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Panama

The real numbers for Panama: take-home pay after tax, the true cost of living in Panama City, and how expats and nomads get a visa.

CurrencyUSD
Main cityPanama City
Nomad visaYes
Cost per person / mo$1,300

Take-home pay

Net salary in Panama after income tax and social security:

$45,800/yr · $3,817/mo
Take-homeIncome taxSocial
Income tax$8,350
Social security$5,850
Effective rate23.7%
Try your own salary →

Panama taxes only Panama-source income on a territorial basis, so foreign remote income is generally untaxed; local brackets top out at 25%.

Cost of living · Panama City

One person, total$1,300/mo
Family of four, total$3,200/mo

Visa

The Short-Stay Remote Worker visa requires ~$36,000/year ($3,000/month) of foreign income and is valid up to 9 months, renewable once.

Typical income requirement: $3,000/month.

Is it safe?

Panama City is comfortable for expats, with opportunistic theft the main everyday concern.

In an emergency

Dial 911 for police, ambulance or fire.

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Moving to Panama — FAQ

Is there income tax in Panama?

Yes. Panama taxes income on progressive brackets. On a $60,000 salary the effective rate is about 23.7%, leaving roughly $45,800.

Can digital nomads get a visa for Panama?

Yes — The Short-Stay Remote Worker visa requires ~$36,000/year ($3,000/month) of foreign income and is valid up to 9 months, renewable once.

How much does it cost to live in Panama City?

A single person needs roughly $1,300/month in Panama City, and a family around $3,200/month, all-in.

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