5 DR Retirement Spots for Under $3000/month

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In this edition of the Grubernation Weekly Newsletter:

• 5 DR Retirement Spots for Under $3000/mo

• How Americans Can Save BIG Money on Taxes in DR

• 9 MUST DO Tips for Living in Dominican Republic

Cheryl Henderson is doing a LIVE Q&A for the DR Inner Circle Friday June 18 at 2pm. Every month we bring in an expert to answer questions for the group. I also host weekly zoom calls, provide bonus content and raw tours of communities here in DR. It’s just $9/month and you can cancel any time - of Cheryl’s Q&A (or watch the replay)!

5 DR Retirement Spots for Under $3000/month

When people ask where to retire in the Dominican Republic, Punta Cana is the easy answer. It’s developed. It’s easy. And if your budget allows for it, there’s arguably no simpler transition spot for Americans or Canadians—international airport, private hospitals, grocery delivery, Uber, the whole nine.

But budget can be a concern for some.

So I wanted to put together a list of places that fly more under the radar—but still offer the three things I think every budget-conscious retiree should care about:

• Access to private healthcare (within an hour)

• Local restaurants and amenities so you’re not isolated

• A lifestyle under $3,000/month—without feeling like you’re sacraficing

And importantly: budget doesn’t mean “barrio.” These places offer peace and authenticity, with development and momentum—so you’re not stuck in the middle of nowhere hoping a grocery store shows up someday.

Without further ado … here are five of my favorite lesser-known options:

1. 🏝 Punta Rucia (Alternative to Monte Cristi)

This is probably my favorite spot to visit. The beaches are insane, the community is beautiful and it has all these little beach front restaurants to hang out in. You’re about 90 minutes vs. the 1 hour I mentioned from Puerto Plata hospitals, but if you enjoy the quiet, calm waters and enough to do - this is the spot.

Honestly, it’s TOO quiet for me - but I had to include it as an option because I also see this hidden gem being unhidden in the next 10 years.

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2. 🌊 Macao (Alternative to Punta Cana)

There’s a lot happening in Macao, but it’s still not on the pace of Punta Cana or Miches - but sits right between them.

You’re 20-30 minutes from Bavaro, so dinner out and community is not too far. But it’s still inexpensive, great beaches and quieter than PC an Miches. This is the perfect spot for someone who says ‘I want Punta Cana but I just can’t afford it, so I can’t move’.

Nah - check out Macao.

3. 🌿 Río San Juan (Alternative to Cabarete or Puerto Plata)

I said Punta Rucia will be unhidden soon. I said the same about RSJ two years ago .. and I was proven right!

Alex Rodriguez recently headed up a $1b project at Playa Grande.

DJ Khaled blew up Playa Grande and the golf there on his recent trip to DR by posting all about it on social media.

And Mark Wahlberg bought a mega-mansion up the road in Cabrera.

Cabarete and Puerto Plata are a short drive down a local road and this area still remains affordable and will for some time. It’s remote enough to absorb the development but leave a sleepy vibe. Another favorite for our family to visit.

4. 🌴 El Valle (Alternative to Las Terrenas)

Samana peninusla is home to the best beaches in DR - period.

Las Terranas gets all the attention and Las Galeras has become more known recently - but still is a good sleepy option.

But El Valle is a spot to consider. It’s near beach, is only 30 minutes or so to Las Terranas and the hospitals and amenities offered there, and is extremely peaceful and tranquil. You can buy beautiful condos there for under $200,000 and live a very chill life in retirement!

5. 🏞 Jarabacoa (Alternative to Santiago)

I keep saying my favorite - but Jarabacoa is my favorite too. In fact, if you’re reading this on the day it releases, that’s where my family is headed for a summer vacation.

I’d do Jarabacoa if I prefer mountains to beach but want to be able to get to the beach, and also wanted access to a city.

Santiago isn’t far and you can be in Cabarete in under 2 hours for a day trip or weekend getaway.

It’s still very affordable but has it’s luxury options for sure. And the downtown is bustling and fun.

🌟 Let’s Not Sleep on Miches

Okay, so these five are great alternatives to bigger retirement hotspots—but let’s not pretend I’m not constantly talking about Miches.

You know I’m a fan.

Miches isn’t an alternative to anything. It’s its own thing.
It’s early—like, still-building-infrastructure early—but what’s coming? It’s big.
Resorts, highways, investment interest… all happening. And if you can catch it now, while it’s still quiet and costs are still reasonable, you’ll look back in a few years feeling real good about your decision.

It’s one of the few places that gives you that “early Punta Cana” feeling with a roadmap for real growth.

If interested in land there, there’s an opportunity I’m aware of and waiting for the final paperwork to close where you can buy plots of land for as little as $20,000!! Jump on the wait list if interested.

Final Thought

If you’re looking to retire in the Dominican Republic but feel restricted by budget, or you see me saying how it’s not cheap here .. remember, there’s a lot to ‘HERE’ in DR.

You don’t need to overpay or overcomplicate it. These spots give you everything you need—nature, comfort, community, and access—on a budget that leaves room to enjoy life.

How Americans Can Save BIG Money on Taxes

I’ve been down a rabbit hole lately…

Taxes are THE biggest expense Americans have.

It’s not your mortgage, it’s not your college loans - it’s taxes (sales, property, income, etc).

Now I didn’t move to DR to mitigate my tax burden, and I am NOT giving any advice here - but I’m happy to expose you to a few things to consider in terms of taxes.

I asked ChatGPT to give me the total tax burden (property and income) for a person living in New York City making $150,000/year.

It came back with about $45,000 - NYC has some crazy taxes when you live in the city!

With that in mind - I can show you a potential way to save EVERY DOLLAR of that $45,000 by moving to Dominican Republic.

You Ready?

#1: The Foreign Earned Income Exemption

The FEIE is a tax exemption for Americans living abroad as long as they pass one of two tests:

• The Bona Fide Residency Test

• The Physical Presence Test

Without getting into the weeds, I’ll focus on the physical presence test.

This requires that you show you sleep in another country for 330 full days in a rolling 12 month period.

If you pass that, then the first $130,000 of your income (estimated for 2025, was $126,000 for 2024) is exempted from taxes.

That’s right - ZERO INCOME TAX on the first ~$130,000!

You don’t need to pay any taxes, or have income from another country.

The term ‘foreign earned income’ means income earned while living in a foreign land. NOT income earned FROM that foreign land while living in it.

By the way - if you don’t meet the 330 days, but you are international, say 295 days - you still qualify, but the income exempted is prorated to probably around $102,000 if I do my math right (instead of $130,000).

#2: CONFOTUR

Now $130,000 of your $150,000 in income that you make remotely is gone.

But what about property taxes?

You sell your home in the US, it’s under $250,000 in gain (or $500,000 if married) so you take ALL of your capital gains and buy a home here.

In doing so, you focus in on buying a CONFOTUR approved property so that you can waive the 3% asset tax, and all property taxes for 15 YEARS!

Or - maybe you decided to buy something for under ~$170,000 US - no taxes on that anyway.

DR property tax is 1% of the value OVER about $160,000-$170,000 US .. and that goes up every year.

#3: The Foreign Housing Exclusion

Let’s talk about that last $20,000.

If you qualify for the FEIE, you may also be able to claim the Foreign Housing Exclusion.

Essentially, the US government allows you to exempt housing expenses above about $7500/year. Meaning your first $7500 is non-deductible, but expenses above that are.

Those approved expenses include:

• Rent

• Maintenance (lawn care, pool, misc maintenance items

• Repair expenses (NOT capital improvements)

• HOA fees

• Utility expenses

• Parking expenses

• Property insurance

You can NOT write off mortgage (principal or interest) or property taxes.

But let’s just say your total approved housing expenses are $12,500(ish) OR MORE for the year, then you can exclude that from your remaining income and avoid taxes on it.

(I used $12,500 for this example where $20,000 of income is still being taxed, and the Foreign Housing Exclusion starts after $7500 in expenses - the remainder is $12,500)

So your $45,000 total tax liability living in NY goes down to under $2000 .. that’s close enough to EVERY dollar for me haha.

(Note - the Foreign Housing Exclusion has a max of around $30,000 you can claim)

A Note on the ‘Foreign Tax Credit’ (FTC)

I’m referencing the FTC to avoid confusion .. hopefully it doesn’t create more.

A common response I hear to the FEIE is ‘but I think I have to show income and taxes paid in another country and then the US will credit that on my US tax bill.

That’s not the FEIE .. that’s the FTC.

If you didn’t qualify for the FEIE (living abroad) but you can show taxes paid in another country of, say $5000 - then your US tax bill can be reduced by $5000 leveraging the Foreign Tax Credit (FTC).

Similarly, if you were paying taxes on the $20,000 we used as an example above (your housing expenses are under $7500, let’s say), and you can show you paid $2000 in taxes in DR - then you would leverage the FTC to ensure you don’t pay that same $2000 in the US.

Here’s the TLDR:

If you live in DR permanently and make US income, there’s tremendous tax savings available for you. And if you’re paying property taxes in the US and decide to buy in DR instead, you can even get out of paying those! Oh! And consult a tax professional for advice please.

9 MUST DO Tips for Living in Dominican Republic

In what’s being called my ‘best video yet’ by many .. I present to you 9 ACTIONABLE tips you MUST take before making the move to DR.

This is everything from how to use credit cards, to driving to what you should NEVER take with you when traveling in country (and MUCH more).

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