Finding Financial Peace in Mexico
The terrace restaurant located on the corner a block from my place held its opening in quite a languid fashion.
Seemingly nonplussed by the lack of clientele, for months the staff lounged on the stairs, or could be seen chatting in the street-level kitchen once you rounded the corner. A few times I climbed the stairs to find the simple but very pleasant terrace restaurant completely empty.
It’s seen from the street only as a narrow stairway painted Mexican red. A wall announced breakfasts and cafe de olla, a cinnamon-flavored coffee. Finally a sign was added assuring potential customers that indeed, the stairway was the entrance.
And today, on this perfect spring Sunday morning, my climb is rewarded by the sight of small parties (rather than the groups of 8-12 you come to expect in Mexico) tranquilly enjoying the gentle morning light and soft breeze blowing through the palm trees outside along with their omelets and coffees.
My first mornings back in Mexico I tend to find myself in places like this, restaurants surrounded by swaying palm trees where I renew my vows to Mexico and indulge myself in self-congratulations for having dreamed this unconventional life up in the first place. A sense of peace falls over me.
It’s a honeymoon period. Mazatlán’s brutal summer heat is a month or two away. Frustrating tramates are faded memories. I stop and chat with my neighbor (also my billiards instructor) Jones at one of the tables and then take a seat that allows me to look out over the ocean seen on the other side of the park where I play pickle ball some mornings.
To my left, four people sit at a corner table. Their baby begins to fuss in her blanket. The mother holds and tries to console her. The father takes her, and moves from foot to foot in an effort to calm her crying.
A few minutes later, the server approaches the table. The father surrenders the baby to her. She’s a petite, pretty middle-aged Mexican woman. Smiling, she takes the baby to her chest and the infant immediately goes quiet. Without a word, she takes the baby to the other end of the room and she walks slowly back and forth with her while the couple and their parents finish their breakfast.
I appear to be the only person who notices this play out. The Mexicans around me likely think the server’s response was the most normal thing in the world. Sitting there, I knew exactly how that baby felt in the server’s arms. It’s how I feel every time I return to Mexico.
This sense of peace comes from more than the gracious, gentle culture on display this morning. If you’re thinking about retiring to Mexico or living here and working, Mexico can offer financial peace of mind as well. It was my answer to the sleepless nights under-employed in Denver 10 years ago, when I wondered how I would make my savings last even as I worked thankless contract work.
Here I’m able to live very well on social security income and a modest pension (my fellow expats often refer to this life as the no brainer). Not only can I live on my income - I can continue to invest any other earnings and my retirement funds a bit more aggressively, as life in Mexico extends my financial window. As long as I live in Mexico, I won’t need to count on any retirement interest income for living expenses. I can ride out ups and downs in the market for the opportunity for greater returns.
Prices have gone up in Mexico but money still goes much further. Expats will tell you they spend less. The atmosphere is largely devoid of the consumerism and marketing pressure (if you can ignore the morning call to fresh tamales from street venders) that entices us to spend so much at home. You don’t realize how much the consumer culture affects you and your credit card debt until you move to Mexico and find you actually have money at the end of the month.
Younger people with whom I play pickle ball take advantage of the lower cost of living and work. I’ve met corporate physical therapy supervisors, song writers, software engineers and tee-shirt distributors who’ve found a better life here. I imagine many are putting more into 401-ks and other retirement savings plans than they could if working in the United States. Mexico is a place where you really can find peace.
About the author:
Kerry Baker is the author of several books. The second book is “If Only I Had a Place,” giving you the benefits, pitfalls and opportunities of renting long-term in Mexico. The Mexico Solution: How to save your money, sanity and quality of life through part-time life in Mexico, is the cumulation of all I know, love and want to teach you about expat life.
Her most recent book, “The Lazy Expat: Healthy Recipes That Translate in Mexico” is a cookbook for travelers, snowbirds and expats. (spoiler: to maintain a healthy diet in Mexico, you must cook.)