Rest assured thousands of people have already done it. Mexico is where they live, work, and play. People from all walks of life are living the good life for a lot cheaper than they could do it anywhere else.

Indeed, Mexico has it all: Lower healthcare costs, pleasant weather, idyllic lifestyle, and so much more. Mexico will help you save money on practically everything you need right now. Imagine slashing your living costs by a third… or even a half. That’s a lot of money in your pocket!

So what will your life be like in Mexico?

How much does it really cost?

Most importantly, how do you get started?

This article answers all of these questions for you. My newsletter, my free reports and my books provide you all the information you need.

If you’re looking for the perfect place to retire… a place to vacation to… a place to escape the winter months, you’ll discover why more and more people are choosing Mexico to make ends meet — and getting more bang for their bucks.

So read all about it! I’ve got lots and lots of information waiting for you right here, so dig in and enjoy.

Oh yes… and I almost forgot! If you feel like commenting on any article, please by my guest.  At the end of each article, there’s a little “add comment” feature — so feel free to make use of it. I *do* get a lot of email and keep pretty busy, but I guarantee you will always get a reply from me!

How many buses does it take to get to Mazatlan from Puerto Vallarta? Well, in our case, four. That’s not the norm, nor the point of this story.

Before even leaving Puerto Vallarta, we had to exit the first bus we had boarded at 8:15 a.m. for a second one. Then the second bus broke down and nearly incinerated us in the mountains at 10:30 a.m. A third bus came along within 20 minutes and finally delivered us to Tepic. We arrived barely in time to catch the final bus to Mazatlan after a madcap dash through the terminal at noon. That doesn’t mean we were jinxed does it? It’s all in a day’s adventure, no?

We missed the Masked Ball on Friday night, not because of bus delays but because we simply didn’t know about it. In fact, not a whole lot is printed about the Carnival in Mazatlan, especially by or for gringos, and that is the point of the story

Imagine us, a middle-aged gringo couple embarking on an adventure with a minimum of knowledge, traveling by bus from Puerto Vallarta for a five-night excursion into the heart and soul of the Mexican Carnival. At first we were disappointed to discover online that most resorts and hotels were full by January. We tried to book the main five nights of the long weekend at our favorite Bed and Breakfast, but no luck

Fat Tuesday, or Mardi Gras, while celebrated around the world, is known simply as Carnival in Mazatlan and the date, is tied to the Christian calendar, and varies each year. It came early this year on February 5th just 40 days before Easter.

While not on the scale of celebrations in Rio de Janiero, or New Orleans, or even Venice, Mazatlan has has a reputation of enthusiastic attendance, growing over the years. Luckily only a few weeks before the event, our B&B called back and said they had a cancelation exactly for the time we wanted, so at the last minute we took it. We love the location, a block from Olas Altas beach and directly in the heart of Historic Mazatlan.

The B&B is a lovingly restored, two story, 19th century mansion built around a sunny courtyard. It has a beautiful pink marble staircase, a fantastic updated kitchen, a generous serve-yourself-bar, and internet access. The owners, couldn’t be more attentive, gracious or enthusiastic. They shared the party spirit of the moment with us like old friends. We love the place!

When we arrived Friday evening, we were greeted with glasses of wine as the busy, weekly Art Walk, which they help sponsor, was happening. Then they handed us ‘the earplugs’. “So we’ll need these?” we asked naively. Their reply was that we were a ‘bit close’ to one of the bandstands. An understatement indeed!

Although so perfectly situated for walking through the Historic District and accessing the beachfront Malecon, the B&B’s location is directly in-line with the musical pathway of one of at least 10 band stages along the end of the parade route through Olas Altas. In fact, sitting on the roof of the house you look directly at the stage, but also at the sunset and the ocean beyond.

There are two big parades, one on the Avenida del Mar about a mile away on Sunday and one on Mardi Gras (Fat Tuesday) evening right in front of the B&B. There are also two fireworks celebrations; known as the Combate Naval (the first of which was the best display I have ever seen!); one on Saturday (commemorating Mazatlan’s victory over the French Navy in 1864) and another display on Monday evening, along Ave. del Mar.

But getting back to the ear plugs…music is at the heart of the Carnival celebration and is called Sinaloa Banda music. Banda is not Mariachi music but something akin to a blend of many styles; Salsa, Mariachi, Cumbia, Merengue, and maybe you can even toss in some Jewish Klezmer music. Hate it or love it, there are 30 plus bands, over five nights, playing up and down the beachfront on bandstands from about 7 in the evening to at least 2 in the morning, and sometimes til 4!

During the parades or in between acts on stage there are the small bands that didn’t make it into the line up and rather than allow any silence, they play on the street corners when no one else is upstaging them. This is infectious, danceable music and did I give you the impression yet…LOUD!? (And to boot, just jog four or five blocks away from Olas Altas to the Plazuela Machado where there are four more stages – we’ll deal with that location later.)

After a couple of nights, we practically got used to it almost constant music and even caught a few hours of sleep. Banda music has a distinct place in Mexico’s musical heart and creates part of the soul of Carnival, much as Jazz does for New Orleans or Samba and Bossa Nova do in Rio.

Carnival was “family friendly” fun, with clowns and balloons, day and night, in a way that discourages the “skin shows” and drunkenness of other cities around the world. There are loads of beer stands everywhere, setting prices from 10 to 20 pesos a can. ($1 to $2 USD) Pacifico Beer is produced in Mazatlan; so are the Pacifico Girls…you see everywhere. They still use huge 100 pound ice blocks, hauled by ‘men-with-tongs’ and chopped up to cool enormous stacks of beer. The streets ran slick with the melt-off strewn confetti. People dress up with masks but because the date was early in the year, many folks just plain dressed to stay warm in the cool evenings.

In addition to the numerous locations having street fair stuff, there is a whole wealth of entertainment and more of a purpose to Carnival when the local residents crown various Queens of Carnival, presented in stadiums and grand ballrooms. These gala events include much more ceremony, distinction, and are coronations of the most beautiful and talented individuals of the highest order. Past year’s queens are honored for their achievements in a ritual of events.

Food for most, including me, is a priority when I travel. Although street vendors can entice you with an economical plethora of local specialities, we found that real meals are highly important to not only provide stamina for dancing, walking, site seeing and a host of other daily events but also to avoid heartburn. We moved our focus to the Plazuela Machado in a more completely restored section of Historic Mazatlan only a few blocks from our B&B.

That reminds me, while we took the time to walk around Historic Mazatlan; we were enveloped in a wonderful ethereal sense of artistic decay and elegance somewhat akin to what Havana, Cuba is like. The antiquated charm of the abundant and strikingly different architectural styles, the restored buildings, brightly painted and filled with wrought iron works is contrasted with the ancient and deteriorated looking structures sometimes right next door to each other. It truly captured, amazed and thrilled both of us! The revival of the area began with the Angela Peralta Theater anchoring the neighborhood and gentrification has spread outward during the last decade.

The Plazuela is a focal point of Carnival, bounded on its northern side by Calle Carnival filled with locals selling festival goods.

Depending on our timing we either had lunch or dinner in the outdoor cafes surrounding the plaza’s shady strolling area. In the Plazuela you have the choice of sitting on the sunny side or the shady side and are surrounded by fantastic people-watching as you gaze across the central sitting area and fountains. Strolling minstrels and mimes added color, and impromptu songs and poetry by groups kept the place entertaining all day long. At night multiple stages erupted into big music productions the place was packed and rockin’ with the youth of Mazatlan. This became one crowded little plaza!

Additional sight-seeing in Mazatlan filled our daily needs. One morning we hiked to the tallest working lighthouse in the world. Looking out from the top across the ocean and all of Mazatlan we saw the cruise ship terminal and fishing fleet docks in the harbor from which the city has earned the nickname, ‘Shrimp Capital of the World”. We looked northward where the tourist, beach-mecca of high rise hotels and resorts is, known as the Golden Zone and saw the three islands just offshore.

Two different days we took a 15-minute hike to the Old Zocalo and Cathedral for more people watching. The huge, typical Mexican public market, “Mercado Pino Suarez” nearby is jam-packed full of tourist-ware, groceries, meat displays, clothing, and absolutely everything up for bargaining.

A couple of times we took an ‘indigenous’ open-air taxi ride in a golf cart-like contraption known as a pulmonía, commemorated in Mazatlan history by a monument on the Malecon.

Carnival comes to a climax on Fat Tuesday night after the last parade, with revelry exceeding all previous evenings. The noise gets louder and the people crazier. But after throwing the last of our confetti-“In your face, baby!” we went home at midnight, showing our age, long ahead of everyone else.

Before leaving town in the morning we walked the Malecon one last time; watched the cleanup, melted ice and towers of beer still in evidence, the ocean surf pounded on the big rocks off shore, and we were entranced by one of the brave cliff divers from the pavilion near the dolphin sculptures.

After five nights, our bus ride back home was very anticlimactic. There were the same four young guys we rode the bus up with. However, now they were no longer singing, laughing in anticipation, playing loud music on their MP3’s, no more joking at the front of the bus, nor displaying the antics of youth; now they were in the back, behind us, practically soundless and like us probably sleeping much of the ride home, recovering from the exhausting and delightful party known as Carnival!

Yes, things shook here and there, but there were no reported injuries or damage.  It was also felt in southern Arizona and in parts of California.

An employee in Rocky Point was reported to say, “We felt it, but not too much. I felt it more in my body than in the building. The buildings went back and forth a little, but not too much”.

The National Oceanic and Atmosphere Administration said there’s no tsunami warning, watch nor advisory because of the quake.

Interestingly there were 26 other earthquakes above 2.5 that happened around the world today. Historically, on some days there are fewer, on other days there are many, many more.

That’s just how things are on Mother Earth. :)

1) Your passport.

2) Your visa or permit.

Mexico’s General Law of Population sets forth the rights and obligations of foreigners, as well as different statuses associated with foreign immigration.

Mexico welcomes most foreign nationals for a specific period of time to take part in non-money-making activities, such as a vacation. Recurring visits or stays over 180 days require special permits from the Mexican Consulate.

There are two kinds of permits, Non-immigrant and Immigrant.

Non-immigrant permits are for people who want to visit Mexico for a specific purpose and length of time and then depart. Immigrant permits are for people who wish to live in Mexico, short or long-term.

You do not have to surrender your natural citizenship to be granted full-resident status in Mexico. Full resident status entitles you to all the rights and benefits of a Mexican National – to live, work, claim state benefits, and pay taxes. But you are not permitted to vote in Mexican elections.

These permits may prohibit work in specific industries such as positions related to bar and waiter/waitress work. Contact a professional for specific advice on immigration. You can also contact the Mexican Consulate of your country.

Non-Immigrant Permits: There are various classifications of Non-Immigrant visitors to Mexico. I’ve listed some Consulates below. They will give you details on how to apply for permits that are required in advance.

Tourist Permits: The Mexican Tourist permit is known at the “FMT”. It is very simple to fill out and available from airlines and ports of entry. This permit allows visitors to remain in Mexico for a maximum period of 180 days. If the officer at the port of entry does not assign 180 days leave of stay at your point of entry, the permit may be extended to the maximum permitted stay by visiting one of the local foreign immigration offices, completing the paperwork and paying the administration fee.

You can use an FMT permit to enter Mexico for leisure and also if you plan to scout for and/or invest in Mexican real estate. When you are closing a real estate deal, you will need to show evidence to the Notary Public that your stay in Mexico is legal and an FMT is a valid document for this purpose.

Visitors Permit: For extended stays in Mexico, you must apply for the Visitors permit (usually an FM3) through your company and state what the purpose of the visit is, and how long it is likely to take. There are also some forms to fill out and a handling fee to pay. You can download the forms, and find out the latest fees and process by going to Consulate listed. Visitor’s Permits are issued for up to one year, and are renewable four times, for a maximum of one year each time – for a total maximum period of five years.

Artists: Can apply for an immigration permit. Each case is considered individually and entry is at the Interior Ministry’s discretion.

Local Visitors: Special permits for foreigners visiting maritime ports and border cities. The permit allows a maximum stay of 3 days, and you must stay within the 35km “border zone”.

Resident Alien (Permanent Visitor): If you wish to remain in Mexico as a “resident alien” after five years, you must apply for full residency status, and there is a specific procedure to follow and have accepted. Once your application has been accepted and your “FM2″ has been issued, you are entitled to full rights and responsibilities as any other Mexican Citizen, with the exception of the right to vote. Upon receiving this status, you will receive a document that looks like a Mexican Passport (called a “FM2″) -newer versions look like a driver’s license – which enables you pass through Mexico’s borders as if you were a Mexican National.

You do not need to surrender your national passport, which you’ll use when you return to your home country – either for visits, or when returning home to dwell. If you stay outside of Mexico for longer than two years, or for five years in any 10-year period, you will lose your resident status in Mexico.

Retirees: If you are over 50 years of age, and want to engage in “non remunerative activities” and you are receiving funds from abroad (from a pension or other investments or fixed income) of a specific set amount, set by the Mexican government, plus a specific required amount for each dependent (e.g. spouse, children) , you can apply for a Retiree Immigration Permit.

Non-Immigrant: When you do NOT want to seek permanent residence in Mexico, for vacations and casual trips toMexico, just fill out and use the tourist permit, available from the airline you travel with or at the port of entry. If you are of retirement age (50+), and have approximately US $1,500 (can vary) or equivalent income per month, then a Retiree permit will be your easiest route. If you are not of a retirement age (below 50) and want to live but not work in Mexico, you will need to contact the Mexican Consulate. Provided that you can prove a permanent steady income in line with the regulations, you may be granted an FM3 permit to live in Mexico, which would be eligible for conversion to an FM2 in 5 years. You will need to state what you intend to do there, e.g. early retirement due to health, etc.

The American Embassy and Consulate in Mexico – Mexico City
Paseo de la Reforma 305
Colonia Cuahtemoc 06500
Mexico DF
Telephone: +52 55 5209 9100

The British Embassy and Consulate in Mexico – Mexico City
Rio Lerma 71
Colonia Cuauhtemoc
Mexico DF
Telephone: +52 55 5242 8500

The Canadian Embassy and Consulate in Mexico -Mexico City

Schiller 529
Colonia Rincon del Bosque
Polanco 11560
Mexico DF
Telephone: +52 52 55 5724 7900

These are only a sampling of the divisions of people immigrating – retirees, visitors, artists, and so many more, but I slant info toward retirees, of course.  Info for other visitors/immigrants can be found though the Consulates.

A few people who are just beginning to consider moving to Mexico for their retirement years and some who are now ready to decide just what area will fulfill their dreams of retirement have emailed me asking just how, in my opinion, they should best experience Mexico so they can be sure they are choosing the right area for them to live.

Please, don’t just pack up and head down on a tour bus or an “all-in-one” planned tour… not for this important venture. Not for your retirement.

Take charge of your trip – do your research first, have a list of places and things you need to check out. A tour is great, but it’s not going to show you what the real Mexico is. In other words, don’t go with the idea that you’re just going on an elaborate vacation. Go realizing you are looking at a potential place to live.

Go shopping for groceries where the natives go. Wal Mart is great, but go to the market place, too. You’ll be amazed at the quality and variety of foods offered, fresh, and very reasonable! You’re sure to see lots of things you’re not at all familiar with. That’s all part of the charm and fun of a new location. Remember, this is your retirement adventure.

Some of the best information that I didn’t even think of obtaining came from a lady I stopped in a grocery store. We talked for 20 minutes and Dick and I received a wealth of information from her and her husband, who finally came walking down the isle, wondering just where she had gone :)

You really want to spend your time talking with people who live there. Start up conversations with people at little restaurants where the natives go. Start conversations up with people in the shops. You just may even end up with a new good friend!

Do find the American organizations in the area. I list some that are in I list some that are in Mazatlan in my book, Retire In Luxury Talk with the people there …you will be so welcomed!

See what day-to-day life will be. You don’t want a sanitized version of life in Mexico. Not everyone who lives in Mexico goes to a fiesta every night.

Learn what the real Mexico is like. You’ll probably truly fall in love with it. You’ll still have plenty of time to enjoy the beautiful days and your evenings relaxing and having fun! Sure, you want to do the sightseeing stuff …just make sure you do your investigating first!

Logically, and sensibly, your choices should be based primarily on your finances. Do you want to do a lot of traveling? If you choose that lifestyle, then why would you start looking for a large home, with a lot of upkeep demanded?

You may decide to just stay put – perhaps near family – in the home you’ve been in for years.   Or, have they already scattered so you are free to move where you can really make the most of your retirement years, and just enjoy their visits ?

Some of our friends, retirees also, have felt they must have extra bedrooms and baths for the relatives who come to visit (usually once a year). Just contemplate… how much would it cost you to simply rent a motel room for them, compared to the upkeep and expense of having that extra space you’re going to pay for??

Think of the original cost of the extra room, the extra taxes, the heating and cooling, and just the upkeep!

You can pay for a lot of overnighters in a motel for what you will pay for that extra room that isn’t even used 95% of the time. And it’s usually a wonderful break – for everyone – to part at the end of the day for some private time and recuperation time!

Do you plan to do a lot of entertaining – either family or friends? Again – why get a humongous home you’ll be constantly cleaning and keeping up, when friends are just as comfortable in a more intimate setting.

Remember, you and your friends are getting older each year, and the wild parties of your 30’s and 40’s possibly are not the evenings you will be experiencing in retirement.

Keep your taxes low, keep your utility costs low, and enjoy a higher, more leisurely lifestyle like you can do if you move to Mexico.  We’ve fallen into the nicest concept…It’s called “pupu parties” … I guess it’s Hawaiian for hors d’oeuvres party. You just call a bunch of friends – they each bring a nice snack, your supply the drinks, and it’s a wonderful, easy, inexpensive and casual get together. Not too much work for anyone, and a great reason to get together with friends!

If you have a lot of equity in your home, (I always stress that hopefully by the time you are contemplating retirement, it is paid for) and you should decide to sell it, buy smaller, have less expenses, put the profit into an investment portfolio and enjoy the interest.

Then, you may decide to just stay put – in the home you’ve been in for years.  Just realize that air conditioners eventually will need replaced and the plumbing – possibly, etc.  And if you have a lot of equity in your home, if you sell it, buy smaller, and put the profit in the bank – voila!  Interest to help with expenses, or to grow for a long desired item!

Don’t overlook renting – an apartment or a condo – everything is secure when you take those trips, and you won’t have to own a lawnmower or snowblower anymore!

Your retirement maybe be just around the corner, or it may be along way off, but from this day forward it’s up to you – and no one else – to save enough money to live on happily after retirement.

As far as Social Security benefits, the nay-sayers and dooms-dayers say it won’t be there – but, if is, then it will be an added bonus!  But, long before your retirement date, you should contact your Social Security office, and get all the information you can – they can tell you when you can start drawing on Social Security, and how much you can expect to receive – invaluable information for planning your life!

Suggestions: If your employer offers retirement savings plans – take advantage of them – they are taken out of your pay before taxes – and the savings will earn interest, and you won’t be taxed until you – usually in retirement – take the distributions.  And, believe me, in retirement, most of us have a lower income – ergo – lower tax ratio.  Win-win – you saved, let it gain interest, and the taxes will be less.

If your employer offers a matching play – take full advantage of it!  Contribute as much as is allowed.  Same scenario as above paragraph, plus you double your savings!

Once you have a plan established, don’t borrow on it!  You’ll find it’s almost impossible to replace the money you already saved – and you’ll be paying back interest too boot!And you may be taxed twice – when it was earned and again when you withdraw it at retirement.  Keep your eyes open for Penalties!  If you take distributions before 59 ½, those withdrawals may have penalties!  So, try to wait until at least you qualify for Social Security and their insurance to retire – you’ll find health insurance can be a huge expense on your own.

After all, as I have said, it is a foreign country – different than the States in so many ways.

One of the most popular Mexico tourist destinations for those living in the States is Puerto Penasco — usually called Rocky Point, the closest beach that Arizona has! It’s only a 60 mile drive, once you cross the border.

The first thing that may seem a bit scary is the border crossing itself. Don’t let it be intimidating.

The type of scenery you’re going to encounter driving from the States to Puerto Penasco is very similar to parts of Arizona, Texas, and New Mexico. The mountains are beautiful and the cactus and flora is so diverse. It’s always a great drive. Of course, do be careful. Be aware of your surroundings, study your maps. Don’t be foolish and go exploring on deserted side roads all by yourself.

There’s usually not a lot of traffic – that’s true on a lot of Mexico’s roads. So, make sure you keep your gas tank full, and your car in good running condition. (Wouldn’t hurt to keep a cooler with drinks and snacks in the car with you too. Sometimes in Mexico, it’s a long distance between places.)

Rocky Point is a fun place to visit and spend some vacation time. The seafood there is just wonderful! The area can be a bit “touristy”, but still… it’s worth visiting if you have the time. We have friends who LOVE Rocky Point and who have their own condos and time-shares there.

So different strokes for different folks!

Depending on what is important to you, you may find the following destinations to be some of the worst places to retire or you may not! (My opinions are in the parenthese.) Keep in mind everyone has different wants and needs and expectations.

Clearwater City, Florida:  Large senior citizen population (Personally I see nothing wrong with that!)

Austin, Texas: Hard Time Getting a Doctor who Takes Medicare (I don’t know why.)

Anchorage, Alaska: Fewest Fellow Seniors (Brrrrr!!)

Bridgeport, Connecticut: Highest Taxes.

Wisconsin: The 2005 Bloomberg Wealth Manager rated Wisconsin the worst state for retirees, saying they pay on average $17,528 in property, income and sales taxes. (Yikes! There goes a huge amount of our income for the year!)

New Jersey:  Llocal property taxes average $1,871 (ranks low for retirees.)

Washington, DC: Most poor Seniors (and high cost of living!!! – great place to visit – but live there??? Especially in retirement??? Nope! Sort of like New Orleans – for Dick and I, as I report in my book, Retire In Luxury, we loved living there where the job checks were coming in, and we love visiting there now, but live there? No, No…)

Rhode Island: Least Older Men (Here, I am reminded of the “Casserole Brigade” in one retirement community. Dick was talking to a recently widowed gentleman at a gathering we were at and he was filling Dick in on the phenomenon that happens upon a wife’s death – the casserole brigade appears delivering casseroles in droves. This particular gentleman had no interest in “things in a dish that were unrecognizable”…and kept his trash full and the dishwasher busy just disposing of the “food”. Gals – take note…maybe an invitation for lunch at a nearby restaurant would be appropriate.)

Provo, Utah: Most Youthful Population (Dick and I recently spent some time in Utah – a unique state – full of wonderful, breathtaking scenery.)

Queens, New York: Violence and the Boulevard of Death (Oh dear…well, so much for New York! Think taxes may be a bit high there too!)

Your Kid’s House: (Well, as a last resort, maybe.)