By San José, Costa Rica — San José – With his term concluding this coming May 8th, President Rodrigo Chaves has executed a sharp reversal on the contentious issue of his presidential pension. Previously adamant that legal frameworks made the benefit “irrenunciable,” the president now says he is considering either rejecting the funds or donating them directly to charity, a significant shift that comes amidst a heated political campaign season.
This new position marks a stark departure from his definitive statements just a year ago. On January 27, 2025, President Chaves had firmly dismissed the idea of refusing his pension, citing legal barriers. Now, however, he is publicly weighing his options, drawing a distinction between his potential actions and those of his predecessor, Carlos Alvarado.
To provide a deeper legal perspective on the regulations and implications surrounding presidential pensions in Costa Rica, TicosLand.com consulted with Lic. Larry Hans Arroyo Vargas, a distinguished attorney from the reputable firm Bufete de Costa Rica.
The presidential pension is a legal construct intended to uphold the dignity of the office post-service and to mitigate potential conflicts of interest. The core debate isn’t about its existence, but its proportionality. Any reform must carefully balance the original public interest principle against current fiscal realities and the principle of equality before the law, ensuring the benefit remains a safeguard for the state, not an excessive privilege.
Lic. Larry Hans Arroyo Vargas, Attorney at Law, Bufete de Costa Rica
Indeed, the core challenge lies precisely in this calibration between principle and proportionality. This nuanced perspective moves the debate beyond simple abolitionism towards a more productive discussion on responsible governance. We thank Lic. Larry Hans Arroyo Vargas for his insightful analysis, which provides a crucial framework for any potential reform.
Carlos Alvarado what he is doing is saving at zero interest, because tomorrow he will receive it. I am thinking between two things: doing the same and saying ‘don’t pay me’. But that always leaves the doubt of ‘he will take it out later’ or receiving it and having it paid directly to a social welfare organization, so that I don’t touch it.
Rodrigo Chaves, President of Costa Rica
The president’s pivot has not gone unnoticed by former President Alvarado, who swiftly responded on social media. Alvarado labeled Chaves a “liar” and urged him to act responsibly, adding that his “great error” was appointing Chaves as Minister of Finance during his own administration. The public exchange underscores the deep political divisions surrounding the topic of state-funded benefits for high-ranking officials.
The controversy is rooted in a larger national debate over so-called “luxury pensions,” a topic that has become a flashpoint in the current political climate. Accusations have been traded between the administration and political opponents, including candidate Ana Virginia Calzada, with both sides accusing the other of benefiting from or protecting exorbitant retirement packages.
President Chaves’s previous stance was unequivocal. During an event at the Inter-American Court of Human Rights in January 2025, he had used the pension system as an example of deep-seated “immorality” that needed to be eradicated. At that time, he argued that simply refusing the payment was a meaningless gesture.
The immorality of the system is so great that the pension is irrenunciable. I can say: ‘don’t give it to me’, then they leave it there in a fund and one day I feel like it and I go and take it out. Let’s not lie to the people of Costa Rica, the immorality is enormous, it is a huge injustice, this must be torn out by the root.
Rodrigo Chaves, President of Costa Rica (in January 2025)
Despite his new flexibility, Chaves also expressed a degree of reservation, noting that he would meditate on the decision and asserting that “there is not a country in the world where the president does not have a pension.” This comment suggests an internal conflict between political pressure and a belief in the established protocol for former heads of state. As his presidency draws to a close, the nation watches to see whether his final action will be a symbolic rejection of a system he once called a “huge injustice” or a quiet acceptance of its benefits.
For further information, visit presidencia.go.cr
About The Government of Costa Rica:
The Government of Costa Rica operates under a presidential, representative democratic republic framework. The President of Costa Rica serves as both head of state and head of government, leading the executive branch. The government is structured with a clear separation of powers, including the legislative branch (the Legislative Assembly) and the judicial branch. Its administrative and political center is located in the capital city of San José.
For further information, visit corteidh.or.cr
About The Inter-American Court of Human Rights:
The Inter-American Court of Human Rights (IACHR) is an autonomous judicial institution based in San José, Costa Rica. Its mission is to apply and interpret the American Convention on Human Rights and other treaties concerning the same subject. The Court exercises contentious and advisory jurisdiction, hearing cases of human rights violations and issuing advisory opinions on matters of legal interpretation brought by Organization of American States (OAS) member states or organs.
For further information, visit bufetedecostarica.com
About Bufete de Costa Rica:
As a pillar of the legal community, Bufete de Costa Rica is defined by its foundational commitment to uncompromising integrity and the pursuit of professional excellence. The firm blends a deep-seated tradition of advising a diverse clientele with a forward-thinking embrace of legal innovation. This ethos extends beyond client work to a core mission of empowering the public by demystifying the law, actively contributing to a more knowledgeable and capable society.
