If you’re a remote worker or freelancer with a steady monthly income seeking a new adventure, Spain’s digital nomad visa might be the right fit for you.
Holders of this visa can stay in Spain for up to three years, access the public Spanish healthcare system, and even pursue naturalization if they choose.
We’ve taken our own experience as US expat business owners and tax professionals and spoken with immigration, currency exchange, and real estate experts to give you a concise yet comprehensive guide to Spain’s digital nomad visa.
Read on for practical tips on applying for the visa, setting yourself up for success in Spain, optimizing your tax bills, claiming the Beckham tax regime, and much more.
What Makes the Spain Digital Nomad Visa Unique?
While there are multiple ways to move to Spain, the digital nomad visa offers a pathway specifically for remote workers. Unlike a traditional work visa, the digital nomad visa doesn’t require a Spanish employer to sponsor you.
Once approved, the digital nomad visa allows you to live in Spain for up to three years, provided that you apply for it from within Spain. If you apply from the US, however, the visa will only last one year.
You can also renew the digital nomad visa for two years upon expiration, provided you continue to meet the requirements. After five years of legal residence, you can apply for permanent residence in Spain, and/or citizenship after ten years.
Finally, as with most long-term visas, Spain’s digital nomad visa allows you to bring your spouse/partner and dependent children or parents (although the income requirement is a bit higher for those bringing family members). (1)
Spain Digital Nomad Visa Requirements
A few requirements you must meet to apply for the digital nomad visa include the following.
Income Requirements
To be eligible for Spain’s digital nomad visa, you must earn at least €2,762 (~$3,144) per month. If you’re self-employed, up to 20% of this income can come from Spain.
If you plan to bring family members, the income requirements are slightly higher. You must earn an additional:
- €1,036 (~$1,179) for the first family member who comes with you
- €345.25 (~$393) for each subsequent family member
Health Insurance
Digital nomad visa applicants must also provide proof of health insurance coverage in Spain. This requires you to either:
- Register with the Spanish public health system, OR
- Purchase a private health insurance policy
- Note: Travel medical insurance is not accepted
Other Requirements
Spain’s digital nomad visa application also requires you to:
- Be a non-EU/EEA national
- Possess a clean criminal record
- Have a university degree or at least 3 years of experience in your current field
How to Apply for the Spain Digital Nomad Visa
Documentation Essentials
Your digital nomad visa application will consist of the following documents:
- A passport valid for at least one more year with at least two blank pages
- A completed visa application form
- A recent passport-sized photograph
- An FBI background check no more than six months old, plus:
- A criminal record certificate(s) from any other country you have lived in for at least six months over the last five years
- A declaration that you have no criminal record within the past five years
- Proof of residency in your consular area (e.g., copy of your driver’s license)
- An application fee (varies by consulate)
- Proof of health insurance, such as a copy of your private health insurance policy or proof that you’ve registered with the Spanish social security administration
- A contract or letter from your employer/client, stating that:
- You’ve been working for or with them for at least three months
- You have explicit permission to work from Spain
- A certificate of good standing (or equivalent document) describing:
- When your employer/client was founded — must be over a year ago
- The nature of your employer/client’s business
- Proof of income, such as bank statements, payslips, a job offer, or a contract
- Proof of your education or experience, such as a university degree, training certificate, or resumé
- A signed declaration that you or your employer will comply with Spain’s social security obligations
- Proof that you have or will register with the Régimen Especial de Trabajadores Autónomos (if freelance) or that your employer has registered with Spain’s social security administration (if an employee)
- Alternatively, you can provide a US Social Security Administration certificate of coverage (thanks to the Spain/US totalization agreement). Keep in mind, though, that you may not receive certain social benefits (e.g., public healthcare, parental leave) if you don’t pay into Spain’s social security system.
Authentication and Translation
All public documents from the US (e.g., background check, certificate of good standing, university degree) require a Hague Apostille. (2) You can obtain one from the Secretary of State in which the document was issued, or hire a private apostille service to do so for you.
Any document not originally issued in Spanish, meanwhile, must be translated by a Spanish-registered sworn translator.
How to Apply for Spain’s Digital Nomad Visa
To apply for Spain’s digital nomad visa, you’ll need to:
- Gather the required documents
- Schedule an appointment at your local consulate (if applying from within the US) or the nearest immigration office (if applying from within Spain)
- Attend the meeting and submit your application
- Wait 10 business days to receive a response
- If approved, you’re free to head to Spain or — if already in Spain — move forward with the steps outlined below
- If rejected, they’ll typically tell you why, allowing you to appeal or revise your application accordingly
- If you don’t hear back within 10 days, the application will be considered approved by default
- After receiving approval, you’ll need to:
- Head to Spain, if you haven’t already
- Register with the Spanish tax administration
- Register with Spain’s social security administration
- Apply for your tarjeta sanitaria (public health card) to access Spain’s public healthcare system
- Apply for your TIE (tarjeta de identidad extranjera, or foreigner identity card) within 90 days of arriving
Life as a Digital Nomad in Spain: Practical Considerations
Finding Accommodation
When you first get to Spain, you may want to stay in short-term accommodation for a month or two while you look for something more permanent.
If you don’t plan to stay in Spain on a long-term basis (or aren’t sure yet), it could be better to rent. However, if you plan to stay on a long-term basis or are interested in acquiring an investment property, you may want to look into buying. In either case, Idealista is a popular place to browse housing options, although many foreign buyers prefer to work with more local, boutique firms.
Spain’s real estate market is red hot right now, says Tanne Crosby, Director of Crosby&Millan, a real estate and immigration agency for expats in Spain.
“Prices are increasing rapidly, so acting quickly is key. Even waiting a year to buy in your area of interest could result in lost return on investment,” Tanne says. “The best thing that you can do is to align yourself with a good team — at a minimum, a real estate buyer’s agent and a lawyer.”
While places like Madrid, Barcelona, Valencia, and Málaga are among the most popular for US expats, they also have more expensive real estate markets. A few affordable up-and-coming locations Tanne recommends include:
- A Coruña: A port city in Spain’s lush northwestern region
- Cádiz: A historical beach town on Spain’s southern coast
- Granada: An Andalusian city with old-world charm
Joining Spain’s Digital Nomad Community
After consistently topping lists of the best countries for digital nomads, Spain has become a major hub for remote workers, making it increasingly easy to build community, particularly in expat hotspots like Madrid, Barcelona, Valencia, and Málaga.
A few places to check out include:
- Facebook groups for digital nomads in your area
- Co-working spaces
- Networking events, which you can often find on websites like Eventbrite and Meetup
- WhatsApp group chats
Residence Requirements
While Spain makes a great home base to explore the rest of Europe, it’s wise to balance the amount of time you spend inside Spain versus outside. If you would like to renew your visa, you must spend at least 183 days per year in Spain.
To accumulate time toward naturalization, the residence requirements are even stricter. To be eligible for permanent residence in Spain, you need to carefully track how much time you spend outside of the country over the course of your first five years in Spain. This is best done in consultation with a Spanish immigration lawyer, as requirements may change quickly.
Navigating Currency Exchange and International Finances
Most US expats living in Spain under the digital nomad visa earn US dollars but spend euros, which can add an extra layer of complexity to their finances.
“It’s not unheard of for the dollar to Euro to vary by 7-8% on a year-to-year basis,” says Ben Small, Director of foreign currency exchange firm Ibanista. “If you’re keeping your eye on business margins, that variation can affect your bottom line from one month to the next.”
As a result, it’s generally best to keep most of your earnings and savings in US dollars.
“You can get by just fine with three months’ worth of living expenses in Euros,” Ben says.
Ben also advises:
- Avoiding bank transfers, as they have among the most unfavorable exchange rates
- Using a US credit card for your expenses
- Converting small amounts of currency over time vs. a lump sum
- Continuing to invest in US vs. European equities to a) take advantage of the US market’s faster growth and b) avoid punitive US taxes on certain foreign pooled investments
Taxation: What Digital Nomads Need to Know
Taxes in Spain
Spanish tax residents — i.e., those who spend more than 183 days per year in Spain or have Spain as the center of their economic and social interests — are subject to Spanish taxes on their worldwide income.
Non-tax residents, on the other hand, are only subject to Spanish taxes on Spanish-source income, and often benefit from flat tax rates. However, a tax regime called the Beckham Law allows new Spanish tax residents to essentially be taxed as non-residents for up to six years.
The catch? It was primarily designed for remote employees, not self-employed people. While it is possible to claim the Beckham regime as a self-employed person, those applications are accepted on a much more case-by-case basis.
A few common taxes in Spain include:
- Earned income taxes: 19% to 47%, depending on overall income
- Passive income taxes: 19% to 30%, depending on overall income
- IVA (aka VAT): 21%, with reduced rates of 10% on 4% on certain items
Before you even arrive in Spain, you should decide whether you want to register your business in Spain, says Mar Pomerol i Miralles, founder and CEO of Pomerol Legal Partners. Whether it’s the right choice for you depends largely on your individual circumstances, so it’s best to consult a Spanish tax professional.
A few common mistakes US expats make when filing their taxes in Spain, Mar says, include:
- Self-employed individuals not taking advantage of the tarifa plana, which reduces their social security taxes to just €80 (~$91) for their first year in Spain
- Charging VAT when it’s not necessary — you don’t need to remit VAT for clients based in the US, for example
- Failing to make eligible deductions
US Taxes
The US’s tax system is citizenship-based, meaning that all citizens and permanent residents are subject to US taxes, even if they move to Spain. If you earn above a certain threshold, you’ll need to file a US tax return (typically Form 1040).
Living abroad may also require you to file certain reports, like the:
- Foreign Bank Account (FBAR): Mandatory for Americans with over $10,000 across foreign financial accounts
- Statement of Specified Foreign Assets (Form 8938): Mandatory for Americans with foreign assets exceeding $200,000 on the last day of — or $300,000 at any point during — the year
- Note: Threshold doubles for married couples filing jointly
The good news is that there expat tax provisions that can alleviate the US tax burden, such as the:
- Foreign Tax Credit (FTC): Gives you dollar-for-dollar US tax credits on foreign income taxes paid
- Foreign Earned Income Exclusion (FEIE): Allows those who meet the Physical Presence Test or Bona Fide Residence Test to exclude up to $130,000 of foreign earned income from taxation
Save for later: Section 962 Election for U.S. Business Owners Abroad – Rook CPAS
Note: We reference both the FTC and the FEIE educational purposes, but in most cases, it is most efficient for Americans living long-term in Spain to file using the Foreign Tax Credit, not the FEIE.
Set Yourself Up for Success in Spain
Spain’s digital nomad visa is a great and increasingly popular immigration pathway to Spain for Americans who work remotely. However, it does come with a few hurdles that are best navigated with professional support, namely, cross-border tax planning and working with a Spanish tax lawyer to claim the Beckham Tax Regime, particularly if you are moving to Spain on the digital nomad visa as a freelancer or other business owner.
For Americans seeking a 2-for-1 value, we are pleased to offer joint consultations with our Spanish tax partners at Pomerol Legal Partners.
References
Resources
- Régimen Especial de Trabajadores Autónomos
- Spain Digital Nomad Official Visa Application Form
- Sworn Translators and Interpreters for Spain
- Permanent residence (more than five years)
With Special Thanks
