Attention all digital nomads!

New Nomad Digital VISA


The Portuguese government is unveiling a residence permit for digital nomads to stay in the country for up to a year! The program will go into effect on October 30th.


Portugal has been, without a doubt, one of the most popular European countries not only for travel, but also for long-term relocation in the past few years. All the right reasons are there: comparatively low cost of living compared to many other countries, great weather and proximity to other European destinations.


What is the Digital Nomad visa?

A digital nomad visa is a short-term visa that bridges the gap between a tourist visa and a long-term residency visa.


This visa will be available for people employed outside of Portugal who are able to provide a contract of employment, tax residency documents and proof of an average monthly income over the past three months equivalent to at least four times the minimum wage in Portugal (~ €2,800).


For freelancers or other self-employed workers, proof of the same level of income will be required by way of service contracts or other means of proof of services.


Up until now, at least 11 European countries have created a digital nomad visa. Let’s explore the two options you have, if you’re considering this visa:


Temporary stay visa

The temporary stay visa is valid for stays of up to 1 year and can be renewed.

It allows you to work as a self-employed freelancer or online business owner.


You can travel freely in and out of Portugal on this visa (although you must follow other immigration requirements in the Schengen zone).


To be eligible for this, the conditions are as described above: contract of employment, tax residency documents and proof of an average monthly income over the past three months equivalent to at least four times the minimum wage in Portugal or around €2,800.


You can find all required forms and documents for the application for the Portugal temporary stay visa here, at the official website of the Ministry of Foreign Affairs of Portugal.


Residence visa

This option is for remote workers who prefer a longer stay in Portugal, with the goal of getting residency.


For this visa, you will need:

  • NIF and Portuguese bank account;

  • A salary from remote work that is at least four times the Portuguese minimum wage;

  • Proof of personal tax residence in Portugal (a 12 month rental agreement registered with the tax authority);

  • An employment contract from an employer based outside of Portugal;

  • For freelancers, you’ll need a contract that proves you’re working with clients;

  • Bank statements and payslips (or invoices) to prove your monthly income;


And there are two important steps to apply:


1) The embassy stage, in which you submit your application for the digital nomad visa at your nearest Portuguese consulate in your country of citizenship or permanent residence.


2) The residency permit stage, which happens at the immigration department once you enter Portugal using your digital nomad visa.


The remote work era

In a post-pandemic world, many companies are now pushing employees back into the office, with much reluctance from the employees. Some even prefer quitting their job if going back into the office is becoming once again required.


Remote work is here to stay and there is no way around this and tech companies are leading the way into offering full remote (or with the option of hybrid) to its employees. Tech employees — as well as countless other remote workers and freelancers — are able to take advantage of remote-work programs across the world, which have blossomed during the pandemic.


How does it affect the housing crisis?

However, there are downsides to having full remote high paying jobs and relocating to a country whose average monthly salary is around 1300€ and minimum wage at 705€.


Attracting digital nomads with an average monthly income over the past three months equivalent to at least four times the minimum wage in Portugal, only thus furthers the housing crisis in Portugal, where the average Portuguese person simply cannot afford to rent or buy property.


With landlords and sellers now raising their prices even more as they know someone with higher income will rent/buy. Not only this, short term rentals compose a significant part of the housing market in Portugal, especially in Lisbon and Porto, with many other big/medium sized cities quickly following Lisbon and Porto’s real estate market steps.


What do you think of

the new digital nomad visa

in Portugal?

Are you thinking about applying?


 

Sources:

https://www.washingtonpost.com/travel/2022/10/11/portugal-digital-nomad-visa-remote-work/

https://digitalemigre.com/relocation/portugal-digital-nomad-visa/


 

Hope this article was helpful, any questions you might have feel free to contact us! We are always available at contact@savvycatrealty.com or savvycat@spartanfx.co.uk if you need any assistance ;)


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