Relocation guide · 2026
Moving from United States to Mexico 🇲🇽
Affordable, close to US, growing nomad scene.
The tax picture
Stay in United States
$46,500
Estimated tax on $150,000
Move to Mexico
$36,000
Local tax estimate
Cost of living
-45%
vs. United States (Numbeo-style index)
Local tax regime
Residents taxed on worldwide income; same time zones as the US.
Residency / visa
Temporary or Permanent Resident visa
What still applies (US)
FTC generally reduces US tax below Mexican rates; no comprehensive US–MX income treaty.
Headline program
Progressive, ~16–31%
All figures are illustrative estimates for tax year 2026 and do not constitute tax advice. Verify with a qualified expat CPA.
Frequently asked questions
How much tax could I save moving from United States to Mexico?
On an income of $150,000, our model estimates an annual saving of roughly $10,500 — that is the net figure after accounting for the US federal tax that still follows American citizens (via FEIE/Foreign Tax Credit). Use the calculator for your exact income.
As a US citizen, do I still file US taxes after moving to Mexico?
Yes. The US taxes citizens on worldwide income regardless of where you live. You can exclude earned income via the Foreign Earned Income Exclusion (Form 2555) or credit foreign taxes via the Foreign Tax Credit (Form 1116), but you must keep filing — and report foreign accounts on the FBAR and possibly FATCA Form 8938.
What visa do I need to live in Mexico?
Mexico's main route for relocating professionals is the Temporary or Permanent Resident visa. Requirements, timelines, and costs vary — the AI planner can walk you through the specific path for your situation.
Is Mexico cheaper than United States?
Mexico has a cost-of-living index of about 42 (Numbeo-style, where New York ≈ 100). Compare it directly with other destinations on the Compare page.
Know someone considering the same move?
Share this guide with your partner or accountant.