Retiring in Malta from the USA in 2025: All the Facts and Details

Imagine waking up to sunshine nearly every day, enjoying a relaxed Mediterranean lifestyle, and stretching your retirement savings further—all while living in an English-speaking country with world-class healthcare. Sounds like a dream? For many people retiring in Malta from the USA, Malta is making that dream a reality.

In this guide, we break down everything U.S. retirees need to know about moving to Malta in 2025—from residency options to cost comparisons with Florida and Arizona. Let’s dive in!

Why U.S. Retirees Are Choosing Malta

Many Americans are retiring in Malta from the USA because of its year-round sunshine, affordable healthcare, and strong expat community. The country also has a rich history and beautiful architecture, creating a mix of relaxation and culture.

One of Malta’s biggest advantages is that English is an official language. This makes daily life easier for Americans, as there are no language barriers when dealing with:

• Banks and real estate agents for managing finances or buying property;
• Legal documents and contracts, which are available in English;
• Doctors and medical services, where communication is clear and simple.

This Malta also has a friendly expat community, with many Americans already living in popular areas like Sliema, St. Julian’s, and Gozo. This helps new retirees meet people and settle in faster.

Another big reason to choose Malta is its high-quality healthcare at a lower cost than in the U.S. Both public and private hospitals offer excellent care, and prices are much more affordable than American medical bills.

For U.S. retirees looking for a safe, welcoming, and easy-to-adapt European destination, Malta is a perfect choice. It offers comfort, lower living costs, and a relaxed lifestyle, making retirement abroad a smooth and enjoyable experience.

Retiring in Malta from the USA: Visa Options

Understanding visa options is crucial when retiring in Malta from the USA, as residency requirements vary based on finances, tax considerations, and long-term goals. Here’s a short overview: 

Malta Permanent Residence Programme (MPRP) – Suitable for retirees with strong financial resources who want long-term residency. It requires an investment in property or government contributions but has fewer tax obligations.

Global Residence Programme (GRP) – A good option for retirees with 401(k) savings, IRAs, or investments. It offers a flat tax rate on foreign income sent to Malta, making it useful for tax planning.

Malta Retirement Programme (MRP) – Designed for retirees who receive regular pension income. While traditional pensions qualify, it’s important to check whether 401(k) or IRA withdrawals meet the requirements. DZ Advisory can do so for you.

Each visa has different tax rules, residency conditions, and financial requirements. The right choice depends on how you plan to fund your retirement.

For a detailed guide on eligibility, tax benefits, and application steps, see Retiring to Malta: The Ultimate Guide for 2025.

U.S.-Malta Tax Treaties & Pension Considerations

One major benefit of retiring in Malta from the USA is the U.S.-Malta tax treaty, which helps prevent double taxation on income.

Avoiding double taxation: The treaty prevents double taxation by allowing retirees to claim tax credits or exemptions, depending on their income type and residency status​. This ensures they do not pay taxes twice on the same income.

U.S. social security benefits in Malta: If you receive U.S. Social Security benefits while living in Malta, they will only be taxed in the U.S. Malta does not apply any extra tax on these payments​

Taxation of U.S. retirement accounts: Withdrawals from 401(k)s, IRAs, and annuities are usually taxed in the retiree’s country of residence. However, under the treaty, some pension income, such as Roth IRA withdrawals, may not be taxed in Malta​.

Capital gains tax: Capital gains from U.S. investments are usually taxed in Malta. However, if you sell real estate in the U.S., you may still owe tax there​.

Flat tax rate for foreign retirees: Malta offers a flat tax rate for foreign retirees under specific programs. This may be more beneficial than the progressive tax system in the U.S., depending on your income. 

Healthcare in Malta vs. the U.S.

Understanding how healthcare works in Malta is important for those retiring in Malta from the USA, as retirees must have private health insurance to meet visa requirements.

Public vs. Private Healthcare in Malta

Malta’s public healthcare system is funded by taxes and provides free or low-cost services for residents. However, U.S. retirees who do not pay into Malta’s social security system cannot access public healthcare for free. To use Malta’s public healthcare system, retirees need legal residency and must contribute to social security.

Furthermore, all the visa options for Malta require having private health insurance, which often leads to faster service and guaranteed access to English-speaking doctors. 

Cost Comparison: Malta vs. U.S.

Healthcare in Malta is much more affordable than in the U.S. While the U.S. has some of the best medical technology in the world, the high costs often make it difficult to access. In contrast, Malta offers high-quality care at much lower prices, with both public and private healthcare options.

A private specialist appointment costs €50–€100 (∼$55–$110), while in the U.S., it can be $200–$500 or more.
A visit to a general doctor (GP) in Malta costs €20–€30 (∼$22–$33), compared to $100–$200 in the U.S. without insurance.
Blood tests (private clinic): €30–€50 (∼$33–$55) vs. $200+ in the U.S.

Health insurance is one of the biggest differences in costs between Malta and the U.S. While American retirees in Malta must have private health insurance, the price is much lower than in the U.S.

Health Expenses in the U.S

• Medicare (for retirees 65+): $250–$600 per month, depending on additional coverage like Medigap or Medicare Advantage.
• Private insurance (without employer support): $500–$1,500 per month per person, with better coverage costing more.
• Affordable Care Act (ACA) marketplace plans: $400–$800 per month, with government subsidies available for lower-income individuals.
• Deductibles: Before insurance covers most expenses, retirees must pay between $1,500 and $8,300 per year.
• Out-of-pocket maximums: Annual expenses are capped at $5,000 to $15,000, but retirees must pay a large amount before reaching this limit.

Medical care in the U.S. is extremely expensive without insurance:
• Emergency room visit: $3,000–$10,000
• One night in a hospital: $10,000+
• Routine specialist visit: $250–$500
• Cancer treatment: Over $100,000 per year

Health Expenses in Malta

• Basic private health insurance: €350–€800 per year (∼$385–$880)
• Comprehensive private health insurance: €1,000–€3,500 per year (∼$1,100–$3,850)
International health insurance (for coverage outside Malta): €2,000–€5,000 per year (∼$2,200–$5,500)
• General doctor (GP) visit (private): €20–€30 (∼$22–$33)
• Specialist consultation (private): €50–€100 (∼$55–$110)
• Blood tests (private clinic): €30–€50 (∼$33–$55)
• Routine dental check-up and cleaning: €50–€80 (∼$55–$88)

Even without insurance, medical procedures, emergency visits, and hospital stays cost only a fraction of U.S. prices. 

Cost of Living: Malta vs. U.S. Retirement Hotspots

Retiring in Malta is more affordable than in popular U.S. retirement destinations like Florida (Miami, Tampa) and Arizona (Phoenix, Scottsdale). While the U.S. offers a variety of retirement options, Malta provides lower costs for housing, healthcare, and daily expenses.

Housing Costs: Renting vs. Buying

Malta: Renting a one-bedroom apartment costs €600–€900 (∼$660–$990) in less expensive areas and €1,200–€1,800 (∼$1,320–$1,980) in central locations. Buying a home ranges from €250,000–€500,000+ (∼$275,000–$550,000).
Miami, FL: The average rent for a one-bedroom apartment is $2,400 per month, and home prices are around $441,390.
Tampa, FL: Rent costs about $1,500 per month, while the average home price is $361,065.
Phoenix, AZ: One-bedroom apartments rent for $1,500 per month, with homes costing $433,926.
Scottsdale, AZ: A higher-end market, with rent averaging $2,000 and home prices at $700,000+.

Groceries

Malta: Monthly grocery costs range from €250 – €350 (∼$275 – $394) per person per month.
Miami, FL: Groceries cost $400 – $600 per person per month.
Tampa, FL: Grocery costs are about $323 per person per month.
Phoenix, AZ: Monthly grocery costs are about $300–$350 per person per month.

Utilities & Transportation

Malta: Monthly utilities cost €100–€250 (∼$110–$275). Public transport is free, while gas is priced at €1.40 per liter ($5.30 per gallon). 
Florida & Arizona: Utility costs range from $250–$400 per month. Public transport is limited, and driving is more affordable, with gas prices around $3–$4 per gallon.

Entertainment & Leisure

Malta: A comfortable lifestyle costs €2,000–€3,000 (∼$2,200–$3,300) per month.
Miami, FL: Living comfortably requires $4,500–$6,000 per month, with expensive entertainment and nightlife.
Phoenix, AZ: A comfortable lifestyle starts at $3,500 per month, with lower leisure costs than Miami.

Therefore, retiring in Malta costs less than in Miami or Scottsdale and is relatively similar to Tampa and Phoenix. 

However, housing, healthcare, and daily expenses are more affordable, and public transport is free. With a comfortable lifestyle costing €2,000–€3,000 per month, Malta is a great option for retirees looking for good value and quality of life.

The Bottom Line

If you're considering retiring in Malta from the USA, the country offers a perfect balance of affordability, comfort, and high-quality living. It offers affordable housing, healthcare, and free public transport, plus a tax-friendly system and English-speaking services that make it easy to settle in. 

Thinking about retiring in Malta? DZ Advisory can help you understand Malta’s retirement programs, tax benefits, and residency options for U.S. citizens. Get in touch with DZ Advisory today for expert advice and start planning your retirement in Malta!