This post like so many is a reaction to information and miss information being spread about by both the informed and uninformed. I need to add a disclaimer, my law degree from the University of Arizona carries no weight in Panama. Perhaps a little respect from the uniformed, but no more than that. The laws are different here and understanding that is an important first step.
For some reason, probably the clear opportunities and entrepreneurial spirit many new immigrants here in Boquete want to create business or just work. If you are a cedula carrying Panamanian citizen, you can work for anyone, doing anything legal, at any time and collect a paycheck. If however you are a new immigrant stop, read and think.
Mail Box Etc Boquete Panama
Whether you can work here depends on how you define work. Work for pleasure, work without compensation is perfectly acceptable, although if you are so inclined and take a job away from a citizen, they might decide to call immigration and cause you some grief. Work for a paycheck is forbidden, unless you get a work permit. Getting a work permit is impossible if you are here as a tourist, or pensionado, which is a perpetual tourist visa. The Pensionado visa is NOT a path toward citizenship and under the terms to which you agreed when you applied for one, you cannot work in Panama. Working and getting caught can cost plenty including deportation.
If you have another type of Visa and a Panamanian company wishes to hire you for your special skills and they do the paper route to get you a work permit you can work legally in Panama. If you are legally in Panama for five years on a work visa or other type, other than Pensionado or tourist, you can then apply for citizenship should you want it. If you for some reason want a fast path to a work visa and change of status, get married and have a child. If you are responsible for the support of a child born in Panama, you will be fast tracked to a visa.
Assuming having child is not in your game plan, there is one other way to earn money legally in Panama; you can start a business. You can employ Panamanian citizens and although you cannot legally work in your own business you can train your staff and profit as the owner of the corporation.
The landmine is that even if you own the business, unless you can somehow get a work permit you cannot work in your own business. If you are caught working, behind the counter, what ever, you can be fined and deported.
Panama has the jubilado, pensionado visa with one goal, getting you to move here, spend money and create employment. They do not expect you to be competing with the local labor force. There are other visas with other options like the business investor visa where after hiring five locals you can work, but that in not with a Pensionado visa.
If you are having trouble digesting any of this please consult with a lawyer licensed in Panama, I am not. Do it before you find yourself facing legal problems. For those who think this is somehow unfair, please check your home country immigration laws, they will be similar, probably without the Pensionado Visa option.
good info!
Good info for Panama. The exception is that if your ‘home country’ is the U.S., the immigration laws there are understood by few and taken advantage of by many. If you think there are advantages to having a pensionado visa in Panama, try being an illegal immigrant with no visa in the U.S.
Please don’t tie the word “jubilado” to the Pensionado visa. You can receive a pensionado visa at any age as long as you meet the requirements. Too many people tie the two together and they are not similar in any respect.
Wendy says:
April 28, 2011 at 7:53 am
Please don’t tie the word “jubilado” to the Pensionado visa. You can receive a pensionado visa at any age as long as you meet the requirements. Too many people tie the two together and they are not similar in any respect.
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so, what are the differences? Jubilado is only older people, and pensionado any age….? Is what I understand, but more details?
….”If you are a cedula carrying Panamanian citizen, you can work for anyone, doing anything legal, at any time and collect a paycheck.”…
I’ve yet to meet someone in my particular circumstance so I’ll ask here and see if anybody knows. Getting an answer from a lawyer here is like pulling teeth, though I know ultimately that’s what I need to do rather than taking someone’s word on a blog.
I have a lifetime permanent visa and a cedula which I obtained by investing in reforestation several years ago before the requirements for this visa doubled. I’m not yet a citizen until I live in Panama full time for 5 years and apply for and become accepted as a citizen. I’m not sure if I’ll do that when the time comes, especially if I have to give up my US citizenship. But since I came in under the old laws I don’t know if I can be a dual citizen or not. That’s still a ways off so I won’t worry about it for now.
Anyhow, because I have an actual cedula is that all I need to be able to work? Or do I have to apply for a separate work permit in addition to having the cedula because I’m not yet a citizen?
Thanks,
Seth
Wendy, you are correct and it is my mistake. To clarify, a jublilado is retired and over 55 for a woman and 60 for a man. A pensionado is someone receiving a pension at any age. This does confuse since a 16 years old on a disability or other type of pension can qualify for a Pensionado visa but they are not a Jubliado and do not qualify for jubilado discounts.
Seth,
I can’t answer you question about your work status but as far as dual citizenship goes, yes you can have both citizenships. Here is the way it works. Panama will insist you sign a document giving up your US citizenship, however the US does not recognise that document and the US allows dual citizenship. In order to give up your US citizenship you MUST go to the US embassy and renounce there. Furthmore you can’t give up your US citizenship without proving you have another citizenship first (even if you wanted to). Bottom line….the renunciation in front of the authorities from panama means absolutely zip to the american state department. You can have your cake and eat it too.
Hi Rick,
Thanks for your informative and valuable post. I’ve heard and read this exact same thing from others so it seems quite feasible. Now if I can get the work situation figured out I’ll be all set. Used to be a software developer in a former life and figure maybe I could work part time at one of the outsourced, English speaking help desks in PTY set up for Americans to call for computer help. Though, not sure I have the patience anymore for dealing with people who don’t even know what the “Start menu” is.
Thanks again!
Seth
Id like to move to Boquete from Vegas but reading the country rules it doesnt seem worth the trouble, unless you plan on being a father over there
Is a Cedula issued for Jubilado or for Pensionado status?
Which status warrents the sometimes listed discounts?
I have read about becoming a Pensionado.
How does one officially become a Jubilado?
Thanks.
Dean
Dean,
A Pensionado is someone here on a type of Visa. That visa is for retired people of any age. It does qualify them for jubilado discounts. The jubilado is retired Panamanian. Anyone man over 62 woman over 57 regardless of residency status who is a permanent resident, ie not a tourist, qualifies for discounts.