Panama Expands Retiree Discounts: What Law 562 Changes for Pensionado Holders

Panama expanded its legally mandated discounts for retirees and pensioners when President José Raúl Mulino signed Law 562 on November 2, 2026. The new health, mobility and personal-care discounts are scheduled to take effect around May 2, 2027; until then, the existing discounts under Law 6 of 1987 remain in force.

For people considering retirement or a move to Panama, the change is worth understanding, but it should not be treated as a substitute for planning for healthcare, insurance and everyday expenses.

Casco Viejo, Panama City

What Law 562 changes

Law 562 amends Law 6 of 1987, which sets out discounts for eligible retirees, pensioners and older adults. According to La Prensa’s report on the signed law and Nexo Capital’s review, the new provisions include:

Service or purchase	Discount	Notes
General and specialist medical visits	25%	Applies to covered consultations.
Cancer treatment	30%	Includes procedures, therapies, medicines, supplies and related equipment.
Laboratory tests	20%	Applies to covered laboratory examinations.
Radiology	30%	Applies to covered radiology services.
Prescription medicines	20%	Prescription must be in the beneficiary’s name. No prescription is required for over-the-counter medicines.
Optometry and ophthalmology	15%	Includes covered services and eyeglasses.
Assistive equipment	20%	Includes prostheses, wheelchairs, crutches, canes, walkers, hospital beds and other assistance equipment.
Rental, repair and maintenance of equipment	20%	Medical certification may be required.
Basic home accessibility adaptations	15%	For adaptations such as ramps, grab bars and basic bathroom changes in the beneficiary’s primary residence. Documentation and limits are to be clarified in regulations.
Adult disposable diapers	20%	A separate benefit from the medical discounts.
Residential waste collection	20%	Applies to residential collection rates.
Coffins and funeral services	25%	Applies to covered funeral services and items.

The law also provides relief from import tax and ITBMS for certain prescribed colostomy bags, urinary catheters and hydrocolloid patches. Check the official law and implementing rules for the requirements that apply to a particular product.

Panama City waterfront

What continues in the meantime

Law 562 does not take effect immediately. Until it does, the prior Law 6 discounts remain in force. Long-standing benefits include:

• Discounts on hotels, restaurants and entertainment.
• Discounts on public transportation and domestic airfare.
• Discounts on electricity bills, subject to the limits in the law.
• A discount on water bills, subject to the applicable limit.

The existing law specifies different hotel discounts by day of the week: 50% from Monday to Thursday and 30% from Friday to Sunday. Restaurant discounts apply to individual meals, with exclusions in the law. The precise rules and limits matter, so confirm a benefit with the provider or relevant authority rather than assuming that a headline percentage covers every purchase or situation.

For a broader view of expenses to consider when researching a move, see our practical guide to the cost of living in Panama for U.S. and Canadian retirees.

Who may qualify?

La Prensa’s report on the signed law says eligible beneficiaries include women from age 55 and men from age 60, as well as retirees and pensioners regardless of age. The amended law also sets specific age thresholds for foreign residents: women from age 57 and men from age 62, provided they hold permanent residence in Panama.

This distinction is important if you are a foreign resident. Having a Pensionado visa, receiving a pension abroad and holding permanent residence are related but separate questions. Law 562 does not grant residency, and having a visa or pension does not by itself establish that you meet every requirement for a particular discount.

The law also sets out documents used to prove eligibility. Before relying on a benefit, ask the relevant authority or provider what documentation it will accept and whether your specific immigration status qualifies. For questions about immigration categories, consult Panama’s National Migration Service and a qualified immigration professional.

Enforcement and business obligations

Law 562 requires businesses to display both regular and discounted prices. Acodeco, Panama’s consumer protection authority, may fine establishments that fail to comply, with reported penalties ranging from $50 to $5,000 and higher penalties for repeat violations. The law also makes discounts granted by businesses deductible for income-tax purposes.

Some details still need to be set through regulations, including how eligibility and medical need will be documented for certain benefits. The law excludes facilities and goods managed by Panama’s Ministry of Health and goods managed by health committees from its discount requirements.

These provisions do not mean every provider will apply every discount automatically or in the same way. Keep documentation, ask how a price is calculated and check current instructions as the effective date approaches.

Casco Viejo, Panama City

What the change means if you are considering retirement in Panama

Healthcare and everyday costs are practical questions for anyone comparing retirement destinations. Discounts on consultations, medicines, tests and assistive equipment may help eligible residents manage some expenses. But a statutory discount is not a health plan, and it cannot tell you what care will be available, what your insurance will cover or what you may pay in a specific case.

As part of your planning, consider:

• Which providers and facilities you expect to use, and whether they accept the applicable discount.
• What health insurance or other coverage may suit your circumstances.
• How you would pay for services that are not covered by a discount or policy.
• What documentation you need to demonstrate eligibility.
• How your preferred location affects access to care and everyday services.

Panama’s city, beach and mountain communities can differ in the services and facilities nearby. Exploring daily life in person can help you ask more specific questions about the places you are considering.

Casco Viejo, Panama City

Questions people are asking

When do the new discounts start?

The law takes effect six months after publication in the Gaceta Oficial. Because it was published on November 2, 2026, the stated effective date is around May 2, 2027. Confirm the date and implementation details with official sources as the transition approaches.

Do I need a Pensionado visa to receive the discounts?

The law concerns eligibility for discounts under Law 6. It does not make the Pensionado visa the only route to eligibility, nor does it grant immigration status. The requirements depend on your age, retiree or pensioner status, residency and proof of eligibility.

Can foreign residents qualify?

The amended law specifies eligibility for foreigners with permanent residence who meet its age requirements: 57 or older for women and 62 or older for men. If you hold a Pensionado visa or another status, confirm with a qualified immigration professional and the relevant authorities how your documents apply.

What should I do now?

Until Law 562 takes effect, use the existing rules as your reference. Keep records of your immigration and pension status, and check the official text and implementing regulations before relying on a new discount.

Sources and where to check

• Gaceta Oficial No. 30647, November 2, 2026, the published law.
• La Prensa, November 2, 2026, reporting on the signed law and its main provisions.
• Nexo Capital, November 3, 2026, reporting on the law’s accessibility provisions and business requirements.
• National Migration Service of Panama for official immigration information.

This article is general information and does not replace independent legal, tax, immigration or investment advice.

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