Brad Allan, 60, and his wife Olivia have achieved significant annual savings by retiring from Austin, Texas, to Montepulciano in Italy's Southern Tuscany. The former furniture store chain owner estimates saving over $20,000 on healthcare and a further $20,000 on property taxes, dramatically reducing their cost of living.
The couple, who moved full-time in 2023, paid a one-off annual fee of 2,800 euros (approximately $3,228) to buy into Italy's national healthcare system. This single payment replaced their previous monthly healthcare costs in the United States, where they faced premiums of around $3,000 per month without employer coverage.
Healthcare and Financial Calculations
Allan highlights that even outside the national system, private medical care in Italy remains affordable. He cites examples including a doctor's visit for 50 euros, a specialist consultation for 120 euros, and an MRI scan for his wife costing 200 euros for two procedures. An X-ray cost him $30.
"What was our payment for one month in the US pays our healthcare for the year in Italy," Allan stated. He argues that for retirees, healthcare costs function as a de facto tax, making Italy's overall financial burden lighter despite marginally higher income tax rates.
The savings extend beyond medical bills. The couple's property tax in Italy is significantly lower than their previous bill in Texas, contributing to the estimated $40,000+ in total annual savings. This financial shift has allowed them to maintain a comfortable lifestyle while being retired.
The Allure of 'La Dolce Vita'
Beyond economics, the Allans were drawn to Italy's culture and slower pace of life. They cite the region's natural beauty, renowned wine quality, and later, more social dining culture as key lifestyle benefits. "Nobody here asks you what you do. 'How much do you make? What do you do for a living?' You don't get personal questions like that, which I find to be refreshing," Allan noted.
Their new European base also facilitates extensive travel. In the past year, they have taken trips to Scotland, London, and the French Alps, often utilising low-cost flights and efficient train networks. A recent flight to Tenerife cost $29 each way before baggage fees.
The decision was years in the making, with the couple taking a decisive six-week reconnaissance trip across Italy in autumn 2019 before purchasing a property near the Umbrian border. Allan now shares his expatriate experience and advice through his YouTube channel, BradsWorld.