Retiring in Malta: Residence, Taxation of the Pension, Retiree Programmes, the S1 Form and Cost of Living

Citizens of the European Union stay in Malta for up to three months with an identity card or a valid passport (France Diplomatie, the French foreign ministry, 15 September 2026). Beyond that, a retiree registers with Identità as an economically self-sufficient person. They prove that they have sufficient resources not to become a burden on the Maltese social assistance system: resources are judged sufficient if they equal the minimum that entitles Maltese nationals to social assistance. The pages consulted do not publish an amount; proof can be a pension statement, bank statements or a tax administration document (Identità).

• Insurance: Identità asks for comprehensive health insurance in Malta, or the S1 certificate issued by the country of origin, or the entitlement certificate. Only recipients of a pension from the Maltese government are exempt from comprehensive health insurance.
• Document issued: the eResidence document is free; it is generally valid for five years and processing takes about 30 working days. After five years of legal, continuous residence, a permanent residence card, valid for ten years, can be requested (Identità).
• Formalities: the page on living in Malta details the documents, the consular register and schooling.

The convention between France and Malta, signed in Valletta on 25 July 1977 and in force since 1 October 1979, was amended by protocols of 8 July 1994 and 29 August 2008. It divides the right to tax each item of income between the two States, and its rule on pensions depends on the nature of the pension.

• Social security pensions (article 18, paragraph 2): pensions and other payments made under the social security legislation of a State are taxable only in that State. For France, the BOFiP (the French tax administration’s official doctrine) places in this category the basic schemes and the compulsory supplementary schemes, including AGIRC and ARRCO: these pensions remain taxable in France, under the rules applicable to non-residents (impots.gouv.fr).
• Other private pensions (article 18, paragraph 1): pensions, similar remuneration and annuities paid to a resident in respect of past employment are taxable only in their State of residence, therefore in Malta for a retiree who lives there, subject to paragraph 2 of article 19. An optional supplementary pension in principle falls into this category; its classification should be checked contract by contract.
• Public pensions (article 19, paragraph 2): pensions paid by a State or a local authority in respect of services rendered are taxable only in that State, unless the beneficiary is a resident of the other State and holds its nationality; a former French civil servant living in Malta remains taxed in France.
• Double taxation (article 24): France grants a tax credit for income of Maltese source taxable in Malta, and Malta grants a credit on the French tax levied on income of French source included in the Maltese tax base.
• French levies: for a retiree whose tax residence is outside France, a health contribution of 3.2% on the basic pension and 4.2% on the supplementary pension is levied on general scheme pensions, and 7.1% on those of self-employed workers; with tax residence in France, the CSG, CRDS and CASA (French social levies) apply (CLEISS).

The guide to receiving your pension abroad details how pensions are paid outside France. Individual advice makes it possible to check the returns to be filed in each country.

The Maltese tax administration (MTCA) points out that a person who is domiciled and ordinarily resident in Malta declares their income from all sources, while a person who is not domiciled or not ordinarily resident declares their Maltese income and income remitted to Malta. The standard progressive scales are detailed in the page on working in Malta.

The special programmes give the right to pay a flat tax of 15% on foreign-source income remitted to Malta, other income, including that of Maltese source, being taxed at 35%, with a minimum annual tax (MTCA). The retirement programme is aimed at people without employment whose pension is their regular source of income.

• New framework from 1 January 2027: order 195 of 2026, published in the Government Gazette of 14 July 2026, establishes unified individual rules. Retiree status requires in particular: a pension, supported by documents, received in full in Malta and representing at least 75% of taxable income; an owned home bought for at least 700,000 euros or rented for at least 14,000 euros a year, occupied as a main residence; stable and regular resources; health insurance covering all the risks covered for Maltese nationals in the Union; no domicile in Malta and no plan to establish one there within five years; an ability to communicate in an official language of Malta and the required good character.
• Cost and duration: a minimum tax of 15,000 euros per tax year, a non-refundable application fee of 8,500 euros, a five-year status renewable for 2,500 euros per period, and the compulsory use of an approved representative (lawyer, legal procurator, notary or accountant).
• Transition: statuses granted before 31 December 2026, as well as applications received up to that date, continue to apply until 31 December 2031. The conditions of the framework in force until the end of 2026 are in the administration’s guidelines, which were not consulted for this page.
• Termination: the status ends in particular if the beneficiary spends more than 183 days in another jurisdiction in a calendar year, if they no longer have a qualifying home or if they no longer have private medical insurance covering the risks normally covered. The text refers to “private” insurance: it is for the MTCA to clarify whether an S1 form is enough.

For a retiree of the general scheme and of AGIRC-ARRCO, article 18, paragraph 2, leaves the taxation of the pension to France: a Maltese programme does not change the place where this pension is taxed, and its value is measured on other income. The rules now designate the “Commissioner for Tax and Customs”, that is, the MTCA. Individual advice is needed before any application.

A retiree who receives only a French pension, settles permanently or for more than six months a year in the Union and carries out no activity there asks their pension fund for the S1; no contribution to the local scheme is withheld (CLEISS). They present to the Entitlement Unit the original S1, their passport, their residence document and photocopies, and receive an entitlement certificate to show at each consultation at the hospital or health centre. Each dependant can have their own S1.

• Care pathway: the patient freely chooses a general practitioner, who refers them to a public sector specialist if necessary; see the guide to the Maltese healthcare system.
• Co-payment: public care is free; medicines are paid in full outside hospital stays, except for chronic diseases on a list, and dental care is very little covered. The item-by-item detail is in the page on healthcare reimbursement in Malta.
• Return to France: with an S1, the retiree can be treated in France for all care, whether medically necessary or planned (CLEISS).

To complement this arrangement with dental cover or faster access to private providers, Expavy helps you compare the options; see also the guide to retirees’ health insurance abroad and the page on retirement insurance abroad.

Housing is the main item to watch: the residential property price index rose 6.7% over one year in the first quarter of 2026 (NSO, the Maltese National Statistics Office), and retiree status under the new tax framework requires a purchase of at least 700,000 euros or a rental of at least 14,000 euros a year. Wage levels and the minimum wage, which indicate the local cost of living, are in the page on working in Malta.

The official pages consulted do not publish an average rent. A retiree who rents adds service charges, energy and health costs that are not covered: the guide to budgeting for health abroad helps you put a figure on this item. The currency is the euro, which removes the exchange-rate risk on the French pension.

The choice of location depends on proximity to care and the housing budget. Mater Dei Hospital, the public acute care hospital, is in Msida, and the island of Gozo has its own general hospital (CLEISS).

It is useful to spend at least one hot season on the spot before committing to a long lease or a purchase, to check the distance to health centres and to find out about the state of the property market.

For periods worked in Malta, the pension is claimed from the Maltese social security department. According to the CLEISS, the statutory age is 64 for people born from 1959 to 1961 and 65 for those born from 1962; a two-thirds pension requires at least 10 years of contributions with an average of 15 contributions a year, and a full-rate pension an average of 50 contributions a year. Early retirement is possible from age 61 under conditions of contribution period, and the maximum old-age pension was 261.85 euros a week in 2023 (CLEISS, page of 2023).

Periods completed in France and in Malta are added together to open rights: the guide to quarters worked abroad explains the principle of aggregation.

• Request the S1 from your pension fund, for yourself and each dependant, before departure.
• Inform your pension funds of the change of address and of the bank account the pension is paid into.
• Register your stay with Identità after three months, with proof of resources and insurance.
• Have the S1 registered with the Entitlement Unit to obtain the entitlement certificate.
• Register on the consular register of the French embassy in Valletta, free and valid for five years.
• Continue to declare your social security pension in France, where it remains taxable under the convention.

In the event of a return to France, the insured person contacts the last health insurance fund they belonged to: the page on returning to France details the steps.