If you spend 183+ days/yr in Vietnam, you are a tax resident. As a tax resident, worldwide income is in scope for Vietnamese PIT, including foreign pensions.

The double-tax treaty position varies by country:

Country	Pension treaty position
UK	Government pensions taxed in UK; private pensions generally taxed in residence country (Vietnam)
Australia	Similar split; superannuation often Australia-taxed
France	Complex; some pensions only-France-taxed under treaty
Germany	State pensions often Germany-only; private split
US	No ratified treaty; relies on FEIE/FTC mechanics from US side
Canada	OAS/CPP often Canada-only-taxed under treaty

In practice, many retirees stay under 183 days/yr (split with home country or another base) to avoid Vietnamese tax residency entirely. Others embrace residency and use the treaty positions — see tax residency.

What Vietnamese PIT looks like on pension income

If you become resident and the pension is taxable in Vietnam:

• 11m VND/mo personal allowance (~$440)
• 4.4m VND/mo per dependant
• Progressive 5–35% rates on what's left

A £30,000/yr (~$38,000) pension fully taxed in Vietnam = roughly $4,000–5,000 PIT after allowances. Worked through carefully in PIT deep dive.

Cost of living for retirees

Common retiree budgets:

Tier	Monthly USD
Modest (Hội An, Da Lat, smaller cities)	$1,200–1,800
Comfortable (Đà Nẵng, central Hanoi)	$2,000–3,000
Premium (Thảo Điền, Tây Hồ, private healthcare)	$3,500–5,500

Healthcare is the big variable. See healthcare for expats and healthcare cost comparison.

Healthcare and insurance

You should not retire to Vietnam without international medical insurance. Bao Viet, Liberty, Cigna Global, BUPA International, Allianz Care all underwrite expat policies. Premiums by age:

Age	Annual premium (mid-tier expat plan, SE Asia coverage)
55–59	$1,800–2,800
60–64	$2,800–4,200
65–69	$4,200–6,500
70+	$6,500–12,000+ (and increasingly hard to get new policies)

Buy your policy before age 65 if you can; new cover is much easier and existing-condition exclusions narrower.

Estate and inheritance

Vietnam recognises foreign wills but enforcement is slow. Best practice:

• Maintain a will in your home country covering home-country assets
• Maintain a simple Vietnamese-language will (notarised) for Vietnamese assets — bank balance, motorbike, lease deposit
• Keep next-of-kin and consular records up to date with your embassy

Honest take

Vietnam is genuinely one of the best places in the world for a retiree on a modest Western pension. The DTV removed the visa headache. The remaining work is tax-residency planning and healthcare cover — both of which need a proper professional review for your specific country, not a forum post.

Related

• DTV five-year visa
• Vietnam tax residency
• Vietnam tax as foreigner deep dive
• Healthcare for expats