Feeling like we’re perfecting the Experimental Overseas Early Retirement a little more each day, Diane and I are now holders of valid retirement visas in two Southeast Asian nations at the ripe old ages of 52 and 46. Despite the guy in Penang that literally followed every word I wrote to secure his MM2H Visa in Malaysia, I’m certainly no genius as shown by this blog which doesn’t even include hashtags, revenue generating advertising or commercialization of any kind. But I did read an article on Marketwatch.com this morning that discusses a new IRA rule allowing Americans with 401k plansto make penalty free early withdrawals at age 55 in cases of “job separation”. (No, you can’t quit at age 54 and then withdraw money the next year and if you roll your plan into an IRA as we did, the rule doesn’t apply). Intentionally designed to catch your eye with a headline, first they discourage this rather foolish act and then explain how most Americans can’t afford to retire at age 55 proving why you should probably get your financial ideas from those with no vested interest in watching others make mistakes.
Our first visitors came from China
Rarely talking about our personal finances because the boss in the relationship insists we keep the specifics private, I’ll share a few tidbits that illustrate how we’re doing after almost two and half years with no employment income. Planning a budget of 40-45K USD annually including rent and travel, Malaysia was an easy place to meet the goal because there’s nothing to do in Penang and we mostly cooked our own meals since we didn’t like the food other than duck rice and inexpensive noodle soups. Spending most of our cash travelling to places like Cambodia, Myanmar, Bali and Australia, we skimped on the non travel months and ate in almost every night. Relying heavily on our “no foreign transaction fee” U.S. dollar credit card, we also took advantage of a plummeting Malaysian Ringgit and saved thousands since almost every business other than food courts takes credit cards in Malaysia with no merchant fees.
Already fifteen days into Chapter Two of our Experimental Overseas Early retirement, it’s hard to know where to start writing. Immensely different from Penang in a hundred different ways, we’ve been very busy getting set up in our new two-story house which involves about fifteen more steps than Malaysia. Possibly the world’s most tedious nation when it comes to getting established with life’s little necessities like utilities, phone service, buying a car and of course, figuring out exactly what the immigration folks need, we’re about half way through. Exhausting and tiring, we almost forgot what a pain in the ass moving is and waiting 40 days for your stuff to arrive means deciding how much cash to spend on household goods and unlike Penang, there’s no bus service which adds pressure to the car buying process because the clock’s ticking on the weekly rental car.
Our “new” 2011 Nissan Tiida
Thankfully, we found a suitable used car from the only really reliable source (by western standards) in Chiang Mai. Despite having almost every western convenience from superstores to gated suburbs and everything in between, Chiang Mai is sadly devoid of used car dealers. Unclear why a used car market never evolved in a place with so many foreigners and an extensive and well signed road network, we panicked when even the farangFacebook groups couldn’t offer much advice other than buying from a private source. Since that generally means an expat desperate to dump their car quickly because they need to leave the country before their visa expires, we shunned that idea given Thailand’s obsession with rules, procedures and fines for inadvertent violators. Luckily, there’s almost always a westerner that fills the gap when there’s a service expats need that nobody’s done yet and Expat Auto Chiang Mai is that company. Offering a complete bumper to bumper warranty and extensive servicing of all their vehicles, the biggest problem is often buying the right car before someone beats you to it. Choosing a 2011 Nissan Tiida (mostly because it was the only thing in our budget that wasn’t a Malaysian built car), we picked it up last night and began readjusting to the world of motor vehicles. Bye, Uber, Grab and Rapid Penang.
As the North American long weekend holidays for Independence approached, Diane and I quietly celebrated our two year anniversary of expat life in Southeast Asia.Stepping off the plane on Canada Day in 2015, we embarked on a life far removed from Timbits, quality beer and suburban backyard grilling. Radically different from our one year anniversary, this year we’ve waited patiently as the calendar drags off our last 16 days in Penang. Having completed a successful exploratory trip to Chiang Mai where we opened a bank account and found a suburban house in a quiet and picturesque moo-baan, the goal of these last two weeks was secure a single entry 90 day Non-O visa (done), finish packing (almost done), spend the rest of our sadly depleted Malaysian Ringgit that we bought 12% lower than today’s exchange rate (harder than its seems) and close the book on Chapter One of our Overseas Early Retirement Experiment.
Concerned about writing the blog in the Digital Nomad Capital of Asia where I’d be competing with literally thousands of internet generation smart asses that all think they’re Pulitzer Prize winners, many of you pointed out there’s not an awful lot out there from the suburban middle class early retiree crowd. Initial searches prove you’ve all got a good point so to keep the blog mostly free of food reviews, technology and strategies on living like broke backpackers in lieu of working real jobs, I decided on a theme of Suburban Alternatives in the Chiang Mai region. Given the amazing similarities to North American suburbia from single family houses (mostly for rent) to a cornucopia of mega superstores (five good supermarkets compared to Penang’s one pathetically stocked supermarket with serious refrigeration issues), it seems reasonable I won’t run short on stories. Granted the target audience for my little blog becomes quite different in a place with more blogs than Thai people (almost) and I’ll apologize ahead of time for writing more about primers on how to house hunt for age-appropriate neighborhoods than trendy new clubs to hang out in and forty-seven ways to secure a visa when you’ve decided to spend the prime working years away from your homeland in coffee shops with a laptop while avoiding today’s most hated four letter word (work).
Turning out better than planned, our exploratory trip to Chiang Mai came to a close yesterday. Considering it a huge success, we opened our bank account with both Thai Baht and US Dollar sides, got the internet banking set up, ordered and picked up an ATM card, successfully transferred enough cash to cover the requirement for extending a visa based on retirement and signed a one year lease on an 1,800 square foot house. Perfectly placed fifteen minutes south of the old city and ten minutes from of the airport, the Moo Baan (gated community) is one of the nicest and most secure ones we saw and our rent includes free use of a world-class pool and clubhouse, locker rooms and sauna.
Our new view that swaps seaside for mountains
With so many stories to tell, it’s hard to know where to start and since I’ve been stuck using a shitty IPad that freezes a lot and now that we’re back in Penang, I see Word Press somehow switched the “add new post” function to a minuscule font that’s obviously not supported on my old OS. Also almost impossible to edit, I figured I’d post one thing we did for the 14 days we spent in Chiang Mai. Now back in Penang for 16 more days, we need to finish packing, go to the bank in Penang to update our information (we are staying on the MM2H program), wait for the Hari Raya holiday period to end, send off our 15 boxes of stuff with the movers, greet the landlord, hand over the keys and begin Chapter Two of early retirement. Not looking forward to the last two weeks in Malaysia, it’ll probably go by real slowly but I guess I can write about how much more we like Thailand since we’re finally disposing of the old PC and don’t need to disconnect it until the last-minute. While the Malays are very nice people, the Thai have a certain Asian charm unmatched anywhere elsewhere we’ve seen in Southeast Asia an despite all the complaints and sarcastic jibes from many farangs all over Facebook about Thailand’s ways, all nations have their own problems and when you’re a guest it’s best to look the other way when something sucks and appreciate the reasons why you chose to live there. So here’s my day by day synopsis.
Sawasdee Krab from Chiang Mai, Thailand. Four days into our Exploratory Trip to Thailand it looks like we’ve got a beautiful place to live. Having given notice to our landlord in Penang, we worked out a very favorable and amicable deal whereby she agreed to use our two month security deposit in lieu of us paying rent through the date we’ll vacate so we bought plane tickets and headed to Chiang Mai for 15 days in search of a place to live. Also needing to open a bank account, we lucked out by finding a friend on a Facebook group willing to introduce us to his banker. Thailand’s always changing rules sometimes means navigating an endless web of complications and although Plans A and B both failed, we’re glad to report we opened a bank account despite not yet having a visa.
Since it’s quite difficult to navigate posts using an IPad, especially when the battery is almost dead and it constantly freezes despite the Apple Genius in Canada claiming that’s not possible, I wanted to check in and let everyone know what we’re doing. Given the amount of traffic I’m still getting even without having posted awhile, we also what to stress that as of July 7th, we will no longer be living in Malaysia. Given the blog’s focus on two North Americans choosing an overseas early retirement due to an unexpected layoff, I’ll be shifting the focus from Malaysia, the MM2H Visa and Penang to our life in Northern Thailand. Understanding there’s literally thousands of blogs on Chiang Mai, I’ll continue trying to tell stories rather than writing “we did this, we did that”. And many of you accustomed to my usual brand of sarcastic cynicism may be surprised because so far, Thailand is about a million times better than Penang.
Glancing at the Yahoo business headlines today, I came across an article about annoyed Starbucks employeescomplaining about heavy workloads, excessive demands being made on them, increases in drive through orders and a host of other issues. Obviously, the head honchos in the boardroom are sadly unaware of how things work outside the United States. Returning from a local diagnostic center halfway between Gurney Plazaand Georgetown that screened my blood for cholesterol and glucose, we decided to stop in at a well furnished Starbucks for a french press. ironically, it’s in the lobby of Penang’s largest hospital and my prior experience visiting the Starbucks in Diane’s old employer’s lobby (a large San Francisco hospital) made me think twice about stopping. Constantly crowded, waiting twenty minutes for a grande latte wasn’t an uncommon occurrence. But alas, this is Malaysia.
Sharply contrasting the retail world we left two years ago, Starbucks in Penang cracks me up. Not even opening until 8 AM or later, Malaysians are not morning people, have no interest in a morning jolt of caffeine and would just as soon spend their mornings doing whatever it is they do instead of waiting on long lines, spending exorbitant sums of money on overpriced western products and then hanging out all morning long. Choosing just about any seat you want, a mid morning visit is an almost surreal experience where bored-shitless employees are so happy to see a customer, they’ll even give you the eight cup French press even though you ordered the smaller one (and paid the lower price). Unclear why or how the company wants to invest in a market where employees sleep on the job while their American counterparts slave away, it’s one of Malaysia’s fun quirks that we’re sucking up before making the next move to Thailand in a few weeks.
Where the hell does the time go? Literally feeling like we just did this yesterday, once again empty folded boxes are sitting in our humble abode. Unlike the attachment one gets with home ownership, however, there’s no love lost on leaving our ninth floor condo and moving on to greener pastures. (Thailand is in fact actually greener). Now understanding what they meant in all the blogs, websites and articles that discuss why expats feel culture shock when they return to the homeland, we learned that moving, like almost everything in Asia, is a totally different experience. Having moved an entire three bedroom house from San Francisco to Calgary, back down to San Diego and then up to Walnut Creek, California, you’d think it would be routine but unlike in North America, the key word in Asia for almost anything is minimalism so if you’re contemplating such a move, you’ll need to adjust your thinking.
Goodbye old faithful used boxes.
First off, you’ll need to erase the memories of a Uhaul store and its fancy array of custom sized boxes from wardrobe to specialized art and five different sizes of square from small to extra-large. Hardly anyone in Asia owns 2500 square foot custom-built homes with three car garages, a large yard and room for a shed, pool and some specialized fruit trees. Therefore, we learned quickly that no matter who you call or how much you pay, the choices are standard box and large box. Alas, there’s no industry devoted to boxes, moving and packing either so if you’re thinking you’ll just buy new boxes, good luck with that. Stranger than as anything to us was the notion that hiring a “logistics” (moving) company in Asia means you’ll get empty boxes, packing material and tape delivered to your door by courier as soon as you put down a deposit.