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Panama Income Gap Calculator

Stack your VA compensation, pension, and Social Security against the cost of living in 8 Panama towns. See your monthly surplus or gap, and what a business needs to earn to close it.

1 Your household and town

Adults
Children at home
Lifestyle
Town

2 Your portable monthly income

Enter monthly amounts in U.S. dollars. Leave blank what does not apply.

$
Check current VA rates
$
$
$
$
$
Enter after tax.
$
Enter after tax.
12%
VA compensation stays federally tax-free. Confirm your rate with a tax preparer.

3 Fine-tune your costs

10%
Covers surprises: repairs, trips home, rising rent.
Edit line items for this town

Replace any estimate with a real quote. Edits stay with this town.

Same income, 8 towns

Your income and household held constant. Bars right of center show a surplus, left of center a gap. Tap a town to load it above.

How this works

Town estimates reflect a comfortable lifestyle for two adults, built from 2026 published expat cost guides (Pacific Prime, StartAbroad, Expat Den, Escape Artist, and others). Singles, children, and lifestyle choices scale each line. Lean trims rent, dining, and extras by 20 percent. Premium adds 40 percent. Estimates last reviewed September 2026. Rent drives most of the difference between towns, and Panama City rents have risen through 2026, so get local quotes before you commit.

Tax is a simple flat estimate on taxable streams. Your real tax depends on filing status, deductions, and treaty rules. Panama uses a territorial system for foreign-source income, and U.S. citizens report worldwide income to the IRS.

Educational estimator only. Not legal, tax, immigration, or benefits advice. Verify with a U.S. tax preparer, a Panamanian attorney, and a VA-accredited representative. Nothing you enter leaves your browser unless you copy your results link.