More countries in Europe are offering digital nomad visas in an effort to boost their economies.
The digital nomad visas are becoming the answer for those who, post-Covid pandemic, want to keep doing their jobs remotely, preferably from abroad and particularly from Europe.
Across the continent, from those with longer-standing programs such as Croatia and Estonia to newcomers including Spain and Portugal, countries are recognizing the potential of prospective new residents as one way to compensate for their flagging tourism industries. As such, they’re making it easier for applicants to win temporary residency either while working for a foreign company or as freelancers.
“Not only does this help fill the low-season gaps in tourism-reliant destinations, it offers non-EU citizens the chance to legally work remotely,” Euronews reports. Digital-nomad visa programs “also help countries to combat other problems from brain drain to ageing populations.”
“Visas for digital nomads fill a legal vacuum for remote workers who wish to spend short or extended periods of time abroad working independently,” etiasvisa explains. “These professionals can take their job with them anywhere they go. (Usually they only need a laptop and an internet connection.)”
Among the advantages of the European digital-nomad permit is the fact that the recipients can travel visa-free throughout the 26 countries of the Schengen Area.
Croatia has been a hub for digital nomads with a well-established program since 2021.
Some of the programs have been specifically designed for remote workers while others have been adapted from earlier work visas, with some variations among them but generally following the same idea: granting a temporary residency permit that allows foreigners to stay from six months to two years.
Croatia, Estonia, Georgia, Latvia, Malta, Norway, Hungary, Iceland, Greece and the Czech Republic are on the list of European countries already offering total or partial versions, with income requirements ranging from €2,000 to €3,000 a month.
Several others including Spain and Italy are in the process of setting up similar, digital-nomad visa schemes.
Portugal’s highly-anticipated scheme
Portugal has recently released the requirements for its highly-anticipated digital-nomad visa and starting October 30 will permit remote workers to apply for a temporary-stay visa of up to one year or a residency permit that can be renewed for up to five years.
To qualify, applicants must earn at least €2,800 per month — four times Portugal’s minimum wage.
“You can apply at a Portuguese Consulate in your home country or at Portugal’s immigration agency, Serviço de Estrangeiros e Fronteiras,” according to Business Insider. “On top of proof of income for the past three months, applicants must submit tax-residency documents and a contract of employment (or proof of self-employment).”
Long before the official release of the digital-nomad visa, Portugal has been extremely popular with digital nomads and according to Euronews it “frequently features in online listicles about ideal remote working locations and with good reason. The major cities feature an abundance of co-working spaces and the country has the 17th fastest wifi in the world.”
Lisbon and Porto are among the most popular destinations for digital workers while the isle of Madeira has a dedicated digital nomad village in the town of Ponta Do Sol.
Portugal’s popularity among remote workers is due, among other reasons, to the low cost of living, mild weather, abundant co-working spaces, connections to major European cities and the country’s fluency in English.
The digital-nomad visa — officially a “residence visa for the exercise of professional activity provided remotely outside the national territory” — is an alternative to the existing D7 visa, a popular residency permit mostly aimed at retirees and ‘passive income’ earners.
“Portugal has had an influx of foreign residents since the pandemic started, many of whom have used the D7 visa, to set up shop in the country,” Business Insider explains. “One of the most affordable programs of its kind, the D7 visa requires applicants make only €7,200 — or about $7,011 — a year to qualify.”
These earnings, however, must come from ‘passive’ income streams like rent or investments and not from a monthly salary.
Portugal launches its highly-anticipated digital-nomad visa starting October 30.
Spain and Italy, in process
Spain and Italy are among the countries in Europe in the process of kicking off their own digital nomad visa schemes.
“Under the recently introduced Startup Act in the Spanish Parliament, people working remotely for foreign companies will be permitted to live in the country without needing a full work visa,” Spainvisa writes.
The proposed new visa will be open to foreign workers employed by non-Spanish companies and is expected to start in 2023 after the legislative process enabling it is enacted.
The ruling has been eagerly awaited as Madrid, Valencia and Barcelona, among other Spanish cities, are already highly-sought locations by digital nomads and other remote and freelance workers.
The new digital-nomad visa will apply to applicants employed by non-Spanish companies working remotely and to freelancers or entrepreneurs with multiple clients.
It’s been reported that the country will set a minimum monthly income of between €2,000 and €2,500. As further enticement digital nomads will be taxed at 15% rather than the standard 25% base rate for the first four years.
Spain’s internet speed is among the fastest in Europe, permitting digital nomads to move to rural areas where rents are low. Many small cities and towns are coming up with original programs in a bid to attract them as a lifeline for their waning populations.
Italy is also a favourite for digital nomads and although until now the country has not established a legal framework, it announced earlier this year that a new visa for remote workers was signed into Italian law.
Unlike other countries with existing schemes, Italy’s is aimed at ‘highly skilled workers’, the meaning of which is not yet clear but probably suggesting that a masters degree will be required.
Among other conditions: health insurance, a clean criminal record and tax compliance in Italy before applying have been mentioned.
The visa will last one year with the possibility of renewal and can be extended to close family members. The income requirement could be between €2,500 and €3,000 a month.
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