Guanajuato Retirement

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As a budget traveler who spent 2 months in GTO this year I would be hesitate to try it on $1,700 a month for 2.
Now if you get lucky finding a quality apartment like I had for 3,500 pesos plus utilities you might squeeze by.
I can do it on $1,000 US a month when alone but no way in this life could it work with my wife there also. Also I consume no alcohol beverages which I believe are similarity priced with US prices.
Groceries are expensive in comparison to the US. I would say on average a store such as Mega runs about 30 % higher than say Winco in California. There is a Costco in Leon which I presume may be cheaper but have had no personal experience there.
Many of the local Cafes especially around the University are bargains with 50 peso lunches/dinners for non students who normally pay 35.
Some of the higher end places have set menus for around 135 pesos (about $9 US) for a extra nice Siesta meal.