Living in Paraguay

A Unique Blend of Opportunity and Simplicity.

Paraguay, the heart of South America, offers a lifestyle that combines affordability, tranquility, and growth potential.

Whether you’re seeking a peaceful retirement, a fresh start, or a business opportunity, Paraguay delivers unique advantages—though, like anywhere, it comes with its challenges.

Living in Paraguay is an opportunity to embrace a simpler, more affordable way of life while enjoying the advantages of a tax-friendly system, beautiful nature, and warm communities. While it comes with challenges such as adapting to a new language and climate, the potential for a rewarding and luxurious lifestyle far outweighs the inconveniences for many expats.

Paraguay is perfect for those who value tranquility, freedom, and a fresh perspective on life in a fast-changing world.

Stable and Safe:

Politically stable and with a growing economy, Paraguay offers peace of mind.

Its low crime rate in many regions makes it a safe option for families and retirees alike.

Affordability

Paraguay is one of the most cost-effective places to live in the world. Housing, food, and services come at a fraction of the cost compared to Europe or North America, allowing for a comfortable or even luxurious lifestyle on a modest budget.

Affordable luxury living

For those seeking high-end lifestyles, Paraguay boasts modern, secure urbanizations such as Aqua Village in Altos, Highlands in Ipacaraí, ... which offer peace, tranquility, privacy and amenities such as a huge artificial lagoon with sandy beaches, landscaped gardens, private restaurant and beach club, Gym, personal trainer, tennis, padel, ... courts, all at a fraction of Western costs.

In the western world, you would need multi millions to buy a house and live in such luxury, whereas a luxury villa in such urbanisations in Paraguay would start around 600000 usd.

Low tax system

Paraguay boasts one of the most advantageous tax systems globally.
V.A.T is only 0, 5 or 10% depending on the product or service.

Foreign sourced income, which means income you've earned outside Paraguiay, and which never enters in Paraguay is not subject to tax.

There are 3 personal income tax options ;

If your net income, which is your gross income, minus all your expenses ( rent, electricity, telephones, car, petrol, groceries, restaurants, clothes, etc is lower than 80 million Guaranies ( about 11000 USD ), you're not subject to any income tax
If your net income, as explained above is higher than 80 million Guaranies, you pay 10 % income tax on your net income.
You can also choose for the 'simple personal income tax' in which case you pay 3 % on your gross income earned in Paraguay

This makes it an attractive destination for expats, investors, and retirees.

Pleasant climate

Paraguay enjoys a warm, subtropical climate.

Summers can be intensely hot, reaching over 40°C (104°F) in some regions. Air conditioning is a must, especially in lowland areas.

the abundance of green spaces, rivers, and lakes provides a refreshing escape.

Natural beauty

From the Chaco’s vast wilderness to the tranquil lakes around San Bernardino, Paraguay’s unspoiled nature is a haven for outdoor enthusiasts.

Friendly people

Paraguayans are known for their warm hospitality and relaxed approach to life, which can help newcomers feel welcome and integrate quickly.

Language

Spanish is the primary language, with Guaraní also widely spoken.

While many locals are friendly and patient, limited English proficiency can be a hurdle for newcomers.

Infrastructure

While urban areas are modernizing, rural regions may lack reliable roads, healthcare facilities, and other infrastructure.

Paraguay’s public transport is underdeveloped, and owning a car is often necessary, especially outside Asunción.

Culture

Life in Paraguay is slower-paced and less structured than in Europe or North America. For some, this relaxed attitude can take time to adjust to.

Healthcare

While private healthcare in urban areas is good and affordable, public healthcare in rural regions may lack resources and staff.

Most expats contract a private health insurance, which is expensive to European standards, but very cheap to US standards.