A Real-Life Example
Mr. and Mrs. Zawistowski came to the U.S. in the ’80s to make some money, already middle-aged. They had no children. Mr. Zawistowski started out working in construction and stayed there. Mrs. Zawistowska cleaned houses in the neighborhood. Not knowing the language did not help them get ahead, but then again they earned well, and their stay in the U.S. was supposed to be temporary anyway, so careers were the last thing on their minds. They assumed that once they had put some money aside, they would go back to Poland and live there happily ever after. They did not even bother to get American citizenship – what for?
Year after year went by. The Zawistowskis saved every penny. It helped that they lived in a building where the rents were low because they were regulated by law. Their friends were buying houses and moving out to Queens or Long Island. The Zawistowskis did not need a house – after all, they were only living here temporarily. They were building a house in Poland with the help of a cousin, who was to get one floor in return. In the meantime, they visited Poland only twice, briefly, to take care of business.
Returning to Poland
At last, the Zawistowskis decided to return to the Poland of their dreams. The first shock came when their Social Security benefit turned out to be much lower than expected. Since the Zawistowskis had worked a lot for cash that they never reported, Mr. Zawistowski ended up with only $900 a month, a quarter of which, after their return to Poland, was withheld as nonresident tax because they lacked American citizenship. In the U.S., the government would have topped up their income with a benefit, but not abroad. How do you get by in Poland, where things have become almost as expensive as in the U.S.? The few pennies of their Polish pension also reduced their Social Security because of the Windfall Elimination Provision (WEP). That provision was repealed by the Social Security Fairness Act, signed on January 5, 2025 – for benefits payable from January 2024 on, a Polish pension no longer reduces Social Security.
Their IRA was supposed to give the Zawistowskis extra security. Right before leaving, they cashed out their retirement accounts and learned to their horror that a large part of their retirement savings would be lost to income taxes.
Surprises in Poland
In Poland, more surprises awaited the Zawistowskis. Although they moved into their part of the two-family house, many things irritated them. The “villa,” built from a distance with American dollars, was of a lower standard than their modest little apartment in the U.S. Their small town turned out to be grayer and dirtier than Brooklyn, their friends had moved away, and their extended family had died out. Nothing happened in the town. Used to taking part in cultural life, the Zawistowskis had to travel to Warsaw, which was tiring, time-consuming and expensive. They found out that buying and maintaining a car costs more than in America. The cousin’s four children ran around the house and yard all day long, making noise and trampling the garden. On top of that, it came to light that the cousin had for years been inflating the costs of building and maintaining the house, which soured relations. The Zawistowskis demanded that the cousin move out of the house, only to hear that they were the ones who could move out, because he owned his half of the building.
Now the Zawistowskis cannot get used to their new surroundings. They feel like strangers in their own country, which they dreamed about for years. They feel like unwanted tenants in their own home. They don’t know what to do: stay in Poland or go back to the U.S.? But they gave up their cheap apartment there, and renting a new one could cost them more than a thousand dollars a month. They cannot afford it. Maybe go to Florida, where living is cheaper, and start life over once again? But it is not as cheap there as it used to be either. As for most of their lives, the Zawistowskis once again feel out of place and believe that they belong somewhere else.
How to Avoid Disappointment
It is worth making the effort to avoid the disappointments the Zawistowskis went through. You should prepare well and far in advance for retirement or a move to Poland. The more you own, the more care you need to take to avoid excessive income taxes, sell your assets on good terms, plan the succession of your estate, etc. The more modest your financial situation, the more you should save for the future and work toward a higher retirement benefit.
Go to Poland on a scouting trip. Every life change should be carefully considered to avoid disappointment. Don’t rely on memories from your youth, and don’t burn your bridges. First go to Poland for an extended stay and live a normal life there for at least six months. If it suits you, good. If not, you will have something to come back to in the United States.
Important: Check Before You Leave
- Don’t count on Social Security alone. Remember that Social Security is only insurance against poverty. Ever since Social Security was enacted in 1935, the system has been meant to protect widows, orphans and the elderly from extreme poverty. Anyone who wants to live their later years in comfort has to take care of themselves on their own.
- Figure out how much you will have in your later years. Find out the amount of your and your spouse’s future Social Security and ZUS (Poland’s Social Insurance Institution) benefits. How much will any employer pension plan pay? How much will you save in IRA or 401(k) accounts and savings accounts? Before you retire, you should pay off your mortgage and other debts.
- Maximize your retirement benefits, especially if you are married. Don’t take the earliest, reduced benefit just because you are entitled to it. The right combination of claiming ages and Social Security benefits can increase a couple’s benefits. If you worked in Poland for even a few years, you are entitled to some ZUS pension. The rules changed thanks to the Polish-American social security agreement, in force since March 1, 2009, and thanks to the reform of the pension system in Poland.
- Learn about taxes and deductions. Find out what reductions and taxes will eat into your Polish and American retirement benefits in Poland and in the U.S. Remember that the WEP (Windfall Elimination Provision) reduction no longer applies – it was repealed by the Social Security Fairness Act of January 5, 2025. Try to avoid other reductions, arrange your health insurance properly, and stay in compliance with your tax and reporting obligations (see the book “Emerytura reemigranta w Polsce” (“A Returning Emigrant’s Pension in Poland”)).
Updated October 2026.
